Thomson Reuters Corporation Common Shares (TRI) Earnings

metirFinance

Sep 2026upcoming

Next quarter

Reports Nov 3, 2026.

Consensus is $0.89 EPS for Sep 2026 across 2 estimates, ranging $0.89 to $0.89.

TRI Jun 2026

Reported Aug 5, 2026 · before the open

: 3.13%

: $0.96
: $0.99
: —
: —

Highlights

Growth: Second-quarter revenue rose 9% to $1.954 billion, with organic growth of 8%; recurring revenue increased 9% and transactions revenue increased 16%.
Big 3 momentum: Legal Professionals, Corporates, and Tax, Audit & Accounting Professionals delivered 10% organic revenue growth collectively and represented 83% of company revenue.
Earnings beat: Adjusted EPS was $0.99 versus the $0.96 consensus, a 3.13% surprise, and increased 14% from $0.87 a year ago.
Profitability: Adjusted EBITDA increased 10% to $745 million and the margin expanded 30 basis points year over year to 38.1%.
Outlook: Thomson Reuters raised its 2026 revenue-growth outlook to approximately 8.0% for the total company and 9.5%-10.0% for the Big 3 segments.
AI execution: Management highlighted the release of CoCounsel Legal and strong evaluation results for the first production-ready version of the Thomson LLM as priorities for the second half.
Global Print transaction: Thomson Reuters agreed to sell a 51% stake in Global Print to KKR for approximately $500 million in gross proceeds while retaining 49% and editorial control.
Cash and capital returns: Free cash flow rose 29% to $727 million; the company completed a $600 million share repurchase, returned $605 million of capital, and repaid $500 million of notes.
Balance sheet: Net debt was $2.628 billion at June 30, up from $1.896 billion at year-end, with leverage at 0.9x adjusted EBITDA versus 0.6x.

Analysis

Thomson Reuters' second quarter was a broad-based growth print, with adjusted EPS of $0.99 beating the $0.96 consensus by 3.13% and rising from $0.87 in the year-ago quarter. Revenue increased 9% to $1.954 billion, or 8% organically, while adjusted EBITDA rose 10% to $745 million and margin improved to 38.1% from 37.8%. Free cash flow was $727 million, up from $566 million. Sequentially, revenue declined from an inferred first-quarter $2.087 billion and adjusted EPS from $1.23, reflecting the company's seasonal earnings pattern rather than a reversal in underlying momentum.

The defining feature was continued strength in the professional businesses: the Big 3 segments grew organic revenue 10%, led by Corporates at 10%, Legal Professionals at 10%, and Tax, Audit & Accounting Professionals at 8%. The company raised its full-year 2026 revenue-growth outlook to approximately 8.0% for the total company and 9.5%-10.0% for the Big 3. Thomson Reuters also used the quarter to sharpen its portfolio around content-powered AI, announcing the KKR Global Print joint venture and emphasizing CoCounsel Legal and the Thomson LLM. Capital allocation was substantial, with $1.205 billion returned through the special capital distribution and share repurchases during the quarter, alongside the $500 million debt repayment.

Big 3 growth

The core professional businesses remained the central operating story. Together they generated $1.620 billion of revenue, up 11% year over year and 10% organically, and produced $691 million of adjusted EBITDA, up 12%. Their 42.7% margin was 40 basis points higher than a year earlier.

Legal Professionals: Revenue increased 10% organically to $772 million, driven primarily by Westlaw and CoCounsel. Recurring revenue, which represented 97% of the segment, rose 9%, while CLEAR helped transactions revenue increase 18% organically. Adjusted EBITDA was $371 million and margin was unchanged at 48.1%.
Corporates: Organic revenue increased 10% to $537 million, with recurring revenue up 9% and transactions revenue up 24% organically. Confirmation, Pagero, Trust, Checkpoint, and Indirect Tax were key transaction drivers. Adjusted EBITDA rose 17% to $200 million and margin expanded 150 basis points to 37.2%.
Tax, Audit & Accounting Professionals: Organic revenue grew 8% to $311 million, led by tax and audit products, GoSystem, CoCounsel, and Cloud Audit Suite. Adjusted EBITDA increased 9% to $120 million, while margin slipped 20 basis points to 38.7%; the segment is seasonally weighted toward the first and fourth quarters.

AI product momentum

Management positioned the second half around expanding Thomson Reuters' fiduciary-grade AI offering. The release highlighted the recent launch of CoCounsel Legal and strong evaluation results for the first production-ready version of the Thomson LLM. AI was already cited as a growth contributor within Legal Professionals through CoCounsel and within Tax, Audit & Accounting through CoCounsel, while CoCounsel also supported Corporates revenue growth. The company did not quantify AI-related revenue or adoption in the release.

Raised 2026 outlook

The company raised its 2026 full-year revenue outlook based on first-half performance, while leaving all other outlook metrics unchanged. The revised targets assume constant currency and include the February Noetica acquisition, but exclude future acquisitions and dispositions.

Total company: Total and organic revenue growth are now expected to be approximately 8.0%.
Big 3 segments: Total and organic revenue growth are expected to be in the 9.5%-10.0% range.
First-half position: Six-month revenue was $4.041 billion, up 10% reported and 8% organically; Big 3 organic growth was 9%, supporting the guidance increase.

Global Print transaction

Thomson Reuters agreed to form a joint venture with KKR by selling 51% of Global Print for approximately $500 million in gross proceeds while retaining a 49% interest. The transaction is expected to close in the fourth quarter, subject to approvals, and the company expects to record a pre-tax gain. Global Print will be reported as a discontinued operation beginning in the third quarter and will no longer be a reportable segment. The business declined 3% organically in the quarter to $111 million of revenue, although adjusted EBITDA rose 2% to $42 million as lower expenses lifted margin to 37.7% from 36.0%. Thomson Reuters will retain its intellectual property rights and editorial control, while the joint venture will pay royalties for print and ProView distribution.

Cash and capital allocation

Cash generation strengthened, with operating cash flow increasing 23% to $920 million and free cash flow rising 29% to $727 million despite higher capital expenditures of $177 million versus $163 million a year earlier. Thomson Reuters completed a $605 million return-of-capital transaction on May 4, reducing the share count by approximately 6.5 million shares, and repurchased $362 million of shares through June 30 as part of its $600 million program. The program was completed in July after an additional $238 million of repurchases. The company also repaid $500 million of 3.35% notes in May. These actions contributed to net debt increasing to $2.628 billion from $1.896 billion at December 31, with leverage rising to 0.9x from 0.6x.

Thomson Reuters Corporation Common Shares

Peers