IHS Markit Ltd. INFO reported strong third-quarter fiscal 2020 results, with earnings and revenues beating the Zacks Consensus Estimate.
Adjusted earnings per share of 77 cents beat the consensus mark by 11.6% and increased 15% on a year-over-year basis. Total revenues came in at $1.07 billion, marginally surpassing the consensus mark but declining 4% from the year-ago quarter on a reported basis. Revenues declined 1% organically.
We observe that shares of IHS Markit have gained 19.7% over the past year, outperforming the 1.5% rally of the industry it belongs to.
Financial services segment’s revenues increased 4% year over year on a reported as well as organic basis to $446 million. Revenues at the Resources segment totaled $208 million, down 9% year over year on a reported basis as well as organically.
The Transportation segment witnessed year-over-year revenue decline of 5% on a reported basis to reach $243 million. Revenues were flat organically. Revenues at the Consolidated Markets & Solutions segment amounted to $121 million, down 13% year over year on a reported basis and 5% organically.
Recurring fixed revenues of $796.2 million were marginally down year over year on a reported basis and 2% on an organic basis. Recurring variable revenues of $153 million grew 6% year over year on a reported as well as organic basis. Non-recurring revenues totaled $124 million, down 26% year over year on a reported basis and 22% on an organic basis.
Adjusted EBITDA of $486.2 million was up 7% from the year-ago quarter. Adjusted EBITDA margin improved 460 basis points (bps) year over year to 45.3%.
IHS Markit Ltd. Price, Consensus and EPS Surprise
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