UPDATE: Moody's Beats Q4 Expectations

reported stronger-than-expected results for the fourth quarter. The New York-based company reported a quarterly profit of $236.3 million, or $1.12 per share, compared to $206.7 million, or $0.94 per share, in the year-ago period. Its revenue climbed 13% to $877.5 million. However, analysts were expecting earnings of $).95 per share on revenue of $850.29 million. Its corporate finance revenue climbed 8.5% to $263.3 million. Operating expense rose 14% to $532.8 million, while operating income climbed 11% to $344.7 million in the quarter. Global revenue for Moody's Investors Service gained 7% to $565.1 million in the quarter. US revenue climbed 14% to $343.7 million, while non-US revenue fell 2% to $221.4 million. Global revenue for Moody's Analytics surged 23% to $312.4 million in the quarter. During the quarter, the company repurchased 4.6 million shares at a total cost of $440.3 million. At year-end, total cash, cash equivalents and short-term investments were $1.7 billion, compared to $428.7 million versus a year ago. Raymond McDaniel, President and Chief Executive Officer of Moody's said, "Despite our expectations for uneven global growth and foreign currency headwinds in 2015, we are projecting mid-single-digit revenue growth, as well as earnings per share of $4.55 to $4.65." For 2015, the company projects earnings of $4.55 to $4.65 per share, versus analysts' estimates of $4.57 per share. Moody's shares rose 1.14% to close at $93.27 yesterday.