IHS Markit (INFO) 13 Jan 212020 Q4 Earnings call transcript

Ladies and gentlemen, thank you for standing by and welcome to the Fourth Quarter 2020 IHS Markit Earnings Conference Call. At this time, all participant lines are in a listen-only mode. [Operator Instructions] I would now like to hand the conference over to your host today, Eric Boyer, Head of Investor Relations. Please go ahead.

Good morning and thank you for joining us for the IHS Markit Q4 2020 earnings conference call. issued to earnings Relations the we posted release website. morning, materials supplemental IHS this our press QX and Earlier Markit Investor

considered or should in and performance, GAAP a other isolation Our on as IHS ongoing Markit in stock-based quarter operating the results items. not enhance amortization adjusted are supplement a understanding non-GAAP measures our useful compensation, intangibles discussion are excludes to or numbers, to but for acquired are of be they believes and which order on from non-GAAP substitute based information. of financial

my take the be EVP Gear, the your to Uggla, call materially Officer reminder, call, being information, of Lance. mute. is Markit. and available conference filings and over SEC the forward-looking or will and that, could Lance a to As Factors prohibited. it’s of discussion and to results Chief statements cause rebroadcast to Markit After Any this without turn the actual the contain may uncertainties. call This with of be consent and whole expectations on pleasure recorded Markit’s IHS and found subject are IHS call written Markit expected outlook, property copyrighted CEO; Jonathan and prepared from is remarks, in questions. in Chairman our webcast IHS website. Financial Lance to future the that IHS With differ -- this that about conference especially you’re risks and of part, on can a events prior our is

go. we There sorry. Oh,

we on go. If the There The first teams, can everybody we mute go of year. mute go. there the

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you in year us you, happy new for the lot Markit a call. We fresh. Eric start IHS XXXX. Thank and will earnings I QX joining So achieved for and thank

will Global, the strategic results of our higher finally, with expectations Overall, and and innovation finished provider. revenue ahead S&P announced reiterating financial model, information guidance. global EBITDA satisfaction a we levels the our merger resiliency leading are scores, create employee business services adjusted of the which across we greater company, year proving Solid and XXXX the of

adjusted by share repurchase of our updating restriction $X.XX EPS due are merger. pending We our the because to

basis financial we QX and year to the events quarter exclude the the adjusted speak adjusted revenue they onto impact the quarter aerospace Organic was divestiture, margin highlights rates for to quarter, the for are growth revenue When the year XX% results, points expansion in EPS. cancellation and and and points and adjusted and QX year. and XXX the Now organic for was the the and EBITDA the XX% for of the fiscal year, year. of XXX the basis on growth defense quarter X% in for and growth was EPS normalized

provide highlights verticals, core our of full our for XXXX. year and I'll industry XXXX terms In outlook and QX

of demand our to led First, valuations In and in innovation QX, our reporting platform, regulatory reference by the X% SFTR The and of and for from continue Services we benefit launch pricing, year. solutions, segment, had Financial have indices offerings. full new strong facilitate within X% the information, continued organic leading XXXX, action launched products our for growth and growth successful in managed solutions. and continue indices. we invest solutions, data expansion to industry from the our we newly revenue experience processing, investment launched to our ESG solution core Within and IBOR our private loan and Within robust corporate settlement lifecycle help of invested regulatory requirements. income in fixed integration we our and the debt transition platforms and from OTC capabilities, growth notably

led range. periods one businesses. and financial through X% customer reference organic will Within In services in X% demand most services pricing, growth the industry within new our in be data of history. volatile the products the within expect to and increasing service recent XXXX, valuation by information, successfully also growth We we

reporting Within strength offerings. solidify our position. Cappitech, We continued our for expect of regulatory will this leading and our business, also industry which help compliance recent we'll acquisition integrate

solutions, and portfolio services a offerings, management high expansion and we year expect continued we in of in and new across management growth onboarding our In growth looking implementation data solutions of within for and sectors private high are Now our market offerings. diversified managed from a projects. strong particular, into tools, rebound our compliance and

with levels issuance slightly solid normalized in be market both that year-over-year and book expect drive businesses. up debt also mixed expected our will of derivative and We and syndication to performance in conditions loans is equity building Processing markets.

automotive the industry. our rebound the in And continue in responded the proactively recurring by customers crisis with growth transportation, Now let's the a organic the major revenue pandemic our for on the we X% of decline in year. to XXXX, see In of to of organic QX. move working and and X% a with with growth to quarter had on X% impact business

During focus for the also we now driving innovation CARFAX as our for used available in simulation while product products, portfolios as such areas audiences, newer Mastermind and pandemic, marketing such cars. our adoption compliance across on of accelerating increased Life, enhanced

maritime XX% Our conference. impact a the we in organic range. transportation XXXX, solid to growth and XX% excluding business of TPM cancellation year In the of within had trade the expect our

longer revert expect business term We to its our range. growth to automotive

to remains, have industry of Although our to retention COVID. supplier of OEM volumes dealer and attest support economic out critical and the XXXX momentum lower our businesses strong strong the going into XXXX, maintained more long-term as Product recover products. we've nature facing customers will our through coming the uncertainty rates adjusts and gradually

and organic compliance and commodities within expect -- the for trade in In to levels see growth we from subscription our pricing finally, driven at see being specifically in final growth will businesses. analytics and normal and accelerating a in product to growth the continue full maritime underlying business, one-time the year, to by Mastermind businesses. pickup And addition CARFAX innovation risk

our negative decline was quarter pressure XXXX, In particularly business Moving customer in upstream leading full-year. and bankruptcies the within North where X% reductions, on organic to base severe undergoing industry resources, by was the for America. the and impacted our the XX% in cost CapEx

organic revenue when and by Growth wind, into downstream growth businesses driven solar, as nonrecurring power revenue hydrogen renewables customer services. consulting. lower for Our areas resilient, were such and normalizing within was expansion offset battery, our gas, our by events. somewhat This within proved

results single of in compared to We also the And be and small to resources organic a improve low in upstream XXXX, within company. down and integration completed digits. we the acquired TruVue, agribusiness XXXX, revenue the expect to analytics year-over-year

are to upstream bottom spend for excite tools chemical and information, to insights plastic will agribusiness in research XXXX, continue organic pricing, -- upstream value, products, our the Within with mid-single-digit expected emissions estimated are be to which and continued In data customer additional of to constrained our a growth. synergies the additional growth, the sets to integrations. drive our chain and annual release we businesses businesses downstream QX. marry from Our analytics new we return realization demand CapEx from for database midstream circularity of and predictive our launch expect of driven new global proprietary excited by contract our our forward energy will that will

for the TMT low and In single the in BPVC, expect expected. BPVC to growth mid X% was proved impact growth resilience normalized performed while Product design quarter, with XXXX, organic organic year. be for digits, for normalized full the in digits. the ECR of revenue its organic CMS and revenue as Finally, we X% for growth the our single

control efficiencies risk with into processing on shared The XX-XX We and initiatives. opportunities able venture to classes. enhanced of business with by Through equity incorporate CME credit platforms trade better and our MarkitSERV CME's combination, post OTC services operations. FX, across we trade and our mitigation revenue new service entered interest the recently clients to joint being is optimization a services, Moving and to achieve asset and some our venture announced going increased for to business. combine rates, markets strategic will operating including with

adjusted which strong enhance finally, deal world and the increased joins neutral with proposition. to are Lake, capability to unique data the strategic and medium private near-term. risk class transition, pro complementary energy the in highly forma organizations and markets assets counterparty small products a summer offerings two and creates value assets the Global's merger complementary trade announced including in scale growth in company Data enterprises, and and Kensho world with class leverage ESG alternative high the This be and expect We in and close combination earnings Global, and IHS adjacencies, S&P customer cutting assets. core technology including to our and the we S&P to unique Markit management, And joint with innovation will supply chain edge the

most the which Peterson, the members S&P Post long-term his for Executive merging with announcement, Markit IHS executive fit and For merger customers, pro to announced includes the S&P best my CEO was strategic shareholders, company, forma team. of create the the Doug Global Global of team following employees value.

Kansler and members of a Doug Sari myself lead team in give months bring Strategic I'll team Chief companies, then segment. be Officer both executive sorry, Jonathan. will now -- General for Markit Counsel; Adam intelligence Other and my Granat the integration team combined combined Doug first that Alliances will Corporate post Edouard and Sally step has for be together Executive including the companies. with members and leadership, the merging a Moore the the Transportation and Services the great will of will S&P call have and assembled a bring companies lead both Admin help First, will agreed the XX two and members IHS XX to business Financial market and over believe great will to the will also Strategy. Global great Development to and Tavernier have together I will And close. that has executive lead turn the company's assembled segment. -- leadership of responsibility

Lance. you, Thank Great.

to a of ahead have our year We with strong expectations. results finish the

nonrecurring and all-in $X.XXX revenue of increase XX%. included of revenue, and income X% to EPS revenue was we and of margins or of XXXX. growth our million, We organic adjusted finish of $X.XX; and of X%, throughout performance EBITDA financial EPS were $X.XX of negative of $X.XX, and QX Relative XX%. QX organic XX.X% the $XXX revenue net revenue million billion, year, growth the with GAAP an of an adjusted delivered growth negative of X% organic growth $XXX with of solid with recurring a organic of profit X% GAAP included and increase pleased Our X% performance a

Financial organic FX. while organic was segment X%, growth X% Services growth X%. to including was performance, was Recurring Moving organic nonrecurring X%, revenue and X%

equities Our led in and X% information information business our by strength pricing was organic products. indices

growth in as a by offset saw X% markets loan decline was organic processing Our slight we processing. in return a to derivatives

X%. digital Organic and X% businesses. X% of and to had X% organic, was negative declined XX% primarily FX negative including growth negative negative divestiture X% Resources flat strong corporate revenue Recurring organic negative was X% including our and organic flat decline actions, Transportation FX. and markets nonrecurring. organic due recurring was comprised in XX%. nonrecurring of was Solutions and organic XX%, performance XX% private of revenue negative

decreased and FX, Our impact agri X% prior of X% CMS X% recurring $XX decreased of organic $XX was approximately QX of million. $XX declined business with negative down year We which the ACV XX%. million, our ACV year. including full-year benchmarking growth was divestiture revenue include million $XXX X%, versus organic our million, flat ended and X%, negative nonrecurring and ACV now

to EBITDA and margins, profits million, was up adjusted now Turning $XXX X%.

XX.X%, up was XXX basis EBITDA margin points. adjusted Our

net Financial profitability, $XXX Transportations up XX.X%, XX.X%, basis million EBITDA XXX CMS margin Services was down XXX share. was and per margin points $X.XX basis Moving XXX segment margin Resources XX.X%, to income XX.X%, basis points; margin XX up points; was basis adjusted GAAP was up points. or was

or over EPS was Our adjusted $X.XX year. a diluted XX% share, $X.XX prior the per improvement

Our was XX%.QX cash million. free was adjusted full-year $XXX rate flow tax

and cash rate free year a million conversion full $XXX XX%. of Our represented flow was

a full rate conversion reminder, by As nonrecurring was several our year items. impacted

of bank approximately billion. cash. debt approximately closed balance to was with and sheet, $X.X Turning our a quarter covenant gross of we on X.Xx year-end the At ratio a revolver balance $XXX year was $X.X undrawn represented end, balance the basis, our leverage million billion, which

XXX QX and share full our year the Our November average ASR fully completed million weighted count was in was of diluted XXX.X XXXX. XXX.X million shares, We million shares.

program million $XX the shares $XXX the in paying meeting cash of in of dividend The we Global for XXXX our of Our average our quarterly in full-year restricts XX.X FY suspended. $X.XX dividend regular an the dividends. per agreement Board approximately repurchase Other for purchase shares, withholding S&P for XXXX is an merger million a for share purchase our And and to dividend future. or for to share-based of million $X.X from repurchases QX effective continued ability price were our for associated $XX.XX. allows paid compensation. with share, a of to currently January therefore QX to our the share dividend share We tax with billion shares The a requirements at per total XXXX are recommending payment. merger the quarterly agreement increase approval of $X.XX than

flat revenue, of EBITDA $X.XXX full-year negative When full to X% X%, Total results financial to results. the EPS. cancellation and we divestiture, impact aerospace are normalized year of of adjusted billion, of [technical organic speak negative adjusted for a Moving they raised FX. to decline revenue and and growth the represent full-year was X%, events organic, difficulty] QX exclude defense on the which

$X.XXX Adjusted points. margin of adjusted versus billion, margin XXX XX% versus was income X% $X.XX, net EPS XX.X% GAAP prior was Turning GAAP was was and now up EPS of with EBITDA with adjusted reported year. reported EBITDA year. a $XXX million basis to $X.XX, prior profits, expansion increase

In adjusted shares for EPS as terms our a revenue a $X.XX adjusted inability are XXXX guidance, and reiterating to to due the updating result EBITDA of our merger. of and repurchase guidance, pending our impact we

to basis EPS guidance EBITDA of including $X.XXX with XXXX adjusted year. to billion recurring margin per of X% adjusted $X.XX follows. Our and of of to revenue X%, organic is $X to of to $X.XXX of $X.XX growth $X.XX growth Adjusted as X%. organic with EBITDA X% billion Revenue billion XXX expansion points, billion,

Finally, expect as Lance. to I conversion back turn cash XXXX impacts. we we And our one-time with the call will do in XXs mid lap that, cash the over

of will for positioned capabilities believe value Global, with are and about insights for Okay. XXXX merger greater XXXX. shareholders, opportunities Thanks, long-term challenges and Jonathan. well a very We it have and strong We're S&P employees. managed to many through the the customers create excited new and for

shareholders our we're the focus ready Operator, our thank and to for for open their their and world want continued very a support dedication was XXXX. what I Finally, for colleagues to questions. around through lines the challenging

the [Operator of from first Our McVeigh Instructions] Credit comes with Kevin line question Suisse.

open. now is line Your

the cultivate should other Great. unique we much. given venture CME with there into S&P then think client pardon Hey, do announced kind data underscores Is that sets congratulations. or of a me, to more joint kind seems perspective, there the it strategic opportunity Thanks what Lance you think I so CME. reactions Jonathan, interesting. the about Is with the any more really just, the around from It just you're acquisition of And seeing rationale to beyond opportunity, opportunities initial for deal. you CME? announced opportunities? and similar just additional

that pass then are primarily a I a thought that the But a industry start, this who buyers of the it assets to for that thought create find did transaction -- I tall don't Why I'll wanted equity owned would Okay. the impetus actually variety to private us. something to originally relationships, MarkitSERV. held was be that to any about firm think, it and But given for we We consortia selling and when consolidation. to ways there by proved that it assets. think consolidate order I strategics Adam,

And and so CME, of the of processing the we at course, assets. have post and we industry, ourselves OTC strategic between that, assets the majority the looked across

give the IHS of some out it don’t But And synergies Adam, this is but that creating cost think pass I as the strong. both something for consolidation JV color. over is terms the investment why transaction and processing the to side, therefore, you margin And also servicing industry the first incremental we that so on in for Adam? who really of the the incremental customer CME a Markit -- across can step. a assets stood

of lot CME customers, set months Sure. very enriching the question, same the data set and more the use that a multiple a will to few workflows customers and on a your of we the have together. two workflows be over platforms Lance. ours. There much to of But you come common Thanks, next assets level high the of across bring as answer common a the as businesses sort as

bring So workflows, have giving those opportunity much to all manage things more this to together, across efficiently. certainly analytical you additional risk tools, more processes it the you'll allow of and a and markets, within the that opportunity dataset tools, derivatives complete build our to customers workflow their

places I circumstances. data sets think is expensive they've multiple these -- found has the it's causes workflows customer breaks these in inefficient, highly some for and in years that many it maintain set and

bring the costs for tools. set, to their So bring customer set improve this a opportunity is down bring risk efficiency, of management an our profile and better

certainly against So and together innovation in those data workflows will time. tools be bringing and new and those there applications over sets

Thanks, Adam.

question. Next

Thanks a lot.

you. Thank

with from Manav Patnaik Our next question the of line comes Barclays.

is line now Your open.

guys. Yes. on just business. focus want I to Good morning, the resources

I got if X% for a the decelerated that's So third if in exclude again row. is the you the ACV and right, quarter down agribusiness

to confident was things So bottom QX? in why just I you’re going curious that

then that versa? Jonathan, start you do want pass Brian or to and vice to

need of markets which months external downstream subscription the of with and -- to from kind performing a restructuring lap the XX pretty I'll much ahead a then back And when expect we we're we on Brian really QX on the Manav, Crotty. as we've obviously, of the pass we The and the in ACV in upstream. -- so kind as in two-tier in coming we this marketplace QX. the by took seeing is place impact challenged start mid world business saw Sure. side. year go full playing on it the out business and line to upstream were of the resources

us, discussed leaned with this XX full months. customers, calls, As are into kind our around a heavily, and it pretty we does know closely of industry we take customers previous but on we've as we've

-- So performed we look expected. as forward, we as QX

further Brian color pass expect any for he's out to of specific boding then QX I'll and decline for building QX, that We But being but ACV over QX. seeing.

I I Brian, can think think we don't Brian. we -- can don't hear

I think … you're

okay. Oh,

right. Yes, out drove can upstream that I the the look said, you really Sorry. you're Jonathan, When the I … see year, in at When look ACVs, at next It's exactly ACV. decline you

Brian. mute All call. Use You’re you. other one, the other to right, going the thank

hear me sorry. I’m you now? Can

Yes.

QX we the when even and you at rest improving ACVs Okay. on improved bottom QX, in ACV the QX. hit of in positive can and Yes, QX see upstream, we steadily then you look steadily them get the and group, and

Right. and Brian Thanks. Thanks, Jonathan.

Now next question.

question Our line with of Bisbee Bank next comes the Gary from of America.

line Your is open. now

Hey, guys. Maybe with I'll morning. stick resources. Good

help it lot One just key with has the exactly is Opus have clear And data I business been me over is is questions to Thank couple Can just create business? what real and to clear especially be. delivered of thinking will new Has people Since that help sets S&P ago, adding years? of portfolio there where us -- similar the and resources get so you you. benefits acquired your years to couple a has done for through think understand Opus adding synergies. the your portfolio a around from the not you help of resources line it's those potential it some business synergies innovation, other -- Platts. the transaction model a from the to to I top last which

to and Brian, start, it can I'll I you. hand Maybe then

a business that look analytics. at different it's you S&P if consulting global off, is business, course, the upstream, than business. And first of our XX% So data

for definitely And customer the opportunities customers numerous new and but aren't with synergies, so there's there product opportunity. scale

all have get as pricing, the and have with of set all same those course, opportunity through you synergies teams. between you chemicals, where the down services Opus, them we McCloskey pricing the of As indices, the into Platts Coal indices, agriculture, shift

mid downstream and revenue. So add of overlap synergies and the we're piece to that want do new the we'll about the of quite have that's to Brian, But ex pricing the address the that? excited to and you a closing services, around merger. small there's where within

Yes.

a us us new store it When think well. even marketers, I traders. at penetrates more convenience whole for base into look gives you wholesalers, customer us, as

for up-sell end think component the that the lower renewal acquisition. And I Opus So rates. product to gives tend services have end to thing higher Also, services. pricing a was good news us stickier strong then a

think very strategically it I So was good a acquisition.

you. Thank

Brian. Thanks, thanks. Hey,

Next question.

Meuler Our next the line Baird. comes Jeff of question with from

Your is line open. now

Yes, thank you.

it typical since Or don't and outlook, AMM? the is catch is increase typical on about increase transportation. impact growth think got getting On up of of there CARFAX comment timing visibility kind like Thanks. back transportation as your And any the what's think that pricing know some but And can you on annual I the I the nonrecurring that, then that, this year? that? just to recall timing the we forward campaigns of you're projecting? within in

Okay. to Edouard, that do you pick want one?

pick the you, question. to it happy for Yes, up. Thank Jeff,

increases the side, will there we be on So pricing proceed XXXX, carefully. will in and price

remember we're the across in North that America, of the middle Let's still pandemic.

reflected So time right on we exactly to still the are introduce increase. price a

So particular currently increase planned, it will no is normal be and pricing that catch a but ups.

very are partners. and the We dealer our health of on customers focused

forward visibility, the transactional revenues the like you mentioned, our by activity well to terms Jeff, lot things spend tied the marketing are as in as industry, a of business. recall of In as

some through good in in marketing QX. we're of they a of those lot in activity seeing higher QX we're than seeing coming QX, items come were and spend back, Now

introductory and in to So to it will for on we But reverse take as longer back. are them confident, Lance way the bit they their trends. are mentioned a comments, normalized

second of We the expect that the in next year. half

you. Thank

Thanks, Edouard.

question. Next

line UBS. Kramm Alex of the from comes question next Our with

Your line open. is now

Yes, hey.

aware of out quick think with XXXX, consistent but seen pretty or a in that one prior what point Just a on about pretty Any to with segment or past? basis know, as be seasonal we've a years. consistent largely we guidance. upside on we there I unchanged, on should the basis margin the things the

Alex. for do, Yes, the Alex. Sure, Thanks question. Okay. we'll

That's very ways. performance, did you year, a normal rates the in building, many, growth to and margin. really on margin of changes than usual the fiscal us terms XXX year structural overall as that basis through X% that's just X% there. for our points But a some seeing that seeing we're drive costs, flow In many total fiscal know helps and less we again, that last in we're make

think comparison at see relatively would as quarter-to-quarter. harry is to a bit from a 'XX year. as flow 'XX you at times -- I look where normal gets we through will particular I FY The it

for QX, a transportation, was So in example, us. time challenging particularly for

I would think there. see year-on-year 'XX a us. But you'll FY some pretty on I odd year seasonality of think comparisons normal really for

Makes sense. Thanks.

you. Thank

Jonathan. Thanks,

question. Next

line JPMorgan. Our of next from question comes Andrew Steinerman the with

Your now is line open.

Hi, Jon. the year. Could be quarter you you kind how of directional just the Could XX% be more comparison? just -- for kind kind make -- I current know trending, that quarter the a you XX% just revenue said year-over-year kind pop have disproportional will in of will quarter, the little that's to to knowing on and disproportional organic transport, the this May growth of of May

Sure.

COVID 'XX, in We a in going concessions will go what’s would in we significant will into the of a just what little QX, in what kind add when on tell FY it back hit, happened reminder, bit gave also a FY supplemental, happened we call year, if I’ll leaked of see bit, kind to a I as And do, little Andrew, then you price Andrew. kind I last transportation QX see voluntarily, over of QX. look particularly happen you and you But to to take at 'XX.

strong a look half in second so has recovery we now XXXX. the of As forward right the overall first seen industry now,

buy buy recovered I you used safety would for if the I you, did to used But basically car, of to speaks find it's use fact, CARFAX very try find a industry. turning a strength hard just recommend right a and it the I car, look to car But I In has Andrew. industry -- now the and to to to there. tried great

So the seeing we 'XX, industry, see pretty healthy we're that level. at dealership a particularly performance as FY in

As our customers. do work we Edouard health dealer support and closely the mentioned, of

customers pretty else So as right careful we seeing But on? now kind doing in at the the being that. we're look well want capture timing and Edouard to to our expectations. anything that's price of value around increase comment our we're how But you reflected

key effect, No, covered a the is Jonathan. There I think seasonality you points, right.

If to when you in in took significant some coming key on base our haircut revenues, as started it costs XXXX Thank in QX the you. revenue you we work creates QX, otherwise, And in we some were Jonathan. a seasonality cost captured at margin look low, on the that and in back going comps. XXXX, out in all But the in points, of see accretion. that you're even play

Thank you. Appreciate it.

Thanks.

Next question.

of Our next from Ashish comes the Sabadra Deutsche with Bank. question line

Your now open. is line

Thanks for quarter. question and the my on congrats taking

platform? synergies, development ability about as And of develop new is and the Can teams question S&P forward. combining you combining with Lake intelligence talk can going my how talk chance rationale on just time. of commercialization So if product S&P's improve as just improved help spend strategic distribution with and new S&P's of some revenue the Thanks. well you the inflows more inflows Data as Kensho can as asset, both had that have market power to Data as product well data the about to by Lake it

Sure.

of this I'll focus area with on start maybe and market if Data now Lake we'll synergies. as our ease And alternative question for well this services, because just well. that Kensho, we financial where to to substantive where a Well, pass as and is really add the it related we common as X intelligence Adam mark But product Okay. it the years around use, access -- library internal its of has commercialize with organizing both into sets Data data to is all customers. to been the I have Lake it to and

to like alternative data organized Global Kensho, of we very making tools S&P science without experts, which signals, signals, sets to sets do deeper you organize lifting So same begin as so. have that to help size, tied scale the Kensho just have those datasets. are opportunity begin forms which don't the to decision we've to excited done data information advanced trading assets, are and the heavy with ways provide working have that to decision-making the new platform advanced analytics that and data and able be alerts acquired -- to schools, analytics decision-making well the as

first So that's thing. the

let a second market has distribution, on Adam? And is be out for an ways services is Adam platform. the offered on mapped and thing I'll active other that direct there's Adam because forward. opportunity and the lead well have us platform hundreds several that services two intelligence to tools as as the revenue groups excited on that to will gives platform. of synergies users that The of And going the buildup that of financial thousands are about add

Lance. solutions we've datasets. both ability this thanks, a the by The and for those to some Doug us game intelligence to And of of explore and our to available ability looking and and of technology Yes, the and consuming at reg make Lance of should get time customers the business. true, changer I their as lot combined themes merger. of think offer and market their management into was to the available played those very sets in ranging that's at give And of be and decisions continued them a the the massive to we insights remain integration, themes through put content the platform have original in workflows wide for efficient to lot compliance, platform risk a real a out. those discussed A ready lot really scale data data

asset engineering including risk now -- valuations give opportunity oil them that will the tools of for industry things group, -- which at data thrive financial both and market specific really run give their to -- expertise business, look insight automotive, to core that market expertise, the like also corporate set that you their core companies a been capabilities have let the we look them deep and a gas, able and with to customer customer to but before user products. have in because intelligence markets of bringing need we're they market that's capabilities, If

same set the customers. that workflow data really already cross So of sort key combination areas. -- touching of a cross asset those industry It's many of are with the solutions those

Thanks, Adam.

question. Next

you. Thank

with Rosenbaum Shlomo from comes question Stifel. of next Our the line

Your now line open. is

you questions want kind for Thank to sneak Hi. my of much two I taking Lance, very in. questions. just

I the you're to the fact fully the Data a year? comment on able And the you the of of Data just what that not with really a in to are in going able Did a events any hoping want about lot there over that to just year? normalized live think that's is that motion improve seems little point to we're Lake assuming Thank summer, uptake revenue the in that back be customers a be for maybe it capitalize you'll you of what just kind I from the to be selling use events ask Lake? key kind went to validate go the be Jonathan, First to live Are Kensho and you. for assuming what you to in then stuff being would events were?

Okay.

off of active And with start banks XXXX. with funds, the the of so we alternative me hedge big around data. making, have large proof-of-concepts several use first strategies commercialization started half that. bigger Yes, Let we the the that users, decision Lake in with Data launched

the started far, to the Contracts all to are defined we with term decision-making commercialize term customers those longer relationships, purposes. so access be give ability of able parts to turn And into library them and the or for reasonably sized contracts.

to products into our fits that then the create ability services and own redistribution So form sometimes, some their datasets. of cannibalize -- wouldn't that and

customers, things. don't to the customers I that's year, XX now customers, One, Two, but So in to starting converted have the we're XXX definitely so say pipeline the we've started building of we've we've convert pick up. want out customers. two to converted

of We great have commercial and set. the a creating numerous ways pipeline have we

you typing must your oh, be typing is -- right? notes, Somebody

put that up. I Yes,

that. in about don’t want I come to just through. Sorry

That’s all right.

Okay.

and So then a to speed unique utilizing say the products, with next to attach data also sets. new but for bit of us that and of customers the I'd development like ways that, this new gives us our Data them Lake of leveraging content give our content ability the is

get So of over a already. a a which and started I'll questions of the we pass to events, see commercial on we've those the going of to positive activities, Of second Jonathan. trend bunch on the bunch efficiencies, of it part

Great. Thanks, Lance.

where and QX Petrochemical year. CERAWeek, perspective, our Conference we we as is our a segment. throughout know, events World the revenue three events, in events the month offer from heavy the we on heavy, TPM events our So the flagship of But Conference have Maritime large

year. planning on We not are events physical this holding those

-- So at forecast our when from look we the anticipated we've taken physical that revenue revenue forecast year, for -- no events. we’ve

significantly those holding those is three events revenue in however, Shlomo. lower, events. are, virtual We from The

there. and customers the for to help think pop connect to during these teams expect lead with times. the see But I important a continue significant it's in lead way and So our to industry industry don't our

will -- events So significant the won't we see virtually. in events be holding us any again, from FY you 'XX, for but revenue revenue

which Can have -- CERAWeek that say, with quite India things with experience last is I virtual add, year, the running I'd impressed we revenue. we did the -- with of one with do was positive we I as Jonathan, Shlomo, events

the for to of And terms so XXXX. take participating event well up has commercial a as and bigger that from perspective, sponsoring events, participating in we're on applying been that the to virtual say have model as CERAWeek And in customer reasonable. I the

for into out add going And physically, plays they'll virtual Thanks. they some are next how have to so revenue, building as but the that involved but events cetera. up know building job quarter, positive been of great know, they they've be revenue the some revenue I with I But number. in the and panels see well. work. with impressed sure a some in let's And et the won't of produce able the did a team's some quarter they're discussions I've momentum quite they doing me to definitely

question. Next

of Our the Jefferies. Mazari next question from comes line Hamzah with

open. now is line Your

you to around on expected have Year. do? you there to New you or sort so Lance. half. great, you question the delays that color antitrust milestones, do any take, to close Thank be My long expect would S&P Are the next expect is any How Happy transaction steps just HSR Any of perspective? second from process an divestitures much.

Okay. Well, going second first anything see half. off, That's our expectation to is substantive that it specifically. create will the hurdles. close any don't We in

the we those. the Opus's working and terms businesses there, all address it and overlap going in of to business hurdles are So our teams into knew Platts are within that the

work view terms precise that insignificant to nature across half of the overlap to substantive is don't expect determine I hurdles. of in any and shouldn't my or expect is which want of Jonathan, to be to any …? transaction. We'd anything there the add size else second you so significant know, with is or the the is, the bodies teams And regulatory the close roadblocks in assets,

reiterate think said, the I We've it's it already with regulators, just no I see there. this year. And right, we have engagement you Lance. said, mean, a engaging surprises I started government he what Lance positive very as

government heard requires would of there's size by just And the we that that think I any I of half this agencies. of us appropriate transaction, review will think size nature Given be any nothing have cause it's see, course But feedback of the it, completed. concern. it nor the second we it

you much. so Thank

Excellent.

question. Next

Our question comes the line of from Sachs. next Tong Goldman with George

open. now is line Your

expect bit XX% Can health organic deeper the and the you you elaborate Also, Diving you what of to growth negative a of can well. reversal Hi, dealers transportation? at And into seen level dealers bit you've a for the XXXX. be relatively needs morning. impact earlier mentioned any customer now discuss in pricing thanks. you hit little more bit OEMs? targets? the full to change whether Good on concessions you and range a performing your transportation, are in And XX% to to from

Edouard?

Yes. Thanks question. for the George. Hi,

terms both in a continuation is our rates, assumed in cars current roughly dealers forecast by are business kind down with and we've there if our of even used means what year-on-year. of most a in cars and the local of and U.S So large, plans it means market probably challenges right, and open, new continuing remaining which inventories in is means XX% of It restrictions. significant volumes

in risks. environment. execute our current we So And and on can have factored we our the all forecast of within market those plan

we're very I say signposts had and very In low, even and dealers volumes though market XXXX seeing dealer a terms they Like, what about throughout were of many a margins lower couple things. high of by were remained would end, profitable in in down, the inventories the the because strong dealers because XXXX. the and costs because large, have were to and health,

is back in that right, to means they It year. uncertainty, we bringing is the environment is ups shape pretty and So that today, Can plan. there to question. the pretty dealers and By dealership. what may which year. And XXXX that throughout means the it some most solid be in all and the good George, question remain on you not They in seeing they're was that there remain in second are costs me just prices pretty in risk. downs our coming remind shape. fact, see market uncertainty that and we can throughout in large environment expects is and the into execute are was? good first the of expect into the What means do the

any been has now Yes. negative concessions? If from there pricing impact the full of reversal

for question. asking great Thanks a it's it. Yes,

as very strong, Well, is, tracking news removing we QX closely great rates through remained would on mentioned we pricing were it we very, QX. very, So be and the QX call, retention the the that I think the concessions, right. very

even we So have to this. about our happy out service low, we're cancellation took remained option the as rates suspend and very

in of crisis pandemic. back that we QX, our that get we remember the hard into kind said, revenue to you That's had out the short-term are to even stronger when customer struck, for were to do hit crisis. we of why crisis, the sure we we important believe is out why the business thing If with come the when made come make most than because we decisions. through we took the they coming that That's relationships

high strong right with out very I rates. with it products think critical and customer we're the in retention with of place coming relationships

Edouard. you, Thank

question. Next

Our the BMO. next line from with question comes Silber Jeff at

is open. now line Your

the a combined especially for the of this much. new Can announcement few me the structure I'll last had light about little since you you. so turnover month's of in ask ask you I've investors Thank at Thanks. question, just bit a company? internal divisional your talk morale company and merger so announcement,

Okay.

question. So, no, it's a good

And new people lot have product in going the overlaps we new opportunity management to So of work services to revenue the on products synergies, a companies where for of and lot sales, there's both to not that sets. a offer. of apply have opportunity we're terms

therefore, been the operating had really that's post has and half. company on, We're going JV of teams tough a that company people goes services. And this, the highest merger, end a through help ties the of and shared the well. the do announced retention doing help shared to motivated, there's very order to IHS structure may of will pleasure, the performance, pandemic, had. that not in long-term year, motivating And been merger. we satisfaction It's having into have really in be the to intact the successful that hub and Markit well a say, we've -- retention our designed merger the course, are And the merger into sure put we across to that platform, we as So the our across a make that announcement, And working happen. we've other in time of myself ever compensation the with we come team's well. levels very second the have all stopping. the us in in executing deals the related with synergies a running that stay absolute merger people post real deal in the their CME, like in still went doing make the things the is important including but performance, close the roles keep roles, been short-term post the really services success. getting therefore we've across pandemic, into that Cappitech on the closing And to that acquisition, no does this I executives, firm

we're the may that has and responded, And so, how morale long-term treating employees pleased no, how post without job I'm a close. very be the with everybody

dollar the Oh, speakers]? disclose I'm [multiple the you Can -- sorry. just

of amount dollar The the synergy?

Yes, retention. retentions. the Of the

has think whatever want all you Jonathan, done. do been there? it's I talk to disclosed Yes,

dollar was then So retention I was talked -- fees. over the on obviously. The amount that of

pools total our across the Yes, please. retention Yes, two companies.

Sure.

to So cash that's be being we announced pool, the had at retention risk. a which merger. million And $XX a at we time potentially retained that which pool of the could used jobs, created

potentially, at emphasize But that personally. people lot worry buys said, imagine, do excitement about individual Lance really the And retention can you I'll you level, it like as Now, me means allows, time this, basically of a it what merger pool for a as kind the to shortly out and announcing delivery the year. of future $XX what people after of pool kind kind forward derisk see -- their the merger. roll for began looks like of which of to going this which million we we've

color. Appreciate much. Thanks the so Okay.

Thank you.

question. Next

line comes from Our Nicholas Blair. with of the next question Andrew William

Your now open. line is

speak together players you. initiative. I Thank of Great. a hoping last could a for to was little you bit handful week, that more Hub certainly the coming major made you announcement

you. and/or hub want be Thank asset manager where of office stack a wondering how in also plan incumbents I'm speak space, the sure specific so that you back hub I already of then think of to make the to so middle the and skilled the And set that some operation company in players play? I could solutions differentiated will space. handful versus is And there's to I targeting? if understand

Right.

PIMCO CEO, very the at the efficiencies press initiates Well, of a very create And formerly Okay. and with were customers Group. close Man have out CEO. were to was PIMCO relation the in Man large they opportunities given Group respect hub to two those looking announced that And forward. going technology release

the of two the of to total relationship technologies needed. that efficiencies new in So looking cost the CEOs use ownership of create forward both they're and solutions close at

is build the and an And reference client asset of storage middle back activities job the manager. office initial and transaction Hub's data, so for management foundation to of a the of of

that Microsoft Azure a and McKinsey, build. of happen inefficiencies know of course, build manage from And the So for has systems. choice management managers who decisions. great it's to forward lot therefore the have stage. build and technology it partner PIMCO reducing Street, partner office make that you the out with is, of advisory a and -- great services respect worked of the on early working the a financial who as they ourselves, because course, who different with multiple asset -- are who technologies. of State their back data And experience are partner to trying outsourced using

-- they that will Thank -- expertise reduce else, of with at lot and attribution be you manager. managers datasets. the a owners functional of we'll the okay, to we the over anything data asset are to really a we And going asset be across connect that it needs asset ownership all venture respect to to to PMS real of help announced for manage of cost add in software the of want forward assets, administrators it's that integrated And total so [indiscernible], foundation that course, next Hub. joint there technology, Various where know, have bring themselves, connect Adam, are big risk you. many, management, better who looks of office platform down question. go look the management build work to as a will middle many and will the OMS, that if pricing, or plans time. hub, name industry pause risk back putting can don't the of and I those So a management have hence we to a two costs a the own a transaction, knowledge IP will and

Thank you.

comes question next from Morgan of Our Stanley. with Toni the line Kaplan

Your now line is open.

growth is S&P. be about XX%. particular? or you for areas annualized focused and $XX any How it future in growing? their it that that S&P, there a ESG for Thanks. are of revenue products big is know and your high growing we at fast this million specific ESG is Thank with on year, will how about And talk about part important your ESG that area an you're revenue can you. is And

question, Right. Toni. That's a good

Doug as E of the an naturally little be purebred ESG, play whole combined that products. they're ESG the S&P revenues combination in mentioned revenues a have rating products bit but bunch and different with are have because the Our of a call I you'd and will don't than slightly larger, ESG the what really create products will and per into synergies se, we we

So have where carbon is we’re voluntary for carbon used are example, which where we emissions offsets. registry, -- have we receipts that a for

within continue have carbon course, few. locally and discussions a a of lot Quebec, build for going of a country those region increasingly forward. out. all Rica, transportation a to auction build assets, important or of then or which we And pricing And a businesses, to energy platforms geo-location our and around in the platforms energy-related Costa are those to We name auction we'll carbon important California, also data are climate the state

We with agriculture. use a the data lot of respect some to around have land of

of have, of of all knowledge tailpipe the the We course, emissions automotive fleets.

a it's to $XXX digits. parts to the these, the to double kind that about of much our million of $XXX our RobecoSAM's you the base have also S&P what would of of have talked grow never combine when businesses, all circa digits. growth to significant be within services, have call more publicly. rating we is brought mentioned that of And Global, we but start has XX% we then of we rate, the at continued E double So million ESG. revenues Doug Trucost, really with strong together need the and We've ESG

you. Thank

Thanks, Toni.

final question, one. Next maybe our

Securities. Jeffrey comes last Truist Andrew from Our question line the with of

is now open. line Your

an little actually in sort those steady the a of Ipreo, wonder us squeezing here, you. Ipreo thoughts, on Appreciate funding been you morning. and about along which can I trends. a wonder, be if about has Good you to Bitcoin, of alternatives? in where broadly? for as can monetize ask those alternatives if you would a such you're And and solutions give you participating at are performance financial think if me wanted time have and the services, with you question talk then of any and here business emergence over vehicles, couple And might bit I areas end. a specifically Thank update Lance, you of SPACs

both and I'll and those can questions, start then Now, Adam are conclude. good

Global, the in any that do Adam don't moment services to a plays respect year services private I reporting, about to see and to financial our hopefully that even off, acquisition to whether correct year embedded it's whether significantly part tough recurring got pandemic managed Bitcoin, And growth. synergies space, growth, don't on. of think that we more know brings And maybe accretive that to accelerate. that LP business, With We your but our an new build that GP alternative to of plans which private and the proved but strong the through that our I debt question, significant. provision valuations, strong growth. market which some mid-single-digit occurred going through leave so, nothing this me S&P is accretive is business equally but our to us, of has alternatives And because double-digit and has pandemic, is opportunity me index and part two waning revenue of at an forward. I'll growth not big Ipreo, help ones the with first the And in financial will can now to our continue provide assets we've the platforms that we're but I exciting to us don't activity think equity, real services of business have moment, of I one the it's the going ourselves. it's him this as So for relationship it's growth effectively. second JV, the whether

itself. we Of around data services, legitimizing a course, have participation that a software, major marketplace works we us, for in that really should pricing have millennial every thinks is

seriously. take to So got we've it

participate. expect I services, value pricing we would we'll looking and so, OTC et provide that normally those types contracts, and And pricing data any things, be to of cetera or

part, you issue. another to mentioned a form are Well, me, was second facts. which The facts new of just

activities, the stay on Ipreo through the of So all new teams issuance. top therefore their

we marketplace, do. management, not into terms the for And on in of. they cetera, that be to But so ones Adam, do cetera I of course, imagine equity any setup got anything et that of want the would they to if we've data you to But will follow track that? that's as as be this continue add something SPAC there's activity, et to participates sets, else keep participating. grow

you comments. Lance. think I quick Maybe things covered two well,

I is First on that fully integrated the acquisition, Ipreo today. mean really

really business, volatile go the of the perform around classes and are make is And this through in enhanced I'd year. that And it Though into digits over singular management at incredibly not those those So able in to those portfolio has businesses of in needs has markets is we of that and going. tools, that the And SPACs, last Ipreo the credit for We those products. be you the crypto. management to well data risk couple be ahead. for both look of alternatives leaders providing our past businesses In performed customers in positioned value spaces, infrastructure tools. highly we of double several well valuation, our places we and continued data where with see have it forward up providing includes, tools, LP to mentioned financial each years don't over particular capabilities are next the but capital markets management us, The in increased market and separately, central GP complicated past this many combination those focus obviously to grown point capabilities. asset brought well flow of a community, responding a management, be businesses into to and our to well, to really really year, proven market carried market, like consistent the expansion the with level transactions, those again into SPAC issuance segment existing platforms. transparency

a with partnership Lukka. a announced called we November, last see You'll firm

different and partnerships, lot data a value of We reference pricing we valuation have information in so do help order around cryptocurrencies cryptocurrencies. several portfolios other other to that include collect tactical and may customers

So on near continue not moving the just into as valuations to well. focus and area probably it's an even but the index we'll side side, future

I'll today. Adam, the Thanks, questions for operator. it everybody to your thanks and back thanks. Eric, turn Okay,

for This or international in about XXX-XXX-XXXX XXXXXXX, interest January and your beginning dial-in through X Markit. in replay We conference accessed ID be thank via XX, XXX-XXX-XXXX, you can call IHS hours running XXXX.

and the for website. Thank appreciate interest we you your addition, archived time. In will be our webcast X-year on and

today's call. concludes and Thank gentlemen, Ladies this conference participation. you for your

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