By Adriano Marchese
Thomson Reuters reports lower third-quarter profit as the company continued to increase its investments, particularly in expanding its AI capabilities.
The Canadian news and information conglomerate on Tuesday posted a lower net income of $301 million, or 67 cents a share, down from $367 million, or 80 cents a share, in the comparable quarter a year ago.
Thomson Reuters said that the decline was largely due to higher costs which included growth investments and the effects of acquisitions. The company said that its investments in AI now have now increased to more than $200 million in 2024.
Adjusted earnings were 80 cents a share. According to FactSet, analysts were expecting 77 cents a share.
Revenues rose 8% to $1.72 billion. Analysts expected a rise to $1.7 billion. Thomson Reuters credits the rise to growth in recurring and transactions revenues, while acquisitions had a 1% positive effect, offset slightly by foreign currency.
The company’s “Big 3” segments, which together comprise 81% of its total revenue, reported organic revenue growth of 9%.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
November 05, 2024 07:27 ET (12:27 GMT)
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