S&P Global reported third-quarter net income of $1.24 billion and adjusted EPS of $4.58, beating the $4.43 consensus, raised its 2026 guidance, and launched a strategic review of Capital IQ and associated data businesses that could lead to a separation.
S&P Global beat Wall Street expectations in the third quarter and raised its full-year outlook on Tuesday, while opening a strategic review of its Capital IQ data businesses that could end in a separation. The ratings and data group reported results before the market opened in New York.
Net income rose to $1.24 billion, or $4.25 a share, from $1.18 billion, or $3.86 a share, a year earlier, Dow Jones reported. Adjusted earnings of $4.58 a share beat the $4.43 average analyst estimate, and revenue rose 7 percent to $3.68 billion, ahead of the $3.64 billion expected.
Growth was led by the indices business, where revenue jumped 20 percent to $554 million as asset-linked fees climbed 24 percent on higher assets under management. Ratings revenue grew a more modest 2 percent to $1.27 billion, while market intelligence revenue rose 7 percent to $1.26 billion, supported by data and platform demand.
The company raised its 2026 guidance, lifting adjusted earnings per share to a range of $17.70 to $17.95 from $17.50 to $17.75, and revenue growth to 7.4 to 8.4 percent from 5.9 to 7.9 percent. It also repurchased $2.6 billion of shares in the quarter, taking year-to-date buybacks past $4 billion.
The portfolio review is the most consequential part of the announcement. S&P Global said it is exploring alternatives, including a potential separation, for Capital IQ and associated data businesses, including most of the Kensho data and platforms unit. RatingsDirect, RatingsXpress and enterprise solutions would stay.
The review follows the July spin-off of the Mobility division into Mobility Global, continuing a reshaping of the group around its core ratings, indices and energy franchises. How much of Capital IQ is ultimately separated, and at what value, will now be the question investors watch into 2027.
People Sentiments Public Mood: Positive
- S&P Global management: raised full-year EPS and revenue guidance alongside the Capital IQ review
- Analysts: $4.58 adjusted EPS beat the $4.43 consensus; revenue beat $3.64 billion
- Indices strength: asset-linked fees up 24% on higher assets under management