StockWatch
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MOODYS CORP /DE/ Q1 FY26 Results

MCOQ1 FY26 Results
Filing
MetricValue ($ M)Q1 FY25
Revenue2.1K8.1%
Total Income2.1K8.1%
Expenditure1.2K7.3%
PBT870.008.2%
Net Profit661.005.8%
OPM44.35%0.38pp
NPM31.79%0.69pp
EPS3.747.8%
View full financials

Moody's Corporation Reports Record Q1 2026 Results

22 Apr 2026 · 22 Apr, 4:29 pm

Summary

Moody's Corporation announced record results for the first quarter of 2026. Revenue increased by 8% to $2.1 billion, and the adjusted operating margin expanded by 150 bps to 53.2%. Diluted EPS was up 8%, and Adjusted Diluted EPS increased by 13%. The company reaffirmed its full-year 2026 revenue growth guidance in the high-single digit percent range and Adjusted Diluted EPS between $16.40 and $17.00. Rob Fauber, President and CEO, noted the strong performance of both MIS and MA, highlighting the demand for Moody’s decision-grade connected intelligence.

Key Highlights

  1. 1

    Moody's Corporation's revenue reached $2.1 billion, reflecting an 8% increase compared to the prior-year period.

  2. 2

    The company's operating margin was 44.3%, while the adjusted operating margin expanded by 150 bps to 53.2%.

  3. 3

    Diluted EPS increased by 8% and Adjusted Diluted EPS rose by 13% year-over-year, driven by strong topline growth and operating leverage.

  4. 4

    Operating cash flow increased by 24% to $939 million, and free cash flow increased by 26% to $844 million.

  5. 5

    The company accelerated capital returns with $1.7 billion in share repurchases and dividends during the first quarter.

  6. 6

    Full-year 2026 revenue growth is reaffirmed to be in the high-single digit percent range, with Adjusted Diluted EPS expected to be within the range of $16.40 to $17.00.

  7. 7

    MIS achieved record revenues of $1.2 billion on over $2 trillion in rated issuance and delivered an adjusted operating margin of 67%.

Management Comments

R

Rob Fauber

Both MIS and MA delivered strong results this quarter with sustained growth and powerful operating leverage. MIS achieved record revenues of $1.2 billion on over $2 trillion in rated issuance and delivered an adjusted operating margin of 67%. MA continued its growth momentum with 8% ARR3 growth and 250 basis points of adjusted operating margin expansion. As AI adoption accelerates, it is driving demand for Moody’s decision-grade connected intelligence in high-stakes environments.”

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