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SEGMENT INFORMATION
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company is organized into two operating segments: MA and MIS and accordingly, the Company reports in two reportable segments: MA and MIS.
Revenue for MA and expenses for MIS include an intersegment fee charged to MIS from MA for certain MA products and services utilized in MIS’s ratings process. Additionally, revenue for MIS and expenses for MA include intersegment fees charged to MA for the rights to use and distribute content, data and products developed by MIS. These intersegment fees are generally based on the market value of the products and services being transferred between the segments.
Overhead expenses include costs such as rent and occupancy, information technology and support staff such as finance, human resources and legal. Such costs and corporate expenses that exclusively benefit one segment are fully charged to that segment.
For overhead costs and corporate expenses that benefit both segments, costs are generally allocated to each segment based on historical/budgeted revenue amounts.
“Eliminations” in the following table represent intersegment revenue/expense. Moody’s does not report the Company’s assets by reportable segment, as this metric is not used by the CODM to allocate resources to the segments. Consequently, it is not practical to show assets by reportable segment.
Financial Information by Segment
The table below shows revenue, significant expenses regularly provided to the CODM and Adjusted Operating Income by reportable segment. The CODM, identified as the Company's CEO, utilizes the Adjusted Operating Income measure to assess the profitability of the Company and each of its reportable segments each quarter. Adjusted Operating Income is used in our budgeting and forecasting process, enabling the allocation of capital resources across the Company's strategic initiatives.
Three Months Ended March 31,
20252024
MA
MIS
Eliminations
Consolidated
MA
MIS
Eliminations
Consolidated
Total external revenue$859 $1,065 $— $1,924 $799 $987 $— $1,786 
Intersegment revenue3 49 (52)— 3 47 (50)— 
Revenue862 1,114 (52)1,924 802 1,034 (50)1,786 
Compensation expense
362 280 — 642 337 272 — 609 
Non-compensation expense
192 96 — 288 180 91 — 271 
Intersegment expense
49 3 (52)— 47 3 (50)— 
Operating, SG&A603 379 (52)930 564 366 (50)880 
Adjusted Operating Income$259 $735 $— $994 $238 $668 $— $906 
Add:

Depreciation and
amortization		94 19 — 113 82 18 — 100 
Restructuring26 7 — 33 2 3 — 5 
Charges related to asset abandonment2 — — 2 — — — — 
Operating Income$846 $801 
Non-operating (expense) income, net
$(42)$(49)
Income before provision for income taxes
$804 $752 
The table below shows cumulative restructuring expense incurred through March 31, 2025 by reportable segment.
MAMISTotal
Strategic and Operational Efficiency Restructuring Program
$60 $18 $78 
The costs expected to be incurred related to the Strategic and Operational Efficiency Restructuring Program are $125 million to $155 million for the MA segment and $75 million to $95 million for the MIS segment, which include allocations of charges associated with corporate functions. This restructuring program is more fully discussed in Note 10.
Consolidated Revenue Information by Geographic Area
Three Months Ended March 31,
20252024
United States$1,065 $969 
Non-U.S.:
EMEA569 542 
Asia-Pacific167 155 
Americas123 120 
Total Non-U.S.859 817 
Total$1,924 $1,786