By Will Feuer
FactSet Research Systems posted higher revenue for its fiscal second quarter, but said it expects revenue to be at the low end of its guidance for the full year after losing some banking and wealth-management users.
The Norwalk, Conn.-based company, whose offerings include analytics and data products, reported a fiscal second quarter profit of $140.9 million, or $3.65 a share, for the three months ended Feb. 29, compared with $131.6 million, or $3.38 a share, in the comparable period a year earlier.
Stripping out one-time items, adjusted earnings were $4.22 a share. Analysts surveyed by FactSet expected $3.90 a share.
Revenue rose 6% to $545.9 million. Analysts surveyed by FactSet expected $546.8 million.
The company said revenue growth was driven by asset owners, corporates, hedge funds and private equity and venture capital clients. User count fell by 605 to 206,478 over the past three months, weighed down by a decrease in banking and wealth management users.
Annual subscription value plus professional services was $2.21 billion at the end of the quarter, down about 5% from a year ago. On an organic basis, though, the figure rose by more than 5%.
For the full fiscal year 2024, FactSet said it expects revenue to come in at the lower end of its previously provided guidance, which was $2.2 billion to $2.21 billion.
Chief Financial Officer Linda Huber said the company is tightly managing costs to invest back into the business in areas such as generative artificial intelligence.
Write to Will Feuer at Will.Feuer@wsj.com