McGraw Hill Financial, Inc. reported fourth quarter 2013 revenue of $1.25 billion, an increase of 2% compared to the same period last year. Net income and diluted earnings per share from continuing operations were $173 million and $0.62, respectively.
For the full year revenue increased 10% to $4.88 billion and net income and diluted earnings per share from continuing operations were $812 million and $2.90, respectively. Excluding the impact of one‐time costs related to restructuring, the pending sale of a data center, and lease terminations as the Company consolidates office space, adjusted net income from continuing operations for the quarter increased 9% to $223 million, and adjusted diluted earnings per share from continuing operations increased 12% to $0.81. For the full year, adjusted net income from continuing operations increased 19% to $931 million and adjusted diluted earnings per share from continuing operations increased 21% to $3.33.
“2013 has been a momentous year for the Company as we transformed McGraw Hill Financial into a more profitable, more growth‐oriented company. These actions drove the record results delivered today with 10% revenue growth and 21% adjusted diluted EPS from continuing operations growth,” said Douglas L. Peterson, president and chief executive officer of McGraw Hill Financial
Segment Results:
Standard & Poor’s Ratings Services: Fourth quarter revenue was the second highest of 2013. However, facing the most difficult comparison of the year, fourth quarter 2013 revenue decreased 2% to $574 million and operating profit decreased 10% to $221 million. 2013 revenue increased 12% to $2.27 billion. Operating profit increased 18% to $1.0 billion.
S&P Capital IQ: Revenue increased 4% to $301 million in the fourth quarter of 2013. Excluding ongoing portfolio rationalization, organic growth accounted for 5%. Quarterly operating profit decreased 5% to $46 million. Adjusted operating profit increased 1% to $54 million. Full‐year 2013 revenue increased 4% to $1.17 billion. Operating profit increased 1% to $211 million. Adjusted operating profit decreased 2% to $224 million.
S&P Dow Jones Indices: Revenue increased 18% to $130 million in the fourth quarter of 2013. Quarterly operating profit decreased 21% to $50 million.
Commodities & Commercial Markets: Revenue increased 2% to $264 million and operating profit increased 41% to $76 million in the fourth quarter of 2013. Adjusted operating profit also increased by 41% to $84 million in the fourth quarter, compared to the same period last year. For 2013, revenue increased 4% to $1.01 billion. Operating profit increased 25% to $311 million.
Source: McGraw-Hill Financial
