Companies /Technology

Gartner Inc

NYSE: IT Information Technology Services
$196.60
â–² $3.64 (+1.89%) today
Markets closed · 5:15am ET

Q4 2024 Earnings

Reported Feb 4, 2025, 6:04am ET · SEC source
$5.45
Beat +67.22%
EPS · est. $3.26
$1.7B
Beat +1.46%
Revenue · est. $1.7B
−7.6%
Trailing market
IT vs S&P since report
7 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−6%−3%0+3%Feb 3Feb 11report 6:04am ETearnings+1.3%−4.7%
−6%−3%0+3%Feb 3Feb 11earnings+1.3%−4.7%
IT −4.7%S&P 500 +1.3%
−6%−3%0+3%Feb 3Feb 11report 6:04am ETearnings+1.9%−4.7%
−6%−3%0+3%Feb 3Feb 11earnings+1.9%−4.7%
IT −4.7%NASDAQ +1.9%
−0.12%
Day of report
−1.11%
Next session
−4.58%
One week
−11.89%
30 days

S&P 500 over the same 30 days: −4.30%.

Did IT Beat Earnings? Q4 2024 Results

Gartner delivered a blowout fourth quarter, with adjusted EPS of $5.45 beating the $3.26 consensus estimate by 67.22%, powered in large part by an unusual $96.90 million tax benefit that drove GAAP net income up 91% year-over-year. Revenue of $1.72 billion grew 8.1% from a year ago and edged past the $1.69 billion consensus by 1.46%, with all three business segments contributing: Research revenues of $1.31 billion rose 5%, Conferences surged 17% to $251.00 million, and Consulting jumped 19% to $153.00 million. Contract value reached $5.30 billion, growing 8% on an FX-neutral basis, with the higher-growth Global Business Sales segment accelerating to 12% FX-neutral expansion. Free cash flow climbed 59% to $311.00 million, underscoring the company's capital generation strength. CEO Gene Hall pointed to accelerating contract value growth and pledged continued investment in hiring as Gartner pursues a path toward long-term, sustained double-digit growth in 2025 and beyond.

Key Takeaways
  • Contract value growth accelerated to 8% FX neutral, reaching $5.3 billion
  • Global Business Sales contract value grew 12% FX neutral to $1.2 billion
  • Global Technology Sales contract value grew 7% FX neutral to $4.0 billion
  • Conferences revenue grew 17% driven by strong event performance
  • Consulting revenue grew 19% year-over-year
  • Tax benefit of $97 million in Q4 2024 vs. $69 million provision in Q4 2023

“Fourth quarter financial results were ahead of expectations. Contract value growth accelerated. Gartner delivered another strong year, providing exceptional value for our clients and shareholders, driving high single digit growth in contract value and generating almost $1.4 billion of free cash flow. In 2025, we will continue to accelerate hiring, keeping us on a path to long-term, sustained, double-digit growth.”

Gartner CEO, on the earnings call

Forward Guidance & Outlook

Gartner provided its financial outlook for full year 2025, with specific details available in the earnings supplement. CEO Gene Hall indicated the company will continue to accelerate hiring in 2025, keeping Gartner on a path to long-term, sustained, double-digit growth.

IT YoY Financials

Q4 2024 vs Q4 2023 · SEC filings Q4 2023 Q4 2024
$0$500.0M$1.0B$1.5B$1.6B$1.7BRevenue$1.1B$1.1BGross Profit$301.4M$317.8MOperating Income$208.6M$398.6MNet Income
$0$500.0M$1.0B$1.5BRevenueGross ProfitOperating IncomeNet Income

IT Revenue by Segment

Insights$1.3B+5.0%
Conferences$251.0M+17.0%
Consulting$153.0M+19.0%

Figures from SEC filings and company reports. Not investment advice.