MOODYS CORP /DE/

For the period ended Sep 30, 2025. Filed Oct 23, 2025.

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, 2025 · Filed Oct 23, 2025

MCO$511.08+1.1%Stored close · as of Nov 9, 2026

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Contents

Item 2. Results of Operations

RESULTS OF OPERATIONS

The following footnotes are applicable throughout the discussion of the Company's results of operations:

(1)Refer to the section entitled "Non-GAAP Financial Measures" of this MD&A for the definition and methodology that the Company utilizes to calculate this metric.

(2) Refer to the section entitled "Key Performance Metrics" of this MD&A for the definition and methodology that the Company utilizes to calculate this metric.

Three months ended September 30, 2025 compared with three months ended September 30, 2024

Executive Summary

The following table provides an executive summary of key operating results for the quarter ended September 30, 2025. Following this executive summary is a more detailed discussion of the Company’s operating results as well as a discussion of the operating results of the Company’s reportable segments.

	Three Months Ended September 30,
Financial measure: · 2025 · 2024 · % Change Favorable(Unfavorable) · Insight and Key Drivers of Change Compared to Prior Year
Moody's total revenue	$2,007	$1,813	11%		— reflects revenue growth in both segments
MA external revenue	$909	$831	9%		— sustained demand for insurance and KYC offerings;— ongoing strong demand for ratings data feeds and company data applications; and— continued demand for credit research product offerings— Organic constant currency revenue(1) growth was 6% and ARR(2) increased 8%
MIS external revenue	$1,098	$982	12%		— strong investor demand and tight credit spreads supported revenue growth in all ratings LOBs, led by:— an increase in leveraged finance issuance (which includes bank loans and speculative-grade bonds); and — strong issuance activity from infrequent issuers in the FIG banking sector
Total operating and SG&A expenses	$945	$946	—%		— a decrease in incentive compensation, which aligns with actual/projected financial and operational performance; offset by— higher salaries reflecting an increase in headcount as well as annual salary increases in both segments; — costs to support operating growth; and— an increase in charitable contributions
Depreciation and amortization	$123	$108	(14%)		— higher amortization of internally developed software, primarily related to the development of MA SaaS solutions; and— amortization of recently acquired intangible assets
Restructuring	$21	$6	(250%)		— relates to the Company's restructuring programs. The Strategic and Operational Efficiency Restructuring Program is more fully discussed in Note 10 to the consolidated financial statements
Charges related to asset abandonment	$1	$15	93%		— costs related to the Company's decision to outsource the production of certain sustainability content utilized in our product offerings, more fully discussed in Note 12 to the consolidated financial statements
Total non-operating (expense) income, net	$(50)	$(35)	(43%)		— an increase in FX losses; and— gains recorded on previously held equity investments in the prior year, more fully discussed in Note 12 to the consolidated financial statements
Operating margin	45.7%	40.7%	500	BPS	— Operating margin and Adjusted Operating Margin(1) expansion reflects revenue growth coupled with disciplined cost management
Adjusted Operating Margin(1)	52.9%	47.8%	510	BPS
ETR	25.4%	24.0%	140	BPS	— reflects tax benefits recognized in the third quarter of 2024, which resulted from the resolutions of uncertain tax positions, coupled with an increase in current year state income taxes
Diluted EPS	$3.60	$2.93	23%		— increase reflects the aforementioned revenue growth and margin expansion
Adjusted Diluted EPS(1)	$3.92	$3.21	22%

Moody's Corporation

Three Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
United States	$1,118	$999	12%
Non-U.S.:
EMEA	594	546	9%
Asia-Pacific	180	157	15%
Americas	115	111	4%
Total Non-U.S.	889	814	9%
Total	2,007	1,813	11%
Expenses:
Operating	492	512	4%
SG&A	453	434	(4%)
Depreciation and amortization	123	108	(14%)
Restructuring	21	6	(250%)
Charges related to asset abandonment	1	15	93%
Total	1,090	1,075	(1%)
Operating income	$917	$738	24%
Adjusted Operating Income(1)	$1,062	$867	22%
Interest expense, net	$(58)	$(60)	3%
Other non-operating income, net	8	25	(68%)
Non-operating (expense) income, net	$(50)	$(35)	(43%)
Net income attributable to Moody's	$646	$534	21%
Diluted weighted average shares outstanding	179.6	182.5	2%
Diluted EPS attributable to Moody's common shareholders	$3.60	$2.93	23%
Adjusted Diluted EPS(1)	$3.92	$3.21	22%
Operating margin	45.7%	40.7%
Adjusted Operating Margin(1)	52.9%	47.8%
ETR	25.4%	24.0%

The table below shows Moody’s global staffing by geographic area:

September 30, · Change
2025 · 2024 · %
MA	U.S.	2,853	2,971	(4%)
	Non-U.S.	5,106	5,182	(1%)
	Total	7,959	8,153	(2%)
MIS	U.S.	1,572	1,559	1%
	Non-U.S.	4,257	4,136	3%
	Total	5,829	5,695	2%
MSS	U.S.	680	689	(1%)
	Non-U.S.	1,484	1,239	20%
	Total	2,164	1,928	12%
Total MCO	U.S.	5,105	5,219	(2%)
	Non-U.S.	10,847	10,557	3%
	Total	15,952	15,776	1%

GLOBAL REVENUE

Three months ended September 30,

Global revenue ⇑ $194 million	U.S. Revenue ⇑ $119 million	Non-U.S. Revenue ⇑ $75 million

The 11% increase in global revenue reflects growth in MA of 9% and MIS of 12%. On an organic constant currency basis, revenue(1) grew 9%. Refer to the section entitled “Segment Results” of this MD&A for a more comprehensive discussion of the Company’s segment revenue.

Third Quarter Operating Expense ⇓ $20 million

— growth in salaries and benefits attributable to recent acquisitions as well as hiring and salary increases
Compensation expenses of $364 million decreased $30 million, reflecting:	Non-compensation expenses of $128 million increased $10 million, reflecting:
— a decrease in incentive compensation, which aligns with actual/projected financial and operational performance; partially offset by	— increase in costs to support operating growth, including investments to support technology and innovation

Third Quarter SG&A Expense ⇑ $19 million

— an increase in costs to support operating growth, including investments to support technology and innovation
Compensation expenses of $271 million decreased $3 million, reflecting:	Non-compensation expenses of $182 million increased $22 million, reflecting:
— a decrease in incentive compensation, which aligns with actual/projected financial and operational performance; partially offset by	— an increase in charitable contributions; and
— growth in salaries and benefits attributable to hiring and salary increases as well as recent acquisitions

Depreciation and amortization

The increase is primarily driven by amortization of internally developed software, which relates to the development of MA SaaS solutions, as well as amortization of recently acquired intangible assets.

Restructuring

The amounts reflect charges and adjustments related to the Company's restructuring programs. The Strategic and Operational Efficiency Restructuring Program is more fully discussed in Note 10 to the consolidated financial statements.

Operating margin 45.7%, ⇑ 500 BPS	Adjusted Operating Margin(1) 52.9%, ⇑ 510 BPS

Operating margin and Adjusted Operating Margin(1) expansion reflects revenue growth coupled with disciplined cost management.

Interest Expense, net ⇓ $2 million	Other non-operating income ⇓ $17 million

— a decrease in interest income of $14 million reflecting lower cash and short-term investment balances coupled with lower interest rates
Interest expense was generally in line with prior year with the following offsetting factors:		Decrease in income is primarily due to:
— lower interest expense on borrowings of $20 million attributable to favorable impacts from fixed-to-floating interest rate swaps reflecting a lower interest rate environment compared to the prior year, coupled with a decrease in debt outstanding; partially offset by		— an increase in FX losses of $7 million; and
	— gains of $7 million recorded on previously held equity investments in the prior year, more fully discussed in Note 12 to the consolidated financial statements

ETR ⇑ 140 BPS

The ETR was higher than the prior year reflecting tax benefits recognized in the third quarter of 2024, which resulted from the resolutions of uncertain tax positions, coupled with an increase in current year state income taxes.

Diluted EPS ⇑ $0.67	Adjusted Diluted EPS(1) ⇑ $0.71

Both diluted EPS and Adjusted Diluted EPS(1)growth is mostly attributable to the aforementioned revenue growth and margin expansion.

Segment Results

Moody’s Analytics

Three Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
Decision Solutions (DS)	$424	$383	11%
Research and Insights (R&I)	252	235	7%
Data and Information (D&I)	233	213	9%
Total external revenue	909	831	9%
Intersegment revenue	3	3	—%
Total MA revenue	912	834	9%
Expenses:
Operating and SG&A (external)	549	533	(3%)
Operating and SG&A (intersegment)	50	48	(4%)
Total operating and SG&A	599	581	(3%)
Adjusted Operating Income	$313	$253	24%
Adjusted Operating Margin	34.3%	30.3%
Depreciation and amortization	101	88	(15%)
Restructuring	15	4	(275%)
Charges related to asset abandonment	1	15	93%

MOODY'S ANALYTICS REVENUE

Three months ended September 30,

MA: Global revenue ⇑ $78 million	U.S. Revenue ⇑ $40 million	Non-U.S. Revenue ⇑ $38 million

The 9% increase in global MA revenue reflects growth both in the U.S. (12%) and internationally (8%).

–Organic constant currency revenue(1) growth was 6%.

–Recurring revenue growth and organic constant currency recurring revenue(1) growth was 11% and 8%, respectively.

–ARR(2) increased 8%.

The increases are reflective of growth across all LOBs, as discussed in further detail below.

DECISION SOLUTIONS REVENUE

Three months ended September 30,

DS: Global revenue ⇑ $41 million	U.S. Revenue ⇑ $23 million	Non-U.S. Revenue ⇑ $18 million

Global DS revenue for the three months ended September 30, 2025 and 2024 was comprised as follows:

Global DS revenue grew 11% compared to the third quarter of 2024 and reflects increases in the U.S. (16%) and internationally (8%). Organic constant currency revenue(1) and organic constant currency recurring revenue(1)growth for DS was 6% and 9%, respectively.

The most notable drivers of the growth are as follows:

–Insurance revenue grew 16%

–recurring revenue growth of 18% in Insurance was attributable to:

–continued demand for subscription-based catastrophe models; and

–revenue from Praedicat and CAPE Analytics, which the Company acquired in the third quarter of 2024 and first quarter of 2025, respectively

–Organic constant currency revenue(1) growth and organic constant currency recurring revenue(1) growth for Insurance was 8% and 11%, respectively

–ARR(2) grew 8% reflecting the continued demand for subscription-based catastrophe and actuarial models

–KYC revenue grew 19%

–recurring revenue growth of 22% reflects strong demand and customer retention for the suite of KYC solutions

–Organic constant currency revenue(1) growth and organic constant currency recurring revenue(1) growth in KYC was 16% and 18%, respectively

–ARR(2) grew 16%, reflecting the aforementioned strong demand for KYC solutions

–Banking revenue was in line with the prior year

–recurring revenue growth of 3% within Banking reflected:

–expansion of existing customer relationships to cloud hosted subscription-based banking offerings, which enable customers' lending, risk management and finance workflows; and

–revenue from Numerated, which the Company acquired in the fourth quarter of 2024;

–a decline in revenue from installed software subscriptions

–Transaction revenue declined 11%

–The aforementioned declines in installed software subscriptions and transaction revenue reflect MA's continued strategic shift to cloud hosted subscription-based solutions

–Organic constant currency revenue(1) declined by 3% and organic constant currency recurring revenue(1) was in line with the prior year

–ARR(2) grew 7% reflecting the aforementioned expansion of existing customer relationships to subscription-based banking offerings

The aforementioned factors contributed to overall ARR(2)growth for DS of 10%.

RESEARCH AND INSIGHTS REVENUE

Three months ended September 30,

R&I: Global revenue ⇑ $17 million	U.S. Revenue ⇑ $9 million	Non-U.S. Revenue ⇑ $8 million

Global R&I revenue increased 7% compared to the third quarter of 2024 and reflects growth in both the U.S. (7%) and internationally (7%).

The revenue increase was mainly driven by sales growth and improved retention rates from the credit research product offering, which contributed to R&I ARR(2) growth of 8%.

DATA AND INFORMATION REVENUE

Three months ended September 30,

D&I: Global revenue ⇑ $20 million	U.S. Revenue ⇑ $8 million	Non-U.S. Revenue ⇑ $12 million

Global D&I revenue increased 9% compared to the third quarter of 2024 and reflects growth in both the U.S. (11%) and internationally (9%). Organic constant currency revenue(1) growth for D&I was 7%.

The revenue increase was mainly driven by continued demand for ratings data feeds and company data applications which contributed to ARR(2)growth of 7%.

MA: Third Quarter Operating and SG&A Expense ⇑ $16 million

— benefits from operational efficiency and cost savings from the Strategic and Operational Efficiency Restructuring Program
Compensation expenses of $352 million were in line with the prior year reflecting:	Non-compensation expenses of $197 million increased $14 million:
— growth in salaries and benefits driven largely by recent acquisitions; offset by	— the increase is mainly attributable to costs to support operating growth, including investments to support technology and innovation

MA: Adjusted Operating Margin 34.3% ⇑ 400 BPS

Adjusted Operating Margin expansion primarily reflects the aforementioned 9% increase in global MA revenue, partially offset by modest growth of 3% in operating and SG&A expenses, supported by operational efficiency and cost savings from the Strategic and Operational Efficiency Restructuring Program and ongoing disciplined cost management.

Depreciation and amortization

The increase in depreciation and amortization expense reflects higher amortization of internally developed software relating to the development of SaaS-based solutions as well as the amortization of recently acquired intangible assets.

Restructuring

Moody’s Investors Service

Three Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
Corporate finance (CFG)	$576	$515	12%
Structured finance (SFG)	146	135	8%
Financial institutions (FIG)	208	170	22%
Public, project and infrastructure finance (PPIF)	161	154	5%
Total ratings revenue	1,091	974	12%
MIS Other	7	8	(13%)
Total external revenue	1,098	982	12%
Intersegment revenue	50	48	4%
Total MIS revenue	1,148	1,030	11%
Expenses:
Operating and SG&A (external)	396	413	4%
Operating and SG&A (intersegment)	3	3	—%
Total operating and SG&A	399	416	4%
Adjusted Operating Income	$749	$614	22%
Adjusted Operating Margin	65.2%	59.6%
Depreciation and amortization	22	20	(10%)
Restructuring	6	2	(200%)

The following chart presents changes in rated issuance volumes compared to the third quarter of 2024. To the extent that changes in rated issuance volumes had a material impact to MIS's revenue compared to the prior year, those impacts are discussed below.

MOODY'S INVESTORS SERVICE REVENUE

Three months ended September 30,

MIS: Global revenue ⇑ $116 million	U.S. Revenue ⇑ $79 million	Non-U.S. Revenue ⇑ $37 million

The increase in global MIS revenue reflects growth across all ratings LOBs.

CFG REVENUE

Three months ended September 30,

CFG: Global revenue ⇑ $61 million	U.S. Revenue ⇑ $41 million	Non-U.S. Revenue ⇑ $20 million

Global CFG revenue for the three months ended September 30, 2025 and 2024 was comprised as follows:

Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue.

The increase in CFG revenue of 12% reflects growth in the U.S. (11%) and internationally (13%).

Transaction revenue increased $51 million compared to the same period in the prior year, which primarily reflected:

–higher leveraged finance (which includes bank loans and speculative-grade bonds) issuance activity reflecting:

–strong investor demand as yields remained high;

–continued tight credit spreads; and

–speculative-grade issuers opportunistically refinancing upcoming debt maturities in response to favorable market conditions

–lower investment grade revenue compared to a strong prior year comparative.

Recurring revenue increased $10 million, primarily reflecting the impact of annual price increases and higher monitored credits.

SFG REVENUE

Three months ended September 30,

2025---------------------------------------------------------------------------2024

SFG: Global revenue ⇑ $11 million	U.S. Revenue ⇑ $10 million	Non-U.S. Revenue ⇑ $1 million

Global SFG revenue for the three months ended September 30, 2025 and 2024 was comprised as follows:

The increase in SFG revenue of 8% reflects growth in the U.S. (10%) and internationally (3%).

Transaction revenue increased $8 million compared to the third quarter of 2024, mainly attributable to tight spreads and strong investor demand, which supported:

–strong CLO deal formation supported by higher bank loan issuance; and

–higher issuance activity in U.S. RMBS.

FIG REVENUE

Three months ended September 30,

FIG: Global revenue ⇑ $38 million	U.S. Revenue ⇑ $21 million	Non-U.S. Revenue ⇑ $17 million

Global FIG revenue for the three months ended September 30, 2025 and 2024 was comprised as follows:

The increase in FIG revenue of 22% reflects growth in the U.S. (23%) and internationally (21%).

Transaction revenue increased $31 million compared to the third quarter of 2024, mainly due to growth in the banking sector, which was attributable to a favorable issuance mix from infrequent issuer activity.

PPIF REVENUE

Three months ended September 30,

PPIF: Global revenue ⇑ $7 million	U.S. Revenue ⇑ $8 million	Non-U.S. Revenue ⇓ 1 million

Global PPIF revenue for the three months ended September 30, 2025 and 2024 was comprised as follows:

The increase in PPIF revenue of 5% reflects growth in the U.S. (8%), partially offset by declines internationally (2%).

Transaction revenue increased $2 million compared to the third quarter of 2024, driven by a favorable issuance mix in U.S. Public Finance, particularly in the regional and municipal sectors.

Recurring revenue increased $5 million, driven by the impact of annual price increases and higher monitored credits.

MIS: Third Quarter Operating and SG&A Expense ⇓ $17 million

— growth in salaries and benefits reflecting higher headcount and annual salary increases.
Compensation expenses of $283 million decreased $35 million reflecting:		Non-compensation expenses of $113 million increased $18 million reflecting:
— a decrease in incentive compensation aligned with actual/projected financial and operating performance; partially offset by:		— an increase in charitable contributions; and
	— an increase in costs to support operating growth

MIS: Adjusted Operating Margin 65.2% ⇑ 560 BPS

MIS Adjusted Operating Margin expansion primarily reflects the aforementioned 12% increase in revenue, partially offset by growth of 4% in operating and SG&A expenses.

Restructuring

Nine months ended September 30, 2025 compared with nine months ended September 30, 2024

Executive Summary

The following table provides an executive summary of key operating results for the nine months ended September 30, 2025. Following this executive summary is a more detailed discussion of the Company’s operating results as well as a discussion of the operating results of the Company’s reportable segments.

	Nine Months Ended September 30,
Financial measure: · 2025 · 2024 · % Change Favorable (Unfavorable) · Insight and Key Drivers of Change Compared to Prior Year
Moody's total revenue	$5,829	$5,416	8%		— reflects revenue growth in both segments
MA external revenue	$2,656	$2,432	9%		— sustained demand for insurance and KYC offerings;— continued demand for credit research product offerings; and— ongoing demand for ratings data feeds — Organic constant currency revenue(1) growth was 7%, and ARR(2) grew 8%
MIS external revenue	$3,173	$2,984	6%		— strong investor demand and tight credit spreads supported revenue growth in all ratings LOBs
Total operating and SG&A expenses	$2,807	$2,741	(2%)		— higher salaries and benefits reflecting an increase in headcount and annual salary increases; partially offset by— a decrease in incentive compensation which aligns with actual/projected financial and operational performance
Depreciation and amortization	$356	$318	(12%)		— higher amortization of internally developed software, primarily related to the development of MA SaaS solutions; and— amortization of recently acquired intangible assets
Restructuring	$81	$13	NM	— relates to the Company's restructuring programs. The Strategic and Operational Efficiency Restructuring Program is more fully discussed in Note 10 to the consolidated financial statements
Charges related to asset abandonment	$4	$30	87%		— costs related to the Company's decision to outsource the production of certain sustainability content utilized in our product offerings, which is more fully discussed in Note 12 to the consolidated financial statements
Total non-operating (expense) income, net	$(138)	$(140)	1%		— in line with prior year
Operating margin	44.3%	42.7%	160 BPS	— Operating margin and Adjusted Operating Margin(1) expansion reflects revenue growth coupled with disciplined cost management
Adjusted Operating Margin(1)	51.8%	49.4%	240 BPS
ETR	24.2%	23.5%	(70 BPS)	— generally in line with the prior year
Diluted EPS	$10.26	$9.09	13%		— increase reflects the aforementioned revenue growth and margin expansion
Adjusted Diluted EPS(1)	$11.30	$9.85	15%

Moody’s Corporation

Nine Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
United States	$3,175	$2,942	8%
Non-U.S.:
EMEA	1,776	1,654	7%
Asia-Pacific	521	476	9%
Americas	357	344	4%
Total Non-U.S.	2,654	2,474	7%
Total	5,829	5,416	8%
Expenses:
Operating	1,472	1,448	(2%)
SG&A	1,335	1,293	(3%)
Depreciation and amortization	356	318	(12%)
Restructuring	81	13	NM
Charges related to asset abandonment	4	30	87%
Total	3,248	3,102	(5%)
Operating income	$2,581	2,314	12%
Adjusted Operating Income (1)	$3,022	2,675	13%
Interest expense, net	$(180)	(185)	3%
Other non-operating income, net	42	45	(7%)
Non-operating (expense) income, net	$(138)	(140)	1%
Net income attributable to Moody’s	$1,849	$1,663	11%
Diluted weighted average shares outstanding	180.2	183.0	2%
Diluted EPS attributable to Moody’s common shareholders	$10.26	$9.09	13%
Adjusted Diluted EPS (1)	$11.30	$9.85	15%
Operating margin	44.3%	42.7%
Adjusted Operating Margin (1)	51.8%	49.4%
Effective tax rate	24.2%	23.5%

GLOBAL REVENUE

Nine months ended September 30,

Global revenue ⇑ $413 million	U.S. Revenue ⇑ $233 million	Non-U.S. Revenue ⇑ $180 million

Growth in global revenue reflected increases in both MA and MIS, both in the U.S. and internationally. Refer to the section entitled “Segment Results” of this MD&A for a more comprehensive discussion of the Company’s segment revenue.

YTD Operating Expense ⇑ $24 million

— a decrease in incentive compensation, which aligns with actual/projected financial and operational performance
Compensation expenses of $1,094 million increased $8 million, reflecting:		Non-compensation expenses of $378 million increased $16 million, reflecting:
— growth in salaries and benefits attributable to hiring and salary increases to support continued growth in the business as well as recent acquisitions; partially offset by		— costs associated with recent acquisitions; and
	— increase in costs to support operating growth, including investments to support technology and innovation

YTD SG&A Expense ⇑ $42 million

— an increase in charitable contributions
Compensation expenses of $818 million increased $14 million, reflecting:	Non-compensation expenses of $517 million increased $28 million, reflecting:
— growth in salaries and benefits attributable to recent acquisitions as well as hiring and annual salary increases; partially offset by	— costs associated with recent acquisitions; and
— a decrease in incentive compensation, which aligns with actual/projected financial and operational performance

Depreciation and amortization

The increase in depreciation and amortization expense is driven by the amortization of internally developed software, which is primarily related to the development of MA SaaS solutions as well as the amortization of recently acquired intangible assets.

Restructuring

Charges related to asset abandonment

Reflects costs related to the Company's decision to outsource the production of certain sustainability content utilized in our product offerings, which is more fully discussed in Note 12 to the consolidated financial statements.

Operating margin 44.3%, ⇑ 160 BPS	Adjusted Operating Margin(1) 51.8%, ⇑ 240 BPS

Operating margin and Adjusted Operating Margin(1) expansion reflects the 8% increase in revenue, partially offset by growth of 5% in operating and SG&A expenses.

Interest Expense, net ⇓ $5 million	Other non-operating income ⇓ $3 million

— lower interest expense on borrowings of $34 million is attributable to favorable impacts from fixed-to-floating interest rate swaps reflecting a lower interest rate environment compared to the prior year, coupled with a decrease in debt outstanding; partially offset by
The decrease in interest expense is primarily due to:	Other non-operating income was generally in line compared to the prior year
— lower interest income of $22 million reflecting lower cash and short-term investment balances and lower interest rates

ETR ⇑ 70 BPS

The ETR was generally in line with the prior year.

Diluted EPS ⇑ $1.17	Adjusted Diluted EPS(1) ⇑ $1.45

Both diluted EPS and Adjusted Diluted EPS(1) growth is mostly attributable to the aforementioned growth in revenue and operating income/adjusted operating income(2).

Segment Results

Moody’s Analytics

Nine Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
Decision Solutions (DS)	$1,242	$1,114	11%
Research and Insights (R&I)	737	683	8%
Data and Information (D&I)	677	635	7%
Total external revenue	2,656	2,432	9%
Intersegment revenue	9	10	(10%)
Total MA Revenue	2,665	2,442	9%
Expenses:
Operating and SG&A (external)	1,658	1,577	(5%)
Operating and SG&A (intersegment)	149	144	(3%)
Total operating and SG&A expense	1,807	1,721	(5%)
Adjusted Operating Income	$858	$721	19%
Adjusted Operating Margin	32.2%	29.5%
Depreciation and amortization	292	260	(12%)
Restructuring	59	7	NM
Charges related to asset abandonment	4	30	87%

MOODY'S ANALYTICS REVENUE

Nine months ended September 30,

MA: Global revenue ⇑ $224 million	U.S. Revenue ⇑ $121 million	Non-U.S. Revenue ⇑ $103 million

The 9% increase in global MA revenue reflects growth both in the U.S. (12%) and internationally (7%).

–Organic constant currency revenue(1) growth was 7%.

–Recurring revenue growth and organic constant currency recurring revenue(1) growth was 11% and 8%, respectively.

–ARR(2) increased 8%.

These increases are reflective of growth across all LOBs, as discussed in further detail below.

DECISION SOLUTIONS REVENUE

Nine months ended September 30,

DS: Global revenue ⇑ $128 million	U.S. Revenue ⇑ $76 million	Non-U.S. Revenue ⇑ $52 million

Global DS revenue for the nine months ended September 30, 2025 and 2024 was comprised as follows:

Global DS revenue grew 11% compared to the first nine months of 2024 and reflects increases in both the U.S. (18%) and internationally (7%). Organic constant currency revenue(1) and organic constant currency recurring revenue(1) growth for DS was 7% and 10%, respectively. ARR(2) growth was 10%.

The most notable drivers of the growth are as follows:

–Insurance revenue grew 14%

–recurring revenue growth of 16% in Insurance was attributable to:

–continued demand resulting in new sales for subscription-based revenue for catastrophe modeling tools; and

–revenue from Praedicat and CAPE Analytics, which the Company acquired in the third quarter of 2024 and first quarter of 2025, respectively

–Organic constant currency revenue(1) and organic constant currency recurring revenue(1) growth for Insurance was 7% and 9%, respectively

–ARR(2) grew 8%, reflecting the aforementioned continued demand for subscription-based catastrophe modeling tools

–KYC revenue grew 19%

–recurring revenue growth of 21% in KYC reflects strong demand and customer retention for KYC and compliance solutions reflecting increased customer and supplier risk data usage

–Organic constant currency revenue(1) and organic constant currency recurring revenue(1) growth for KYC was 17% and 19%, respectively

–ARR(2) grew 16%, reflecting the aforementioned strong demand for KYC solutions, however trailed organic constant currency recurring revenue(1) growth mainly due to certain isolated customer attrition events in 2025

–Banking revenue grew 3%

–recurring revenue growth of 7% within Banking reflected:

–expansion of existing customer relationships to cloud hosted subscription-based banking offerings, which enable customers' lending, risk management and finance workflows; and

–revenue from Numerated, which the Company acquired in the fourth quarter of 2024;

–a decline in transaction revenue of 11%, reflecting MA's continued strategic shift to cloud hosted subscription-based solutions

–Organic constant currency revenue(1) and organic constant currency recurring revenue(1) growth for Banking was 1% and 5%, respectively

–ARR(2)grew 7%

RESEARCH AND INSIGHTS REVENUE

Nine months ended September 30,

R&I: Global revenue ⇑ $54 million	U.S. Revenue ⇑ $30 million	Non-U.S. Revenue ⇑ $24 million

Global R&I revenue increased 8% compared to the first nine months of 2024 and reflects growth in both the U.S. (8%) and internationally (8%).

The revenue increase was attributable to sales growth for credit research product offerings, which contributed to ARR(2)growth of 8%.

DATA AND INFORMATION REVENUE

Nine months ended September 30,

D&I: Global revenue ⇑ $42 million	U.S. Revenue ⇑ $15 million	Non-U.S. Revenue ⇑ $27 million

Global D&I revenue increased 7% compared to the first nine months of 2024 and reflects growth in both the U.S. (7%) and internationally (7%). Organic constant currency revenue(1) growth for D&I was 5%.

This growth was mainly driven by continued strong demand for ratings data feeds and company data applications, which contributed to ARR(2)growth of 7% for D&I.

MA: YTD Operating and SG&A Expense ⇑ $81 million

Compensation expenses of $1,069 million increased $46 million reflecting:	Non-compensation expenses of $589 million increased $35 million reflecting:
— growth in salaries and benefits driven largely by recent acquisitions	— costs associated with recent acquisitions; and
	— an increase in costs to support operating growth, including investments to support technology and innovation

MA: Adjusted Operating Margin 32.2% ⇑ 270 BPS

Adjusted Operating Margin expansion primarily reflects the aforementioned 9% increase in global MA revenue, partially offset by growth of 5% in operating and SG&A expenses, supported by operational efficiency/disciplined cost management and cost savings from the Strategic and Operational Efficiency Restructuring Program.

Depreciation and amortization

The increase in depreciation and amortization expense primarily reflects higher amortization of internally developed software relating to the development of SaaS-based solutions as well as the amortization of recently acquired intangible assets.

Restructuring

Charges related to asset abandonment

Moody’s Investors Service

Nine Months Ended September 30, · % Change Favorable(Unfavorable)
2025 · 2024
Revenue:
Corporate finance (CFG)	$1,652	$1,569	5%
Structured finance (SFG)	419	380	10%
Financial institutions (FIG)	590	560	5%
Public, project and infrastructure finance (PPIF)	486	449	8%
Total ratings revenue	3,147	2,958	6%
MIS Other	26	26	—%
Total external revenue	3,173	2,984	6%
Intersegment royalty	149	144	3%
Total	3,322	3,128	6%
Expenses:
Operating and SG&A (external)	1,149	1,164	1%
Operating and SG&A (intersegment)	9	10	10%
Total operating and SG&A expense	1,158	1,174	1%
Adjusted Operating Income	$2,164	$1,954	11%
Adjusted Operating Margin	65.1%	62.5%
Depreciation and amortization	64	58	(10%)
Restructuring	22	6	(267%)

The following chart presents changes in rated issuance volumes compared to the first nine months of 2024. To the extent that changes in rated issuance volumes had a material impact on MIS's revenue compared to the prior year, those impacts are discussed below.

MOODY'S INVESTORS SERVICE REVENUE

Nine months ended September 30,

MIS: Global revenue ⇑ $189 million	U.S. Revenue ⇑ $112 million	Non-U.S. Revenue ⇑ $77 million

The increase in global MIS revenue reflects growth across all ratings LOBs.

CFG REVENUE

Nine months ended September 30,

CFG: Global revenue ⇑ $83 million	U.S. Revenue ⇑ 32 million	Non-U.S. Revenue ⇑ $51 million

Global CFG revenue for the nine months ended September 30, 2025 and 2024 was comprised as follows:

Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue.

The increase in CFG revenue of 5% reflects growth in both the U.S. (3%) and internationally (10%).

Transaction revenue increased $56 million compared to the prior year, which primarily reflected:

–higher issuance activity for speculative-grade bonds driven by elevated third-quarter activity as issuers took advantage of favorable conditions, including tight spreads and lower interest rates, to refinance debt; and

–higher issuance activity for investment-grade bonds, which reflected continued tight credit spreads and investor demand for higher quality credits.

Recurring revenue increased $27 million, primarily reflecting the impact of annual price increases and higher monitored credits.

SFG REVENUE

Nine months ended September 30,

SFG: Global revenue ⇑ $39 million	U.S. Revenue ⇑ $33 million	Non-U.S. Revenue ⇑ $6 million

Global SFG revenue for the nine months ended September 30, 2025 and 2024 was comprised as follows:

The increase in SFG revenue of 10% reflects growth in both the U.S. (12%) and internationally (5%).

The increase reflected growth across all asset classes, supported by tight credit spreads and strong investor demand.

FIG REVENUE

Nine months ended September 30,

FIG: Global revenue ⇑ $30 million	U.S. Revenue ⇑ $13 million	Non-U.S. Revenue ⇑ $17 million

Global FIG revenue for the nine months ended September 30, 2025 and 2024 was comprised as follows:

The increase in FIG revenue of 5% reflects growth in both in the U.S. (4%) and internationally (6%).

Revenue increased $30 million compared to the same period in the prior year, primarily due to:

–strong issuance volumes from infrequent issuers in the U.S. banking sector;

–lower volumes from infrequent issuers in the insurance sector, compared to strong activity in the prior year.

PPIF REVENUE

Nine months ended September 30,

PPIF: Global revenue ⇑ $37 million	U.S. Revenue ⇑ $35 million	Non-U.S. Revenue ⇑ $2 million

Global PPIF revenue for the nine months ended September 30, 2025 and 2024 was comprised as follows:

The 8% increase in PPIF revenue reflects increases in both the U.S. (12%) and internationally (1%), with the most notable driver of the growth reflecting higher issuance in U.S. Public Finance, particularly within the regional, municipal and higher education sectors.

MIS: YTD Operating and SG&A Expense ⇓ $15 million

— growth in salaries and benefits reflecting higher headcount and annual salary increases
Compensation expenses of $843 million decreased $24 million, reflecting:		Non-compensation expenses of $306 million increased $9 million, reflecting:
— a decrease in incentive compensation aligned with actual/projected financial and operating performance; partially offset by:		— an increase in charitable contributions; partially offset by
	— a regulatory settlement in the prior year relating to MIS' failure to comply with record preservation requirements

Adjusted Operating Margin of 65.1% ⇑ 260 BPS

MIS Adjusted Operating Margin expansion primarily reflects the aforementioned 6% increase in revenue.

Restructuring Charges

ContentsView on SEC.gov

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