Overview

• Clarivate Q2 2025 revenue of $621.4 mln beats analyst expectations

• Adjusted EPS of $0.18 surpasses estimates, reflecting strong operational performance

• Co reaffirms 2025 outlook

Outlook

• Clarivate reaffirms 2025 outlook with revenue of $2.28 bln to $2.40 bln

• Company expects 2025 adjusted EBITDA between $940 mln and $1.00 bln

• Clarivate anticipates 2025 adjusted diluted EPS of $0.60 to $0.70

• Company sees 2025 free cash flow of $300 mln to $380 mln

• Clarivate expects organic ACV growth of 1.0% to 2.0% in 2025

• Company forecasts recurring organic revenue growth of (1.0)% to 1.0% in 2025

Result Drivers

• ORGANIC REVENUE GROWTH - Organic revenues increased 0.5% due to a 0.8% rise in organic recurring revenues, partially offset by lower transactional revenues

• RECURRING REVENUE MIX - Improved mix with organic recurring revenue now at 88% of total revenue, up from 80% a year ago

• TRANSACTIONAL REVENUE DECLINE - Transactional revenues fell 21.5% due to product group wind-downs

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the professional information services peer group is "buy."

• Wall Street's median 12-month price target for Clarivate PLC is $4.90, about 13.7% above its July 29 closing price of $4.23

• The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release: ID:nPn3nS9Zca

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)