NEW YORK - IQVIA Holdings Inc. (NYSE:IQV) reported third-quarter earnings that beat expectations, but its shares plunged 5% after the company lowered its full-year outlook.
The healthcare data and analytics provider posted adjusted earnings of $2.84 per share for the quarter ended September 30, surpassing analyst estimates of $2.81. Revenue rose 4.3% year-over-year to $3.9 billion, slightly above the $3.86 billion consensus forecast.
However, IQVIA cut its full-year 2024 guidance, now expecting revenue between $15.35 billion and $15.4 billion, below Wall Street's projection of $15.47 billion. The company also trimmed its adjusted earnings outlook to $11.10-$11.20 per share, compared to analysts' $11.17 estimate.
"As we anticipated, TAS revenue growth accelerated in the quarter; in fact, revenue growth exceeded our expectations to over 8 percent year-over-year, underlining our confidence in the continued recovery of this segment," said Ari Bousbib, chairman and CEO of IQVIA.
However, Bousbib noted that the company's short-term outlook has been affected by "the combined impact of one large program cancellation and the delay of two mega trials."
For the third quarter, Technology & Analytics Solutions revenue grew 8.6% to $1.55 billion, while Research & Development Solutions revenue increased 1.9% to $2.16 billion.
IQVIA's contracted backlog stood at $31.1 billion as of September 30, up 8% from a year ago. The company repurchased $200 million of its common stock during the quarter.
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