Thomson Reuters Shares Surge 21% on Q3 Earnings Beat and Upgraded Guidance

TORONTO - Thomson Reuters (TSX/NYSE: TRI) reported better-than-expected third-quarter results and raised its full-year organic revenue growth forecast, leading to a 21% surge in shares on Tuesday.
The information and media company announced a third-quarter adjusted earnings of $0.80 per share, exceeding analysts' expectations of $0.77. Revenue increased by 8% year-on-year to $1.72 billion. Organic revenue growth for the quarter was 7%.
Thomson Reuters raised its 2024 full-year organic revenue growth forecast to approximately 7%, up from its previous estimate of around 6.5%. The company also increased its organic growth projection for key "Big 3" segments to approximately 8.5%, from its prior estimate of about 8%.
CEO Steve Hasker stated, "We saw good momentum continue in the third quarter, with revenue and margins slightly above our expectations." He noted that the company's investment in artificial intelligence exceeded $200 million in 2024 while focusing on innovation.
Revenue for the Legal Professionals segment, the largest business unit of Thomson Reuters, rose by 8% to $745 million. The Corporate segment revenue increased by 12% to $437 million.
The company expects approximately 5% organic revenue growth and an adjusted EBITDA margin of about 37% for the fourth quarter.