Thomson Reuters

Company Information & Key Figures

About

In 2008, the Thomson Corporation and Reuters Group PLC merged to form Thomson Reuters. Thomson Reuters provides information for businesses and professionals in the financial, legal, tax and accounting, healthcare and science and media market. Thomson Reuters is a dual listed company consisting of the Canadian company Thomson Reuters Corporation, and Thomson Reuters PLC in the UK. The professional publisher is organized in three business units: Financial & Risk (NOT included in this ranking), Legal and Tax & Accounting.

Financial & Risk provides news, information and analytics, regulatory and operational risk management solutions. Legal produces online and print information, decision tools, software and services that support legal investigation, business and government professionals.

Tax & Accounting provides integrated tax compliance and accounting information, software and services for professionals in accounting firms, corporations, law firms and government.

Intellectual Property & Science serves governments, academia, publishers, corporations and law firms with intellectual property and scientific information, decision support tools and services.

The group also operate Reuters, a provider of real-time news and information services. In October 2016, Thomson Reuter’s disposed its Intellectual Property & Science business “in order to focus more on opportunities at the intersection of global commerce and regulation”. The division was reported as a discontinued operation through the closing date of the sale, and results for 2015 have been restated. (AR 2016)

Thomson Reuters’ majority is owned by The Woodbridge Company, the Thomson family investment company.

Analysis & Key Developments

Financial

Thomson Reuters group revenues increased slightly by approximately 1,5% during fiscal 2017 and accounted for 11,333mUSD compared to 11,166 in 2016. Revenues from publishing totaled to 4,941mUSD (2016: 4,819mUSD). The growth in the corporates adjusted EBITDA, 3,473mUSD in 2017 (2016: 2,954mUSD), and the related margin in total and in constant currency were partly due to a favorable comparison to prior year results. Furthermore, 86% of the Thomson Reuters revenues were derived from subscriptions or similar contractual arrangements in 2017, which resulted in recurring revenues. Moreover, 93% of Thomson Reuters 2017 revenues were from information delivered electronically, software and services. (AR 2017)

• In 2017, the companys Legal segment generated its revenues by: Solutions businesses 45%, U.S. Online Legal Information 42%, U.S. Print 13%. Therefore revenues totaled to 3,390mUSD in 2017, slightly up compared to 3,367mUSD in 2016. Segment adjusted EBITDA and the related margin increased, both reflecting a favorable comparison to the prior-year period. (AR 2017) 

• Tax & Accounting’s 2017 revenues divide as follows: Corporate (38%), Professional (33%), Knowledge Solutions (26%) and Government (3%). Revenues increased on a constant currency basis driven by 5% growth in recurring revenue and therefore amount to 1,551mUSD in 2017 (2016: 1,452mUSD). The segments adjusted EBITDA increased 15% from 414mUSD in 2016 to 495mUSD in 2017. (AR 2017) 

Internal organization

In October 2016 closed the sale of its former Intellectual Property & Science business to Onex Corporation and Baring Private Equity Asia for 3,550mUSD in cash. The company plans to use about 1,000mUSD of the net proceeds to buy back shares and the balance to pay down debt and reinvest in the business. Earnings from the discontinued operation (net of tax) reached 2,093mUSD. (PR 03.10.2016)

Recent change in management

• In January 2018, Thomson Reuters announced that Sir Kenneth Olisa OBE, resigned from the Thomson Reuters Board of Directors. Following his departure, the Thomson Reuters Board of Directors consists of 11 members. (PR 31.01.2018)
• In November 2017, Mary Alice Vuicic joined Thomson Reuters as Executive Vice President & Chief People Officer. (AR 2017)
• In August 2017, the Thomson Reuters Founders Share Company confirmed with that its Chairman, Dame Helen Alexander, has died. Current acting Chairman Kim Williams will continue to serve in that capacity on an interim basis while a search is conducted for a new Chairman. (PR 07.08.2017)
• In May 2017, Rick King has been appointed Executive Vice President, Operations. (AR 2017)

Recent new projects, partnerships and business initiatives

• In December 2017 Thomson Reuters started its partnership with the Hong Kong Applied Science and Technology Research Institute (ASTRI) to help accelerate the development of FinTech innovation by bringing technology, tools and content to the Innovation Hub launched jointly by ASTRI and the Hong Kong Monetary Authority (HKMA). (PR 12.12.2017)
• In June 2017 Thomson Reuters announced its partnership with Symphony Communication Services LLC, a cloud-based messaging and collaboration platform that connects markets, organizations and individuals, securely. (PR 12.06.2017)

International

Geographical diversity by revenues remained the same in 2017 as in 2016: 62% from the Americas; 27% from Europe, the Middle East and Africa and 11% from Asia Pacific. Besides Thomson Reuters operates subsidiaries in Latin America, China, India, the Middle East, Africa, the Association of Southeast Asian Nations/North Asia, Russia and countries comprising the Commonwealth of Independent States as well as Turkey. (AR 2017)

Digital

In 2017, corporate revenues derived from information delivered electronically, software and services remained unchanged at 93% (2016: 93%), with the remaining 7% derived from print (which is primarily part of the Legal segment). (AR2017)