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FDS · 10-Q filed July 1, 2026

FDS earnings analysis

What we found in FDS's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.

Our reading of the filing · Free to read, no account needed

FactSet Research Systems Inc. reported a strong Q3 2026 with a revenue of $622.9 million, up 6.4% from the previous year, driven primarily by organic growth. However, diluted EPS fell to $3.50, a decrease of 9.6% year over year due to increased operating expenses and lower net income, which was $126.7 million, down 14.7% compared to the prior year.

What stood out

The parts that mattered.

Pulled out of the filing itself, with the figures the company reported.

Revenue Growth of 6.4%
Total revenue increased to $622.9 million, compared to $585.5 million in Q3 2025.
Adjusted EPS Beat Expectations
Reported EPS of $4.53 exceeded estimates of $4.45, reflecting a 6.1% year-over-year growth.
Operating Margin Decline
Despite revenue growth, operating margin dropped to 26.7% from 33.2% in the prior year.
Strong Free Cash Flow
Free cash flow for the quarter totaled $530.2 million, a significant increase from $439.3 million year-on-year.
Segment Performance
Americas segment revenue grew 7.0% to $407.2 million, leading among regions.
Stockholder Returns
Returned $243.4 million to stockholders through dividends and share repurchases.
What to watch

And the other side of it.

The offsets in the same document — the things a summary that only listed the good news would have left out.

Higher Operating Expenses
Operating expenses rose 16.7% to $456.6 million due to increased employee compensation.
Decreased Net Income
Net income declined 14.7% to $126.7 million, affecting overall profitability.
Decline in Operating Income
Operating income dropped 14.3% to $166.3 million, primarily from rising costs.
The numbers

What they reported.

What the company itself reported, taken out of the document.

What survived to operating profit
Of every $100 of revenue Cost of sales $47 Operating expenses $26 Left as operating profit $27
Percentages of revenue, taken from the filing. Drawn this way because it holds whatever scale the company reports in.
Earnings per share
$4.53
Gross margin
52.2%
Operating margin
26.7%
Segment
Americas: $407.2M
Segment
EMEA: $151.9M
Segment
Asia Pacific: $63.7M
Guidance

What they said about what is next.

Fiscal 2026 guidance reaffirmed with no changes.

How we read the filing overall

The filing reads about the same as the one before it.

One reading of one document. It is not advice, and it is not a forecast.
Earlier filings

What came before.

10-Q · April 2, 2026
FactSet delivered revenue of $611,019 (in thousands) in the quarter, up 7.1% year-over-year from $570,660 (in thousands), but reported margin compression (gross margin 51.4% and operating margin 30.3%) and diluted EPS…
10-Q · July 3, 2025
FactSet reported quarterly revenue of $585,520 (in thousands) for the three months ended May 31, 2025, up from $552,708 (in thousands) a year earlier, while gross margin and operating margin compressed and diluted EPS…
10-Q · April 3, 2024
In Q2 2024, FactSet reported revenues of $545.9 million, marking a 5.9% increase year-over-year. Gross margin returned to 53.3%, while diluted EPS improved to $3.65. The Americas segment drove growth with revenue of…
10-Q · July 3, 2023
FactSet reported quarter revenue of $529,811,000 (up $41,060,000 or +8.4% vs. $488,751,000 a year ago) and diluted EPS of $3.46 (up from $1.93). Operating income rose to $171,959,000 (+$74,705,000; +76.8% YoY) driven by…

This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.

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