Key Highlights
- First quarter adjusted earnings per share reached $4.97, surpassing analyst expectations of $4.82 by $0.15
- Quarterly revenue climbed to $4.17 billion, marking a 10% year-over-year increase and exceeding the $4.08 billion projection
- The Ratings segment delivered 13% growth to $1.30 billion; Indices division saw 17% expansion to $519 million
- Adjusted operating margin grew by 100 basis points, reaching 51.8%
- Company reaffirmed 2026 EPS outlook of $19.40–$19.65 and projected revenue expansion of 6.3%–8.3%
S&P Global delivered impressive first-quarter performance, surpassing analyst forecasts for both profit and revenue as heightened market turbulence fueled increased appetite for its analytical and data offerings.
The financial intelligence provider announced adjusted earnings per share of $4.97 for the first quarter of 2026, exceeding the Street consensus of $4.82. On a GAAP basis, earnings per share stood at $4.69, representing a 32% jump from the prior-year figure of $3.54.
Quarterly revenue advanced 10% from the year-ago period to reach $4.17 billion, beating Wall Street’s forecast of $4.08 billion.
The Ratings business spearheaded growth momentum, posting revenue of $1.30 billion, up 13% year-over-year. The Market Intelligence segment generated $1.30 billion in revenue, an 8% increase, while the Indices division delivered particularly strong results with revenue jumping 17% to $519 million.
Chief Executive Martina Cheung highlighted the company’s broad-based success. “We are pleased with the results we achieved in the first quarter, with strong revenue growth and margin expansion in every division,” she stated.
Profitability Metrics Show Improvement
The company’s adjusted operating profit margin expanded by 100 basis points to 51.8%. On a GAAP basis, the operating margin increased a substantial 620 basis points to 48.0%.
During the three-month period, the firm executed $1 billion in share repurchases. Management now anticipates returning 100% or more of adjusted free cash flow to investors through both dividends and stock buybacks throughout 2026.
Escalating geopolitical tensions and increased market turbulence have driven institutional investors toward risk management and analytical platforms — a favorable trend that clearly benefited the company’s first-quarter performance.
Competitor Moody’s announced comparable robust results earlier in the month, similarly benefiting from elevated demand for research capabilities and analytical services.
Annual Forecast Unchanged
S&P Global kept its organic constant currency revenue growth projection at 6.0%–8.0% for the full year 2026.
The reported revenue growth forecast was adjusted to 6.3%–8.3%. The 7.3% midpoint represents a modest decrease from the previous range, attributable to reduced anticipated foreign currency benefits.
Annual adjusted diluted earnings per share guidance was left unchanged at $19.40–$19.65, with the $19.53 midpoint matching consensus analyst estimates.
Shares climbed approximately 2.38% during the trading session following the earnings announcement. Despite this uptick, SPGI remains down over 15% for the year-to-date period, pressured by investor apprehension regarding artificial intelligence’s potential disruption of the software and professional services industries.
The measured market response — with shares gaining only 0.6% in pre-market trading — indicates investors had already anticipated solid quarterly results.
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