Factset FY 3Q15 Earnings Call Notes

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Buy side business strong

” FactSet expanded in both its buy and sell side user bases. We also increased users within the corporate marketplace, primarily through partnerships with third parties. Client growth was strong this quarter, as we added 47 net new clients compared to 30 last year. New client growth in our buy-side business drove the majority of the increase.”

Broad based growth

“First of all, I would say on both the buy side and the sell side this quarter, the growth drivers were exceptionally broad-based”

“You saw that we had a great quarter in terms of net workstation additions. I think that’s the strongest Q3 we’ve had in probably four years, and that was well distributed between the buy side and the sell side.”

FX has been a benefit to us

“FX has been a benefit to us over the last 12 months. Again, that benefit has translated in two positive impacts for the business. One is head count has grown over 9% as we have reinvested a chunk of that business into investing it back into the business. And the other piece of that is our margin expansion of 110 basis points over the last 12 months.”

More active on M&A than have been in the past

“We continue to evaluate a lot of different opportunities that we come across. There are some natural adjacencies for us, which I’m probably not going to get into in any detail on this call. But we’re as active or more active than we’ve been in the past.”

Only 5% of total market?

“I think we’re continually taking share from all of the major competitors, Dan, that you know of in the marketplace. So each quarter it differs a little bit in terms of who those names are and what types of clients, but we feel like we’re doing very well on a competitive basis. And just to remind everyone, in terms of the overall market, we’re still probably at 5% of that, so we view opportunity against all of our competitors.”