IQVIA Holdings Analytics Inc. IQV has reported impressive first-quarter 2025 results, wherein earnings and revenues beat the Zacks Consensus Estimate.
Adjusted earnings were $2.70 per share, outpacing the Zacks Consensus Estimate by 2.7% and rising 6.3% on a year-over-year basis. Total revenues of $3.8 billion surpassed the consensus estimate by 1.6% and grew 2.5% from the year-ago quarter.
The IQV stock has lost 33.5% over the past year compared with the 11.5% decline of the industry it belongs to and against the 9.1% rise of the Zacks S&P 500 Composite.
IQVIA’s Quarterly Details
The Research and Development segment’s revenues were $2.1 billion, increasing marginally from the year-ago quarter and 1.1% on a constant-currency basis. The metric met our estimate.
IQVIA Holdings Inc. Price, Consensus and EPS Surprise
IQVIA Holdings Inc. price-consensus-eps-surprise-chart | IQVIA Holdings Inc. Quote
Revenues from the Technology and Analytics segment were $1.5 billion, growing 6.4% from the year-ago quarter and 7.6% on a constant-currency basis. The metric met our estimate.
Contract Sales and Medical Solutions revenues decreased 4.2% on a year-over-year basis to $181 million and increased 2.1% on a constant-currency basis. The metric missed our estimation of $192.4 million.
Adjusted EBITDA for the first quarter of 2025 was $883 million, a 2.4% rise from the year-ago quarter and lagging our projection of $886.6 million.
The company exited the quarter with cash and cash equivalents of $1.7 billion, flat with the preceding quarter. Long-term debt (less current portion) was $13.1 billion compared with $12.8 billion at the end of the fourth quarter of 2024.
Net cash generated from operating activities was $586 million and the capital expenditure for the quarter was $142 million. The company generated a free cash flow of $426 million in the quarter.
IQV’s 2025 Guidance
For 2025, IQVIA has raised its revenue guidance to $16.00-$16.40 billion from the preceding quarter’s view of $15.72-$16.12 billion. The guided range is higher than the Zacks Consensus Estimate for revenues of $15.86 billion.
The company expects an adjusted EPS of $11.70-$12.10. The mid-point ($11.90) of the guided range is higher than the Zacks Consensus Estimate for earnings of $11.84.
IQVIA’s adjusted EBITDA view for the same period is $3.76-$3.88 billion.
IQV carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings Snapshot of Peers
The Interpublic Group of Companies, Inc. IPG reported mixed first-quarter 2025 results.
IPG’s adjusted earnings of 33 cents per share surpassed the Zacks Consensus Estimate by 10% but decreased 8.3% from the year-ago quarter. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)
Revenues before billable expenses (net revenues) of $2 billion missed the consensus estimate by a slight margin and declined 8.3% year over year.
Waste Connections, Inc. WCN posted impressive first-quarter 2025 results.
WCN’s adjusted earnings (excluding 20 cents from non-recurring items) of $1.13 per share surpassed the Zacks Consensus Estimate by 5.6% and increased 8.7% year over year. Revenues of $2.2 billion beat the consensus estimate marginally and grew 7.5% from the year-ago quarter.
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Interpublic Group of Companies, Inc. (The) (IPG): Free Stock Analysis Report Waste Connections, Inc. (WCN): Free Stock Analysis Report IQVIA Holdings Inc. (IQV): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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