Clarivate Plc (CLVT) saw its stock plummet 5.49% in Wednesday's trading session, despite reporting better-than-expected third-quarter earnings. The company's financial results revealed a mixed picture, combining positive revenue growth with ongoing profitability challenges.

Clarivate reported Q3 adjusted earnings of $0.18 per diluted share, surpassing analysts' expectations of $0.15. Revenue for the quarter reached $623.1 million, slightly up from $622.2 million a year earlier and significantly higher than the $568.3 million forecast by analysts. However, the company still posted a net loss of $28.3 million for the quarter, albeit an improvement from the $65.6 million loss in the same period last year.

Despite raising its 2025 revenue guidance to a range of $2.42 billion to $2.45 billion, up from the previous outlook of $2.28 billion to $2.4 billion, investors seem to be focusing on the persistent net losses. The company maintained its 2025 adjusted EPS guidance of $0.60 to $0.70. The market's negative reaction suggests concerns about Clarivate's path to profitability, overshadowing the positive aspects of the earnings report and improved revenue outlook.