The Dutch professional information, software, and services group Wolters Kluwer has reported a powerful growth trajectory for 2025, underpinned by its strategic shift toward cloud-based and artificial intelligence technologies. While operational metrics are strong, this performance contrasts with a significant depreciation in the company’s share value over recent months, presenting a notable market puzzle.
Shareholder Returns and Forward Guidance
Demonstrating confidence and continuity, the company’s board has proposed a dividend of €2.52 per share for 2025. This represents an 8% increase and marks the 34th consecutive year of dividend payments. Furthermore, a new share buyback program of up to €500 million has been announced for 2026, following the completion of a previous €200 million program on February 23.
Looking ahead, management anticipates full-year revenue to reach approximately €7.487 billion, with adjusted earnings per share expected to be around €6.71. Investments in product development are slated for further increases in 2026, with a clear strategic emphasis on artificial intelligence.
Operational Excellence and AI Integration
Financially, the group delivered impressive results. Organic revenue growth reached 6%, bringing total sales to €6.125 billion. A substantial 83% of this revenue is now recurring, providing a stable foundation, and grew by 7% year-over-year. Cloud software solutions were a standout segment, advancing by 15%.
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Profitability metrics also improved. The adjusted operating profit rose by 9% on a constant currency basis to €1.687 billion. Consequently, the operating margin expanded by 40 basis points to 27.5%. Adjusted earnings per share saw a corresponding constant-currency increase of 9%, landing at €5.29.
The core driver of this success is the accelerating integration of AI. Solutions powered by artificial intelligence now generate approximately 70% of digital revenues. Notably, about two-thirds of the company’s total revenue is already connected to its new AI-enabled services.
Market Perception Versus Fundamentals
The evident operational strength and successful execution of the AI strategy raise questions about the recent downward pressure on the stock. The market’s valuation disconnect suggests investors may be awaiting further proof or a broader sector re-rating. Whether the coming months will bring a reassessment of Wolters Kluwer’s growth story remains a key focus for observers.
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