S&P Global (SPGI) Suspends 2022 Financial Guidance Due to Extraordinarily Weak Market Conditions for its Ratings Business

S&P Global (NYSE: SPGI) is suspending financial guidance for the full year 2022. Macroeconomic conditions have deteriorated since S&P Global Inc. ("the Company") last provided financial guidance on May 3, 2022, negatively impacting the Company's expectations for GDP growth and debt issuance volumes. Given the volatility and uncertainty in the issuance environment, the Company cannot affirm its previously issued guidance and expects to reintroduce formal financial guidance in conjunction with its second quarter 2022 earnings results.

Debt issuance volumes have been extraordinarily weak year-to-date. Should similar trends continue through the end of 2022, market issuance could see year-over-year declines in the high teens. Rated, or billed, issuance could be approximately 30-35% lower than the previous year, and leveraged loan volumes could be approximately 40% lower. In such a scenario, Ratings revenue could be negatively impacted by as much as $600 million relative to previous revenue guidance and the Company would expect Ratings adjusted operating margin in the high 50s range.

At this point, the Company does not expect a change to its previously stated capital return targets.

You May Also Be Interested In

• 'Ocean of opportunity': Wolfe initiates SpaceX at Buy ahead of historic IPO
• Nvidia pitches Vera CPU to Chinese clients with August delivery target
• BIG3 Basketball to go public via Graf Global merger at $290 million