Morningstar Reports 10.8% Revenue Growth to $644.8 Million in Q1 2026

Morningstar, Inc. reported a consolidated revenue of $644.8 million for the first quarter of 2026, marking a 10.8% increase from $581.9 million in the same period of 2025. The company's operating income also saw significant growth, rising 36.6% to $155.9 million, compared to $114.1 million a year earlier. The operating margin improved to 24.2%, up from 19.6% in the prior year. Net income for the quarter was $107.1 million, or $2.73 per diluted share, compared to $78.5 million, or $1.82 per diluted share, in the first quarter of 2025.

The increase in revenue was driven by growth across various segments, particularly in license-based and transaction-based revenues, which rose by 6.4% and 34.0%, respectively. The Morningstar Direct Platform and PitchBook segments contributed significantly to this growth, with Morningstar Credit also showing a notable increase in revenue. The company’s asset-based revenue increased by 11.0%, primarily due to a rise in Morningstar Retirement products. In terms of geographic performance, revenue from international operations increased by 16.1%, with strong demand noted in Continental Europe and the United Kingdom.

Morningstar's operational metrics reflected a positive trend, with total assets increasing to $3.99 billion as of March 31, 2026, up from $3.59 billion at the end of 2025. The company’s cash and cash equivalents also rose to $492.8 million, compared to $474.5 million at the end of the previous year. The total number of shares outstanding decreased to 38,028,018 from 39,740,881, as the company repurchased 1,723,412 shares for $300 million during the quarter under its $1 billion share repurchase program initiated in October 2025.

Strategically, Morningstar completed the acquisition of the Center for Research in Security Prices (CRSP) for $363 million in cash on February 2, 2026. This acquisition is expected to enhance Morningstar's capabilities in providing historical stock market data and indexes. The company also reported an increase in its long-term debt, which rose to $1.71 billion as of March 31, 2026, from $1.07 billion at the end of 2025, primarily due to the financing of the CRSP acquisition.

Looking ahead, Morningstar anticipates continued growth driven by strong demand for its products and services, particularly in the Morningstar Direct Platform and PitchBook segments. The company expects to recognize approximately 58% of its remaining performance obligations, valued at approximately $1.7 billion, as revenue during the remainder of 2026. Morningstar remains focused on maintaining a strong balance sheet and liquidity position while investing in growth opportunities and returning capital to shareholders through dividends and share repurchases.