UPDATE: IHS Q3 Profit Beats Estimates

IHS

reported upbeat third-quarter earnings on Thursday. For the year ending November 30, 2014, IHS expects adjusted profit of $5.70 to $5.80 per share on revenue of $2.225 billion to $2.235 billion. Analysts estimated a profit of $5.80 per share on revenue $2.24 billion. The Englewood, Colorado-based company posted a quarterly profit of $46.5 million, or $0.68 per share, versus a year-ago profit of $23.4 million, or $0.35 per share. Excluding items, IHS earned $1.49 per share. Its revenue increased around 16% to $556 million. However, analysts were expecting earnings of $1.44 per share on revenue of $556.66 million. Its subscription revenue climbed 18.4% to $432.1 million. Revenue for Americas rose 18% to $363 million in the quarter, while revenue for EMEA jumped 13% to $138 million. Revenue for APAC climbed 7% to $54 million in the quarter. Adjusted EBITDA climbed 21% y/y to $174 million, while free cash flow jumped 124% to $135 million. Scott Key, IHS president and chief executive officer said, “The disciplined execution of our strategy is resulting in a consistent delivery of organic revenue growth, profit growth and margin expansion as we are also building new growth in our sales and product pipelines.” IHS shares fell 0.56% to close at $138.62 yesterday.