Gartner

IT Q2 2025 Earnings

Reported Aug 5, 2025 at 6:02 AM ET · SEC Source

Q2 25 EPS

$3.53

BEAT +6.80%

Est. $3.31

Q2 25 Revenue

$1.69B

BEAT +0.74%

Est. $1.67B

vs S&P Since Q2 25

-64.2%

TRAILING MARKET

IT -45.3% vs S&P +18.9%

Market Reaction

Did IT Beat Earnings? Q2 2025 Results

Gartner delivered a solid second quarter, beating Wall Street expectations on both the top and bottom lines as the research and advisory firm posted adjusted EPS of $3.53, ahead of the $3.31 consensus by 6.80%, while revenue of $1.69 billion grew 5.7… Read more Gartner delivered a solid second quarter, beating Wall Street expectations on both the top and bottom lines as the research and advisory firm posted adjusted EPS of $3.53, ahead of the $3.31 consensus by 6.80%, while revenue of $1.69 billion grew 5.7% year over year and edged past estimates by 0.74%. The outperformance was broad-based across all three segments, with the company's newly rebranded Business and Technology Insights division, formerly called Research, anchoring results with a 73.9% contribution margin. Adjusted EBITDA climbed 6.6% to $443.00 million, and contract value reached $5.00 billion, growing 4.9% on an FX-neutral basis, with the Global Business Sales segment showing particular momentum at 9.2% FX-neutral growth. Capital return remained aggressive, with Gartner repurchasing 0.7 million shares for $274.00 million during the quarter and the Board authorizing an additional $700.00 million in buyback capacity in July; however, the stock has faced pressure this year as investors weigh competitive concerns around AI-driven insights against the company's updated full-year 2025 outlook, details of which are available in its earnings supplement.

Key Takeaways

  • Contract value growth of 4.9% FX neutral to $5.0 billion
  • Global Business Sales contract value grew 9.2% FX neutral
  • Conferences revenue grew 13.6% year-over-year
  • Lower interest expense ($11.8 million vs $20.0 million) benefited net income
  • Accelerated share repurchases reduced diluted share count from 78.3 million to 77.4 million
24/7 Wall St

IT YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

IT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 24 Q1 26

“Second quarter Revenue, Adjusted EBITDA, Adjusted EPS, and Free Cash Flow were ahead of expectations. Contract value grew 5%. Since the end of the first quarter, we have accelerated our stock buybacks to increase shareholder value. As we continue to rollout AskGartner, our new AI-powered tool that provides faster access to trusted, proprietary Gartner business and technology insights, clients will realize even more value from their licenses.”

— Gene Hall, Q2 2025 Earnings Press Release