EarningsQ2 2026 Earnings Report
DE:TOC0 Q2 2026 EPS Results
Actual EPS€0.86
Consensus EPS€0.83
Beat/MissBeat by +€0.03
One Year Ago EPS€0.75
DE:TOC0 Q2 2026 Revenue Results
Actual Revenue€1.68B
Expected Revenue€1.66B
Beat/MissBeat by +€14.68M
YoY Revenue Growth+9.44%
Earnings Announcement Details
QuarterQ2 2026
Date08/05/2026
TimeBefore Open
Conference CallWednesday, August 5, 2026
DE:TOC0 Upcoming Earnings
Thomson Reuters's next earnings date is estimated for November 3, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
DE:TOC0 Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented a solid set of financial and operational results: revenue growth accelerated (total organic +8%, Big 3 +10%), profitability expanded (adjusted EBITDA +10%, EPS +14%), free cash flow strengthened (+29%), major capital returns were executed, and strong product and AI innovation milestones were announced (Thomson LLM, next-gen CoCounsel). Near-term risks include Q3 margin headwinds driven by severance and continued investments, TAAP go-to-market and timing challenges, and a small organic decline in Global Print that will be transitioned via the KKR JV. Management raised full-year revenue guidance and expects margin improvement into Q4, indicating confidence in recovery and execution. Overall, the positives — robust top-line momentum, profit and cash flow expansion, strategic AI/innovation progress and decisive capital allocation — outweigh the manageable near-term execution and transition challenges.Company Guidance
Total Company Organic Revenue Growth
Total company organic revenues rose 8% year-over-year in Q2 2026, slightly ahead of prior expectations, and management raised full-year total and organic revenue growth guidance to approximately 8% (high end of prior 7.5%–8% range).
Big 3 Segments Acceleration
The Big 3 segments accelerated to 10% organic growth in Q2 (up from ~9% in recent quarters). Management raised the Big 3 total and organic revenue outlook to 9.5%–10% (from ~9.5%).
Strong Legal Performance
Legal Professionals organic revenue accelerated to 10% (Legal ex-government 11%), driven by Westlaw and CoCounsel Legal, with broad-based strength across large, mid, small law and international subsegments.
Corporates and Pagero Momentum
Corporates organic revenue accelerated to 10%, fueled by offerings in legal, tax and risk portfolios and international business. Pagero was singled out for particularly strong performance and geographic expansion (added 5 countries) and a recent significant win with Google.
Tax, Audit & Accounting Growth Drivers
Tax, Audit & Accounting organic revenues grew 8%, led by CoCounsel for tax and audit, Latin America (Domínio), SafeSend and Cloud Audit Suite offerings, supporting medium-term growth expectations despite near-term timing effects.
Profitability and EPS Expansion
Adjusted EBITDA increased 10% year-over-year to $745 million with a total company adjusted EBITDA margin of 38.1%. Big 3 adjusted EBITDA was $691 million, up 12% (10% constant currency) with a 42.7% margin. Adjusted EPS rose 14% to $0.99 (from $0.87).
Free Cash Flow and Capital Returns
Free cash flow was $727 million in Q2, up 29% from $566 million a year earlier. The company executed a $605 million return of capital in May, completed a $600 million share repurchase program (reducing share count by ~3%), repurchased $100 million in the quarter and paid down $500 million of maturing notes.
Global Print Joint Venture Transaction
Signed definitive agreement to sell a 51% stake in Global Print to KKR for approximately $500 million in cash; expected closing in Q4, deconsolidation and treatment as discontinued operations thereafter. Management expects the transaction to be modestly accretive to organic revenue growth and largely neutral to margins (royalty structure: JV pays ~20% of professional revenue).
Thomson LLM Development and Cost Advantage
Completed first production-ready version (Thomson-1) after ~ $40M investment and training on <10% of legal content. Benchmarking shows Thomson-1 performs on par with leading frontier models on general tasks and strongly on legal tasks, delivering lower cost and reduced latency; planned to power Tabular Analysis in CoCounsel and provide commercialization optionality.
Product Innovation and CoCounsel Traction
Completed beta of next-generation, agentic CoCounsel Legal ahead of schedule with strong early customer feedback and rising daily usage; earlier milestone of 1 million CoCounsel users noted. Added AI features to ONESOURCE (touchless compliance, AI research for global trade) and plan next-gen CoCounsel for tax and audit.
Improved Revenue Mix and GenAI Adoption
Recurring revenue rose to 86% of total (as-adjusted), up 6 percentage points from 2023. Including repeat transactional revenue, management notes visibility into over 90% of annual revenue. Percentage of ACV from GenAI-enabled products reached 32% (up from 30% last quarter).
DE:TOC0 Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed