ENGLEWOOD, Colo. (AP) — Global consulting and analytics company IHS Inc. reported Thursday its third-quarter net income and revenue climbed, but the results missed Wall Street's expectations and it lowered its full-year earnings and revenue forecasts.
IHS Inc. earned $44.1 million, or 66 cents per share, for the three months ended Aug. 31. A year earlier the Englewood, Colo., company earned $40.8 million, or 62 cents per share.
Removing stock-based compensation expense, restructuring charges and acquisition-related costs, earnings were 99 cents per share.
Revenue increased 14 percent to $385.6 million from $338.7 million on better results from both its product and services segments.
Analysts expected earnings of $1.01 per share on revenue of $405.4 million, according to a FactSet survey.
Chairman and CEO Jerre Stead said in a statement on Thursday that the company's subscription business — which made up 76 percent of total revenue — is still strong but its non-subscription business softened as customers delayed business spending decisions. The company serves industries including aerospace and defense, metals and mining, and shipping and transportation.
Looking ahead, IHS now anticipates full-year adjusted earnings of $3.77 per share to $3.89 per share on revenue in a range of $1.52 billion to $1.54 billion. Its prior outlook was for earnings of $3.88 to $4.01 per share on revenue between $1.55 billion and $1.6 billion.
Wall Street foresees full-year earnings of $3.98 per share on revenue of $1.57 billion.