FDS 8-K — Smart Summary

FactSet hosted its Investor Day 2024 on November 14, 2024 in New York City, highlighting strategic priorities, new AI-powered workflow solutions, and financial outlook. The company reaffirmed its full-year fiscal 2025 guidance and announced a new medium-term outlook targeting mid-to-high single digit organic ASV growth through fiscal 2028. FactSet serves more than 8,200 global clients including over 216,000 individual users across buy-side, sell-side, wealth management, private equity, and corporate segments.

• FactSet reaffirmed fiscal 2025 guidance: organic ASV growth of $90M–$140M (~4%–6%); GAAP revenues of $2,285M–$2,305M; GAAP operating margin of 32.5%–33.5%; adjusted operating margin of 36.0%–37.0%; annual effective tax rate of 17%–18%; GAAP diluted EPS of $15.10–$15.70; adjusted diluted EPS of $16.80–$17.40
• New medium-term outlook through fiscal 2028: organic ASV growth of mid-to-high single digits on average annually; adjusted operating margin of 37%–38% by year-end fiscal 2028; adjusted diluted EPS growth of high single digits to low double digits on average annually
• Firm-type medium-term organic ASV growth targets (average annual through FY28): Institutional Buy-Side MSD (vs. 3% FY24); Dealmakers HSD (vs. 4% FY24); Wealth LDD (vs. 12% FY24); Partnerships & CGS MSD (vs. 6% FY24); overall company MSD–HSD (vs. 5% FY24)
• FactSet reported FY24 ASV of $2.3B and revenue of $2,203M; adjusted diluted EPS of $16.45; free cash flow of $614.7M; adjusted operating income of $832.7M
• FactSet serves 95 of the top 100 asset managers, approximately 75% of the top 50 global investment banks, and 100K+ advisor desktops; total client count exceeds 8,200 globally with 216,000+ individual users
• Total addressable market identified at $40B+, with a core addressable market of $28B; FactSet's current FY24 ASV represents $2.3B of that opportunity
• Capital allocation medium-term targets include annual share repurchases of ~$250M–$300M, dividends targeting ~25%–30% of net income, capex targeting ~3.5%–4% of revenues, and gross leverage target below 2.5x debt/EBITDA; $1.5B in shareholder capital was returned over the past 5 years (FY20–FY24)
• Technology spend has grown from ~$100M+ (FY21) to ~$200M+ (FY24) at ~23% CAGR, with a medium-term outlook target of ~$300M+ (~15% CAGR through FY28); platform infrastructure investments are expected to account for less than 15% of technology spend in the medium term
• Adjusted operating margin expansion target of approximately 150 basis points per year on average through FY28, driven by leaner operations (~100–125 bps), scalable infrastructure (~25–50 bps each), and operational flexibility (~25–50 bps each)
• FactSet holds $423M in cash and cash equivalents as of August 31, 2024, with $250M available under its revolving credit facility and an additional $750M accordion feature; credit ratings are Moody's Baa3 and Fitch BBB+