Clarivate Plc (NYSE:CLVT) reported first-quarter results on Wednesday that exceeded analyst expectations, with both earnings and revenue coming in ahead of forecasts as its Value Creation Plan begins to show results.
Shares rose 7.57% in premarket trading, reflecting investor confidence in the company’s execution and improving financial discipline.
Adjusted earnings per share were $0.18, beating the consensus estimate of $0.14 by $0.04.
Revenue totaled $585.5 million, surpassing the $568.78 million estimate, although it declined 1.4% year over year from $593.7 million due to divestments. On an organic basis, revenue increased 0.6%, supported by 1.7% growth in subscription revenues.
Clarivate reaffirmed its full-year 2026 guidance, forecasting adjusted EPS in the range of $0.70 to $0.80, compared with a consensus of $0.72. The midpoint of $0.75 is broadly in line with expectations. The company also maintained its revenue outlook of $2.30 billion to $2.42 billion, with the midpoint of $2.36 billion matching analyst estimates.
“We are off to a solid start to 2026, with first-quarter results demonstrating tangible progress against the Value Creation Plan we launched in early 2025,” said Matti Shem Tov. “Execution of the VCP is strengthening the quality and durability of our performance.”
Adjusted EBITDA rose to $241.2 million from $233.2 million a year earlier, while the adjusted EBITDA margin improved to 41.2% from 39.3%.
Free cash flow for the quarter was $78.9 million, down from $110.3 million in the prior-year period.
The company used its cash flow to reduce leverage, repaying $143 million of debt during the quarter. Total debt stood at $4.33 billion as of March 31, 2026.
For the full year, Clarivate expects adjusted EBITDA of $980 million to $1.04 billion and free cash flow between $365 million and $435 million.