Broadridge Financial Solutions, Inc. has reported its financial results for the third quarter ended March 31, 2025, of its fiscal year 2025. Recurring revenues grew by 7%, reaching $1,204 million and up by 8% in constant currency. The company's total revenues increased by 5% to $1,812 million, and for the nine months, total revenues increased by 6% to $4,824 million. Operating income for the quarter was $345 million, an increase of 14%, and for the nine months, operating income was $690 million, up by 20%.
Adjusted operating income for the quarter was $405 million, a 10% increase, and for the nine months, adjusted operating income was $853 million, a 15% increase. Diluted earnings per share rose by 15% to $2.05, and adjusted EPS grew by 9% to $2.44. For the nine months, diluted EPS increased by 25% to $3.93, and adjusted EPS grew by 18% to $5.00.
Recurring revenue growth constant currency (non-GAAP) was 8% for the quarter and 7% for the nine months. Closed sales decreased by 11% to $71 million for the quarter, and by 6% to $174 million for the nine months.
In terms of guidance, the company reaffirmed its fiscal year 2025 guidance of 6-8% recurring revenue growth in constant currency with adjusted EPS growth in the middle of the 8-12% guidance range.
The Investor Communication Solutions segment reported total revenues of $1,348 million, up by 4%, with recurring revenues increasing by 6% to $740 million. The Global Technology and Operations segment's recurring revenues were $464 million, up by 9%. For the nine months, the recurring revenues of the Investor Communication Solutions segment were $1,773 million, up by 7%, and for the Global Technology and Operations segment, recurring revenues were $1,311 million, up by 6%.
The effective tax rate for the quarter was 21.8%, compared to 19.8% in the prior year period, and for the nine months, it was 20.8%, compared to 19.8% in the prior year period.
The company's CEO, Tim Gokey, commented that Broadridge delivered strong third quarter results, including 8% recurring revenue growth in constant currency and 9% adjusted EPS growth. He emphasized the resilience of the company's business model and its ability to deliver consistent growth.
This report provides a detailed overview of Broadridge's financial performance, highlighting the growth in recurring revenues and adjusted earnings per share. The company's reaffirmation of its guidance reflects confidence in its ability to achieve steady and consistent growth in fiscal 2025. The market has reacted to these announcements by moving the company's shares -5.8% to a price of $228.4. For the full picture, make sure to review Broadridge Financial Solutions's 8-K report.
