Broadridge Financial (BR) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates

Zacks
01-31

Broadridge Financial Solutions (BR) reported $1.59 billion in revenue for the quarter ended December 2024, representing a year-over-year increase of 13.1%. EPS of $1.56 for the same period compares to $0.92 a year ago.

The reported revenue represents a surprise of +2.98% over the Zacks Consensus Estimate of $1.54 billion. With the consensus EPS estimate being $1.39, the EPS surprise was +12.23%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Broadridge Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenues- Global Technology and Operations: $440 million versus the four-analyst average estimate of $436.47 million. The reported number represents a year-over-year change of +8.5%.
  • Investor Communication Solutions- Total ICS Recurring revenues: $540.20 million versus the four-analyst average estimate of $527.43 million. The reported number represents a year-over-year change of +9.5%.
  • Investor Communication Solutions- ICS Event-driven revenues- Equity and other: $24.60 million compared to the $22.23 million average estimate based on four analysts. The reported number represents a change of +11.3% year over year.
  • Investor Communication Solutions- ICS Event-driven revenues- Mutual funds: $99.90 million versus $63.83 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +201.8% change.
  • Investor Communication Solutions- Total ICS Event-driven revenues: $124.60 million compared to the $86.06 million average estimate based on four analysts. The reported number represents a change of +125.7% year over year.
  • Investor Communication Solutions- Distribution revenues: $484.50 million versus $493.28 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +7.5% change.
  • Revenues- Investor Communication Solutions: $1.15 billion versus the four-analyst average estimate of $1.11 billion. The reported number represents a year-over-year change of +15%.
  • Investor Communication Solutions- ICS Recurring revenues- Data-driven fund solutions: $114.50 million versus the four-analyst average estimate of $112.44 million. The reported number represents a year-over-year change of +8.7%.
  • Investor Communication Solutions- ICS Recurring revenues- Issuer: $36 million versus the four-analyst average estimate of $32.96 million. The reported number represents a year-over-year change of +17.7%.
  • Investor Communication Solutions- ICS Recurring revenues- Customer communications: $179.20 million compared to the $171.95 million average estimate based on four analysts. The reported number represents a change of +10.1% year over year.
  • Global Technology and Operations- GTO Recurring revenues- Capital markets: $279.40 million compared to the $281.90 million average estimate based on four analysts. The reported number represents a change of +6.5% year over year.
  • Global Technology and Operations- GTO Recurring revenues- Wealth and investment management: $160.60 million versus $154.57 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +12.3% change.
View all Key Company Metrics for Broadridge Financial here>>>

Shares of Broadridge Financial have returned +5.4% over the past month versus the Zacks S&P 500 composite's +2.9% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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