Discontinued operations help boost Q2 earnings

Thomson Reuters Corp. had US$657 million of net earnings in the second quarter, more than triple what it had in the comparable period last year.

Most of the company’s profit during the quarter came from its Financial & Risk business, which is classified as a discontinued operation as part of a plan for Thomson Reuters to sell a 55-per-cent interest later this year. That transaction, with a group led by the Blackstone investment group, and including Canada Pension Plan Investment Board, is expected to close in the fourth quarter.

Thomson Reuters, which reports in U.S. currency, says its second-quarter net earnings were equal to 88 cents per share, including 68 cents per share from discontinued operations.

That compares with 2017 second-quarter earnings of 27 cents per share, including 20 cents from discontinued operations.

Discontinued operations generated US$1.55 billion of revenue, up from $1.50 billion a year earlier.

Revenue from continuing operations, primarily from information services for the legal, tax and accounting professions, was $1.31 billion during the three months ended June 30, up from $1.28 billion in last year’s second quarter.

Earnings from the continuing operations more than tripled to $142 million, or 20 cents per share, from $47 million.

“I am pleased with our second-quarter and firsthalf results, which put us on track to deliver a solid year,” said chief executive Jim Smith.