Moody's Lifts Outlook as 3Q Profit, Revenue Rise

By Connor Hart

Moody's raised its full-year outlook after logging higher profit and revenue in the third quarter, as the company's growth investments drive returns.

The New York credit-ratings and research company on Wednesday said it now expects revenue growth in the high-single-digit percent range for the year, compared with a prior outlook for mid-single-digit growth.

Earnings are now projected to be between $13.15 and $13.40 a share, or between $14.50 and $14.75 a share on an adjusted basis. The company had previously guided for earnings of $12.25 to $12.75 a share, and for adjusted earnings of $13.50 to $14 a share.

Analysts polled by FactSet are looking for revenue to rise approximately 7%, a profit of $12.90 a share, and adjusted earnings of $14.14 a share.

The new outlook came as Moody's posted a third-quarter profit of $646 million, or $3.60 a share, compared with $534 million, or $2.93 a share, a year earlier.

Stripping out certain one-time items, adjusted earnings were $3.92 a share, ahead of analyst views for $3.70 a share.

Revenue jumped 11% to $2.01 billion and topped the $1.96 billion that Wall Street modeled.

Moody's Investors Service, the credit-ratings agency, generated revenue of $1.15 billion, up 11% from a year earlier. The firm's analytics unit notched revenue of $912 million, a 9.4% increase from last year.

Chief Executive Rob Fauber said Moody's investments are paying off, allowing the company to better serve customers while pursuing key growth opportunities.

Shares slipped 1% to $480.13 in premarket trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

October 22, 2025 07:48 ET (11:48 GMT)