Canada’s Thomson Reuters (TRI) has announced strong financial results and new deals to license its content to artificial intelligence (A.I.) companies.
The Toronto-based media company said its content will be used to train large language A.I. models but did not specify which companies it has struck deals with or provide further details.
Thomson Reuters reported a fourth quarter 2023 revenue increase of 3% to $1.8 billion U.S., which was in line with Wall Street forecasts.
The company also reported Q4 earnings per share (EPS) of $0.98 U.S., which was ahead of estimates calling for $0.90 U.S.
Thomson Reuters also announced that it is increasing its annual dividend to shareholders by 10%, taking the payment to $2.16 U.S. per share and giving the stock a yield close to 1.50%.
In terms of guidance, the company said that it anticipates 2024 revenue to rise by 6%, which is slightly ahead of estimates of 5.7%.
Revenue in Reuters’s news division rose 11% year-over-year in Q4 2023. The company has allocated $10 billion U.S. for acquisitions and $100 million U.S. annually to invest further in A.I. technologies.
Last year, Thomson Reuters purchased legal A.I. firm Casetext for $650 million U.S.
The stock of Thomson Reuters has gained 23% over the last 12 months and currently trades at $149.09 U.S. per share.
