McGraw-Hill Financial Services (S&P): Revenue for this segment increased by 9.3% to $667.0 million in the first quarter compared to the same period last year. Operating profit grew by 12.3% to $260.0 million. Foreign exchange rates benefited revenue growth by $11.7 million and had minimal impact on operating profits.
S&P’s international revenue grew by 18.4% to $210.7 million in the first quarter and accounted for 46.7% of Standard & Poor’s Credit Market Services’ revenue in the period compared to 45.5% for the first quarter of 2009.
For Moody’s Corporation overall, global revenue of $476.6 million increased 17% from the first quarter of 2009. Excluding the favorable impact of foreign currency translation, revenue increased 14 percent. U.S. revenue of $254.6 million for the first quarter of 2010 increased 22% from the first quarter of 2009.
Moody’s international revenue was U.S. of $222.0 million and grew by 11% from the prior-year period. Revenue generated outside the U.S. represented 47% of Moody’s total revenue for the quarter, down from 49% in the year-ago period.
FINANCIAL MARKET DOES NOT REWARD GROWTH TREND AS RATING AGENCIES BASHING CONTINUES ON CAPITOL HILL
The chief executive of Moody’s admitted to a Senate panel on Friday that the credit rating agency failed to anticipate the severity of the deterioration in the US housing market that led to the financial crisis and was “not satisfied” with its performance. However, Raymond McDaniel defended the agencies’ reliance on Wall Street firms for fees, saying that “potential conflicts exist regardless of who pays”. Source” Financial Times