Thomson Reuters (TRI) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenues grew 10% year-over-year to $2,087 million, with organic revenue up 8% and strong performance in the Big Three segments, which delivered 9% organic growth and comprised 85% of total revenues.

• Adjusted EBITDA increased 9% to $881 million, with a margin of 42.2%.

• Legal Professionals organic revenue excluding government accelerated to 11%, driven by Westlaw Advantage and CoCounsel Legal.

• AI adoption is accelerating, with 30% of annualized contract value (ACV) now from GenAI-enabled products and 1 million users for advanced AI features.

• Full-year 2026 guidance reaffirmed: organic revenue growth of 7.5%-8%, Big Three at ~9.5%, and margin expansion of 100 bps to ~40%.

Financial highlights

• Q1 2026 revenues rose 10% to $2.09B; operating profit increased 14% to $639M; recurring revenues grew 10% and transactions revenues 15%, while Global Print declined 4%-5%.

• Adjusted EPS was $1.23, up 10% from $1.12 year-over-year; diluted EPS was $1.03, up from $0.96.

• Free cash flow was $332 million, up 19% from $277 million in Q1 2025; net cash from operations up 13% to $505 million.

• Q1 included $12 million in severance expenses related to restructuring initiatives.

Outlook and guidance

• 2026 organic revenue growth expected at 7.5%-8%; Big Three segments at ~9.5%; adjusted EBITDA margin for 2026 projected at ~40%, up 100 bps from 2025.

• Free cash flow guidance for 2026 is ~$2.1 billion; net interest expense outlook raised to $180-$190 million due to capital returns.

• Q2 organic revenue growth expected at 7%-8%, with an adjusted EBITDA margin of ~38% due to seasonality.

• Guidance assumes constant currency and incorporates the Noetica acquisition.