Morningstar, Inc. Reports First-Quarter 2025 Financial Results
"Growth in PitchBook and Morningstar Credit contributed to a strong start to 2025," said Kunal Kapoor, Morningstar's chief executive officer. "We are supporting their growth and expanding our private credit and structured finance offerings with the acquisitions of Lumonic and DealX. While we remain focused on generating durable growth, the recent market volatility and increased economic uncertainty have caused us to be more cautious in our approach."
The Company's quarterly shareholder letter provides more context on its quarterly results and business performance and can be found at shareholders.morningstar.com.
First-Quarter 2025 Financial Highlights
-
Reported revenue increased
7.2% to$581.9 million 9.1% . -
Reported operating income increased
23.2% to$114.1 million 22.2% . -
Diluted net income per share increased
22.1% to$1.82 28.9% to$2.23 -
Cash provided by operating activities decreased
2.8% to$91.0 million 1.2% to$58.8 million -
Share repurchases settled totaled 368,199 shares for
$109.6 million
First-Quarter 2025 Results
Revenue increased
Operating expense increased
The largest contributor to the growth in reported operating expense was an increase of
First-quarter operating income increased
Net income in the first quarter of 2025 was
The Company's effective tax rate was
Segment Highlights
Morningstar Direct Platform
Morningstar Direct Platform (formerly Morningstar Data and Analytics) contributed
Morningstar Direct Platform adjusted operating income decreased
The Company has changed the name of this reportable segment to Morningstar Direct Platform. It also changed the composition of the key product areas within the segment (Morningstar Data, Morningstar Direct, and Morningstar Advisor Workstation). There were no changes to the overall composition of the reportable segment. For more detail, please see the quarterly shareholder letter and supplemental deck.
PitchBook
PitchBook contributed
PitchBook licensed users grew
PitchBook adjusted operating income increased
Morningstar Credit
Morningstar Credit contributed
Morningstar Credit adjusted operating income increased
Morningstar Wealth
Morningstar Wealth contributed
Reported assets under management and advisement (AUMA) increased
Morningstar Wealth adjusted operating loss was
Morningstar Retirement
Morningstar Retirement contributed
Morningstar Retirement adjusted operating income increased
Corporate and All Other
Revenue attributable to Corporate and All Other contributed
The impact of Corporate and All Other on consolidated adjusted operating income was negative
Balance Sheet and Capital Allocation
As of March 31, 2025, the Company had cash, cash equivalents, and investments totaling
Cash provided by operating activities decreased
During the quarter, the Company increased its debt by
2025 Annual Meeting of Shareholders
The Company's 2025 Annual Meeting of Shareholders will be held at 9 a.m. Central time on Friday, May 9, at Morningstar's corporate headquarters at 22 W. Washington St. in
Use of Non-GAAP Financial Measures
Organic revenue, adjusted operating income (loss), adjusted operating margin, adjusted diluted net income per share, and free cash flow are non-GAAP financial measures. The tables at the end of this press release include a reconciliation of the non-GAAP financial measures used by the Company to comparable GAAP measures and an explanation of why the Company uses them.
Investor Communication
Morningstar encourages all interested parties — including securities analysts, current shareholders, potential shareholders, and others — to submit questions in writing. Investors and others may send questions about Morningstar’s business to investors@morningstar.com. Morningstar will make written responses to selected inquiries available to all investors at the same time in Form 8-Ks furnished to the Securities and Exchange Commission (the SEC), generally every month.
About Morningstar, Inc.
Morningstar, Inc. is a leading provider of independent investment insights in
Caution Concerning Forward-Looking Statements
This press release contains forward-looking statements as that term is used in the Private Securities Litigation Reform Act of 1995. These statements are based on our current expectations about future events or future financial performance. Forward-looking statements by their nature address matters that are, to different degrees, uncertain, and often contain words such as "aim," "committed," "consider," "estimate," "future," "goal," "is designed to," "maintain," "may," "might," "objective," "ongoing," "could," "expect," "intend," "plan," "possible," "potential," "seek," "anticipate," "believe," "predict," "prospects," "continue," "strategy," "strive," "will," "would," "determine," "evaluate," or the negative thereof, and similar expressions. These statements involve known and unknown risks and uncertainties that may cause the events we discuss not to occur or to differ significantly from what we expect. For us, these risks and uncertainties include, among others, failing to maintain and protect our brand, independence, and reputation; failure to prevent and/or mitigate cybersecurity events and the failure to protect confidential information, including personal information about individuals; changing economic conditions, including prolonged volatility, recessions, or downturns affecting the financial sector and global financial markets, and the impacts of global trade policies, may negatively impact our financial results, including those of our asset-based businesses; compliance failures, regulatory action, or changes in laws applicable to our regulated businesses; failing to innovate our product and service offerings or meet or anticipate our clients’ changing needs; impact of artificial intelligence technologies on our business and reputation, and the legal risks as they are incorporated into our products and tools; failure to detect errors in our products or failure of our products to perform properly due to defects, malfunctions or similar problems; failing to recruit, develop, and retain qualified employees; failing to scale our operations, increase productivity in order to implement our business plans and strategies; liability for any losses that result from errors in our automated advisory tools or errors in the use of the information and data we collect; inadequacy of our operational risk management and business continuity programs to address materially disruptive events; failure of our strategic transactions, acquisitions, divestitures and investments in companies or technologies to yield expected business or financial benefits, negatively impacting our operating results and our ability to deliver long-term value to shareholders; failing to maintain growth across our businesses due to changes in geopolitics and the regulatory landscape; liability relating to the information and data we collect, store, use, create, and distribute or the reports that we publish or are produced by our software products; the potential adverse effect of our indebtedness (and rising interest rates) on our cash flow and financial and operational flexibility; liability, costs and reputational risks relating to environmental, social and governance considerations; our dependence on third-party service providers in our operations; inadequacy of our insurance coverage; challenges in accounting for tax complexities in the global jurisdictions we operate in could materially affect our tax obligations and tax rates; the potential and impact of vendor consolidation and clients' strategic decisions to replace our products and services with in-house products and services; our ability to build and maintain short-term and long-term shareholder value and pay dividends to our shareholders; our ability to maintain existing business and renewal rates and to gain new business; the impact of recently issued accounting pronouncements on our consolidated financial statements and related disclosure; and failing to protect our intellectual property rights or claims of intellectual property infringement against us. A more complete description of these risks and uncertainties, among others, can be found in our filings with the SEC, including our most recent Reports on Forms 10-K and 10-Q. If any of these risks and uncertainties materialize, our actual future results and other future events may vary significantly from what we expect. We do not undertake to update our forward-looking statements as a result of new information, future events or otherwise, except as may be required by law. You are, however, advised to review any further disclosures we make on related subjects, and about new or additional risks, uncertainties and assumptions in our future filings with the SEC on Forms 10-K, 10-Q, and 8-K.
©2025 Morningstar, Inc. All Rights Reserved.
MORN-E
Morningstar, Inc. and Subsidiaries
Unaudited Condensed Consolidated Statements of Income |
|||||||||||
|
|
Three months ended March 31, |
|||||||||
(in millions, except per share amounts) |
|
|
2025 |
|
|
|
2024 |
|
|
Change |
|
|
|
|
|
|
|
|
|||||
Revenue |
|
$ |
581.9 |
|
|
$ |
542.8 |
|
|
7.2 |
% |
Operating expense: |
|
|
|
|
|
|
|||||
Cost of revenue |
|
|
231.4 |
|
|
|
218.1 |
|
|
6.1 |
% |
Sales and marketing |
|
|
112.6 |
|
|
|
104.6 |
|
|
7.6 |
% |
General and administrative |
|
|
76.5 |
|
|
|
80.3 |
|
|
(4.7 |
)% |
Depreciation and amortization |
|
|
47.3 |
|
|
|
47.2 |
|
|
0.2 |
% |
Total operating expense |
|
|
467.8 |
|
|
|
450.2 |
|
|
3.9 |
% |
|
|
|
|
|
|
|
|||||
Operating income |
|
|
114.1 |
|
|
|
92.6 |
|
|
23.2 |
% |
Operating margin |
|
|
19.6 |
% |
|
|
17.1 |
% |
|
2.5 pp |
|
|
|
|
|
|
|
|
|||||
Non-operating expense, net: |
|
|
|
|
|
|
|||||
Interest expense, net |
|
|
(5.4 |
) |
|
|
(11.5 |
) |
|
NMF |
|
Other income (expense), net |
|
|
(0.2 |
) |
|
|
5.9 |
|
|
NMF |
|
Non-operating expense, net |
|
|
(5.6 |
) |
|
|
(5.6 |
) |
|
— |
% |
|
|
|
|
|
|
|
|||||
Income before income taxes and equity in investments of unconsolidated entities |
|
|
108.5 |
|
|
|
87.0 |
|
|
24.7 |
% |
Equity in investments of unconsolidated entities |
|
|
(2.6 |
) |
|
|
(1.5 |
) |
|
NMF |
|
Income tax expense |
|
|
27.4 |
|
|
|
21.3 |
|
|
28.6 |
% |
Consolidated net income |
|
$ |
78.5 |
|
|
$ |
64.2 |
|
|
22.3 |
% |
|
|
|
|
|
|
|
|||||
Net income per share: |
|
|
|
|
|
|
|||||
Basic |
|
$ |
1.83 |
|
|
$ |
1.50 |
|
|
22.0 |
% |
Diluted |
|
$ |
1.82 |
|
|
$ |
1.49 |
|
|
22.1 |
% |
Weighted average shares outstanding: |
|
|
|
|
|
|
|||||
Basic |
|
|
42.8 |
|
|
|
42.7 |
|
|
|
|
Diluted |
|
|
43.1 |
|
|
|
43.0 |
|
|
|
|
_________________________________________________________________ NMF - Not meaningful, pp - percentage points |
|||||||||||
Morningstar, Inc. and Subsidiaries
Unaudited Condensed Consolidated Balance Sheets |
||||||
(in millions) |
|
As of March 31, 2025 |
|
As of December 31, 2024 |
||
|
|
|
|
|
||
Assets |
|
|
|
|
||
Current assets: |
|
|
|
|
||
Cash and cash equivalents |
|
$ |
511.5 |
|
$ |
502.7 |
Investments |
|
|
47.7 |
|
|
48.3 |
Accounts receivable, net |
|
|
342.1 |
|
|
358.1 |
Income tax receivable |
|
|
9.4 |
|
|
12.4 |
Other current assets |
|
|
101.6 |
|
|
92.6 |
Total current assets |
|
|
1,012.3 |
|
|
1,014.1 |
|
|
|
|
|
||
Goodwill |
|
|
1,601.1 |
|
|
1,562.0 |
Intangible assets, net |
|
|
420.4 |
|
|
408.8 |
Property, equipment, and capitalized software, net |
|
|
221.6 |
|
|
218.9 |
Operating lease assets |
|
|
172.1 |
|
|
181.2 |
Investments in unconsolidated entities |
|
|
76.2 |
|
|
85.3 |
Deferred tax assets |
|
|
45.9 |
|
|
43.2 |
Other assets |
|
|
36.7 |
|
|
35.4 |
Total assets |
|
$ |
3,586.3 |
|
$ |
3,548.9 |
|
|
|
|
|
||
Liabilities and equity |
|
|
|
|
||
Current liabilities: |
|
|
|
|
||
Deferred revenue |
|
$ |
595.3 |
|
$ |
540.8 |
Accrued compensation |
|
|
132.6 |
|
|
272.2 |
Accounts payable and accrued liabilities |
|
|
92.6 |
|
|
87.3 |
Operating lease liabilities |
|
|
37.7 |
|
|
35.1 |
Income tax payable |
|
|
46.7 |
|
|
30.5 |
Other current liabilities |
|
|
7.4 |
|
|
1.4 |
Total current liabilities |
|
|
912.3 |
|
|
967.3 |
|
|
|
|
|
||
Operating lease liabilities |
|
|
161.7 |
|
|
170.3 |
Accrued compensation |
|
|
22.6 |
|
|
21.0 |
Deferred tax liabilities |
|
|
29.8 |
|
|
27.6 |
Long-term debt |
|
|
803.7 |
|
|
698.6 |
Income tax payable |
|
|
12.5 |
|
|
11.7 |
Other long-term liabilities |
|
|
34.5 |
|
|
33.8 |
Total liabilities |
|
|
1,977.1 |
|
|
1,930.3 |
Total equity |
|
|
1,609.2 |
|
|
1,618.6 |
Total liabilities and equity |
|
$ |
3,586.3 |
|
$ |
3,548.9 |
Morningstar, Inc. and Subsidiaries
Unaudited Condensed Consolidated Statements of Cash Flows |
||||||||
|
|
Three months ended March 31, |
||||||
(in millions) |
|
|
2025 |
|
|
|
2024 |
|
Operating activities |
|
|
|
|
||||
Consolidated net income |
|
$ |
78.5 |
|
|
$ |
64.2 |
|
Adjustments to reconcile consolidated net income to net cash flows from operating activities |
|
|
53.5 |
|
|
|
43.0 |
|
Changes in operating assets and liabilities, net |
|
|
(41.0 |
) |
|
|
(13.6 |
) |
Cash provided by operating activities |
|
|
91.0 |
|
|
|
93.6 |
|
Investing activities |
|
|
|
|
||||
Capital expenditures |
|
|
(32.2 |
) |
|
|
(34.1 |
) |
Acquisitions, net of cash acquired |
|
|
(38.5 |
) |
|
|
— |
|
Purchases of investments in unconsolidated entities |
|
|
(1.2 |
) |
|
|
(2.8 |
) |
Other, net |
|
|
1.2 |
|
|
|
10.2 |
|
Cash used for investing activities |
|
|
(70.7 |
) |
|
|
(26.7 |
) |
Financing activities |
|
|
|
|
||||
Common shares repurchased |
|
|
(109.6 |
) |
|
|
— |
|
Dividends paid |
|
|
(19.5 |
) |
|
|
(17.3 |
) |
Repayments of debt |
|
|
(40.0 |
) |
|
|
(113.1 |
) |
Proceeds from debt |
|
|
145.0 |
|
|
|
90.0 |
|
Other, net |
|
|
— |
|
|
|
(3.1 |
) |
Cash used for financing activities |
|
|
(24.1 |
) |
|
|
(43.5 |
) |
Effect of exchange rate changes on cash and cash equivalents |
|
|
12.6 |
|
|
|
(7.6 |
) |
Net increase in cash and cash equivalents |
|
|
8.8 |
|
|
|
15.8 |
|
Cash and cash equivalents-beginning of period |
|
|
502.7 |
|
|
|
337.9 |
|
Cash and cash equivalents-end of period |
|
$ |
511.5 |
|
|
$ |
353.7 |
|
Morningstar, Inc. and Subsidiaries
Supplemental Data (Unaudited) |
||||||||||||||
|
|
Three months ended March 31, |
||||||||||||
(in millions) |
|
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Organic |
||
Morningstar Direct Platform |
|
|
|
|
|
|
|
|
||||||
Revenue |
|
$ |
199.2 |
|
|
$ |
196.7 |
|
|
1.3 |
% |
|
4.2 |
% |
Adjusted Operating Income |
|
|
87.1 |
|
|
|
91.2 |
|
|
(4.5 |
)% |
|
|
|
Adjusted Operating Margin |
|
|
43.7 |
% |
|
|
46.4 |
% |
|
(2.7) pp |
|
|
||
|
|
|
|
|
|
|
|
|
||||||
PitchBook |
|
|
|
|
|
|
|
|
||||||
Revenue |
|
$ |
163.7 |
|
|
$ |
147.6 |
|
|
10.9 |
% |
|
11.1 |
% |
Adjusted Operating Income |
|
|
52.3 |
|
|
|
40.0 |
|
|
30.8 |
% |
|
|
|
Adjusted Operating Margin |
|
|
31.9 |
% |
|
|
27.1 |
% |
|
4.8 pp |
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Morningstar Credit |
|
|
|
|
|
|
|
|
||||||
Revenue |
|
$ |
73.0 |
|
|
$ |
60.3 |
|
|
21.1 |
% |
|
23.2 |
% |
Adjusted Operating Income |
|
|
21.4 |
|
|
|
12.3 |
|
|
74.0 |
% |
|
|
|
Adjusted Operating Margin |
|
|
29.3 |
% |
|
|
20.4 |
% |
|
8.9 pp |
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Morningstar Wealth |
|
|
|
|
|
|
|
|
||||||
Revenue |
|
$ |
61.3 |
|
|
$ |
59.0 |
|
|
3.9 |
% |
|
7.9 |
% |
Adjusted Operating Loss |
|
|
(0.8 |
) |
|
|
(5.6 |
) |
|
NMF |
|
|
||
Adjusted Operating Margin |
|
|
(1.3 |
)% |
|
|
(9.5 |
)% |
|
8.2 pp |
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Morningstar Retirement |
|
|
|
|
|
|
|
|
||||||
Revenue |
|
$ |
32.9 |
|
|
$ |
28.4 |
|
|
15.8 |
% |
|
15.8 |
% |
Adjusted Operating Income |
|
|
14.6 |
|
|
|
14.2 |
|
|
2.8 |
% |
|
|
|
Adjusted Operating Margin |
|
|
44.4 |
% |
|
|
50.0 |
% |
|
(5.6) pp |
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Consolidated Revenue |
|
|
|
|
|
|
|
|
||||||
Total Reportable Segments |
|
$ |
530.1 |
|
|
$ |
492.0 |
|
|
7.7 |
% |
|
|
|
Corporate and All Other (1) |
|
|
51.8 |
|
|
|
50.8 |
|
|
2.0 |
% |
|
|
|
Total Revenue |
|
$ |
581.9 |
|
|
$ |
542.8 |
|
|
7.2 |
% |
|
9.1 |
% |
|
|
|
|
|
|
|
|
|
||||||
Consolidated Adjusted Operating Income |
|
|
|
|
|
|
|
|
||||||
Total Reportable Segments |
|
$ |
174.6 |
|
|
$ |
152.1 |
|
|
14.8 |
% |
|
|
|
Less: Corporate and All Other (2) |
|
|
(39.2 |
) |
|
|
(41.3 |
) |
|
NMF |
|
|
||
Adjusted Operating Income |
|
$ |
135.4 |
|
|
$ |
110.8 |
|
|
22.2 |
% |
|
|
|
Adjusted Operating Margin |
|
|
23.3 |
% |
|
|
20.4 |
% |
|
2.9 pp |
|
|
||
____________________________________________________________________________________________
(1) Corporate and All Other provides a reconciliation between revenue from the Company's Total Reportable Segments and consolidated revenue amounts. Corporate and All Other includes Morningstar Sustainalytics and Morningstar Indexes as sources of revenues. Revenue from Morningstar Sustainalytics was
(2) Corporate and All Other includes unallocated corporate expenses as well as adjusted operating income (loss) from Morningstar Sustainalytics and Morningstar Indexes. During the first three months of 2025 and 2024, unallocated corporate expenses were |
||||||||||||||
Morningstar, Inc. and Subsidiaries Supplemental Data (Unaudited) |
||||||||||
|
|
|
As of March 31, |
|||||||
AUMA (approximate) ($bil) |
|
|
2025 |
|
|
2024 |
|
Change |
||
|
Morningstar Retirement |
|
|
|
|
|
|
|||
|
Managed Accounts |
|
$ |
162.8 |
|
$ |
136.1 |
|
19.6 |
% |
|
Fiduciary Services |
|
|
65.6 |
|
|
57.8 |
|
13.5 |
% |
|
Custom Models/CIT |
|
|
49.2 |
|
|
42.0 |
|
17.1 |
% |
|
Morningstar Retirement (total) |
|
$ |
277.6 |
|
$ |
235.9 |
|
17.7 |
% |
|
Investment Management |
|
|
|
|
|
|
|||
|
Morningstar Model Portfolios (1) |
|
$ |
44.5 |
|
$ |
40.6 |
|
9.6 |
% |
|
Institutional Asset Management |
|
|
6.9 |
|
|
7.3 |
|
(5.5 |
)% |
|
Asset Allocation Services |
|
|
12.4 |
|
|
9.7 |
|
27.8 |
% |
|
Investment Management (total) |
|
$ |
63.8 |
|
$ |
57.6 |
|
10.8 |
% |
|
|
|
|
|
|
|
|
|||
Asset value linked to Morningstar Indexes ($bil) |
|
$ |
208.7 |
|
$ |
190.2 |
|
9.7 |
% |
|
|
|
|
|
|
|
|
|
|||
|
|
|
Three months ended March 31, |
|||||||
|
|
|
|
2025 |
|
|
2024 |
|
Change |
|
Average AUMA ($bil) |
|
$ |
339.8 |
|
$ |
289.7 |
|
17.3 |
% |
|
______________________________________________________________________________________________________________________________ (1) Includes AUMA in Morningstar Model Portfolios and assets on the International Wealth Platform invested in third-party model portfolios. |
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Morningstar, Inc. and Subsidiaries
Reconciliations of Non-GAAP Measures with the Nearest Comparable GAAP Measures (Unaudited)
To supplement Morningstar’s condensed consolidated financial statements presented in accordance with US Generally Accepted Accounting Principles (GAAP), Morningstar uses the following measures considered as non-GAAP by the SEC, including:
- "Organic Revenue" is consolidated revenue before (1) acquisitions and divestitures, (2) adoption of new accounting standards or revisions to accounting practices (accounting changes), and (3) the effect of foreign currency translations.
- "Adjusted Operating Income (Loss)" is consolidated operating income (loss) excluding (1) intangible amortization expense, (2) the impact of merger, acquisition, and divestiture-related activity which, when applicable, may include certain non-recurring expenses such as pre-deal due diligence, transaction costs, contingent consideration, severance, and post-close integration costs (M&A-related expenses), and (3) certain other one-time, non-recurring items which management does not consider when evaluating ongoing performance.
- "Adjusted Operating Margin" is operating margin excluding (1) intangible amortization expense, (2) M&A-related expenses, and (3) certain other one-time, non-recurring items which management does not consider when evaluating ongoing performance.
- "Adjusted Diluted Net Income Per Share" is consolidated diluted net income per share excluding (1) intangible amortization expense, (2) M&A-related expenses, and (3) non-operating gains, losses, and certain other one-time, non-recurring items which management does not consider when evaluating ongoing performance (non-operating (gains) losses, and other).
- "Free Cash Flow" is cash provided by or used for operating activities less capital expenditures.
These non-GAAP measures may not be comparable to similarly titled measures reported by other companies and should not be considered an alternative to any measure of performance promulgated by GAAP.
Morningstar presents organic revenue because the Company believes this non-GAAP measure helps investors better compare period-over-period results. Morningstar excludes revenue from acquired businesses from its organic revenue growth calculation for a period of 12 months after it completes the acquisition. For divestitures (including sale of assets), Morningstar excludes revenue in the prior-year period for which there is no comparable revenue in the current period.
Morningstar presents adjusted operating income (loss), adjusted operating margin, and adjusted diluted net income per share to better reflect period-over-period comparisons, and improve overall understanding of the underlying performance of the business absent the impact of intangible amortization expense, M&A-related expenses and certain other one-time, non-recurring items.
In addition, Morningstar presents free cash flow solely as a supplemental disclosure to help investors better understand how much cash is available after making capital expenditures. Morningstar's management team uses free cash flow to evaluate the health of its business.
|
|
Three months ended March 31, |
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(in millions) |
|
|
2025 |
|
|
|
2024 |
|
|
Change |
|
Reconciliation from consolidated revenue to organic revenue: |
|
|
|
|
|
|
|||||
Consolidated revenue |
|
$ |
581.9 |
|
|
$ |
542.8 |
|
|
7.2 |
% |
Acquisitions |
|
|
(0.3 |
) |
|
|
— |
|
|
NMF |
|
Divestitures |
|
|
(3.7 |
) |
|
|
(8.7 |
) |
|
(57.5 |
)% |
Effect of foreign currency translations |
|
|
4.6 |
|
|
|
— |
|
|
NMF |
|
Organic revenue |
|
$ |
582.5 |
|
|
$ |
534.1 |
|
|
9.1 |
% |
|
|
|
|
|
|
|
|||||
Reconciliation from consolidated operating income to adjusted operating income: |
|
|
|
|
|
|
|||||
Consolidated operating income |
|
$ |
114.1 |
|
|
$ |
92.6 |
|
|
23.2 |
% |
Intangible amortization expense |
|
|
14.4 |
|
|
|
17.7 |
|
|
(18.6 |
)% |
M&A-related expenses |
|
|
6.9 |
|
|
|
0.5 |
|
|
NMF |
|
Adjusted operating income |
|
$ |
135.4 |
|
|
$ |
110.8 |
|
|
22.2 |
% |
|
|
|
|
|
|
|
|||||
Reconciliation from consolidated operating margin to adjusted operating margin: |
|
|
|
|
|
|
|||||
Consolidated operating margin |
|
|
19.6 |
% |
|
|
17.1 |
% |
|
2.5 pp |
|
Intangible amortization expense |
|
|
2.5 |
% |
|
|
3.2 |
% |
|
(0.7) pp |
|
M&A-related expenses |
|
|
1.2 |
% |
|
|
0.1 |
% |
|
1.1 pp |
|
Adjusted operating margin |
|
|
23.3 |
% |
|
|
20.4 |
% |
|
2.9 pp |
|
|
|
|
|
|
|
|
|||||
Reconciliation from consolidated diluted net income per share to adjusted diluted net income per share: |
|
|
|
|
|
|
|||||
Consolidated diluted net income per share |
|
$ |
1.82 |
|
|
$ |
1.49 |
|
|
22.1 |
% |
Intangible amortization expense |
|
|
0.25 |
|
|
|
0.30 |
|
|
(16.7 |
)% |
M&A-related expenses |
|
|
0.12 |
|
|
|
0.01 |
|
|
NMF |
|
Non-operating (gains) losses, and other (1) |
|
|
0.04 |
|
|
|
(0.07 |
) |
|
NMF |
|
Adjusted diluted net income per share |
|
$ |
2.23 |
|
|
$ |
1.73 |
|
|
28.9 |
% |
|
|
|
|
|
|
|
|||||
Reconciliation from cash provided by operating activities to free cash flow: |
|
|
|
|
|
|
|||||
Cash provided by operating activities |
|
$ |
91.0 |
|
|
$ |
93.6 |
|
|
(2.8 |
)% |
Capital expenditures |
|
|
(32.2 |
) |
|
|
(34.1 |
) |
|
(5.6 |
)% |
Free cash flow |
|
$ |
58.8 |
|
|
$ |
59.5 |
|
|
(1.2 |
)% |
______________________________________________________________________ NMF - Not meaningful, pp - percentage points
(1) Reflects realized and unrealized gains and losses on investments in the three months ended March 31, 2025 and March 31, 2024. In addition, for the three months ended March 31, 2025, includes the holding loss on our previously held equity interest in DealX. |
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View source version on businesswire.com: https://www.businesswire.com/news/home/20250429168139/en/
Media Relations Contact:
Stephanie Lerdall, +1 312-244-7805, stephanie.lerdall@morningstar.com
Investor Relations Contact:
Sarah Bush, +1 312-384-3754, sarah.bush@morningstar.com
Source: Morningstar, Inc.
