FactSet Q3 Revenue Up 6.4% to $622.9M, Adjusted EPS $4.53, AI Adoption Exceeds 90%

FDS

•

2026-07-01

FactSet's Q3 fiscal 2026 GAAP revenues rose 6.4% year-over-year to $622.9 million, while organic revenues grew 7.0% and organic ASV reached $2.4856 billion. Adjusted diluted EPS increased 6.1% to $4.53, with over 90% of top 50 clients using four or more AI products and $243 million returned to shareholders.

1. Q3 Financial Results

FactSet reported GAAP revenues of $622.9 million for Q3 fiscal 2026, up 6.4% from $585.5 million a year earlier, with organic revenues rising 7.0%. GAAP operating margin slipped to 26.7% from 33.2%, while adjusted operating margin was 34.0% versus 36.8% last year. Diluted EPS was $3.50, down 9.6%, but adjusted diluted EPS increased 6.1% to $4.53.

2. Client Renewals and AI Momentum

Enterprise renewals extended average contract lengths by 30%, and annual ASV retention remained above 95%. Over 90% of the top 50 clients now use four or more FactSet AI products, with new partnerships with Google Cloud, Finster AI and TIFIN.AI and the roll-out of the MCP server boosting AI-ready workflow adoption.

3. Leadership Change and Capital Returns

Joshua B. Warren joined as Chief Financial Officer, bringing experience from Envestnet and BlackRock. FactSet returned $243 million to shareholders in Q3, marking 27 consecutive years of dividend increases, and has returned $629 million fiscal year-to-date.