Gartner Inc. (NYSE:IT) reported better-than-expected second-quarter 2026 results, prompting the research and advisory company to raise several key financial forecasts for the full year.
The stronger performance sent Gartner shares 7.5% higher following the earnings announcement.
Earnings Exceed Expectations
Gartner reported adjusted earnings of $4.37 per share for the second quarter, representing a 23.8% increase compared with the same period last year.
Revenue totalled $1.7 billion during the quarter. Although reported revenue declined 0.6% year over year, adjusted revenue increased 2.8%, reflecting continued underlying business growth.
The company also reported foreign exchange-neutral contract value of $5.3 billion, up 1.7% from a year earlier, with contract growth accelerating from the previous quarter.
Cash Generation Remains Strong
Free cash flow increased 8.9% year over year to $378 million during the quarter.
Gartner also continued returning capital to shareholders, repurchasing 3.6 million shares for $547 million.
In July 2026, the company’s board approved an additional $500 million for its share repurchase programme.
Following the stronger results, Gartner increased its full-year guidance for adjusted EBITDA excluding divested operations, adjusted earnings per share and free cash flow.
CEO Highlights Improving Momentum
Chairman and Chief Executive Officer Gene Hall said the business continued to outperform expectations.
“Contract Value growth accelerated again. Revenues, Adjusted EBITDA excluding divested operation, Adjusted EPS, and free cash flow were ahead of expectations,” said Gene Hall, Chairman and Chief Executive Officer. “We repurchased $547 million of stock in the quarter, as our capital allocation continues to create value for our shareholders.”
Conferences Lead Segment Growth
The company’s Insights division generated revenue of $1.3 billion, an increase of 2.1%, while maintaining a contribution margin of 77.5%.
Conference revenue delivered the strongest growth, rising 15.5% year over year to $244 million.
By contrast, Consulting revenue declined 8.8% to $142 million during the quarter.
Global Technology Sales contract value remained broadly unchanged from the previous quarter at approximately $4.0 billion on a foreign exchange-neutral basis, representing annual growth of 1.1%.
Global Business Sales contract value increased 1.2% sequentially to $1.3 billion and was 3.3% higher than a year earlier.
Profitability Continues to Improve
Adjusted EBITDA, excluding divested operations, increased 6.4% year over year to $466 million.
Diluted earnings per share rose 33.1% to $4.14, highlighting the company’s continued focus on profitability alongside steady contract value growth.
Gartner stock price
