FactSet Research Systems (FDS) 21 Dec 202021 Q1 Earnings call transcript

Ladies and gentlemen, thank you for standing by, and welcome to the FactSet Q1 Earnings Call. At this time, all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session [Operator Instructions]. I would now like to introduce host of this conference call, Ms. Rima Hyder.

begin. may You

and quarter Kevin, everyone. to Welcome Thank earnings good call. first XXXX FactSet's you, morning,

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our of A would presentation plus via at to will fair be Before from call. follow-up. this Relations one out that prepared website. replay this reference questions be will section of at be question, the factset.com. Investor we accessed will via be phone After website of everyone, to today's the we please like on available point open remarks, website we The our to To call conclusion the limit call slides and slides posted begin, yourself on investors. will on our I one can during the our the to webcast

listeners on risks Before statements measures. encourage our the of non-GAAP all I the explains review which financial notice we results, of the X, use to legal and discuss forward-looking slide

please XX-K these for statements. risk discussion of materially cause and that to forward-looking to Forms could Additionally, a factors from actual XX-Q results our refer differ

this Our discussions include and on financial measures. will slide non-GAAP presentation certain call

reconciliation the our measures, the presentation morning. directly earnings this measures comparable and release GAAP in such For to in the most are appendix to issued earlier

the like turn Officer; Executive our Joining to Officer. over Snow. Chief would are and Helen Shan, me now Snow, Phil today Chief Financial to I discussion Phil

lot the goals. is, we I'm track a over our meet how last work has how its on us XX served and confidence started relationships. The morning as of learned to client year business Thanks, as in our remotely FactSet investment can our also for XXXX, Rima, half of increasingly a position. fiscal portfolio across first a and pleased and focus serving client well to supporting in calendar the calendar everyone. workflows in that strength and report resilient good its year year the we on content measured lifecycle visibility our enter technology. is increased differentiator and reaffirmation new FactSet's the months market entire strategy have with We've

remains focus performance pricing new close expanding retention, to and as this with capture we year large clients, and share wallet pipeline. high optimistic already clients ability adding maintaining client strategic to fiscal Our be discipline Strong will share. our in more our to key on continued we are seek execution our market

offer pipeline importance. FactSet's and than we is an area and us clients for more only depth on at this data was execute Our all-time increasing is in a more data coupled ago strongest this open the and of technology driving solid position. We in with believe meaningful structured engaged FactSet's concordance our the conversations. convert suite and we industry. into are flexible differentiator us comprehensive is well. can second especially now differentiated solutions strength the and in the in a for and Ultimately, ability actionable high, in places and content content to diverse unstructured we have insights more financial level proven it industry buy we scale that and higher The demand that Moreover, at quarter link data is this a provide C-suite year side point key critical with

further technology pioneering AI in data migrate very the from ecosystem. FactSet certainly in UN engine They acquisition ESG providers of for clients the pleased one this cloud. their We to the the alignment powerful signal workflows industry. with integrating ESG strongest to platform. which of we're the improved see We I'm that we and data of content the clients collection SASB looking their our exciting will and demand one businesses. clients with open speed library Labs, on the Truvalue this provider of quarter with to for and across FactSet a the providers scale with technology the creation of are marketplace, provider their our technology, the many our choice existing the and creates content Truvalue's value add combined with of many our SDGs were into company a on already our and all

we X%. plus the ending rate decelerated growth look bps As ASV months services XX over at organic at three QX, for the last professional by

support this business, offset by The research higher cancellations as to and quarter. businesses. well and growth the ability decision which Our to helped growth strength close delayed making due research stronger primarily as was deals, slowed higher other our experienced retention ASV that

an business new We expansion increased as well existing in also saw as level with of clients. activity

said our through the results. both the adjusted we've operating will few year. not the Helen be walk details about operating results typically by is first quarter, We're performance quarter necessarily improved to of tends smallest for remainder and pleased indication minutes. for driven and an you the this in before, with quarter higher As a EPS the also margin

to Turning strong with In and and region. largest especially research helped of our clients, in our segments. asset solutions retention this regional banks managers our Americas, expansion sustain growth

us our quarter closing meet our XXXX, goals. asset stay half on of enter we and second banking on owners that believe anticipate wealth, we within will first track we large As deals help to

cancellations ESG by impacted heightened the focus EMEA contracted mitigate team by theme. new quarter a increasing There as region these cancellations. to largely central business is by Our a sales this with

deploy -- the region. plans differentiated as in product offering Labs to a this Truevalue differentiated have We

portfolio digital to build strong stages across see clients to CTS strong as and transformation business, for analytics conversations QX, continue in The push opportunities our and EMEA QX analytic in some from final looks Pacific, Asia into closure. helping different large a also our We are will In with solutions. ongoing lifecycle as near good QX around pipeline the deals, they their markets. pipeline largely of

CTS We also new for reflects the data feeds and see our solid demand that. across pipeline business region

our all across for quarter end regions end pipeline the demand to stemming solutions. We portfolio lifecycle with second from products have we see especially the conviction in our

the are provider integrated originated with portfolio of research solutions then that and only client reporting. We

open tapping analytics on ESG clients' holistic, thematic-based provide first solutions. year. to solutions, and targeting This this robust are with office We results up half of products, continuing with to sets focused and budgets for our and into well us front goals delivering summary, I'm the our the for solid meet especially selling, transformation, research the technology In these flexible of digital team proud quarter. with

We guidance. our fiscal are reaffirming XXXX

solutions world to portfolio more today, we lifecycle As increased made cover the that early at ever content with clients. the investments in are confident than coupled the we and that entire technology value our FactSet's we look

short-term the this pandemic, meet prolonged taking fiscal are be the by to necessary steps While affected we environment to year. continues the our goals

The all We we have exemplary to Above you pandemic, pipeline then we has demonstrated saw all, I'll relationships of again capital our this time strengthened ability year. costs during through turn its across the the with discipline will and last are us this the doing things organization. clients stronger allowing performance. an Helen, at that specifics to take over build and again have execute. while an QX maintaining even who our team quarter now to first

accelerated hope to you, quarter, you the Phil, year. safe as operating with be fourth margin. of the speaking we I and everyone. hello, performance the growth, Thank our And and momentum be today. revenue happy season In strong to quarter’s I'm our ones we healthy and from enter and first holiday reflecting continue and expanded our your loved ASP end you

the progress with of in and pandemic ongoing continue the associated fund in and in to further content using a We in cost our sales initiatives savings product. portion investments technology fact and are to

Truevalue welcome to to We the are FactSet. Labs pleased also team

we million is is November, ASV in for of that ASV, adds which the transaction included closed our our this on reported $X Given immaterial The professional impact quarter. in approximately acquisition the plus early services. financial results

organic-related exclude will fiscal for this We amount for year 'XX. metrics

million, professional services stated million. analytics from the increased earlier, and acceleration slower increased primarily As and IT reflecting X%, start fiscal which impact quarter foreign at our revenue [ph] was to ASV previous year. any we driven from by while GAAP organic seasonally excludes as grew the revenue Phil and $XXX to to X% CTS. Growth $XXX exchange organic acquisitions X% by plus

increased are largely and revenue region's basis XX EMEA and spend a costs. operating XX including discretionary mix net The both of at GAAP reduction offset and and points the grew These our savings, productivity XX%. increases through expanded will sales. in our due quarter year, cost the to analytic points Compared in higher adjusted partially technology. to in margin operating grew to improvements workforce basis by geographic These CTS. compensation XX%. office X% expenses grew to revenue travel lower benefits and X% from operating segments, our to America's continued by and and expenses, benefited first XX% a margin For X%, higher $XXX previous impacted Asia-Pacific primarily in came million, GAAP in by

basis revenue, was and helping total higher points existing our revenue, SG&A digital part GAAP an higher multiyear as due on and points expense percentage closures savings costs. cost year as lower This on expressed percentage compensation adjusted was a spend, plan. are XXX our The spend. employee party was 'XX drivers fiscal by of lower of our as offset last also sales XXX result and for of our transformation higher public higher costs. by by hiring facility content higher to year points to The primary GAAP reflects When travel to third expense, include as investment This which shift our base. offset and reduced lower adjusted on costs, a Growth manage well of and technology As a basis year-over-year increased basis. portion partially a than materially a XXX of compensation entertainment by part from office spend driven basis includes basis. pandemic-related the cloud in basis improved

the believe become of we Over long-term a portion permanent. the will savings

compared last of spending office were is of increase This press credits well spend, Moving the benefits our income rate, on operations quarter which rate for of less year's release. quarter, results. portion to of as to foreign in the $XX the the tax million included EPS as XX%, change rate our on, has a tax from on related was as adjustments annual XX% tied same which end our generated Adjusted to $X.XX. grew finished period capital operating at lower to the cash have by versus increase cash XX% diluted to a increased improved to EPS finalizing Free X% GAAP return. we an EPS tax prior primarily to as we year. EPS for due year. this driven is last X% Both figures primarily outs. quarter, GAAP CapEx $X.XX define Reconciliation $X.XX disclosed build were the of our flow, facility over our

grew We year, XX%. For total clients addition the above to and the first our quarter, to ASV of a retention continued base. compared reflecting trend prior in an X% number corporate our clients, the client wealth of be by ongoing more

Our retention sales the XX% which the speaks criticality to mission team. to of improved our our of year-over-year, solutions efforts client and

total average our share growth. an For buyback shares committed the XXX,XXX $XX price of in our and remain we We first for long-term disciplined in program at to of our quarter, value measured repurchased to outlook We on million returning shareholders. a remain $XXX.

We also in monitor the challenging client environment. last delays laid continue tightening quarter, making, a out decision to new budgets business potential and factors

transformation. particularly our into quality of engagement, strength and in our and size our in is FactSet. have visibility their pipeline begin business more and of as of we second level the for momentum digital As an area client competitive quarter, reflected This we our

the invest additional growth fund to we long-term areas products, are and hiring largely in savings of of content including in in in the development from technology, sales the for wealth driven analytics. and As and pandemic we redirecting

expect noted costs expenses. the enabling us this operational T&E to pandemic a earlier, post As offset become we portion related facilities of ongoing permanent environment, to

also reflected that mix, collective shift FYXX Our ranges. results vendors. as our in We actions workforce in are external will well with believe is continued us to discipline achieve expense in solid our guidance cost within as these management rationalization allow

Kevin, questions. guidance to With back are that, our we ready We reaffirming you. now for are for XXXX.

[Operator Instructions].

comes Andrew William from Our first Nicholas question Blair. with

Thanks margin strong the my Really full questions. nicely above good Hi, year in guidance taking quarter, the for morning. range. performance

to year. a of that investment versus costs -- you of second to you remainder year the Mostly a portion could Given increase of hoping maintain you year of facility was in return maybe is half this implied much the step the up speak driving mix of or expenses full those factors guide, to or just of how the T&E the of the just through implied a called I a wondering spend out. portion costs, return

to trying the sense throughout cadence that the a get of Just year. of for spend rest and this maybe

question. your for Thanks Sure.

and We coming that's see in that new in more the from technology. when When a are the through a quarter, did through. with hires. to we the compensation that in the So how quite with in And comp come which growth, both as offset The comes comes QX, salary they become higher of is we’re the given going for benefit why rate, our QX, by run and performing. we're that's it year merit as well lot this revenue think expand about QX rest of and growth -- the that's more yes, pleased through. we part increases come strong both and in growth

hiring been product doing for that and also. of the and half that spend of we'll bit that through that's come QX. see sales of also kind And development, in post come year cadence a and we've seeing additional back through the there's why that's So

that to environment. lap, is as think part an back the that's we’re more more also get into start QX, into QX. I ongoing But to defined permanent, we be -- to QX, we but we going that’s really talk about move when as into normal, an partly to going whatever that

perspective So reflect margin a also we’ll year, the that will that’s that well. rest margin why, of as out so and play through that the from see

the And a could one dynamics to late major you your month. you space you. then hoping thank Understood, this to in competitors was I one, obviously how last anticipate merger And speak of your announced consolidation terms and consequence broadly, whether of second, this of you outlook that of forward? what activity Thank you. anticipate deal. then sector a continued in going as is evolve type in competitive this

take it’s one. that Phil I’ll Hey Andrew, Snow.

So on, is about. focused what feel which strategy, good we’re our we really

that you so driven access side build in the with we out the and by we differentiate has marketplace, the think So buy workflows plant of portfolios, and about how increasingly that ourselves much on around if the wealth. particularly

is our with combination to in through can lifecycle covering there the we're research portfolio investment digital strategy for clients. the and we reporting, what from in transformation So client making our do

think concordance advantages portfolios the we being have, the sets of FactSet, on we of our that clients. along have some our that's talk differentiated with see piece that market the for agility the those And truly there's that all offer that the strategy we as and data we when real to to So we between we platform. and that

that necessarily So us time, a we the way. -- this the of particular industry been negative has as in consolidation happening for long necessarily affect but something see a we deal would don't

Great, thank you.

Sure.

Our with comes from Manav next Barclays. question Patnaik

are Good evident. your ESG we Labs the you of ESG-agnostic, the just I guys towards working data I think, sell how ESG pass what means change And through I think in other just Does terms the on guys. you thing? the the past should more to this what on and that this was Truevalue were had guess I envision, pretty through morning, system. just in cross a I you. Thank curious strategy, acquisition. because opportunities seem question

think Hi, new that, sets way Manav, it's we've of I Phil. this other content we've into. gotten that would handled the some

So we to to that is that want where ecosystem reason offer still to that the clients the and we come we be want provide concordance FactSet. a software

believe I of other within marketplace. demand. and think, client I based providers So XX just of we our And workstation we've open FactSet the within those nine about on ESG have, upwards integrated workflows

changing. So don't I that anticipate

we is further like I do, the through Truevalue our -- through an think for we workflows is can can what integrate asset which own we clients. if different that differentiated,

can can but get product, Truevalue, it, as exciting terms really the API which just in to continuing in [ph] see Management in of can the sell feeder a Research we opportunities to for We RMS, just it for then discrete a signals, be we So embedded portfolios. it attach Solutions.

analytics with products, I things ubiquitous our management. columns, going the ESG you we clients and for the demanding to And the have the getting something portfolio do in they're in strength you your to become groupings, across future. I it's that So to want to can think really all now, know that that going will portfolio that and is exciting our about configure think portfolio, needing there, and be be data this frankly, the

if maybe a give I there? been how Got it's just guess an And us while update -- it. maybe could going Open:FactSet? some metrics, you are on just things

Yes, it's been an evolution.

what go, the go that So we website, providers can at you have is to and easily through data research way data it's Open:FactSet alternative describe those not in whole of but and and FactSet's I up evolving as up just library learn we now of the really add continue data lots is FactSet accessing The there. we would as you're now more stacks. of a wanting. open we've alternative that that got we The terms the to are strategy FactSet modern environments, opening in clients of necessarily providers look technology

want to and we those to that. the or create and able content are to come So technology, ecosystem with more so deploy more that either APIs, do into continue FactSet that value

we the do through The to providers driven use much momentum APIs as in of able alternative as how some been group mostly the monetize so we're actually see has So the of far. both APIs. analytics and use that, well data

if clients to take them those use all the able to do. that's stacks APIs that something wanted So PA, technology now of their own power workflows, workstation, plug for and they're into they of that the to and

clients. one again, how differentiates to our think and with we it's and you our go we us big piece think of strategy about market when FactSet So a and that work I it's how

guys. you, Thank it. Got

comes next question Morgan from with Our Toni Stanley. Kaplan

where touching cloud, left digital are to sort how clients mentioned the but on APIs, move much And digital are on just I of in you the just about just the going this strategy that this you Phil biggest point, go? you've transformation is know about talked could maybe encompassed transformation within talk well. you. theme? general, you on to your -- what Thank as I Because opportunities process know

of strategy or product So is standpoint helpful? is things? it from positioning quantify as about share there sort sort Just taking personalize Thank would you. you a to be or way others a anything of more versus or this

year We far the public to Yeah, be our of be useful is moving how to by Sure. that said one from a so that which plan in cloud. terms so original the come quarters plan, metric there. of public ago could XX% we've the the that we're three was And be the cloud XX% year now. end way in would seven of now or

measuring closely. So that's we're very something that

Of they're other track technology CTOs clients. largest measure talking think to of. and it CIOs one days, workflow, lots there is ways these keep to good course, more around doing our and what but to from are I a Toni, entire than I are of that, that's I'm standpoint. These their have a

we marketplace. that So that in consolidate our number then transformation. strategic are of the the help really digital open their clients of one we're regional the own overlay their sitting there, their clients having pressures to is -- that technology larger deal with blueprint entire very our them conversations some access we that down and really facing with our and teams capabilities with and clients them they can help are their thing their entire are opportunities our about understand with the We how understanding providers help other the client across them, workflow, doing group for them regarding stack. frankly, workflow that And

to to the and they’re providers, providers, over hundreds really I ourselves we then clients, largest years want that the who choose are of do hundreds as have with or a that and very or dealt how being maybe the one platform the So future it for firms to in technology forced, then think content just whether we cut providers, list half of get two tie of even.

year a really that that excited clients. is most millions this spending the trying on. of we half theme I'm time lot we're the particularly of second for things clients into around dollars And look deals at that that of terms something to as with in are one that's about, the this get the and the our pipeline, in of of So pipeline

a can terms just we're speed. Maybe in things Toni, terms automation, look is content of measuring couple a add but at making I internally little the behind of in scenes, and we good the that progress

part around and we're pieces that speed of speed we're again, So transformation. collection digital well. measure scenes is behind of, we the measuring the track because important and and And the are is integrating as when those processing. the That our that

comments in market what's earlier is from And both have in sound robust. of in more strategy press clients you your call great. need. the the line the sounds investment release the sort the in on pipeline the the conviction That's that it going you of and in like what being And and

is of that wanted large last just for because real calling know bridge sort the right coming? ASV between expecting mainly deals. So understand bridge versus the still of the that -- decel. by understand year. you have like guidance I why quarter, some help wanting to that you momentum you. Just your about end the the you're talked to Thank sounds that deceleration in it now Is further

spoken comments. I that QX, really get through an and gotten that our for any the And probably be March there's change strong us visibility QX, I through I out. sometimes would I've best as to opportunity difficult the time after in a if QX more we've feel more we've more of months Toni, my think we But than anticipating second visibility do on half second pipeline. six guidance, got outlined on we'll the of we to in to certainly half. think as We're degree high have it's a even confidence before have

you. Got it. Thank

is our think back the always bigger especially, Yes, Tony, half. about as half, you

moved about. things larger -- have like Phil to are greater from QX which that visibility, to the So continuing track, QX, there some we talked they deals. They we're -- can

wider reflected So terms [ph]. range I it's in our ROI in it's think really

our have that's range. reflected wider in we confidence So

again. Excellent. Thanks

comes Hamzah Mazari question Jefferies. next with Our from

Hamzah. Hi, Cortellacci filling Mario for in is this

With X%. your the I think customer, growth you in new said

can wealth. if having channel you Just help chunkier in I size of update on on trying have mix us that pipeline. opportunities make that about maybe and shifted up wealth that perspective an you maybe large mentality give client overwhelming and or opportunities has in of in can smaller Does the of the majority the into? actually the a we you to of see can some get are talked the tap you COVID? us space pipeline in that you players there wealth know the as that And past the lot can much further into

Phil. Yes, hi, it’s

see So do are that lot and right binary of those see volume bigger in exploring those forward. you're enthusiasm some larger there a we deals and are we to out deals there around from marketplace are the of usually wealth moving are and continue chunky well. deals wealth high that And as a smaller

the around digital, of So we on. have of that we the two, is combination out business line which plus part with business those wealth report the that

from don't think, demand, But I moving are be exist. clients to I to a forward mixture an just wealth across demand a of more think touch. We good, So going terms insight in more element the see, that do human of wealth for is side that. increasing market wealth think for the the there's tools healthy wealth sophisticated of more on it's advisors. What we completely still advisors of and to going is wealth automated. the personalized going

have a new We've So that of which opportunities advisor we're a to of lot the released of the does products dashboard wealth we advisors day. market. excited that a coming in for we great pipeline really some have job about organizing our product,

of portfolios, able are not thousands the need an shop understand our priority, day to wealth do dealing and to a may may that of she with that terms managing terms that through or of advisor is of hundreds millions order So help their we're in in of wealth clients. of sift wealth or really what portfolios

some of cognitive for increased that's highlight just clients. use of some some of to the it's software, FactSet good things also of those computing And our old

to think the is area this scenario one So we're just market some in. if excited where about. have going an that I It's we're and tailwinds invest to we that -- continue

the one digital – proof a you that our it as outputs call from of I’ll Mario, project, And point. transformation so

you. I'll And then and turn over. more Great, it one thank just

Just on it's can you on the little talk a how Truvalue the touched opportunity earlier. acquisition, you about But maybe differentiated.

are of little Truvalue providers quantitative. a sit more in over did your that competitors environment. other you XX have kind have plus And vendors platform. qualitative, other ones mean, the you like then choose Why I also you does are ESG where that have on it's ones? You or Truvalue the competitive of also, maybe one

So Truvalue, the its was in one collection learning intelligence providers of the artificial first machine and ESG to leverage process.

it's So quantitative side more I would Mario. say the on

comes it unstructured So unstructured does is what computing. for the and product text through looks signals that within cognitive test using

we're very which excited this -- about. So

just signals that they wasn't creating, to of other we that the was kind we our was technology a ESG two parts using. And were this acquisition. of Truevalue also believe part the it it It was technology can apply So is business.

thank Great, you.

with Chu David from Bank comes question next of Our America.

you. Hi, thank

customers terms during COVID made had that the for pricing, So just have period? in times during you the any concessions tough of

it's that were to anticipated ago David, that were Few they there have a certainly Phil. Hi, months we forward. few some spoke going clients difficulty to moving

where So for the best and which adjust periods, our some does understand with is in think there really going some during are our were what of cases, these to a do of couple relationship, we that. cases long-term through, what dealt clients FactSet clients about

years relationship. of going or a last the shorter some worked longer when end win-win issues. terms up XX concessions being it the types also for these over that term exceptionally And negotiate through will typically well for conversations. in of for We’ll So what term means clients us, are that

of I As all in now and the year XXXX. in lot as there's uncertainty more the calendar think markets script, a lot a us for enter conviction mentioned we less I

So don't having anticipate I more we'll many of be that those conversations.

year? helpful. be going That's impact? material market is if a about COVID budgets, it. client Got And what having just you to normal a Or is are it data relatively wondering hearing

to a going relatively be it's believe normal I year.

-- back technology for in that well-positioned clients market they comments some consolidate we going a that the share. span Toni's may and lowest cost is are of may as I lower question pressures. cases when the the to their made, them cases, looking in be data -- and to providers. But those take And face into even Just to their around number are

client them a can see the being amounts help a can So ways good when and term, improve up able us the them for share you spend win-win be run down to ways the they sit a both longer holistic can that of to more long if provide that the with and solution you're client and over and for that's with to end efficient FactSet. we for they wallet see

makes Got you. Thank sense. it,

next comes Credit Kevin with question Suisse. from The McVeigh

would like able around party differentiated just Phil, that it dynamics? thanks. But investment, content party your to, the mentioned tech or manage them thoughts Hey, costs the been differentiated some for seems down mean well. any would Any content but demand quarter. higher. thoughts sounds data third just think, to costs, been data more more that maybe third as those so kind two you've were has pretty never of Great, you the Is then in the like transformation of

Well, entire content. when content -- party third are we this -- costs our

other a from spend get content technology, they investing and may ourselves also -- we things on But in also content. So providers. on we lot

necessarily that represented be private do we're think in color in more that content. example Helen you that? on third don't have party deep markets amount the investing would for sectoral I So

that. to Phil Yeah, happy answer

the would we sure them have set be might very Because say rationalizing appropriately making our well. providers, budget judicious that in that manage we've So tightly. we but been more I we're as pretty be content in of form number more might But are duplication where the that a perspective. actual of have content price, that from we efficiently. we of in form doing have it third the providers party increased

That’s clients helpful. It have more perspective And maybe like currently you there be need XXXX, area just into that's acquisitions? ESG like an from you think a -- what was? feel to then as about the seems going amongst would set or tuck than focused just do data particularly be you U.S. more you it client XXXX in

demand. more be There'll

of fact Fact. of that's everything one party, third right, are that if we'll through to it people But come we own the sense able love in the And that. there you're a get and is assets other We'll place have more makes us beauties look we're for those concordance through and I platform it's at the different can the marketplace whether trend our contents. software to directly environment or one and of there the workstation, the that's apply that that, anticipate. into to out one integrate think So they on and or that

Thank you.

Shlomo Our with from Stifel. next comes question Rosenbaum

Hi, good my for Thank you questions. morning. taking

wealth that us comments more maybe a maybe about slower release and can you you detail could growth were things give on press what versus the and will a -- the -- going where expected drivers, bit being research So some the right bit kind saw of faster. the now? on? some product you I what's and detail It were actually on give little what's some being be cancellations probably analytics it to So management revenue more of driving little ASG and in of the like that counter

Sure.

numbers So can last are hear that the hopefully, me window, so relative outside you above -- year to those Shlomo. my are The yeah, now. ambulances right

year, we're I have X minus been X QX. think for we're and might we minus So last

typically research the in are numbers QX. So were down, they

terms held wealth in than relationships, banking bit was and the see some more retention QX soon just over analytics of last We little year. it the And in there pretty of last year. in higher could we weakness than well. kind there did a because was see of You'll CTS in

are a what's Those it's rate. again, relative of small So terms growth in affecting numbers the quarter.

a is the quarter see which of to probably an going going growth what a much is be indication businesses an of the from standpoint, QX, for the we as from out typically bigger to rest look we be which I better contribution first are in think absolute -- our driving just half.

growth a same the to to remotely? you the your talked Okay. anything of at And your within and if talk bit Do as environment? over you fairly You've much level people the and confidence Is little a about kind the last not sales it’s in sales environment in? we to lot Then just what high hampering think, just kind growth environment are get of set, been some basis you about you trying doing be points. were sense has that so COVID people selling more would a the I fact tens all? if face, out face several guess, of quarters several higher, were you're people there like meeting understand could feel

the just over higher been have would six nine it last months, believe, intuitively. to I

getting we environment It's though, sell probably smaller to clients short-term in equilibrium. to as to operate. a forward think I how to learn Moving we're easier

that terms virtually. to as as blueprinting how So to you're workflow analytics those the out I of the going workstation, feeds momentum, is And in we the CTS with business. reporting. to do more going client research probably research for all were the to year, But interact think of and the and way right, exercises, look rest learning able related some like the I a typically, core clients, are QX these those of in the we're we as through mentioned, heavy, from see

So been cycle. that able we're have reach in FactSet of equilibrium sales at think terms do more time. effectively of And being clients our you and a have I to products monetize a the nice and are sophisticated the some learning to longer going same

Okay. Thank you.

Our next UBS. question Alex with comes from Kramm

hey, Yeah, morning, everyone. Good

as if you of cancellations seeing, you us area an just highlighted prior. also kind EMEA you're And follow-up more in type what of particular, correctly. detail a what why? clients and on bit particularly can cancellations I I give quick what Just On elevated little question that think services of read a and the of

and you like of and products? again, So seeing question region? what What what type the same type of are clients exactly

lumpier believe a if were on… know in I detail were There you've don't of more Alex, Helen, EMEA, couple cancels any got hedge funds. I

Yes.

right. is a I mean, quarter. I think low this that's

it you have impactful. Alex, when something that becomes So more cancels

I with in space reduction. that yes, that hedge would So fund clients to are say

well. this about wins quarter. slowdown [ph] bit And we a in that impacts more so would think decision offsetting EMEA new is in I I that But making said, we often what So the as quarter that other and then talked maybe into better at in a the or than in anything wouldn't one least businesses, of is Phil particular say in saw or outlook. that that there’s earlier, any cancellation cancellation year type of previous terms of research, years in previous talked concentration about we

quick deep enough. gave us don't then an on And Fair another sector, one think you update I today. just

years be you've also numbers terms but so Any -- forward? specific think this around updates now. should been what going your more areas can take to of you as two at in I how this any put up, area contribute an journey this for much ASV I on of this growth at think or one point this, does

this pleased We're accomplish initiative. we're we've to about been XX months in on to what able side. the very And Alex with product

built three our So on detail. the team great And is sectors or well out. two we're way to fully of those delivering in

where So that research numbers. is going beginning the at see show you're to the up in

types adoption to So with of data going drive to new it's side. help over monetize the retention, able clients feeds. I also going this all in to time, on going be across to we're banking particularly and And it's believe help

in deep show the some pretty feeds CTS would be sector shortly, that up number. we'll releasing So

good. Thank Very you.

from comes Bank. Ashish question next Deutsche with Sabadra Our

quick you of Helen, a Thanks a to lower from for if saving do Maybe question. because ongoing way clarification, taking there's the pandemic that? T&E my the provide cost quantify

talking longer are are this or term about And you specifically? you Sure. talking quarter’s

Yes.

quarter. the Just

sort this I we saw a last of in quarter, continuation of so what say Yeah, would year. it's

cover say savings technology our expense for it's well purely covered well year-over-year. around that That being our I at it as of help both just said, So we point used of in look -- to compensation would did -- higher if some a I we as spend.

the this going should how the about on forward? should That's permanent how term, think helpful, what's think about we we reduction longer and -- then Helen, also

Yeah, that's into around basis maybe a be We that one well, bit of a will XX back that's get looking a we that to think that normal year. are and hard environment in little beyond XX that, points. this

in Then purely in that initiatives that, look funding that change. Let's benefit more XXXX we I seeing to would we'll of that where some that, to in see new normal I be can structural to compare say a want come would whether I more that, comes that's see our that's through. permanent environment.

That's on the clarifying could any and geographies very a it content, sales if the of any sales Thanks. helpful. in fronts? color growth particularly maybe those part more I wondering you're question headcount provide that strategy? the on And products same or of deep you was And on side. on focused verticals sales the the both on or front. Any on side, sector is content color quick

that. I'll shot a at take

front, earlier, areas It lot our call. of in I think and this that So is a sales mentioned believe as we think our about Phil we last in we about talked also opportunities. have

another So sales upselling in CTS for invested on in area. business example, new where we've more and is front, corporate

resources that it's So we some opportunities where not much our any it's particular necessarily had area. to we reach more geography, in feel that good

also side, places. are we as most, I content of this Yes, of investment. couple a but private On in is in more think our we the put that where markets, actually is I different spending the areas think the of

Thanks. helpful. very That's

welcome. You’re

from with George next Goldman comes question Tong Our Sachs.

drill morning. environment. deeper Good bit into to thanks. wanted I in Hi, a the selling

how seeing and on you you're cycles details the in some client cancellations provided year-over-year? evolving average quarter. on longer on are You where sales elaborate Can budgets

George, I bit talked I Shlomo. that a little think about with

the we So or it's more virtually. so probably for because cycle client sales transformation, cycles portfolio things FactSet workstations frankly, down to sit exercise, and a cycle shorter, to that whereas do be feeds much six getting talk the just when just entire do with the life efficient their are deploying can our plus suite, month digital about sales analytics a for

are year-over-year? how evolving question budgets, the then average on And client on those

We the visibility their of don't typically what on detail. at don't into have share -- budgets with exactly that client clients that level us

an for hard accurate you number. us it's give to So really

Got it, okay.

So…

difficulty] [technical there's The BAU way transformation business the the [ph] think and the budget. digital is on to it under of budget

focused are on. the more that's [indiscernible] our we where that, in right, ask a is [ph] alluding is Phil more clearly where but like are second to was conversation don't anything where --Phil we So budget client or spending exactly that that and they also that's in lot number of

noted Got you've propensity and elaborate count quarter of clients. helpful. seeing periods, that to you and grew question, just than clients types to And earlier wealth these the the as follow-up more in it. That’s more customer of spending relative ASV, clients? a similar on you Can faster been corporate other

question? clients, capacity that spending your smaller is The of

wealth The to appear and of spending than of clients types corporate other faster growing propensity be which clients.

I think we those that are smaller clients sell, George. typically

a deal seen those because an with an are typically a we more asset going on a broad side, than a with think have to might asset think analytics sale that conversation it's be I the And that we've decision make type again, client, or able owner typically workstation rather cycle I to they're be corporate pretty So quickly. short smaller to manager.

Got it. Thank you.

Williams from comes question next Jake Our Wells Fargo. with

Good morning, everyone.

Good morning.

to Can we hybrid increased take Truvalue opposed or on approach assume moving think owning space that you acquisition a an focus this CTS in reselling as indicates continued Lab do you'll data the more is forward? of

last the decades. Well, this just is few of continuation a

we half the that our in collect has proprietary the content. are business a FactSet employees of So lot collecting and of or engineering collection of data of ourselves

have. any data ourselves content of that more acquisition. compared integrating something through good or going Truvalue terms It's platform, where such last overall a XX third very indication That's the But us be very organically we budget that act to through parties, current can data or for it's or small that and a acquisitions. on. it's strategy But the we is trends. draw hard our it's of XX the like either to we years through to onto from real more small in collect really So been conclusions

Got very you it. Thank much.

comes Our Housum Research. from with Northcoast question Keith last

guys. morning, Good

run know drill to of But lot a million. questions rate you already. bit wanted Just the here had down $X acquisition. on I Truvalue is further a a

need or to do question you you your first with part part business need is guess and you of that ESG, comes all order I in does going this forward? a revenue pretty then this of much the and do foothold the in that make your acquisitions So bigger to tack-on strategy Truvalue a give

an it's Well, we're excited that about. very asset

digits. got one right, you've very number think it's double and in healthy that's I the growing

can a example. analyze like own. believe can feed big it's So believe the we want that we content be believe content important the it importantly, to through over they platform that Data for for where to or we acquired the continue, data years, not us to people But We just like so a the FactSet come we more a want if going to example, get that environment think we'll that -- apply they a does an data the the set that's where data this provide but other together ESG trend. and an to we've wanted can analyze is well what was API for examine clients get the FactSet really really concur which it. to good return the way We is be you for amplified really things unique our some out of through we it keep platform. if integrate Revere unique going eye

you. changing terms fiscal of of Got I year? is And to going to sometime terms gears is what year? work back dependent back of guidance slightly the during in Or much in the fiscal work to assumption your your in How returning guidance. here your guess,

Helen. ahead I don't go think well -- it’s

well. And this anything a be it's difficulty] the from of performing assuming than were of has more quite changed. three back cost the [technical we’ve perspective from last we think of And that juncture, quarters. I the more don't more we're been At way maybe return. will that half a year, anything operating also

Great. Thank you.

remarks. this showing call Phil I'd closing like I'm at further any questions turn to not Snow any to time. And back the for over

access for with continued solve I on look on our us our problems the conversations largest made our progress anytime critical we're all the by and forward a to pipeline team continuing has help encouraged anywhere. our you today. having I'm clients executing clients Thank to investment to robust and and plan. joining data

Hyder. call. you in you been to Rima additional shareholders. quarter. value well past as season tale two halves. to be ends a prolonged focused for of remain our call any holiday on content, uncertainty people delivering questions the and our speaking While performances and if developing well Please our We as has have today's annual makes next Operator, technology this We forward that look it the

today's gentlemen, disconnect day. presentation wonderful you and have a and conclude Ladies may does now this