Thomson Reuters (NYSE: TRI) has reported its financial metrics for Q3 2017 ending September 30, 2017, which displayed higher profits and flat revenues, according to a Thomson Reuters statement.
For Q3 2017, Thomson Reuters revealed that revenues were mostly flat relative to a year earlier, coming in at $2.79 billion or up 2 percent from $2.74 billion reported back in Q3 2016. In addition, the figure was slightly higher by a factor of 0.4 percent quarter-on-quarter from $2.78 billion in Q2 2017.
The global information provider attributed the flat change in revenues to the growth in recurring revenues and a positive impact from foreign currency. At constant currency, revenues increased 1%.
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By geography, revenues were up 3% in the Americas, up 2% in Asia, and decreased 1% in Europe, Middle East and Africa (EMEA). Recurring revenues grew 1 percent (77 percent of the segment’s revenues in the quarter). Furthermore, transactional revenues rose 7% (15% of total) due to increased revenue from Tradeweb and contributions from acquisitions.
In terms of Thomson Reuters’ operating income for Q3 2017, the figure has yielded a profit of $467 million – this represents a jump of 21 percent year-over-year from $385 million in Q3 2016. The New York headquartered organization attributed the increase to higher revenues and lower expenses, which reflected the impact of transformation initiatives to simplify the business, as well as a gain on the sale of an investment.
Another area of strength for the quarter was Thomson Reuters’ diluted earnings per share (EPS), which showed a rise to $0.68 in Q3 2017, a gain of 26 percent year-over-year from $0.54 in Q3 2016.
Commenting in a recent statement on the quarterly metrics, James C. Smith, President and CEO of Thomson Reuters, said: “It is gratifying to see that the progress we have made over the last several years is continuing to pay off. And, despite lower than expected revenue growth for the quarter, margins continue to improve and our most promising growth initiatives are performing well. We will continue to manage the things within our control with the same rigor and discipline that has turned around our organization, in order to build maximum sustainable long-term profit growth. Our transformation efforts should continue to generate bottom-line growth and provide the added fuel we need to accelerate top-line growth in the future.”