v3.26.1
REVENUES
 6 Months Ended
Jun. 30, 2026
Revenue from Contract with Customer [Abstract]  
REVENUES REVENUES
Revenue by Category
The following table presents the Company’s revenues disaggregated by LOB:
Three Months Ended
June 30,
Six Months Ended
June 30,
2026202520262025
MA:
Decision Solutions (DS)
Banking$119 $138 $252 $279 
Insurance183 168 364 331 
KYC121 107 239 208 
Total DS423 413 855 818 
Research and Insights (R&I)256 249 511 485 
Data and Information (D&I)246 226 485 444 
Total external revenue925 888 1,851 1,747 
Intersegment revenue3 3 6 6 
Total MA928 891 1,857 1,753 
MIS:
Corporate Finance (CFG)
Investment-grade186 142 406 307 
High-yield113 85 201 152 
Bank loans147 98 286 258 
Other accounts (1)
205 187 391 359 
Total CFG651 512 1,284 1,076 
Structured Finance (SFG)
Asset-backed securities45 35 83 70 
RMBS35 29 67 55 
CMBS25 25 47 53 
Structured credit45 46 89 94 
Other accounts1 — 2 1 
Total SFG151 135 288 273 
Financial Institutions (FIG)
Banking148 120 282 250 
Insurance47 54 85 99 
Managed investments23 13 41 26 
Other accounts4 4 8 7 
Total FIG222 191 416 382 
Public, Project and Infrastructure Finance (PPIF)
Public finance / sovereign82 75 156 147 
Project and infrastructure142 87 244 178 
Total PPIF224 162 400 325 
Total ratings revenue1,248 1,000 2,388 2,056 
MIS Other12 10 25 19 
Total external revenue1,260 1,010 2,413 2,075 
Intersegment revenue52 50 103 99 
Total MIS1,312 1,060 2,516 2,174 
Eliminations(55)(53)(109)(105)
Total MCO$2,185 $1,898 $4,264 $3,822 
(1) Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue.
The following tables present the Company’s revenues disaggregated by LOB and geographic area:
Three Months Ended June 30, 2026Three Months Ended June 30, 2025
U.S.Non-U.S.TotalU.S.Non-U.S.Total
MA:
Decision Solutions$178 $245 $423 $162 $251 $413 
Research and Insights141 115 256 139 110 249 
Data and Information90 156 246 80 146 226 
Total MA409 516 925 381 507 888 
MIS:
Corporate Finance433 218 651 314 198 512 
Structured Finance104 47 151 91 44 135 
Financial Institutions119 103 222 99 92 191 
Public, Project and Infrastructure Finance152 72 224 107 55 162 
Total ratings revenue808 440 1,248 611 389 1,000 
MIS Other1 11 12 — 10 10 
Total MIS809 451 1,260 611 399 1,010 
Total MCO$1,218 $967 $2,185 $992 $906 $1,898 
Six Months Ended June 30, 2026Six Months Ended June 30, 2025
U.S.Non-U.S.TotalU.S.Non-U.S.Total
MA:
Decision Solutions$353 $502 $855 $329 $489 $818 
Research and Insights279 232 511 267 218 485 
Data and Information176 309 485 160 284 444 
Total MA808 1,043 1,851 756 991 1,747 
MIS:
Corporate Finance905 379 1,284 705 371 1,076 
Structured Finance198 90 288 191 82 273 
Financial Institutions221 195 416 194 188 382 
Public, Project and Infrastructure Finance264 136 400 211 114 325 
Total ratings revenue1,588 800 2,388 1,301 755 2,056 
MIS Other2 23 25 — 19 19 
Total MIS1,590 823 2,413 1,301 774 2,075 
Total MCO$2,398 $1,866 $4,264 $2,057 $1,765 $3,822 
The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region:
Three Months Ended June 30,Six Months Ended June 30,
2026202520262025
MA:
U.S.$409 $381 $808 $756 
Non-U.S.:
EMEA361 347 735 678 
Asia-Pacific89 92 181 180 
Americas66 68 127 133 
Total Non-U.S.516 507 1,043 991 
Total MA925 888 1,851 1,747 
MIS:
U.S.809 611 1,590 1,301 
Non-U.S.:
EMEA289 266 530 504 
Asia-Pacific107 82 192 161 
Americas55 51 101 109 
Total Non-U.S.451 399 823 774 
Total MIS1,260 1,010 2,413 2,075 
Total MCO$2,185 $1,898 $4,264 $3,822 
    
The following tables summarize the split between Transaction Revenue and Recurring Revenue:
Three Months Ended June 30,
20262025
TransactionRecurringTotalTransactionRecurringTotal
Decision Solutions
Banking
$3 $116 $119 $25 $113 $138 
3 %97 %100 %18 %82 %100 %
Insurance
$3 $180 $183 $6 $162 $168 
2 %98 %100 %4 %96 %100 %
KYC
$1 $120 $121 $— $107 $107 
1 %99 %100 %— %100 %100 %
 Total Decision Solutions
$7 $416 $423 $31 $382 $413 
2 %98 %100 %8 %92 %100 %
Research and Insights$2 $254 $256 $3 $246 $249 
1 %99 %100 %1 %99 %100 %
Data and Information$1 $245 $246 $2 $224 $226 
— %100 %100 %1 %99 %100 %
Total MA (1)
$10 $915 $925 $36 $852 $888 
1 %99 %100 %4 %96 %100 %
Corporate Finance$494 $157 $651 $365 $147 $512 
76 %24 %100 %71 %29 %100 %
Structured Finance$88 $63 $151 $74 $61 $135 
58 %42 %100 %55 %45 %100 %
Financial Institutions$135 $87 $222 $108 $83 $191 
61 %39 %100 %57 %43 %100 %
Public, Project and Infrastructure Finance$172 $52 $224 $113 $49 $162 
77 %23 %100 %70 %30 %100 %
MIS Other$2 $10 $12 $3 $7 $10 
17 %83 %100 %30 %70 %100 %
Total MIS$891 $369 $1,260 $663 $347 $1,010 
71 %29 %100 %66 %34 %100 %
Total Moody's Corporation$901 $1,284 $2,185 $699 $1,199 $1,898 
41 %59 %100 %37 %63 %100 %
Six Months Ended June 30,
20262025
TransactionRecurringTotalTransactionRecurringTotal
Decision Solutions
Banking
$9 $243 $252 $51 $228 $279 
4 %96 %100 %18 %82 %100 %
Insurance
$7 $357 $364 $12 $319 $331 
2 %98 %100 %4 %96 %100 %
KYC
$1 $238 $239 $— $208 $208 
— %100 %100 %— 100 %100 %
 Total Decision Solutions
$17 $838 $855 $63 $755 $818 
2 %98 %100 %8 %92 %100 %
Research and Insights$5 $506 $511 $6 $479 $485 
1 %99 %100 %1 %99 %100 %
Data and Information$5 $480 $485 $4 $440 $444 
1 %99 %100 %1 %99 %100 %
Total MA (1)
$27 $1,824 $1,851 $73 $1,674 $1,747 
1 %99 %100 %4 %96 %100 %
Corporate Finance$978 $306 $1,284 $792 $284 $1,076 
76 %24 %100 %74 %26 %100 %
Structured Finance$162 $126 $288 $152 $121 $273 
56 %44 %100 %56 %44 %100 %
Financial Institutions$240 $176 $416 $217 $165 $382 
58 %42 %100 %57 %43 %100 %
Public, Project and Infrastructure Finance$296 $104 $400 $229 $96 $325 
74 %26 %100 %70 %30 %100 %
MIS Other$5 $20 $25 $5 $14 $19 
20 %80 %100 %26 %74 %100 %
Total MIS$1,681 $732 $2,413 $1,395 $680 $2,075 
70 %30 %100 %67 %33 %100 %
Total Moody's Corporation$1,708 $2,556 $4,264 $1,468 $2,354 $3,822 
40 %60 %100 %38 %62 %100 %
(1) Revenue from software implementation services and risk management advisory projects, while classified by management as transactional revenue, is recognized over time under GAAP.
The following tables present the timing of revenue recognition:
Three Months Ended June 30, 2026
Six Months Ended June 30, 2026
MAMISTotalMAMISTotal
Revenue recognized at a point in time$15 $891 $906 $41 $1,681 $1,722 
Revenue recognized over time910 369 1,279 1,810 732 2,542 
Total$925 $1,260 $2,185 $1,851 $2,413 $4,264 
Three Months Ended June 30, 2025Six Months Ended June 30, 2025
MAMISTotalMAMISTotal
Revenue recognized at a point in time$19 $663 $682 $44 $1,395 $1,439 
Revenue recognized over time869 347 1,216 1,703 680 2,383 
Total$888 $1,010 $1,898 $1,747 $2,075 $3,822 
Unbilled receivables, deferred revenue and remaining performance obligations
Unbilled receivables
For certain MA arrangements, the timing of when the Company has the unconditional right to consideration and recognizes revenue occurs prior to invoicing the customer. In addition, certain MIS arrangements contain contractual terms whereby the customers are billed in arrears for annual monitoring services, requiring revenue to be accrued as an unbilled receivable as such services are provided.
The following table presents the Company's unbilled receivables, which are included within accounts receivable, net, at June 30, 2026 and December 31, 2025:
As of June 30, 2026
As of December 31, 2025
MAMISMAMIS
Unbilled Receivables$86 $577 $106 $500 
Deferred revenue
The Company recognizes deferred revenue when a contract requires a customer to pay consideration to the Company in advance of when revenue related to that contract is recognized. This deferred revenue is relieved when the Company satisfies the related performance obligation and revenue is recognized.
Significant changes in the deferred revenue balances during the three and six months ended June 30, 2026 and 2025 are as follows:
Three Months Ended June 30, 2026
Three Months Ended June 30, 2025
MAMISTotalMAMISTotal
Balance at March 31,
$1,506 $368 $1,874 $1,462 $360 $1,822 
Changes in deferred revenue:
Revenue recognized that was included in the deferred revenue balance at the beginning of the period(665)(126)(791)(562)(123)(685)
Increases due to amounts billable excluding amounts recognized as revenue during the period453 106 559 346 105 451 
Adjustment related to divestiture of business(1)
5 — 5 — — — 
Effect of exchange rate changes2 (1)1 39 8 47 
Total changes in deferred revenue(205)(21)(226)(177)(10)(187)
Balance at June 30,
$1,301 $347 $1,648 $1,285 $350 $1,635 
Six Months Ended June 30, 2026Six Months Ended June 30, 2025
MAMISTotalMAMISTotal
Balance at December 31,$1,368 $270 $1,638 $1,243 $268 $1,511 
Changes in deferred revenue:
Revenue recognized that was included in the deferred revenue balance at the beginning of the period(967)(161)(1,128)(846)(169)(1,015)
Increases due to amounts billable excluding amounts recognized as revenue during the period924 240 1,164 804 240 1,044 
Increases due to acquisitions during the period— — — 15 — 15 
Adjustment related to divestiture of business (1)
(4)— (4)— — — 
Effect of exchange rate changes(20)(2)(22)69 11 80 
Total changes in deferred revenue(67)77 10 42 82 124 
Balance at June 30,
$1,301 $347 $1,648 $1,285 $350 $1,635 
Deferred revenue - current$1,300 $295 $1,595 $1,284 $294 $1,578 
Deferred revenue - non-current$1 $52 $53 $1 $56 $57 
(1) Reflects adjustments to the deferred revenue balance that was disposed of pursuant to the divestiture of the MA Regulatory Solutions business, which was divested in the second quarter of 2026, as more fully discussed in Note 11.
For the MA segment, the decrease in deferred revenue for the three months ended June 30, 2026 and 2025 was primarily due to the recognition of annual subscription billings, which occur in December and January. For the six months ended June 30, 2026, the decrease in deferred revenue was primarily due to the recognition of annual subscriptions billed in the fourth quarter of 2025 and unfavorable effect of exchange rate changes. For the six months ended June 30, 2025, the increase in deferred revenue was primarily attributable to the favorable effect of exchange rate changes, partially offset by the recognition of annual subscriptions billed in the fourth quarter of 2024.
For the MIS segment, the change in the deferred revenue balance for all periods presented was primarily related to the significant portion of contract renewals that occur during the first quarter and are generally recognized over a one year period.
Remaining performance obligation
Remaining performance obligations in the MA segment include both amounts recorded as deferred revenue on the balance sheet as of June 30, 2026 as well as amounts not yet invoiced to customers as of June 30, 2026, largely reflecting future revenue related to signed multi-year arrangements for hosted and installed subscription-based products. As of June 30, 2026, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $4.6 billion. The Company expects to recognize into revenue approximately 55% of this balance within one year, approximately 25% of this balance between one to two years and the remaining amount thereafter.
Remaining performance obligations in the MIS segment largely reflect deferred revenue related to monitoring fees for certain structured finance products, primarily CMBS, where the issuers can elect to pay the monitoring fees for the life of the security in advance. As of June 30, 2026, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $90 million. The Company expects to recognize into revenue approximately 25% of this balance within one year, approximately 55% of this balance between one to five years and the remaining amount thereafter. With respect to the remaining performance obligations for the MIS segment, the Company has applied a practical expedient set forth in ASC Topic 606 permitting the omission of unsatisfied performance obligations relating to contracts with an original expected length of one year or less.