Morningstar, Inc.

For the period ended Sep 30, 2026. Filed Oct 28, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Sep 30, 2026 · Filed Oct 28, 2026

MORN$246.47+0.1%Stored close · as of Nov 10, 2026

Extracted filing text, with the paragraph anchors used by the comparison.

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Contents

Item 1. Financial Statements

Unaudited Consolidated Statements of Income

	Three months ended September 30,		Nine months ended September 30,
(in millions, except per share amounts)	2026	2025	2026	2025
Revenue	$672.1	$617.4	$1,980.1	$1,804.4
Operating expense:
Cost of revenue	240.7	241.7	718.9	703.7
Sales and marketing	117.8	115.5	351.1	347.8
General and administrative	93.1	85.9	275.6	244.4
Depreciation and amortization	53.1	47.0	158.3	142.8
Total operating expense	504.7	490.1	1,503.9	1,438.7
Other operating income	—	0.5	7.7	1.3
Operating income	167.4	127.8	483.9	367.0
Non-operating expense, net:
Interest expense, net	(17.6)	(7.0)	(48.4)	(19.8)
Other income, net	2.6	2.3	5.7	0.9
Non-operating expense, net	(15.0)	(4.7)	(42.7)	(18.9)
Income before income taxes and equity in investments of unconsolidated entities	152.4	123.1	441.2	348.1
Equity in investments of unconsolidated entities	1.5	(0.1)	0.5	(3.9)
Income tax expense	38.4	31.4	111.3	85.1
Consolidated net income	$115.5	$91.6	$330.4	$259.1
Net income per share:
Basic	$3.09	$2.18	$8.67	$6.12
Diluted	$3.06	$2.17	$8.61	$6.08
Dividends per common share:
Dividends declared per common share	$0.50	$0.46	$1.50	$1.37
Dividends paid per common share	$0.50	$0.46	$1.50	$1.37
Weighted average shares outstanding:
Basic	37.4	42.1	38.1	42.4
Diluted	37.8	42.3	38.4	42.6

Unaudited Consolidated Statements of Comprehensive Income

	Three months ended September 30,		Nine months ended September 30,
(in millions)	2026	2025	2026	2025
Consolidated net income	$115.5	$91.6	$330.4	$259.1
Other comprehensive income (loss), net
Foreign currency translation adjustment	(0.8)	(10.7)	(18.2)	47.9
Unrealized gains (losses) on securities, net of tax	(0.1)	—	(0.1)	0.1
Other comprehensive income (loss), net	(0.9)	(10.7)	(18.3)	48.0
Comprehensive income	$114.6	$80.9	$312.1	$307.1

Consolidated Balance Sheets

(in millions, except share amounts)	As of September 30, 2026 (unaudited)	As of December 31, 2025
Assets
Current assets:
Cash and cash equivalents	$496.7	$474.5
Investments	27.9	54.2
Accounts receivable, less allowance for credit losses of $4.9 million and $7.1 million, respectively	427.7	390.4
Income tax receivable	8.1	16.2
Deferred commissions	32.2	35.4
Prepaid expenses	51.7	42.5
Other current assets	19.7	24.8
Total current assets	1,064.0	1,038.0
Goodwill	1,745.7	1,610.8
Intangible assets, net	550.0	379.3
Property, equipment, and capitalized software, less accumulated depreciation and amortization of $933.1 million and $899.9 million, respectively	244.7	231.9
Operating lease assets	155.3	159.0
Investments in unconsolidated entities	51.0	50.3
Deferred tax assets, net	93.9	78.7
Deferred commissions	27.8	30.1
Other assets	18.7	12.1
Total assets	$3,951.1	$3,590.2
Liabilities and equity
Current liabilities:
Deferred revenue	$600.3	$586.1
Accrued compensation	230.2	294.2
Accounts payable and accrued liabilities	101.7	97.9
Operating lease liabilities	40.4	41.8
Current portion of long-term debt	18.2	—
Income tax payable	19.6	24.0
Other current liabilities	5.2	9.3
Total current liabilities	1,015.6	1,053.3
Operating lease liabilities	140.3	146.7
Accrued compensation	20.2	20.1
Deferred tax liabilities, net	21.1	27.2
Long-term debt	1,660.5	1,072.6
Deferred revenue	21.8	21.0
Income tax payable	15.3	13.1
Other long-term liabilities	30.7	14.3
Total liabilities	$2,925.5	$2,368.3
Equity:
Morningstar, Inc. shareholders’ equity:

Accumulated other comprehensive loss:
Common stock, no par value, 200,000,000 shares authorized, of which 37,104,311 and 39,740,881 shares were outstanding as of September 30, 2026 and December 31, 2025, respectively	—	—
Treasury stock at cost, 18,044,452 and 15,277,454 shares as of September 30, 2026 and December 31, 2025, respectively	(2,288.2)	(1,785.7)
Additional paid-in capital	919.9	869.5
Retained earnings	2,480.3	2,206.2
Currency translation adjustment	(86.3)	(68.1)
Unrealized loss on available-for-sale investments	(0.1)	—
Total accumulated other comprehensive loss	(86.4)	(68.1)
Total equity	1,025.6	1,221.9
Total liabilities and equity	$3,951.1	$3,590.2

Unaudited Consolidated Statements of Equity

For the three and nine months ended September 30, 2026 and 2025

	Morningstar, Inc. Shareholders’ Equity
Common Stock · Additional Paid-in Capital · Retained Earnings · Accumulated Other Comprehensive Loss
(in millions, except share and per share amounts) · Shares Outstanding · Par Value · Treasury Stock · Total Equity
Balance as of December 31, 2025	39,740,881		$—		$(1,785.7)		$869.5		$2,206.2		$(68.1)		$1,221.9
Net income		—		—		—		107.1		—		107.1
Other comprehensive income (loss):
Foreign currency translation adjustment, net		—		—		—		—		(11.3)		(11.3)
Other comprehensive loss, net		—		—		—		—		(11.3)		(11.3)
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	10,136		—		—		(0.8)		—		—		(0.8)
Reclassification of awards previously liability-classified that were converted to equity		—		—		13.0		—		—		13.0
Stock-based compensation		—		—		10.8		—		—		10.8
Common shares repurchased	(1,723,412)		—		(303.0)		—		—		—		(303.0)
Dividends declared ($0.50 per share)		—		—		—		(19.0)		—		(19.0)
Balance as of March 31, 2026	38,027,605		$—		$(2,088.7)		$892.5		$2,294.3		$(79.4)		$1,018.7
Net income		—		—		—		107.8		—		107.8
Other comprehensive income (loss):
Foreign currency translation adjustment, net		—		—		—		—		(6.1)		(6.1)
Other comprehensive loss, net		—		—		—		—		(6.1)		(6.1)
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	53,769		—		0.5		(4.7)		—		—		(4.2)
Stock-based compensation		—		—		27.3		—		—		27.3
Common shares repurchased	(567,844)		—		(100.9)		—		—		—		(100.9)
Dividends declared ($0.50 per share)		—		—		—		(18.8)		—		(18.8)
Balance as of June 30, 2026	37,513,530		$—		$(2,189.1)		$915.1		$2,383.3		$(85.5)		$1,023.8
Net income		—		—		—		115.5		—		115.5
Other comprehensive income (loss):
Unrealized losses on securities, net of tax		—		—		—		—		(0.1)		(0.1)
Foreign currency translation adjustment, net		—		—		—		—		(0.8)		(0.8)
Other comprehensive loss, net		—		—		—		—		(0.9)		(0.9)
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	77,354		—		1.8		(11.5)		—		—		(9.7)
Reclassification of awards previously liability-classified that were converted to equity		—		—		(0.3)		—		—		(0.3)
Stock-based compensation		—		—		16.6		—		—		16.6
Common shares repurchased	(486,573)		—		(100.9)		—		—		—		(100.9)
Dividends declared ($0.50 per share)		—		—		—		(18.5)		—		(18.5)
Balance as of September 30, 2026	37,104,311		$—		$(2,288.2)		$919.9		$2,480.3		$(86.4)		$1,025.6

	Morningstar, Inc. Shareholders’ Equity
Accumulated Other Comprehensive Loss
Common Stock · Additional Paid-in Capital · Retained Earnings
(in millions, except share and per share amounts) · Shares Outstanding · Par Value · Treasury Stock · Total Equity
Balance as of December 31, 2024	42,869,380		$—		$(993.9)		$822.7		$1,909.2		$(119.4)		$1,618.6
Net income		—		—		—		78.5		—		78.5
Other comprehensive income (loss):
Foreign currency translation adjustment, net		—		—		—		—		17.0		17.0
Other comprehensive income, net		—		—		—		—		17.0		17.0
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	69		—		—		—		—		—		—
Reclassification of awards previously liability-classified that were converted to equity		—		—		16.0		—		—		16.0
Stock-based compensation		—		—		9.1		—		—		9.1
Common shares repurchased	(368,199)		—		(110.7)		—		—		—		(110.7)
Dividends declared ($0.46 per share)		—		—		—		(19.3)		—		(19.3)
Balance as of March 31, 2025	42,501,250		$—		$(1,104.6)		$847.8		$1,968.4		$(102.4)		$1,609.2
Net income		—		—		—		89.0		—		89.0
Other comprehensive income (loss):	`
Unrealized gains on securities, net of tax		—		—		—		—		0.1		0.1
Foreign currency translation adjustment, net		—		—		—		—		41.6		41.6
Other comprehensive income, net		—		—		—		—		41.7		41.7
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	74,151		—		1.2		(13.2)		—		—		(12.0)
Stock-based compensation		—		—		18.4		—		—		18.4
Common shares repurchased	(398,442)		—		(112.6)		—		—		—		(112.6)
Dividends declared ($0.46 per share)		—		—		—		(19.2)		—		(19.2)
Balance as of June 30, 2025	42,176,959		$—		$(1,216.0)		$853.0		$2,038.2		$(60.7)		$1,614.5
Net Income		—		—		—		91.6		—		91.6
Other comprehensive income (loss):
Foreign currency translation adjustment, net		—		—		—		—		(10.7)		(10.7)
Other comprehensive loss, net		—		—		—		—		(10.7)		(10.7)
Issuance of common stock related to vesting of stock awards, net of shares withheld for taxes on settlements of stock awards	59,301		—		1.2		(10.2)		—		—		(9.0)
Stock-based compensation		—		—		18.6		—		—		18.6
Common shares repurchased	(729,678)		—		(172.0)		—		—		—		(172.0)
Dividends declared ($0.46 per share)	—		—		—		—		(19.0)		—		(19.0)
Balance as of September 30, 2025	41,506,582		$—		$(1,386.8)		$861.4		$2,110.8		$(71.4)		$1,514.0

Unaudited Consolidated Statements of Cash Flows

	Nine months ended September 30,
(in millions)	2026	2025
Operating activities
Consolidated net income	$330.4	$259.1
Adjustments to reconcile consolidated net income to net cash flows from operating activities:
Depreciation and amortization	158.3	142.8
Deferred income taxes	(20.8)	(30.0)
Stock-based compensation expense	54.7	46.1
Provision for credit losses	1.3	2.5
Equity in investments of unconsolidated entities	(0.5)	3.9
Other, net	(16.0)	(3.3)
Changes in operating assets and liabilities:
Accounts receivable	(33.5)	0.8
Accounts payable and accrued liabilities	23.2	(2.6)
Accrued compensation and deferred commissions	(46.1)	(24.6)
Income taxes	5.7	(18.7)
Deferred revenue	(3.7)	6.0
Other assets and liabilities	(15.1)	3.7
Cash provided by operating activities	437.9	385.7
Investing activities
Purchases of investment securities	(17.7)	(18.5)
Proceeds from maturities and sales of investment securities	47.5	32.6
Capital expenditures	(106.4)	(104.4)
Acquisitions, net of cash acquired	(359.6)	(39.1)
Purchases of investments in unconsolidated entities	(0.2)	(3.3)
Other, net	5.2	5.1
Cash used for investing activities	(431.2)	(127.6)
Financing activities
Common shares repurchased	(500.0)	(391.7)
Dividends paid	(57.6)	(58.0)
Proceeds from revolving credit facility	410.0	370.0
Repayment of revolving credit facility	(170.0)	(220.0)
Proceeds from term facility	375.0	—
Repayment of term facility	(9.4)	—
Employee taxes withheld for stock awards	(14.7)	(21.0)
Other, net	(10.2)	—
Cash provided by (used for) financing activities	23.1	(320.7)
Effect of exchange rate changes on cash and cash equivalents	(7.6)	34.1
Net increase (decrease) in cash and cash equivalents	22.2	(28.5)
Cash and cash equivalents—beginning of period	474.5	502.7
Cash and cash equivalents—end of period	$496.7	$474.2
Supplemental disclosure of cash flow information
Cash paid for income taxes	$126.2	$134.0
Cash paid for interest	$53.8	$24.3

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The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.