Thomson Reuters cuts FY23 revenue view to up 3%-3.5% from 4.5%-5%

Consensus $6.93B. Sees FY23 adjusted EBITDA margin 39%. Sees FY23 free cash flow $1.8B. Sees FY23 effective tax rate 18%. The company said, "The company is maintaining its outlook for 2023, announced on February 9, 2023, except for total revenue growth which is being adjusted to incorporate the pending sale of a majority stake in Elite. This transaction is expected to close in the second quarter. The table below sets forth the company’s outlook, which assumes constant currency rates and, except for the pending Elite transaction, excludes the impact of any future acquisitions or dispositions that may occur during the year. Thomson Reuters believes that this type of guidance provides useful insight into the anticipated performance of its businesses. The company expects its second-quarter 2023 organic revenue growth rate to be at the low end of the full year 5.5% – 6.0% range, and its adjusted EBITDA margin to be approximately 38%. While the company’s first-quarter 2023 performance provides it with increasing confidence about its outlook, the macroeconomic backdrop remains uncertain with many signs that point to a weakening global economic environment, amid rising interest rates, high inflation, and ongoing geopolitical risks. Any worsening of the global economic or business environment could impact the company’s ability to achieve its outlook."