Financial Review: 65–67Operating Division Trends*
Revenue
(dollars in millions)
U.S. GAAP | Non-GAAP | Non-GAAP | |
| Market Intelligence (1, 2) | $2,185 | $3,890 | $4,093 |
| % increase/(decrease) | 7% | N/M | 5% |
| % of total | 26% | 31% | 35% |
| Ratings (2) | $4,097 | $4,097 | $3,050 |
| % increase/(decrease) | 14% | N/M | (26)% |
| % of total | 49% | 33% | 26% |
| Commodity Insights (3) | $1,012 | $1,669 | $1,776 |
| % increase/(decrease) | 8% | N/M | 6% |
| % of total | 12% | 13% | 15% |
| Mobility | – | $1,246 | $1,351 |
| % increase/(decrease) | N/M | N/M | 8% |
| % of total | 0% | 10% | 11% |
| Indices (4) | $1,149 | $1,253 | $1,355 |
| % increase/(decrease) | 16% | N/M | 8% |
| % of total | 14% | 10% | 11% |
| Engineering Solutions (6) | – | $391 | $389 |
| % increase/(decrease) | N/M | N/M | (1)% |
| % of total | 0% | 3% | 3% |
| Interdivision elimination | $(146) | $(164) | $(171) |
| Total SPGI revenue | $8,297 | $12,382 | $11,842 |
| % increase/(decrease) | 11% | N/M | (4)% |
Expenses
(dollars in millions)
U.S. GAAP | Non-GAAP | Non-GAAP | |
| Market Intelligence (1, 2) | $1,509 | $2,712 | $2,791 |
| % increase/(decrease) | 2% | N/M | 3% |
| Ratings (2) | $1,468 | $1,474 | $1,345 |
| % increase/(decrease) | 6% | N/M | (9)% |
| Commodity Insights (3) | $468 | $936 | $989 |
| % increase/(decrease) | 2% | N/M | 6% |
| Mobility | – | $754 | $824 |
| % increase/(decrease) | N/M | N/M | 9% |
| Indices (4) | $351 | $408 | $428 |
| % increase/(decrease) | 8% | N/M | 5% |
| Engineering Solutions (6) | – | $316 | $322 |
| % increase/(decrease) | N/M | N/M | 2% |
| Interdivision elimination | $(146) | $(164) | $(171) |
| Total division expense | $3,650 | $6,436 | $6,527 |
| % increase/(decrease) | 4% | N/M | 1% |
| Total SPGI expense | $4,076 | $6,517 | $6,523 |
| % increase/(decrease) | 7% | N/M | 0% |
Key Results, Adjusted for Foreign Exchange (Fx) Movements
(dollars in millions)
| Stand-alone/Pro forma | Fx | Fx Adjusted | ||||||||||
U.S. GAAP | Non-GAAP | Non-GAAP | U.S. GAAP | Non-GAAP | Non-GAAP | U.S. GAAP | Non-GAAP | Non-GAAP | ||||
| Revenue | ||||||||||||
| Market Intelligence (1, 2) | $2,185 | $3,890 | $4,093 | $(4) | $(4) | $36 | $2,181 | $3,886 | $4,129 | |||
| Ratings (2) | 4,097 | 4,097 | 3,050 | (39) | (39) | 86 | 4,058 | 4,058 | 3,136 | |||
| Commodity Insights (3) | 1,012 | 1,669 | 1,776 | – | – | 5 | 1,012 | 1,669 | 1,781 | |||
| Mobility | – | 1,246 | 1,351 | – | – | 13 | – | 1,246 | 1,364 | |||
| Indices (4) | 1,149 | 1,253 | 1,355 | (1) | (1) | 10 | 1,148 | 1,252 | 1,365 | |||
| Engineering Solutions (6) | – | 391 | 389 | – | – | 9 | – | 391 | 398 | |||
| Elimination | (146) | (164) | (171) | – | – | – | (146) | (164) | (171) | |||
| Total SPGI revenue | $8,297 | $12,382 | $11,842 | $(44) | $(44) | $159 | $8,253 | $12,338 | $12,001 | |||
| Operating Profit | ||||||||||||
| Market Intelligence (1, 2) | 676 | 1,178 | 1,302 | 3 | 3 | (30) | 679 | 1,181 | 1,272 | |||
| Ratings (2) | 2,629 | 2,623 | 1,705 | (34) | (34) | 32 | 2,595 | 2,589 | 1,737 | |||
| Commodity Insights (3) | 544 | 733 | 787 | 1 | 1 | (4) | 545 | 734 | 783 | |||
| Mobility | – | 492 | 527 | – | – | 1 | – | 492 | 528 | |||
| Indices (4, 5) | 798 | 845 | 927 | – | – | 7 | 798 | 845 | 934 | |||
| Engineering Solutions (6) | – | 75 | 67 | – | – | 3 | – | 75 | 70 | |||
| Total division operating profit | $4,647 | $5,946 | $5,315 | $(29) | $(29) | $8 | $4,618 | $5,917 | $5,323 | |||
| Total SPGI operating profit | $4,221 | $5,863 | $5,319 | $(29) | $(29) | $8 | $4,192 | $5,834 | $5,327 | |||
| Operating profit margin by division adjusted for Fx movements versus the prior year | ||||||||||||
| Market Intelligence (1, 2) | 30.9% | 30.3% | 31.8% | 31.1% | 30.4% | 30.8% | ||||||
| Ratings (2) | 64.2% | 64.0% | 55.9% | 63.9% | 63.8% | 55.4% | ||||||
| Commodity Insights (3) | 53.7% | 43.9% | 44.3% | 53.9% | 44.0% | 44.0% | ||||||
| Mobility | N/M | 39.5% | 39.0% | N/M | 39.5% | 38.7% | ||||||
| Indices (4) | 69.5% | 67.4% | 68.4% | 69.5% | 67.5% | 68.4% | ||||||
| Engineering Solutions (6) | N/M | 19.3% | 17.2% | N/M | 19.3% | 17.6% | ||||||
| Operating profit margin by division adjusted for Fx movements versus the prior year | ||||||||||||
| Total division | 56.0% | 48.0% | 44.9% | 56.0% | 48.0% | 44.4% | ||||||
| Total SPGI | 50.9% | 47.4% | 44.9% | 50.8% | 47.3% | 44.4% | ||||||
Notes:
2021 and 2022 non-GAAP pro forma adjusted results reflect the divestitures of CUSIP Global Services and Leveraged Commentary and Data. 2022 results reflect the acquisition of The Climate Services, Inc.
Revenue for Ratings and expenses for Market Intelligence include an interdivision royalty charged to Market Intelligence for the rights to use and distribute content and data developed by Ratings. Ratings’ 2022 results reflect the acquisition of the Shades of Green business
2021 and 2022 non-GAAP pro forma adjusted results reflect the divestitures of the Base Chemicals business and OPIS
2021 and 2022 non-GAAP pro forma adjusted results reflect the divestiture of a family of leveraged loan indices
Includes operating profit attributable to noncontrolling interests ($235 million in 2022 [includes an adjustment related to the JV Partner’s portion of the gain on the divestiture of a family of leveraged loan indices] and $215 million in 2021) as part of the S&P Dow Jones Indices joint venture established in June 2012
S&P Global divested the Engineering Solutions business. The sale was completed on May 2, 2023
Includes interdivision revenue elimination of $171 million for 2022 non-GAAP pro forma adjusted, $164 million for 2021 non-GAAP pro forma adjusted, and $146 million for 2021 reported. Percentages may sum to greater than 100%
N/M: Not meaningful
Details may not sum to total due to rounding
* SPGI: Refer to the SPGI footnotes on page 4 for further details on the Company’s divisions