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Thomson Reuters Earnings Commentary

Published 31/10/2019, 12:38
TRI
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Thomson Reuters (TSX:TRI) has again pleased investors with a better-than-expected earnings performance, driven by legal and accounting offerings that will form the back bone of its business when the Refinitiv deal is complete.

Earnings in the legal unit have continued to grow nicely, even against a tough comparative period, as efficiency measures bear fruit.

The tax unit has seen a fall in earnings but that was to be expected given that the third quarter is traditionally a seasonally weak period for that business.

Rumours may be swirling about the potential departure of Jim Smith but whenever he decides to go, it's hard to see him ever being pushed, at least at not at this stage.

Smith has not only transformed Thomson Reuters by cutting costs. He's also pulled off the tougher feat of generating consistent organic revenue growth with product launches that are being well received by the market.

Disclaimer: The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient.

Any references to historical price movements or levels is informational based on our analysis and we do not represent or warrant that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, the author does not guarantee its accuracy or completeness, nor does the author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

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