Shares of FactSet (NYSE:FDS) tumbled more than 9% Tuesday after the financial information provider forecast weaker-than-expected fourth-quarter revenue.
The Norwalk, Ct.-based company forecasts adjusted earnings for the current period of $1.15 to $1.17 a share ($1.06 to $1.08 unadjusted) on revenue of $204 million to $208 million.
Continue Reading Below
Analysts in a Thomson Reuters poll are looking for earnings of $1.08 a share on sales of $210.2 million.
For the third quarter, FactSet revealed a better-than-expected profit of $48 million, or $1.05, compared with $43.3 million, or 92 cents, a year ago.
Excluding one-time items, the company earned $1.15 a share, far ahead of the Street’s view of $1.04.
Revenues for the three months ended May 31 climbed 10% to $202 million, just below average analyst estimates of $203 million. Sales were higher both domestically and in FactSet’s international markets.
"While the economy remains volatile, results indicate our philosophy of consistently investing for the future is paying off,” FactSet CEO Philip Hadley said in a statement.
Annual subscription value was up 9% to $811 million, while users climbed by 1,100 to 48,400.