Thomson Reuters (TRI) BofA Securities 2026 Information & Business Services Conference summary

AI strategy and differentiation

• Emphasizes the importance of fiduciary-grade AI for legal, tax, and audit professionals, requiring deterministic and verifiable solutions.

• Differentiation is based on proprietary data, thousands of domain experts, strict data privacy, and robust customer support.

• CoCounsel product suite leverages expert validation before release and offers extensive support for users.

• Model-agnostic approach allows flexibility in AI partnerships, currently using Anthropic's Claude, but also developing an in-house legal-specific LLM outperforming general models.

• Plans to shift pricing models toward value-based and usage-based as AI adoption matures in legal workflows.

Product innovation and growth

• CoCounsel Legal is in alpha with hundreds of customers, moving to beta in April and general release in summer.

• Integration of content and expertise into AI agents aims to increase product stickiness and wallet share.

• Legal business growth is driven by the full portfolio, including CoCounsel, Westlaw Advantage, and Practical Law, contributing to 9% organic growth.

• Expansion into transactional legal work and corporate legal departments, highlighted by adoption from major clients like Microsoft's general counsel group.

• Tax and accounting business strengthened by recent acquisitions, offering an end-to-end ecosystem and targeting 11%-13% organic growth by 2026.

Financial outlook and capital allocation

• EBITDA margin targeted to improve by 100 basis points annually through 2028, supported by high fixed cost leverage and productivity initiatives.

• Balanced reinvestment across legal, tax/accounting, and risk segments, with focus on AI-driven automation and international expansion.

• $10B+ in capital capacity enables flexibility for dividends, buybacks, and strategic M&A, with a disciplined approach to larger acquisitions.

• Recent $1.2B buyback and ongoing 10% annual dividend increases reflect strong capital returns.

• Growth opportunities identified in indirect tax, e-invoicing, risk/fraud/compliance, and emerging markets like Brazil and Southeast Asia.