S&P Global (SPGI) Q3 2026 Earnings Call: Q&A Summary

Q: Ashish Sabadra from RBC Capital Markets asked why management decided to launch the strategic review of Capital IQ now and how it enhances the financial profile of RemainCo.

A: Martina Cheung, CEO, stated the review is a long-term positioning move executed from a position of strength given recent acceleration in Kensho Data, allowing S&P Global to focus investments on core markets like credit, equities, and commodities. Eric Aboaf, CFO, added that it is premature to provide detailed financial profile changes before working through the perimeter.

Q: Toni Kaplan from Morgan Stanley asked about the exact perimeter and size of the businesses under review and whether management has received inbounds.

A: Martina Cheung, CEO, clarified that the perimeter includes Capital IQ and associated data businesses such as Financials, SNL, and Visible Alpha, while excluding Enterprise Solutions, Ratings Direct, and Ratings Express. Eric Aboaf, CFO, noted that they have engaged advisors and signed NDAs with several interested parties.

Q: Faiza Alwy from Deutsche Bank asked if the strong issuance growth this year indicates slower growth next year and how to think about macro and credit scenarios.

A: Martina Cheung, CEO, noted it is early for 2027 commentary but highlighted medium-term secular tailwinds, including $11 trillion in refinancing walls over the next 4 years, private credit demand, project finance, and strong investment-grade inflows.

Q: Jeff Silber from BMO Capital Markets asked for more color on the size and impact of the expected bond offering on interest expense.

A: Eric Aboaf, CFO, stated they expect to issue about $2 billion of debt at prevailing market rates to help fund the expanded $7 billion share buyback program.

Q: Surinder Thind from Jefferies asked about the adjustments in CapEx spend and if it is purely a timing issue.

A: Eric Aboaf, CFO, explained that the CapEx changes reflect usual quarter-by-quarter timing and ongoing technology spend to support franchise growth.

Q: Curtis Nagle from Bank of America asked what AI revenues contributed to growth in Market Intelligence compared to the 50 basis points mentioned for Energy.

A: Eric Aboaf, CFO, stated that discrete AI products contributed approximately 50 basis points of tailwind to the Market Intelligence division as well, specifically within Kensho Data and Platforms.

Q: Scott Wurtzel from Wolfe Research asked whether sales cycle trends and AI product negotiations have fully normalized across all product sales.

A: Martina Cheung, CEO, confirmed that commercial teams executed well, renewals in energy returned to prewar levels, and negotiations around AI rights and IP protection have successfully normalized.

Q: Alex Kramm from UBS asked Cathy Clay about derivative opportunities, the Kalshi prediction market announcement, and how to avoid cannibalizing existing Cboe and CME relationships.

A: Catherine Clay, CEO of S&P Dow Jones Indices, stated that prediction markets are nascent and the Kalshi partnership allows them to explore white space as an index provider and data user while continuing long-standing innovations with Cboe and CME.

Q: Owen Lau from Clear Street asked why the Kalshi relationship is preferred rather than exclusive.

A: Catherine Clay, CEO of S&P Dow Jones Indices, explained that because prediction markets represent very new terrain with many unknowns, partnering with multiple entities like Kalshi, Cboe, and CME is the appropriate strategy.

Q: Manav Patnaik from Barclays asked for the margin profile of the review perimeter and the rationale for retaining Enterprise Solutions.

A: Martina Cheung, CEO, stated it is premature to give specific margin profiles until the perimeter is finalized, and noted that Enterprise Solutions is retained because it serves as the core credit and loan anchor for credit markets.

Q: George Tong from Goldman Sachs asked how separating Capital IQ and Kensho would affect S&P Global's broader AI strategy and retained capabilities.

A: Martina Cheung, CEO, stated that Kensho teams are critical to the review perimeter, but S&P Global will ensure it retains necessary AI integration capabilities across products like iLEVEL and core analyst workflows.

Q: Craig Huber from Huber Research Partners asked for annualized AI cost savings or segment-level metrics on the cost side.

A: Eric Aboaf, CFO, explained that AI cost savings are deeply intertwined with workflow redesign and productivity programs rather than tracked separately, and productivity gains are continuously reinvested in growth.

Q: Andrew Steinerman from JPMorgan asked about fourth-quarter credit issuance puts and takes, including AI-associated financing, and requested organic constant currency ACV growth for Market Intelligence.

A: Eric Aboaf, CFO, stated that investment-grade tailwinds will continue while high yield faces rate offsets, and reported that Market Intelligence ACV growth ticked up to approximately 6.5%.

Q: Owen Lau from Clear Street asked Martina Cheung what S&P Global will look like in 3 years following the Mobility spin-off and current strategic review.

A: Martina Cheung, CEO, stated the review aligns with their strategy to advance market leadership in credit, equities, and commodities, resulting in a focused portfolio with greater capital allocation flexibility.

Q: Jason Haas from Wells Fargo asked how integrated Capital IQ and review businesses are with the rest of S&P Global compared to Mobility.

A: Martina Cheung, CEO, noted there are cross-division commercial agreements, but the technology stacks for Ratings, Indices, and Energy are completely separate, giving them confidence in executing transactions without customer disruption.

Q: Jeffrey Meuler from Baird asked how AI-ready data distribution deals are structured regarding contract duration and revenue terms.

A: Martina Cheung, CEO, stated that broader renewals have achieved nice price increases, and adaptive retrieval products introduce potential consumption-based pricing models alongside interest in new data sets.