Clarivate Plc (NYSE:CLVT) raised its full-year 2025 revenue forecast on Wednesday after reporting third-quarter results that beat analyst expectations, driven by stronger subscription performance and cost discipline. Shares rose 1.37% following the announcement.
For the quarter ended September 30, the data intelligence and analytics company reported adjusted earnings of $0.18 per share, above the $0.16 consensus estimate.
Revenue totaled $623.1 million, easily surpassing expectations of $569.88 million, though organic revenue slipped 0.1% year-over-year as 1.2% growth in subscription sales was offset by declines in transactional and reoccurring revenue streams.
Clarivate now expects full-year revenue between $2.42 billion and $2.45 billion, up from the prior range of $2.28 billion to $2.40 billion and higher than the $2.39 billion analyst consensus. The company maintained its adjusted EPS guidance of $0.60–$0.70.
“The third quarter demonstrated continued improved financial and operational performance, underscoring the effectiveness of our Value Creation Plan,” said Matti Shem Tov, Clarivate’s CEO.
“We remain committed to increasing our core subscription and recurring revenue mix, rationalizing our solutions portfolio, and unlocking greater value for our shareholders.”
The company reported a 1.6% increase in organic annual contract value (ACV) compared to a year earlier, while recurring revenue rose to 88% of total sales, up 800 basis points year-to-date.
During the quarter, Clarivate repurchased 11.7 million shares and repaid $100 million in debt, reinforcing its focus on shareholder returns and capital discipline.
Free cash flow came in at $115.5 million, down from $126.3 million last year, while net loss narrowed to $28.3 million, or -$0.04 per share, compared to -$65.6 million, or -$0.09 per share, in Q3 2024.