Thomson Reuters (NYSE: TRI; TSX: TRI; LSE: TRIL; NASDAQ: TRIN), the world’s leading source of intelligent information for businesses and professionals,has reported results for the first quarter ending March 31, 2008. As The Thomson Corporation’s acquisition of Reuters Group PLC was completed on April 17, 2008, first-quarter results reflect the performance of the two legacy companies reported under Canadian GAAP in U.S. dollars.
Thomson had first-quarter revenues of $1.8 billion, an increase of 10% over the first quarter of 2007, while Reuters had revenues of $1.4 billion, a 13% increase.
Assuming that Thomson’s acquisition of Reuters had been completed on January 1, 2007, pro forma revenue for Thomson Reuters for the quarter would have been $3.3 billion, an increase of 12% over the prior year period.
“Our combined first quarter results and guidance for the full year reflect the robustness of our business, even in turbulent markets. Our Markets Division holds leading positions in higher growth segments of the financial markets, including foreign exchange, commodities, energy and emerging markets. Our leading positions in the less cyclical Professional markets of legal, tax & accounting, scientific and healthcare information also grew strongly in the quarter. These are high quality businesses with attractive profit margins and strong cash flow characteristics,” said Thomas H. Glocer, chief executive officer of Thomson Reuters.
“Thomson Reuters is extremely well-positioned to capitalize on the growing demand across the world’s business and professional communities for intelligent information – insightful, high value content that can be used by human beings and machines. As an enlarged global business, Thomson Reuters will now also benefit from the value created by more diversified revenue streams, a larger capital base and synergies resulting from the combination of our businesses.”
Thomson Reuters Professional Division is made up of four business segments: Legal, Tax & Accounting, Scientific and Healthcare. Revenue for the Professional Division grew 11% to $1.3 billion, led by strong growth in the Legal, Tax & Accounting and Scientific business segments. Organic growth was 7% in the quarter with foreign exchange adding 1%. Online, services and software comprised 80% of total revenue and grew 13%. Print represented 20% of total revenue and grew 5%.