It ended 2025 with a solid fourth quarter, in which it notched a bottom-line beat.
It also raised its dividend substantially.
A seemingly smooth transition in the C-Suite and fine quarterly results were the tailwinds pushing Thomson Reuters (NASDAQ: TRI) stock ahead over the past few trading days. The storied media company's share price rose by almost 16% during the week, according to data compiled by S&P Global Market Intelligence.
Thomson Reuters hit the ground running on Monday, divulging that it has drafted a new CFO. Gary Bischoping is joining the company next month and will formally succeed the retiring Mike Eastwood on May 8.
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We can be certain that both men were busy poring over the company's fourth-quarter and full-year 2025 earnings, the results of which were published three days later. Revenue for the period rose by 5% year-over-year to slightly above $2 billion, while net income not under international financial reporting standards (IFRS) ticked 6% higher to hit $479 million, or $1.07 per share.
The top-line figure broadly met the average analyst estimate, while non-IFRS (adjusted) profitability edged past the consensus pundit expectation of $1.06 per share.
Technology, specifically artificial intelligence (AI), was a factor in the company's fundamental improvements. It quoted CEO Steve Hasker as saying that "We are seeing tangible benefits from our continued investments in AI, accelerating our pace of product innovation and leveraging technology to reimagine how we work."
In the earnings release, Thomson Reuters also announced a meaty 10% increase to its quarterly dividend; it has now declared dividend raises for 33 years in a row. The new payout, which would yield 2.4%, will be paid on March 10 to investors who held shares on Feb. 17.
Thomson Reuters also proffered guidance for full-year 2026. It believes its revenue will grow by 7.5% to 8%, more than double the 3% rate of 2025. It did not provide a profitability forecast.
Regardless, its business is lively, and its numerous and varies news/information offerings are resonating with clients as they have for years. This stock feels like a safe, stable investment with a nice dividend kicker to me.
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Eric Volkman has no position in any of the stocks mentioned. The Motley Fool recommends Thomson Reuters. The Motley Fool has a disclosure policy.