FactSet Research Systems Inc. (NYSE:FDS) Q2 2023 Earnings Call Transcript

Now Japan has their own issues, but they’ve also expanded in terms of accelerated growth with asset managers. So we continue to see double-digit growth there in analytics. Now we do see that Hong Kong is still recovering. So I think we mentioned that last quarter, but activity has picked up a lot given post the relaxation of the zero COVID rule. So we think the pipeline there is beginning to book, but at this point, it’s coming from, as you know, a bit of a low base. But we’re very pleased to see the — the improvement happening out in APAC.

Owen Lau: Got it. And then and also another product which is related to ESG offerings and also the attraction there. And I think there are some noise about like some funds are moving away from ESG investing. Do you see these as a material trend or you don’t see that as you know as like troubling as the kind of some people who have reported? Thanks.

Philip Snow: Hey, Owen. It’s Phil. So ESG is a very small piece of FactSet’s business. Our strategy here is just to provide the picks and shovels that anyone in the market that wants to can build a view of ESG. You know, we’ll provide choice of data that’s out there, but we’re not in the business of creating ESG ratings or anything like that. So, you know, we’ll provide the tools that clients need, but it’s not a huge focus for us. And you know what? I don’t want to get lost today, right, with all of the volatility of the market is this was FactSet’s strongest Q2 ever. We had a very good quarter and we had three deals across different parts of our businesses in the seven figures. We had a fantastic real time deal, which is new.

We captured a large sell-side research deployment, which is very exciting. And then we had the BMO wealth deal that we’ve been able to be more public about. So all of this really points to the strength of our business, the diversity of it, and I think a reason for us all to be optimistic moving forward.

Owen Lau: Thank you very much.

Philip Snow: So in closing. Yes, sure. Thank you, Owen, and thanks everyone for your questions today. In closing, thank you all for joining us today. Please note that in conjunction with the first anniversary of our inaugural investment grade senior notes offering, we will be hosting a conference call for our fixed income investors on April 13th. Linda and I will give an update on performance and take questions from investors. Details can be found in our press release that we just issued on March 21st. In the meantime, feel free to contact Kendra Brown with additional questions and we look forward to speaking to you again soon Operator, that ends today’s call.

Operator: This concludes today’s conference call. Thank you for participating. You may now disconnect.