IHS Beats Q3 Expectations

reported stronger-than-expected results for its fiscal third quarter on Tuesday. The Englewood, Colorado-based company posted quarterly net income of $59.2 million, or $0.86 per share, compared to $46.5 million, or $0.68 per share, in the year-ago period. On an adjusted basis, the company earned $1.56 per share. Its total revenue increased 5.7 percent to $587.9 million. However, analysts were expecting earnings of $1.47 per share on revenue of $579.1 million. The average estimate among 5 Estimize users was for earnings of $1.45 per share and revenue of $582.14 million. Its quarterly revenue for Americas rose 9 percent to $397 million in the quarter, while revenue for EMEA slipped 3 percent to $135 million. Revenue for APAC gained 4 percent to $56 million. Its subscription revenue gained 8 percent to $466.6 million in the quarter, while non-subscription revenue slipped 2 percent to $121.3 million. Adjusted EBITDA surged 9 percent to $190 million. "We continue to be pleased with the strength of our Industrials revenue growth, while our Resources revenue continues to be negatively impacted by market pressures," said Todd Hyatt, IHS chief financial officer. "We continue to deliver solid profit and margin expansion, with Adjusted EBITDA of $190 million for the quarter, up 9 percent versus a year ago." For the full year, the company projects adjusted profit to come in at the high end of its earlier forecast of $5.80 to $6.00 per share and revenue at the mid-point of the range of $2.30 billion to $2.34 billion. IHS shares fell 5.72 percent to close at $105.34 yesterday.