S&P Global (SPGI) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 10% year-over-year to $4.171 billion, with organic constant currency revenue up 9% and strong performance across all segments, especially Ratings and Indices.

• Adjusted diluted EPS increased 14% to $4.97; GAAP diluted EPS rose 32% to $4.69; margin expansion achieved in every division.

• $1 billion returned to shareholders via share repurchases in Q1 2026, with ongoing commitment to return 100% or more of adjusted free cash flow.

• Continued innovation and accelerated AI integration, including new AI-native platforms and record engagement in AI-enabled products.

• Progress on Mobility spin-off (expected mid-2026) and announced divestiture of Energy's geoscience and petroleum engineering software portfolio.

Financial highlights

• Q1 2026 revenue: $4.171 billion (+10% YoY); adjusted operating profit: $2.159 billion (+12% YoY); operating profit: $2.002 billion (+27% YoY, including $172 million gain on dispositions).

• Adjusted operating margin expanded to 51.8% from 50.8% YoY; GAAP operating margin increased to 48%.

• Net income attributable to shareholders: $1.395 billion (+28% YoY); adjusted net income: $1.479 billion (+10% YoY).

• Free cash flow increased 13% to $919 million; adjusted free cash flow excluding certain items: $992 million (+10% YoY).

• Subscription revenue up 6% YoY; non-subscription/transaction revenue up 15%.

Outlook and guidance

• 2026 organic constant currency revenue growth expected at 6.0% to 8.0%; reported revenue growth guidance at 6.3% to 8.3%.

• Adjusted diluted EPS guidance for 2026: $19.40 to $19.65 (+9% to +10% YoY).

• Adjusted operating profit margin expansion guidance: 50 to 75 basis points (excluding OSTTRA/Astra).

• Energy division guidance lowered by 1 percentage point due to Iran conflict; Mobility spin-off expected mid-2026, with guidance updates to follow.

• Expectation to return 100% or more of 2026 adjusted free cash flow via dividends and repurchases.