What a difference 3 months make!  Moody’s Rating Services posted a negative growth, while analytics services soared.  Analytics however contributes only 34% of Moody’s revenues therefore the double digit growth in this segment did not prevent overall revenue growth from falling to lower single digit growth rate.

For Moody’s Corporation overall, global revenue of $531.3 million increased 4% from the third quarter of 2010. Excluding the favorable impact of foreign currency translation, revenue grew 1 percent. U.S. revenue of $274.3 million for the third quarter of 2011 decreased 1% from the third quarter of 2010, while revenue generated outside the U.S. of $257.0 million increased 9% from the prior-year period. Revenue generated outside the U.S. represented 48% of Moody’s total revenue for the quarter, up from 46% in the year-ago period.

Global revenue for Moody’s Investors Service (“MIS”) for the third quarter of 2011 was $351.4 million, a decrease of 2% from the prior-year period. Excluding the impact of foreign currency translation, revenue was down 5 percent. U.S. revenue of $198.8 million for the third quarter of 2011 decreased 4% from the third quarter of 2010. Outside the U.S., revenue of $152.6 million increased 1% from the year-ago period.

Within MIS, global corporate finance revenue of $129.0 million in the third quarter of 2011 was down 11% from the same quarter of 2010 reflecting weaker issuance primarily in speculative grade bonds. Corporate finance revenue was down 11% in the U.S. and 10% outside the U.S.

Global structured finance revenue totaled $82.0 million for the third quarter of 2011, an increase of 17% from a year earlier. U.S. structured finance revenue grew 20% from the year-ago period, primarily due to strength in commercial real estate. Non-U.S. structured finance revenue increased14%, driven primarily by European covered bonds.

Global financial institutions revenue of $72.1 million in the third quarter of 2011 decreased 2% compared to the prior-year period. U.S. financial institutions revenue declined 1%, while non-U.S. revenue fell 3 percent.

Global public, project and infrastructure finance revenue was $68.3 million for the third quarter of 2011, a decrease of 2% from the third quarter of 2010. U.S. revenue declined 8% from the prior-year period reflecting lower project and infrastructure finance. Non-U.S. revenue grew 13%, primarily due to gains in infrastructure finance.

Global revenue for Moody’s Analytics (“MA”) for the third quarter of 2011 was $179.9 million, up 16% from the third quarter of 2010. The impact of foreign currency translation was negligible. Revenue from research, data and analytics of $115.3 million increased by 9% from the prior-year period and risk management software revenue of $47.9 million grew 12 percent.

Professional services revenue of $16.7 million more than doubled from the prior-year period, primarily reflecting the acquisition of CSI Global Education in November 2010.  In the U.S., MA revenue of $75.5 million for the third quarter of 2011 increased 6% from the prior-year period. Outside the U.S., revenue of $104.4 million grew 24% as compared with the same quarter of 2010.

Source:  Moody’s Press Release