- Company name
- Thomson Reuters
- Sector
- Legal, tax and news information
- About
- Thomson Reuters is a content and technology company based in Toronto. It sells information, software and AI tools to lawyers, tax and accounting professionals, corporations and governments, and it owns the Reuters news agency. Its three largest segments, the "Big 3", are Legal Professionals (including Westlaw and the CoCounsel AI assistant), Corporates and Tax, Audit & Accounting Professionals; together they were 88% of revenue in Q3 2026. The other segment is Reuters. On October 1, 2026, it sold 51% of its Global Print business to KKR, and it keeps 49% of the new joint venture, Westbridge Print. About 88% of revenue is recurring, mostly from subscriptions. Revenue without Global Print was $1.83 billion in Q3 2026. The Thomson family, through Woodbridge, controls the company. Its shares trade on the Toronto Stock Exchange and on Nasdaq; this page uses the Toronto price in Canadian dollars.
- Thesis
- The market prices Thomson Reuters for the risk that generative AI lowers the value of its legal and tax research products. New AI tools from start-ups and from large AI companies can answer legal and tax questions, and customers may pay less for Westlaw and similar products over time. Results show no damage to growth yet: in Q3 2026, organic revenue grew 10%, and the Big 3 segments also grew 10% organically. But higher technology costs cut the Legal Professionals margin to 46.6% from 49.0%. Without Global Print, Thomson Reuters expects 2026 organic growth of 8.5% to 9.0%, 9.5% to 10.0% for the Big 3 and an adjusted EBITDA margin of about 39%. Its balance sheet is strong, with net debt of 1.0 times adjusted EBITDA. For the gap to close, three things must be true. Organic growth in the Big 3 must stay near 9% or more as customers buy its AI products, such as CoCounsel Legal. The Big 3 adjusted EBITDA margin must rise by about 100 basis points in 2026, as planned, which needs a strong Q4 because the margin fell in the first nine months. Thomson Reuters must use its balance sheet well for buybacks and AI acquisitions. The 2026 results and the 2027 outlook, expected in early February 2027, are the main test. If these checks pass, the gap can close over the next three to five quarters. The main reason it may not close is a slowdown in subscription growth caused by AI competition.
- Risks
- Generative AI tools can answer legal, tax and compliance questions. If customers use them instead of Westlaw and its other products, or pay lower prices, growth can slow.
Thomson Reuters spends heavily on AI products and acquisitions. In Q3 2026, higher technology costs cut the Legal Professionals margin to 46.6% from 49.0%. If these products do not win customers, the costs can lower margins and returns.
Reuters news grows slowly, and print revenue at Westbridge Print, the joint venture in which Thomson Reuters keeps 49%, can shrink. Lower print sales lower the royalty that Westbridge Print pays. In some cases, Thomson Reuters must also give financial support so that KKR gets a minimum return on its investment.
Woodbridge, the Thomson family company, controls Thomson Reuters. Minority shareholders have little influence on major decisions.
- Balance sheet
- Cash: $1.4B
Debt: $3.8B
Net debt: $2.4B
Net debt / EBITDA: 1.0× (low)
Undrawn credit line: $2.0B, to November 2030
Debt due within 12 months: $565M
Last debt due: 2043
At September 30, 2026, Thomson Reuters had cash and cash equivalents of $1.39 billion and total debt of $3.81 billion: $565 million of current indebtedness and $3.25 billion of long-term indebtedness. In September 2026, it issued US$1.3 billion of notes due 2028 and 2033 and C$1.0 billion of notes due 2029 and 2031, which it swapped into US dollars, and it used part of the money to repay commercial paper. Its oldest term notes mature in 2035, 2040 and 2043. Net debt, which includes leases and hedges, was $2.75 billion at September 30, 2026, or 1.0 times adjusted EBITDA, well below its 2.5 times target. Its $2.0 billion credit facility matures in November 2030, and nothing was drawn on it at June 30, 2026. On October 1, 2026, it received about $500 million of gross proceeds from the Global Print sale. It completed its $600 million buyback in July 2026 and had about 433.5 million shares on October 30, 2026. It expects free cash flow of about $2.1 billion in 2026.
As of Sep 30, 2026.
- Checkpoints
- Nov 3, 2026: Q3 2026 earnings: Big 3 growth and AI products. Failed. Watch: Big 3 organic growth near 9.5% or more and a margin on track for a 100 basis point rise pass; slower Big 3 growth fails. Outcome: Big 3 organic growth was 10%, but the Big 3 adjusted EBITDA margin fell to 40.3% from 41.7% and to 43.3% from 43.9% for nine months, so the planned 100 basis point rise for 2026 depends on a much stronger Q4.
Feb 3, 2027 (estimate): 2026 results and the 2027 outlook. Pending. Watch: A 2027 outlook with organic growth near 8% or more and a higher margin passes; lower growth guidance fails.
- Recent events
- Nov 3, 2026: Thomson Reuters reported Q3 2026 results, with Global Print as discontinued operations. Revenue rose 10% to $1.83 billion, and organic revenue rose 10%, also 10% in the Big 3 segments. The adjusted EBITDA margin was 35.5%, against 35.8% a year earlier, and adjusted EPS rose 14% to $0.81. Free cash flow fell 23% to $408 million. Without Global Print, it expects 2026 total revenue growth of about 9.5%, organic growth of 8.5% to 9.0% and an adjusted EBITDA margin of about 39%, and it kept its Big 3 outlook. For Q4, it expects organic growth of about 8% and a margin of about 42%.
Oct 19, 2026: Thomson Reuters said that it will report Global Print as discontinued operations from Q3 2026. On this basis, its Q3 2026 outlook becomes about 9% organic revenue growth and an adjusted EBITDA margin of about 35%, compared with about 8% and 36% before. Westbridge Print will pay Thomson Reuters a royalty of 20% of its Professional revenue. Thomson Reuters expects the deal to add 60 to 70 basis points to annual organic growth, with about no effect on the margin. It will give a revised 2026 outlook on November 3, 2026.
Oct 1, 2026: Thomson Reuters closed the sale of a 51% stake in its Global Print business to KKR. It keeps 49% of the joint venture, which now operates as Westbridge Print. It expected about $500 million of gross proceeds.
Sep 29, 2026: Thomson Reuters said that it will report Q3 2026 results on November 3, 2026.
Sep 17, 2026: Thomson Reuters closed its sale of US$1.3 billion of notes, 5.100% notes due 2028 and 5.750% notes due 2033, and a private placement of C$1.0 billion of notes due 2029 and 2031. It will use the money mainly to repay commercial paper.
Aug 5, 2026: Thomson Reuters reported Q2 2026 results. Revenue rose 9% to $1.95 billion and organic revenue rose 8%, with 10% organic growth in the Big 3 segments. The adjusted EBITDA margin was 38.1% and adjusted EPS rose 14% to $0.99. Free cash flow rose to $727 million. It raised its 2026 revenue growth outlook to about 8%.
Jul 14, 2026: Thomson Reuters agreed to sell a 51% stake in its Global Print business to KKR for about $500 million in gross proceeds and to keep 49% of a new joint venture. It expects the deal to close in Q4 2026.
May 5, 2026: Thomson Reuters reported Q1 2026 results. Revenue rose 10% to $2.09 billion and organic revenue rose 8%. On May 4, 2026, it completed a $605 million return of capital with a share consolidation. In February 2026, it raised its annual dividend by 10% to $2.62 per share and announced a $600 million buyback, which it completed in July 2026.