We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Gartner (IT) Q2 Earnings and Revenues Top Estimates, View Up
Read MoreHide Full Article
Gartner, Inc.(IT - Free Report) reported better-than-expected second-quarter 2021 results, wherein the company’s earnings and revenues surpassed the Zacks Consensus Estimate.
Adjusted earnings per share of $2.24 beat the consensus mark by 28.7% and increased 86.7% year over year. Revenues of $1.17 billion beat the consensus estimate by 4.1% and improved 20% year over year on a reported basis and 15.9% on a foreign currency-neutral basis.
Total contract value was $3.8 billion, up 10.7% year over year on a foreign currency-neutral basis.
So far this year, shares of Gartner have gained 65.4%, outperforming the 23.6% growth of the industry it belongs to and 18.2% increase of the Zacks S&P 500 composite.
Image Source: Zacks Investment Research
Quarterly Numbers in Detail
Revenues at the Research segment increased 14.6% year over year on a reported basis and 10.7% on a foreign currency-neutral basis, to $1 billion. Gross contribution margin was 74% in the reported quarter.
Revenues at the Conferences segment came in at $58 million. Gross contribution margin was 73.2% in the reported quarter.
Revenues at the Consulting segment grew 8.6% year over year on a reported basis and 4.5% on a foreign currency-neutral basis, to $106 million. Gross contribution margin was 40.4% in the reported quarter.
Adjusted EBITDA of $355 million improved 84.9% year over year on a reported basis and 75.4% on a foreign currency-neutral basis.
Operating cash flow totaled $575 million and free cash flow was $563 million in the reported quarter. Capital expenditures totaled $12 million.
The company repurchased 3.1 million common shares for $685 million. Further, its board of directors raised the share repurchase authorization by $800 million in July 2021.
2021 View
Gartner raised its full-year 2021 guidance. The company now expects total revenues to be $4.57 billion compared with the prior guidance of $4.51 billion. The current Zacks Consensus Estimate of $4.54 billion lies below the updated guidance.
Adjusted EPS is now anticipated to be $7.60 compared with the prior guidance of $6.25. The current Zacks Consensus Estimate of $6.45 lies below the updated guidance.
Adjusted EBITDA is now projected to be $1.16 billion compared with the prior guidance of $1 billion. Free cash flow is now anticipated to be $1.13 billion compared with the prior guidance of $850 million.
Equifax’s (EFX - Free Report) second-quarter 2021 adjusted earnings of $1.98 per share beat the Zacks Consensus Estimate by 15.8% and improved on a year-over-year basis. Revenues of $1.23 billion outpaced the consensus estimate by 6.4% and improved 26% year over year on a reported basis and 23% on a local-currency basis.
Robert Half’s (RHI - Free Report) second-quarter 2021 earnings of $1.33 per share beat the consensus mark by 26.7% and were up more than 100% year over year. Revenues of $1.6 billion surpassed the consensus mark by 6.5% and increased 42.3% year over year on a reported basis and 40% on an adjusted basis.
ManpowerGroup’s (MAN - Free Report) second-quarter 2021 adjusted earnings of $2.02 per share beat the consensus mark by 68.2% and improved more than 100%. Revenues of $5.28 billion beat the consensus mark by 2% and inched up 41% year over year on a reported basis and 31.3% on a constant-currency (cc) basis.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Gartner (IT) Q2 Earnings and Revenues Top Estimates, View Up
Gartner, Inc.(IT - Free Report) reported better-than-expected second-quarter 2021 results, wherein the company’s earnings and revenues surpassed the Zacks Consensus Estimate.
Adjusted earnings per share of $2.24 beat the consensus mark by 28.7% and increased 86.7% year over year. Revenues of $1.17 billion beat the consensus estimate by 4.1% and improved 20% year over year on a reported basis and 15.9% on a foreign currency-neutral basis.
Total contract value was $3.8 billion, up 10.7% year over year on a foreign currency-neutral basis.
So far this year, shares of Gartner have gained 65.4%, outperforming the 23.6% growth of the industry it belongs to and 18.2% increase of the Zacks S&P 500 composite.
Image Source: Zacks Investment Research
Quarterly Numbers in Detail
Revenues at the Research segment increased 14.6% year over year on a reported basis and 10.7% on a foreign currency-neutral basis, to $1 billion. Gross contribution margin was 74% in the reported quarter.
Revenues at the Conferences segment came in at $58 million. Gross contribution margin was 73.2% in the reported quarter.
Revenues at the Consulting segment grew 8.6% year over year on a reported basis and 4.5% on a foreign currency-neutral basis, to $106 million. Gross contribution margin was 40.4% in the reported quarter.
Adjusted EBITDA of $355 million improved 84.9% year over year on a reported basis and 75.4% on a foreign currency-neutral basis.
Gartner, Inc. Price, Consensus and EPS Surprise
Gartner, Inc. price-consensus-eps-surprise-chart | Gartner, Inc. Quote
Operating cash flow totaled $575 million and free cash flow was $563 million in the reported quarter. Capital expenditures totaled $12 million.
The company repurchased 3.1 million common shares for $685 million. Further, its board of directors raised the share repurchase authorization by $800 million in July 2021.
2021 View
Gartner raised its full-year 2021 guidance. The company now expects total revenues to be $4.57 billion compared with the prior guidance of $4.51 billion. The current Zacks Consensus Estimate of $4.54 billion lies below the updated guidance.
Adjusted EPS is now anticipated to be $7.60 compared with the prior guidance of $6.25. The current Zacks Consensus Estimate of $6.45 lies below the updated guidance.
Adjusted EBITDA is now projected to be $1.16 billion compared with the prior guidance of $1 billion. Free cash flow is now anticipated to be $1.13 billion compared with the prior guidance of $850 million.
Currently, Gartner carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Business Services Companies
Equifax’s (EFX - Free Report) second-quarter 2021 adjusted earnings of $1.98 per share beat the Zacks Consensus Estimate by 15.8% and improved on a year-over-year basis. Revenues of $1.23 billion outpaced the consensus estimate by 6.4% and improved 26% year over year on a reported basis and 23% on a local-currency basis.
Robert Half’s (RHI - Free Report) second-quarter 2021 earnings of $1.33 per share beat the consensus mark by 26.7% and were up more than 100% year over year. Revenues of $1.6 billion surpassed the consensus mark by 6.5% and increased 42.3% year over year on a reported basis and 40% on an adjusted basis.
ManpowerGroup’s (MAN - Free Report) second-quarter 2021 adjusted earnings of $2.02 per share beat the consensus mark by 68.2% and improved more than 100%. Revenues of $5.28 billion beat the consensus mark by 2% and inched up 41% year over year on a reported basis and 31.3% on a constant-currency (cc) basis.