FactSet Research Systems Ends The Second Quarter Of Fiscal 2011 With An 11% Rise In Annual Subscription Value

NORWALK, Conn., March 15, 2011 (GLOBE NEWSWIRE) -- FactSet Research Systems Inc. (NYSE:FDS) (Nasdaq:FDS), a leading provider of integrated financial information and analytical applications to the global investment community, today announced its results for the second quarter of fiscal 2011.

For the quarter ended February 28, 2011 revenues increased to $177.6 million, up 13% compared to the prior year. Operating income for the second quarter rose to $58.1 million from $54.5 million in the same period of fiscal 2010. Net income advanced to $45.3 million as compared to $36.1 million a year ago. Diluted earnings per share increased to $0.95, up 27% from $0.75 in the same period of fiscal 2010. Included in this quarter's results were income tax benefits of $0.10 per diluted share or $4.9 million from the reenactment of the U.S. Federal R&D credit. In addition, a pre-tax charge of $2.5 million or $0.04 per diluted share was recorded in the quarter related to an increase in the estimated number of performance-based stock options that will be eligible to vest in August 2011.

GAAP financial measures including operating income, net income and diluted earnings per share have been adjusted to report non-GAAP financial measures that exclude the $4.9 million of income tax benefits and the $2.5 million incremental charge related to performance-based options. Non-GAAP operating income for the quarter was $60.5 million, up 11%. Non-GAAP net income advanced 16% to $42.0 million and non-GAAP diluted earnings per share increased 19% to $0.89.

A reconciliation between GAAP and non-GAAP financial measures is presented on page 8 of this press release.

Consolidated Statements of Income

(Condensed and Unaudited)	Three Months Ended February 28,			Six Months Ended February 28,
(In thousands, except per share data)	2011	2010	Change	2011	2010	Change
Revenues	$177,635	$157,281	12.9%	$350,924	$312,524	12.3%
Operating income	58,093	54,473	6.6%	117,522	108,520	8.3%
Other income	132	151	(12.6)%	257	389	(33.9)%
Provision for income taxes	12,971	18,505	(29.9)%	30,924	36,647	(15.6)%
Net income	$45,254	$36,119	25.3%	$86,855	$72,262	20.2%
Diluted earnings per share	$0.95	$0.75	26.7%	$1.83	$1.48	23.6%
Diluted weighted average shares	47,427	48,066		47,495	48,704

"We're pleased with our second quarter results and our record of delivering strong performance. It reflects the consistency of our subscription business model and our continued focus on enhancing long-term shareholder value," says Philip A. Hadley, Chairman and Chief Executive Officer. "We continue to experience ASV, user count and client growth due to momentum across our products and geographies."