Moody’s Corp. Reports Significant Fourth-Quarter Net Income Increase and Forecasts Future Growth in Bond Rating and Financial Research Arms

Moody’s Reports Increase in 4Q Net Income and Forecasts 2024 Earnings Growth with Stable Markets and Economy

Moody’s Corp. has reported a substantial increase in fourth-quarter net income and forecasted further growth in 2024. The company’s bond-rating and financial-research arms are benefiting from a rebound in credit markets and stabilizing economic conditions. The New York credit-ratings and research firm revealed that fourth-quarter earnings rose to $340 million, from $246 million a year earlier, marking a significant increase.

Moody’s logged fourth-quarter earnings of $2.19 a share, which fell short of the average analyst estimate of $2.33 a share by just 0.14 cents per share. However, fourth-quarter revenue surged 15% to $1.48 billion, slightly below the average analyst target of $1.49 billion, but still representing strong growth for the company.

The Moody’s Analytics research unit experienced an impressive 11% increase in revenue to $796 million, while the Moody’s Investors Service credit-ratings unit saw a 19% rise to $684 million, attributed to a rebound in Treasury markets and a brightening economic outlook. Bank loan rating demand was also the strongest since early 2022 for this division of the company.

For 2024, Moody’s estimated earnings in a range between $9.45 a share and $10.20 a share or between $10.25

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