Loading...
•
Dec 31, 2025
Moody's Q4 2025 Earnings Report
Moody's reported strong fourth quarter and full year 2025 results, driven by robust revenue growth and margin expansion across both segments.
Key Takeaways
Moody's Corporation announced record results for the fourth quarter and full year 2025, with revenue increasing by 13% to $1.9 billion in Q4 2025 and 9% to $7.7 billion for the full year. Diluted EPS grew 57% to $3.41 in Q4 2025, and adjusted diluted EPS increased by 39% to $3.64, reflecting strong operating income growth and margin expansion.
Moody's Corporation revenue increased 13% to $1.9 billion in Q4 2025, with foreign currency translation favorably impacting revenue by 2%.
Diluted EPS for Q4 2025 was $3.41, a 57% increase from the prior-year period, driven by strong revenue and operating income growth.
Moody's Analytics revenue grew 9% to $943 million in Q4 2025, with recurring revenue, comprising 97% of total MA revenue, growing 11%.
Moody's Investors Service revenue increased 17% to $946 million in Q4 2025, marking the strongest fourth quarter on record, primarily driven by robust Investment Grade issuance activity.
Revenue by Segment
Forward Guidance
Moody's updated outlook for full year 2026 reflects an increase in revenue, operating expenses, and adjusted diluted EPS, with a focus on strategic investments and operating leverage.
Positive Outlook
- Revenue is projected to increase in the high-single-digit percent range.
- Operating expenses are expected to increase in the mid-single-digit percent range, remaining below revenue growth and reflecting operating leverage.
- Adjusted Diluted EPS is projected to be between $16.40 and $17.00.
- MA Organic Constant Currency Revenue is expected to increase in the high-single-digit percent range.
- MIS Revenue is projected to increase in the high-single-digit percent range.
Challenges Ahead
- Interest Expense, Net is projected to be between $210 million and $230 million.
- Non-operating Expense is projected to be between $180 million and $200 million.
- Foreign currency translation is expected to have an approximately (1%) impact on MA Revenue.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...