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Factset Research Systems (FDS) FY2026 results: revenue $2.5 billion, up 6.7% on the year

Factset Research Systems Inc. (FDS) reported revenue of $2.5 billion for fiscal 2026, the year ended 31 August 2026, up 6.7% on the year before. Net income was $533 million, down 10.6%, and diluted earnings per share $14.57. The figures are the company's own, from the 10-K it filed with the SEC on 20 October 2026.

Revenue
$2.5 billion
+6.7% on the year
FY2019FY2026
Operating margin
28.3%
32.2% a year earlier
FY2019FY2026
Net income
$533 million
-10.6% on the year
FY2019FY2026
Diluted EPS
$14.57
-6.3% on the year
FY2019FY2026

this yearthe year beforeHover a bar for its figure.

The year in brief

What management said about the year

Guidance figures: 8 new.

  • Fourth-quarter revenue up 6.3%: GAAP revenues were $634.7 million, up 6.3%, and organic revenues were $635.5 million, up 7.1%, compared with $593.5 million a year earlier.
  • Fiscal 2027 expectations issued: Management issued fiscal 2027 expectations covering organic ASV growth, revenues, operating margins and diluted EPS.
  • Organic ASV rose $168.2 million: Organic ASV grew 7.0%, adding $168.2 million year over year. Reported ASV rose to $2,565.2 million from $2,405.6 million a year earlier.
  • AI solutions ASV more than doubled: Management said AI solutions ASV added in fiscal 2026 more than doubled year over year, with continued momentum across AI and data solutions.
  • Fourth-quarter GAAP margin fell: GAAP operating margin was 24.7% against 29.7%, mainly from higher compensation, including one-time restructuring charges and ASV-linked incentive plans, partly offset by revenue growth.
Read the Q4 FY2026 earnings call summary

From this 10-K

FactSet sells financial data, analytics and software to finance professionals, mostly on subscription. It was founded in 1978, has been publicly traded since June 1996, is listed on both the New York Stock Exchange and Nasdaq under the symbol FDS, and has been in the S&P 500 since December 2021. The financial year ends on 31 August. At the end of fiscal 2026 it had 9,258 clients and 260,671 professionals using FactSet, counting clients whose subscriptions run to $10,000 a year or more, and served clients in over 80 countries. Annual subscription value retention was greater than 95%, and 90% of clients were retained. Sanoke Viswanathan has been chief executive since 8 September 2025.

Factset Research Systems Inc., the 10-K for 2026

FactSet sells financial data, analytics and software to finance professionals, mostly on subscription. It was founded in 1978, has been publicly traded since June 1996, is listed on both the New York Stock Exchange and Nasdaq under the symbol FDS, and has been in the S&P 500 since December 2021. The financial year ends on 31 August. At the end of fiscal 2026 it had 9,258 clients and 260,671 professionals using FactSet, counting clients whose subscriptions run to $10,000 a year or more, and served clients in over 80 countries. Annual subscription value retention was greater than 95%, and 90% of clients were retained. Sanoke Viswanathan has been chief executive since 8 September 2025.

What it sells

Clients use FactSet through software applications, data feeds and APIs, or managed services, and many use more than one. The subscription platform covers workstations, portfolio analytics, enterprise data solutions, AI agents and agentic workflow solutions. For institutional buyside clients it spans investment research, portfolio construction and analysis, trade execution, performance measurement, risk management and reporting. Bankers use it for company and market research, analysis and building presentations, and wealth managers for advisory work. Managed services act as an extension of a client's own team on data, performance, risk and reporting. Its clients include institutional asset managers, asset owners, hedge funds, investment banks, wealth managers, private equity and venture capital firms, corporations and market infrastructure participants.

The AI turn

The filing sets out three areas of investment: expanding its data and the ways it is delivered, including formats designed for machine consumption by AI agents; rebuilding its core workstation and building agentic tools for research, performance reporting, financial modeling, pitch creation and meeting preparation, along with a platform for clients to build and manage AI agents; and moving client contracts toward longer enterprise platform agreements that combine subscription minimums with consumption-based pricing.

CUSIP Global Services

Through CUSIP Global Services, operating on behalf of the American Bankers Association, FactSet is the exclusive issuer of CUSIP and CINS security identifiers globally, the codes the investment industry uses to identify securities.

The three regions

The reported segments are geographic, based on where clients contract with the company. The Americas took 65% of fiscal 2026 revenues and runs offices in eight U.S. states, data centers in two states, and an office each in Brazil and Canada. EMEA took 24%, selling through offices in Bulgaria, France, Germany, Italy, Latvia, Luxembourg, the Netherlands, Sweden, the United Arab Emirates and the United Kingdom. Asia Pacific took 11%, through Australia, China, Hong Kong, India, Japan, the Philippines and Singapore.

Where the content comes from

Content is aggregated from third-party data suppliers, news sources, exchanges, brokers and contributors into FactSet's own managed databases, and it also takes in, maps and structures clients' own data. The filing states that it seeks to hold contracts with at least two providers for every major type of financial data, though some datasets have a limited number of suppliers; two suppliers each accounted for more than 10% of total third-party content costs. Delivery runs on a hybrid cloud: two fully redundant, physically separated data centers in the U.S. alongside several cloud providers, one of which supplied the majority of cloud computing in fiscal 2026. The company names Bloomberg, S&P, London Stock Exchange Group, BlackRock, MSCI and Morningstar as its most notable competitors, along with clients' in-house teams.

People

At the end of fiscal 2026 there were 12,444 employees in 33 offices across 19 countries, down 2.8% from a year earlier: 8,652 in Asia Pacific, 2,373 in the Americas and 1,419 in EMEA. Centers in India and the Philippines account for approximately 68% of the workforce. By function, 45% work in content operations, 28% in technology and product development, 22% in sales and client solutions and 5% in corporate support.

From FactSet's annual report on Form 10-K for the year ended 31 August 2026. The filing

Written from the 10-K filed 20 October 2026: read the full 10-K.

The four quarters: Q1 FY2026 · Q2 FY2026 · Q3 FY2026 · Q4 FY2026

Income statement (profit and loss)

$ millionFY2026FY2025FY2024On the yearLast 8 years
Revenue2,4762,3222,203+6.7%
Cost of revenue1,2231,0981,012+11.4%
Gross profit1,2531,2241,191+2.4%
Gross margin50.6%52.7%54.1%
Research and development346301265+15.1%
Selling, general and administrative553476490+16.3%
Operating income700748701-6.5%
Operating margin28.3%32.2%31.8%
Interest expense54.756.365.8-2.9%
Pre-tax income650721652-9.9%
Income tax116124114-6.2%
Effective tax rate17.9%17.2%17.6%
Net income533597537-10.6%
Net margin21.5%25.7%24.4%
Diluted EPS$14.57$15.55$13.91-6.3%
$ million except per share.
Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ millionFY2026FY2025FY2024On the yearLast 8 years
Operating cash flow822726700+13.2%
Capital expenditure11510985.7+5.4%
Free cash flow707617615+14.6%
Free cash flow margin28.6%26.6%27.9%
Cash from investing-133-393-144
Cash from financing-799-408-561
Depreciation and amortisation181158125+14.7%
Share-based compensation84.161.263.5+37.4%
Buybacks644300235+114.3%
Dividends paid164160151+2.6%
Diluted shares, weighted37m38m39m-4.6%
Shares outstanding at period end35m38m38m-6.3%

Balance sheet

$ millionFY2026FY2025FY2024On the yearLast 8 years
Shareholders' equity2,0022,1861,912-8.4%
Debt1,3701,3681,366+0.1%
Operating lease liabilities138157178-12.1%
Other liabilities630592599+6.3%
Total liabilities and equity4,1404,3044,055-3.8%
Fixed assets79.285.282.5-7.0%
Goodwill1,2831,2851,011-0.1%
Intangible assets1,8501,9161,844-3.5%
Investments32.017.469.6+83.4%
Cash and equivalents233338423-30.9%
Receivables299271228+10.3%
Other assets364392397-7.2%
Total assets4,1404,3044,055-3.8%

10-K for the year ended 31 August 2026, filed 20 October 2026: the filing.