Appendix: 83–87Reconciliation of Non-GAAP Pro Forma Adjusted Information/Adjusted Information
Results by Year: 2022–2024
Revenue
(in millions)
Non-GAAP | 2023 | 2024 | |
| Market Intelligence | |||
| Pro forma revenue/Revenue | $4,102 | $4,376 | $4,645 |
| Divestitures | (9) | – | – |
| Non-GAAP pro forma adjusted revenue/Revenue | $4,093 | $4,376 | $4,645 |
| Fx | 36 | (1) | (4) |
| Fx adjusted | $4,129 | $4,375 | $4,641 |
| Ratings | |||
| Revenue | $3,050 | $3,332 | $4,370 |
| Fx | 86 | (6) | (3) |
| Fx adjusted | $3,136 | $3,326 | $4,367 |
| Commodity Insights | |||
| Pro forma revenue/Revenue | $1,788 | $1,946 | $2,142 |
| Divestitures | (12) | – | – |
| Non-GAAP pro forma adjusted revenue/Revenue | $1,776 | $1,946 | $2,142 |
| Fx | 5 | 1 | 1 |
| Fx adjusted | $1,781 | $1,947 | $2,143 |
| Mobility | |||
| Pro forma revenue/Revenue | $1,351 | $1,484 | $1,609 |
| Fx | 13 | 5 | 2 |
| Fx adjusted | $1,364 | $1,489 | $1,611 |
| Indices | |||
| Pro forma revenue/Revenue | $1,356 | $1,403 | $1,628 |
| Divestitures | (1) | – | – |
| Non-GAAP pro forma adjusted revenue/Pro forma revenue/Revenue | $1,355 | $1,403 | $1,628 |
| Fx | 10 | – | 2 |
| Fx adjusted | $1,365 | $1,403 | $1,630 |
| Engineering Solutions | |||
| Pro forma revenue/Revenue | $389 | $133 | – |
| Fx | 9 | 2 | – |
| Fx adjusted | $398 | $135 | – |
| Intersegment Elimination | |||
| Pro forma interdivision elimination/Interdivision elimination | $(171) | $(177) | $(186) |
| Total SPGI | |||
| Pro forma revenue/Revenue | $11,864 | $12,497 | $14,208 |
| Divestitures | (22) | – | – |
| Non-GAAP pro forma adjusted revenue/Revenue | $11,842 | $12,497 | $14,208 |
| Fx | 159 | – | (2) |
| Fx adjusted | $12,001 | $12,497 | $14,206 |
Expenses
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Market Intelligence | |||
| Pro forma expenses/Expenses | $1,631 | $3,662 | $3,770 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | 1,638 | (168) | (46) |
| Pro forma deal-related amortization/Deal-related amortization | (475) | (561) | (591) |
| Divestitures | (3) | – | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $2,791 | $2,933 | $3,133 |
| Ratings | |||
| Pro forma expenses/Expenses | $1,383 | $1,468 | $1,663 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (30) | (11) | (32) |
| Pro forma deal-related amortization/Deal-related amortization | (8) | (8) | (14) |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $1,345 | $1,450 | $1,617 |
| Commodity Insights | |||
| Pro forma expenses/Expenses | $1,193 | $1,242 | $1,297 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (87) | (62) | (28) |
| Pro forma deal-related amortization/Deal-related amortization | (111) | (131) | (130) |
| Divestitures | (5) | – | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $989 | $1,049 | $1,139 |
| Mobility | |||
| Pro forma expenses/Expenses | $1,101 | $1,224 | $1,297 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (36) | (15) | (12) |
| Pro forma deal-related amortization/Deal-related amortization | (242) | (301) | (303) |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $824 | $908 | $982 |
| Indices | |||
| Pro forma expenses/Expenses | $429 | $478 | $525 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | 30 | (5) | (6) |
| Pro forma deal-related amortization/Deal-related amortization | (31) | (36) | (36) |
| Divestitures | (1) | – | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $428 | $436 | $483 |
| Engineering Solutions | |||
| Pro forma expenses/Expenses | $368 | $114 | – |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (12) | – | – |
| Pro forma deal-related amortization/Deal-related amortization | (35) | (1) | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $322 | $113 | – |
| Interdivision elimination | $(171) | $(177) | $(186) |
| Total Division Expense | |||
| Pro forma expenses/Expenses | $5,933 | $8,011 | $8,366 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | 1,503 | (261) | (124) |
| Pro forma deal-related amortization/Deal-related amortization | (902) | (1,039) | (1,074) |
| Divestitures | (9) | – | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $6,527 | $6,711 | $7,168 |
| Corporate Unallocated Expense | |||
| Pro forma corporate unallocated expense/Corporate unallocated expense | $655 | $502 | $305 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (564) | (352) | (121) |
| Pro forma deal-related amortization/Deal-related amortization | (3) | (3) | (3) |
| Non-GAAP pro forma adjusted corporate unallocated expense/Adjusted corporate unallocated expense | $86 | $147 | $181 |
| Equity in Income on Unconsolidated Subsidiaries | |||
| Pro forma equity in income on unconsolidated subsidiaries/Equity in income on unconsolidated subsidiaries | $(35) | $(36) | $(43) |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | – | (2) | – |
| Pro forma deal-related amortization/Deal-related amortization | (54) | (56) | (56) |
| Non-GAAP pro forma adjusted equity in income on unconsolidated subsidiaries/Adjusted equity in income on unconsolidated subsidiaries | $(90) | $(93) | $(99) |
| Total SPGI | |||
| Pro forma expenses/Expenses | $6,553 | $8,477 | $8,628 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | 938 | (615) | (245) |
| Pro forma deal-related amortization/Deal-related amortization | (959) | (1,097) | (1,133) |
| Divestitures | (9) | – | – |
| Non-GAAP pro forma adjusted expenses/Adjusted expenses | $6,523 | $6,765 | $7,250 |
– | – | – |
Other Income, net
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Pro forma other income, net/Other expense, net | $(67) | $15 | $(25) |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (13) | (23) | – |
| Deal-related amortization | – | – | (6) |
| Non-GAAP pro forma adjusted other income, net/Adjusted other income, net | $(80) | $(9) | $(31) |
Interest Expense, net
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Pro forma interest expense, net/Interest expense, net | $369 | $334 | $297 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (31) | 27 | 26 |
| Non-GAAP pro forma adjusted interest expense, net/Adjusted interest expense, net | $339 | $361 | $323 |
Provision for Income Taxes
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Pro forma provision for income taxes/Provision for income taxes | $1,201 | $778 | $1,141 |
| Pro forma non-GAAP adjustments/Non-GAAP adjustments | (382) | 52 | 34 |
| Pro forma deal-related amortization/Deal-related amortization | 219 | 264 | 278 |
| Divestitures | (4) | – | – |
| Non-GAAP pro forma adjusted provision for income taxes/Adjusted provision for income taxes | $1,036 | $1,094 | $1,453 |
Effective Tax Rate
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Adjusted operating profit/Non-GAAP pro forma adjusted operating profit | $5,319 | $5,732 | $6,958 |
| Non-GAAP pro forma adjusted other income, net/Adjusted other income, net | (80) | (9) | (31) |
| Non-GAAP pro forma adjusted interest expense, net/ Adjusted interest expense, net | 339 | 361 | 323 |
| Non-GAAP pro forma adjusted income before taxes on income/Adjusted income before taxes on income | $5,060 | $5,380 | $6,666 |
| Non-GAAP pro forma adjusted provision for income taxes/Adjusted provision for income taxes | $1,036 | $1,094 | $1,453 |
| Non-GAAP pro forma adjusted effective tax rate/Adjusted effective tax rate(2) | 20.5% | 20.3% | 21.8% |
Net Income attributable to Noncontrolling Interests
(in millions)
Non-GAAP | Adjusted | Adjusted | |
| Pro forma net income attributable to noncontrolling interests/Net income attributable to noncontrolling interests | $274 | $267 | $315 |
| Non-GAAP adjustments | (14) | – | – |
| Non-GAAP pro forma adjusted net income attributable to noncontrolling interests/Adjusted net income attributable to noncontrolling interests | $260 | $267 | $315 |
Net Income attributable to SPGI and Diluted EPS
(in millions, except per share data)
| hello | Non-GAAP Pro Forma Adjusted 2022 | Adjusted 2023 | Adjusted 2024 | ||||||
Net income | Diluted EPS | Net income | Diluted EPS | Net income | Diluted EPS | ||||
| Pro forma/Reported | $3,543 | $10.53 | $2,626 | $8.23 | $3,852 | $12.35 | |||
| Pro forma non-GAAP adjustments/ Non-GAAP adjustments | (507) | (1.51) | 560 | 1.75 | 185 | 0.59 | |||
| Pro forma deal-related amortization/ Deal-related amortization | 740 | 2.20 | 833 | 2.61 | 861 | 2.76 | |||
| Divestitures | (9) | – | – | – | – | – | |||
| Non-GAAP pro forma adjusted/Adjusted | $3,765 | $11.19 | $4,019 | $12.60 | $4,898 | $15.70 | |||
| Year-over-year growth | (9)% | (4)% | 7% | 13% | 22% | 25% | |||
Notes:
The non-GAAP pro forma adjusted operating profit margin is calculated as non-GAAP pro forma adjusted operating profit divided by non-GAAP pro forma adjusted revenue/pro forma revenue/revenue. The adjusted operating profit margin is calculated as adjusted operating profit divided by revenue
The adjusted effective tax rate is calculated by dividing the adjusted provision for income taxes by the adjusted income before taxes on income
Details may not sum to total due to rounding