Dec 18 FactSet Research Systems Inc
reported lower-than-expected first-quarter revenue, and the
financial information provider forecast current-quarter results
largely below estimates as banks and brokerages cut costs.
FactSet shares fell 5 percent before the bell on Tuesday.
The company, which provides data to portfolio managers,
research analysts and investment bankers, forecast
second-quarter earnings of $1.11 to $1.13 per share, on revenue
of $212 million and $215 million.
Analysts on average were expecting earnings of $1.13 per
share on revenue of $216.3 million, according to Thomson Reuters
FactSet's financial sector clients are cutting staff and
trimming costs to cope with increased regulation and a
struggling global economy.
In the United States, financial companies have announced
plans to cut 28,000 jobs through the first nine months of this
year, compared with 54,000 during the same period in 2011,
according to executive placement firm Challenger, Gray &
FactSet said its net income rose to $49.8 million, or $1.11
per share, in the first quarter, from $45.5 million, or 99 cents
per share, a year earlier.
The company earned $1.22 cents per share, excluding items.
Revenue rose 7.5 percent to $211.1 million for the quarter
ended Nov. 30.
Analysts on average had expected earnings of $1.11 per
share, on revenue of $212.3 million.
FactSet rival Thomson Reuters Corp , the
owner of Reuters News, last month reported a 15 percent fall in
operating profit for the quarter ended Sept. 30, on declining
revenue and higher costs in its division that serves the
FactSet's shares closed at $96.39 on the New York Stock
Exchange on Monday.