MSCI Inc. (MSCI) lifted its full-year cash-flow outlook after adjusted earnings rose 18.5% and operating margins recovered from the previous quarter.

Revenue growth slowed to 12.2% from 14.1% in the first quarter, though the mix shifted toward recurring subscriptions and asset-based fees. Non-recurring revenue declined $5.3 million from a year earlier after contributing to growth in the prior quarter.

GAAP diluted earnings rose 19.6% from a year earlier to $4.69 a share, while adjusted earnings increased to $4.94 a share from $4.17. The adjusted growth rate accelerated from 13.8% in the first quarter. Operating margin expanded 1.2 percentage points from a year earlier to 56.2%, rebounding from 53.7% in the previous quarter.

Index remained the main growth driver, with segment revenue rising 17.5% to $511.0 million. Asset-based-fee revenue increased 26.6%, recurring-subscription revenue grew 11.6%, and the segment’s adjusted EBITDA margin widened 1.9 percentage points to 77.8%.

The other businesses produced a mixed result. Analytics revenue grew 6.6%, but higher expenses pushed adjusted EBITDA down 5.0% and narrowed its margin to 46.5%. Sustainability and Climate revenue rose 3.4%, while lower expenses helped adjusted EBITDA increase 12.3%. Private Assets revenue increased 4.9%, but its adjusted EBITDA fell 14.1%.

MSCI now expects full-year operating cash flow of $1.655 billion to $1.705 billion and free cash flow of $1.485 billion to $1.545 billion, raising both ends of each range by $15 million. The company also lifted its expense forecasts following acquisitions and stronger index-linked assets under management, and increased its interest-expense guidance to between $282 million and $286 million.

The company agreed to acquire climate-risk-data provider First Street for $120 million at closing, plus potential contingent payments. MSCI expects the transaction to close in the third quarter and plans to report the business within Sustainability and Climate.