Thomson Reuters struggles to keep up with itself with profit down from 2020
Thomson Reuters missed fourth-quarter earnings forecasts today as the news and data provider boosted investments in what it said would help deliver stronger-than-expected revenue growth this year and next.
The parent company of Reuters News said fourth-quarter operating profit fell 73 per cent year on year to $257m (£190m), and adjusted earnings per share, which exclude one-time items, fell to 43 cents per share from 54 cents.
The group is mid-way through a two-year $600m (£443m) investment into a “Change Program” to transform itself from a holding company of different businesses to a more focused, content-driven technology company.
Steve Hasker, President and chief exec of Thomson Reuters, commented: “The momentum we saw in the first nine months of the year continued in the fourth quarter. Revenue and sales growth were again strong and exceeded our expectations, enabling us to finish the year on a solid footing.”
“Our performance has increased momentum moving into 2022, helping to build confidence as we work to achieve our higher 2022 and 2023 targets,” Hasker added.
Back in November, Reuters raised its 2021 revenue forecast for the third time as the firm felt the immense benefits from a recovering global economy.