(Reuters) – Financial information company S&P Global raised its full-year profit forecast on Tuesday and reported second-quarter adjusted earnings that rose 30% on the back of strong demand for its data and analytics products.
The company’s shares rose 4.4% to $510.20 before the bell.
Hopes of interest rate cuts and a soft landing for the economy, where inflation falls without a recession or big job losses, have prompted investors to spend more on products that help in better investment choices, helping firms such as S&P Global and Moody’s.
Moody’s raised its forecast for full-year adjusted profit above Wall Street estimates last week.
S&P Global forecast adjusted profit per share between $14.35 and $14.60 for the full year, up from its prior view of $13.85 to $14.10.
Revenue from the company’s ratings segment, which provides credit ratings, research and analytics to investors, rose to $1.14 billion in the second quarter from $851 million.
S&P Global’s total revenue rose 14% to $3.55 billion.
The company reported an adjusted profit of $1.27 billion, or $4.04 per share in the quarter, compared with $996 million, or $3.12 per share, a year earlier.
Reuters reported in April that S&P Global was weighing options for its mobility business, including a full sale.
The mobility business, which provides vehicle, market and consumer data for original equipment manufacturer, reported an 8% jump in second-quarter revenue.
(Reporting by Pritam Biswas in Bengaluru; Editing by Shounak Dasgupta)
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