UPDATE 4-Thomson Reuters beats EPS forecast, sees 2016 revenue growth

Thu Feb 11, 2016 11:00am EST
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(Adds investor and analyst comments, adds stock price)

By Jessica Toonkel

Feb 11 (Reuters) - Thomson Reuters Corp reported higher-than-expected quarterly profit on Thursday, benefiting from lower costs and tax savings, and said it expects its revenue to grow by low single digits in 2016.

Despite volatile markets, the news and financial information provider said it expects 2 to 3 percent revenue growth this year, assuming constant currency rates.

"There is a lot to be worried about there," Chief Executive Jim Smith said in an interview about global markets. "But when I spoke to our largest customers this year and when I spoke to major regulators this year, no one believes that ... the fundamentals are anywhere near where they were in 2008 and 2009."

Adjusted for special items, Thomson Reuters' fourth-quarter net earnings were 65 cents per share, up from 43 cents per share a year ago.

Analysts, on average, were looking for 58 cents per share, according to Thomson Reuters I/B/E/S.

The beat came from cost controls and lower-than-expected tax rates, said Sanford Bernstein analyst Claudio Aspesi.

Quarterly revenue was slightly below estimates, down 2 percent to $3.15 billion, but would have been up 2 percent when factoring out currency. Analysts had forecast $3.17 billion.   Continued...