Broadridge Financial Solutions, Inc. (NYSE:BR) delivered a stronger-than-expected performance in its fiscal second quarter, prompting management to lift its earnings outlook for the full year.
Shares of the financial technology group rose 2.35% in premarket trading on Tuesday following the release.
For the quarter ended December 31, 2025, Broadridge reported adjusted earnings per share of $1.59, comfortably ahead of the $1.36 consensus forecast. Revenue reached $1.71 billion, exceeding expectations of $1.61 billion and marking an 8% year-over-year increase.
Recurring revenue, a core measure of the company’s performance, rose 9% to $1.07 billion, or 8% on a constant-currency basis. Growth was supported by 7% organic expansion alongside elevated event-driven activity.
“Broadridge’s strong second quarter results highlight our ability to drive innovation at scale, delivering 8% Recurring revenue growth constant currency and Adjusted EPS of $1.59,” said Tim Gokey, Broadridge CEO. “Our results reflect strong organic growth of 7%, including strength in investor participation, and elevated levels of event-driven activity.”
On the back of the results, Broadridge increased its fiscal 2026 adjusted EPS growth guidance to a range of 9% to 12%, compared with its prior outlook of 8% to 12%. The company also reiterated expectations that recurring revenue growth will land toward the upper end of its 5% to 7% constant-currency target range.
Event-driven revenue declined 27% to $91 million, as weaker mutual fund proxy activity was only partially offset by stronger equity and other revenues. Meanwhile, distribution revenue advanced 14% to $553 million.
“We are executing on our growth strategy to democratize and digitize investing, simplify and innovate trading, and modernize wealth management,” Gokey added. “Our strong results are enabling us to deliver increased bottom-line growth while funding key initiatives around tokenization, shareholder engagement, and digital communications.”