Filing Flows › Moody's (MCO) › Q1 2025
Moody's (MCO) Q1 2025 earnings results (first quarter 2025)
10-Q filed Apr 23, 2025
Moody's (MCO) reported revenue of $1.9B for the first quarter 2025 (Q1 2025), +8% from a year earlier and +15% from the quarter before. Operating margin was 44.0%, net earnings $625M (32.5% of revenue).
Moody's, Q1 2025: revenue $1.9B (+8% year over year), operating margin 44.0%, net earnings $625M, operating cash flow $757M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.9B | +15% | +8% |
| Operating profit | $846M | +51% | +6% |
| Net earnings | $625M | +58% | +8% |
| Operating cash flow | $757M | +12% | -2% |
| Free cash flow | $672M | — | -4% |
What changed
Revenue was $1.9B in Q1 2025, up 8% year over year and up 15% from the previous quarter. Recurring Revenue was the largest line at 60% of revenue. Recurring Revenue added $0.09B year over year (up 9%), 67% of the total change.
Operating profit was $0.85B, a 44.0% margin (down 0.9 points year over year). Of the extra revenue versus a year earlier, 33% reached operating profit, below the 45% margin then. Total costs grew 9% against revenue growth of 8%. The fastest-growing cost line was Other operating costs (+41%). Net earnings were $0.62B, up 8% year over year. The effective tax rate was 22.3%.
Operating cash flow was $0.76B (down 2% year over year), 121% of net earnings. Non-cash charges added back $0.11B of depreciation and amortization and $0.06B of share-based compensation. After capital additions ($0.09B), free cash flow as the company reports it was $0.67B.
Questions
What was Moody's revenue in the first quarter 2025?
Moody's (MCO) reported revenue of $1.9B for the first quarter 2025 (Q1 2025), +8% from a year earlier and +15% from the quarter before.
Was Moody's profitable in the first quarter 2025?
Operating profit was $846M (44.0% of revenue) and net earnings $625M.
Source: Moody's 10-Q on SEC EDGAR.