Clarivate shares tumble over 4% on revenue miss, weak guidance

Published 19/02/2025, 12:10
Clarivate shares tumble over 4% on revenue miss, weak guidance

LONDON -On Wednesday, Clarivate Plc (NYSE:CLVT) reported fourth-quarter results that missed revenue expectations and provided weaker-than-expected guidance for 2025, sending shares down -4.55% in pre-market trading.

The provider of analytics and intelligence services posted adjusted earnings per share of $0.21 for Q4, beating analyst estimates by $0.01. However, revenue fell 3% YoY to $663 million, missing the consensus forecast of $670.96 million.

Organic revenues decreased 0.7% in the quarter as growth in subscription and transactional revenues was offset by lower re-occurring revenues.

For the full year 2025, Clarivate expects adjusted EPS of $0.60-$0.70, below the $0.73 analysts were projecting. The company’s revenue outlook of $2.28-2.4 billion also came in well below the $2.55 billion consensus estimate.

"We are committed to reinvigorating our business to deliver healthy organic growth and build for the future," said CEO Matti Shem Tov. He noted the company is focused on driving subscription and re-occurring revenue growth while planning to discontinue sales of certain low-margin transactional products.

Clarivate also announced it has initiated a review of strategic alternatives, including potential divestitures of business units or an entire segment. The company said it intends to be diligent in reviewing options to maximize shareholder value.

The weak guidance and revenue miss overshadowed Clarivate’s $200 million share repurchase and $198 million debt prepayment in 2024.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.