Factset Research Systems (FDS), a provider of integrated global financial information, has recorded a 8.72 percent increase in profit for the quarter ended Aug. 31, 2014. The company earned $55.41 million or $1.31 a share in the quarter compared with $50.96 million or $1.16 a share a year ago. Analysts on average had predicted net income of $1.30 a share.

Revenue during the quarter grew 8.81 percent to $238.66 million from $219.33 million in the last year period.

Gross margin contracted by 219 basis points over the previous year period to 61.23 percent. The company's operating income increased to $79.39 million compared with $70.53 million in the last year period. That has resulted in improvement of 110 basis points in operating margins to 33.26 percent.

''Fiscal 2014 was our 34th consecutive year of revenue growth and our 18th consecutive year of positive earnings growth as a public company,'' said Philip Hadley, chairman and CEO. ''I'm pleased with the continued acceleration on both the buy-side and sell-side as we closed this quarter. The just completed fourth quarter was one of our best quarters in the past decade as many of our financial and operating metrics rose across the board.''

The company expects the first quarter revenues to be in the range between $240 - $243 million. It anticipates earnings per share at $1.31 - $1.33 for the first quarter.

Cash Flow

Factset Research Systems has generated cash of $265.02 million from operating activities during the year, down 1.77 percent or $4.79 million when compared with the last year period.

The company has spent $70.71 million cash to meet investing activities during the year, as against cash outgo of $20.41 million in the last year period. It has made net capital expenditure of $17.74 million during the year, which was lower by 4.18 percent or $0.77 million, from a year ago.

The company's free cash flow accounted for 93.31 percent of operating cash flow for the year, compared with 93.14 percent in the last year period.

The company has spent $276.73 million cash to meet financing activities during the year, as against cash outgo of $238.41 million in the last year period. It has spent net of $227.68 million on repurchase of common stocks.

The company's cash dividend payment increased 8.94 percent or $5 million to $61 million.

As on Aug. 31, 2014, the company's cash balance stood at $116.38 million, down 40.81 percent or $80.25 million from Aug. 31, 2013.

Working Capital

Factset Research Systems has witnessed a decline in the working capital over the last one year. The company's working capital stood at $122.48 million as at Aug. 31, 2014, down $77.30 million or 38.69 percent from $199.78 million on Aug. 31, 2013. It registered a decrease in current ratio to 1.96 as at Aug. 31, 2014 from 2.69 on Aug. 31, 2013.

Shares of the company declined $1.74 or 1.36 percent to settle at $126.14 on Monday.