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Gartner (IT) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 6, 2025
Gartner (IT) reported revenue of $1.5B for the first quarter 2025 (Q1 2025), +4% from a year earlier and -11% from the quarter before. Operating margin was 18.1%, net earnings $211M (13.7% of revenue).
Gartner, Q1 2025: revenue $1.5B (+4% year over year), operating margin 18.1%, net earnings $211M, operating cash flow $314M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $1.5B | -11% | +4% |
| Gross profit | $1.1B | -7% | +4% |
| Operating profit | $278M | -13% | +2% |
| Net earnings | $211M | -47% | +0.2% |
| Operating cash flow | $314M | -7% | +66% |
| Free cash flow | $288M | -8% | +73% |
What changed
Revenue was $1.5B in Q1 2025, up 4% year over year and down 11% from the previous quarter. Research was the largest line at 86% of revenue. Research added $0.05B year over year (up 4%), 88% of the total change.
Gross margin was 69.4%, unchanged from a year earlier. Operating profit was $0.28B, a 18.1% margin (down 0.5 points year over year). Of the extra revenue versus a year earlier, 7% reached operating profit, below the 19% margin then. Operating expenses grew 5% against revenue growth of 4%. Net earnings were $0.21B, roughly flat year over year. The effective tax rate was 21.0%.
Operating cash flow was $0.31B (up 66% year over year), 149% of net earnings. Non-cash charges added back $0.05B of depreciation and amortization and $0.05B of share-based compensation. Capital expenditures of $0.03B left free cash flow of $0.29B.
Questions
What was Gartner's revenue in the first quarter 2025?
Gartner (IT) reported revenue of $1.5B for the first quarter 2025 (Q1 2025), +4% from a year earlier and -11% from the quarter before.
Was Gartner profitable in the first quarter 2025?
Operating profit was $278M (18.1% of revenue) and net earnings $211M.
Source: Gartner 10-Q on SEC EDGAR.