Q3 2025 MSCI Inc Earnings Call Transcript
Key Points
- MSCI Inc (MSCI) reported strong financial performance with organic revenue growth of 9%, adjusted EBITDA growth of 10%, and adjusted earnings per share growth of over 15%.
- The company achieved a total run rate growth of over 10%, driven by a 17% increase in asset-based fee run rate, supported by record AUM levels in both ETF and non-ETF products linked to MSCI indices.
- MSCI Inc (MSCI) demonstrated significant growth in recurring net new subscription sales, with a 27% increase in Index and 16% in Analytics, highlighting strong adoption of their risk tools and equity models.
- The company is leveraging AI to enhance existing products and develop new capabilities, which is expected to unlock significant value for clients and shareholders.
- MSCI Inc (MSCI) has authorized $3 billion in additional share repurchases, reflecting strong confidence in the value of their franchise.
- The company faces challenges in the Sustainability and Climate segment, with ongoing pressures expected to continue in the near term.
- There is sluggishness in the EMEA region, particularly among asset managers, which has resulted in softer results compared to other regions.
- The non-ETF revenue growth is tracking behind ETF revenues, with some lumpiness in period-to-period comparability due to true-ups and true-downs.
- Despite strong momentum in product development, the impact on revenue from new AI-powered products is not yet significant.
- The private asset segment's run rate growth is relatively modest at 5.5%, indicating room for improvement in this area.
Good day, ladies and gentlemen, and welcome to the MSCI third-quarter 2025 earnings conference call. As a reminder, this call is being recorded. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session where participants are requested to ask one question at a time, then add yourself back to the queue for any additional questions. We will have further instructions for you later on.
I would like now to turn the call over to Jeremy Ulan, Head of Investor Relations and Treasurer.
Thank you. Good day and welcome to the MSCI third-quarter 2025 earnings conference call. Earlier this morning, we issued a press release announcing our results for the third-quarter 2025. This press release, along with an earnings presentation and brief quarterly update, are available on our website, msci.com, under the Investor Relations tab.
Let me remind you that this call contains forward-looking statements which are governed by the language on the
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
