Feb 4 (Reuters) - Standard & Poor’s owner McGraw Hill Financial Inc posted a better-than-expected quarterly profit as it earned more from its financial information and indexes businesses.
Revenue from S&P Capital IQ business increased 4 percent to $301 million, while S&P Dow Jones Indices revenue jumped 18 percent to $130 million.
Strong growth at these businesses more than offset a 2 percent decline in rating unit Standard & Poor‘s, which accounted for nearly half of the company’s fourth-quarter revenue.
The company’s net income from continuing operations fell to $173 million, or 62 cents per share, in the quarter, from $190 million, or 67 cents per share, a year earlier.
Total revenue rose 2 percent to $1.25 billion.
On an adjusted basis, the company earned 81 cents per share from continuing operations in the quarter.
Analysts on average had expected earnings of 78 cents per share on revenue of $1.24 billion, according to Thomson Reuters I/B/E/S.
Revenue from its rating business fell to $574 million as U.S. corporate and public debt issuances were hurt by the U.S. government shutdown and interest rate volatility.
McGraw Hill, whose rivals include Moody’s Corp’s Moody’s Investors Service and Fimalac SA’s Fitch Ratings, said it expects to earn between $3.75 per share and $3.85 per share on an adjusted basis in 2014.
Revenue from McGraw Hill’s commercial and commodities businesses, which include energy and metals information provider Platts, rose 2 percent to $264 million.
The company’s shares closed at $74.39 on the New York Stock Exchange on Tuesday.