NYSE$IQV

IQVIA Holdings Inc. · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

IQVIA reported strong results and record bookings and backlog.

IQVIA's Q4 2022 results showed revenue of $3,739 million, a 2.8% increase, and GAAP Net Income of $227 million. The company's Adjusted Diluted Earnings per Share was $2.78, up 9.0% year-over-year, and Adjusted EBITDA was $920 million, an 11.1% increase year-over-year. R&D Solutions quarterly bookings were over $3.1 billion, with a book-to-bill ratio of 1.51x.

  • Revenue for the fourth quarter increased 2.8 percent on a reported basis to $3,739 million.
  • GAAP Net Income for the fourth quarter was $227 million, down 28.6 percent year-over-year.
  • Adjusted Diluted Earnings per Share was $2.78, up 9.0 percent year-over-year.
  • R&D Solutions contracted backlog grew 9.6 percent year-over-year to $27.2 billion.

Headline financials

Total Revenue

$3.74B

Previous: $3.64B+2.8%
EPS (adj)

$2.78

Previous: $2.55+9.0%
R&D Solutions contracted backlog

$27.2B

Previous: $24.8B+9.7%
Free Cash Flow

$389M

Previous: $508M-23.4%
Net Income

$227M

Previous: $318M-28.6%
Operating Income

$379M

Previous: $463M-18.1%
Gross Profit

$1.33B

Previous: $1.27B+4.7%
Cash & Equivalents

$1.22B

Previous: $1.37B-11.0%
Total Assets

$25.3B

Previous: $24.7B+2.6%
Stock-Based Comp

$58M

Previous: $42M+38.1%

Revenue & EPS history

IQVIA · Revenue · Quarterly

$3.74B

Q4 2022+2.8%vs Q4 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

IQVIA · $3.74B total across 3 segments · Q4 2022

  • Research & Development Solutions
    $2.06B+5.9%
  • Technology & Analytics Solutions
    $1.5B+0.2%
  • Contract Sales & Medical Solutions
    $182M-7.1%

Forward guidance

For the full year of 2023, the company expects revenue to be between $15,150 million and $15,400 million, representing growth of 5.1 to 6.9 percent on a reported basis and 5.0 to 6.8 percent at constant currency.

Tailwinds

  • Revenue to be between $15,150 million and $15,400 million.
  • Growth of 5.1 to 6.9 percent on a reported basis and 5.0 to 6.8 percent at constant currency.
  • Adjusted EBITDA to be between $3,625 million and $3,695 million, representing growth of 8.3 to 10.4 percent.
  • Adjusted Diluted Earnings per Share is expected to be between $10.26 and $10.56, up 1.0 to 3.9 percent.
  • Adjusted Diluted Earnings per Share is expected to grow 11 to 14 percent, excluding certain items.

Headwinds

  • Revenue guidance assumes approximately $600 million of COVID-related revenue step down versus 2022.
  • Adjusted Diluted Earnings per Share guidance includes the year-over-year impact of the step-up in interest rates and the increase in the UK corporate tax rate.
  • These non-operational items impact the year-over-year growth rate by approximately 10 percentage points.
  • Guidance assumes foreign currency exchange rates as of February 8, 2023 remain in effect for the forecast period.
  • The guidance represents 9 to 11 percent revenue growth at constant currency excluding acquisitions and COVID-related work.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

+1.4%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+1.9%

Avg return

30 days after

65%

37 / 57 earnings

Positive

+12.5%

Q2 2018

Best reaction

-10.7%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+7.7%+10.9%+13.9%
Q4 2025-10.7%-9.9%-13.8%
Q3 2025+0.3%-0.4%+6.6%
Q2 2025-0.4%+1.1%-1.6%
Q1 2025-4.0%-2.2%-3.2%
Q4 2024+2.2%-2.2%-6.7%
Q3 2024-3.2%-1.5%-7.0%
Q2 2024+6.3%+6.7%+10.0%
Q1 2024-4.1%-1.6%-5.9%
Q4 2023+12.2%+10.8%+17.4%
Q3 2023+5.3%+9.7%+20.0%
Q2 2023-2.1%-3.1%-0.5%
Q1 2023-0.9%-2.3%+5.0%
Q4 2022+0.8%-1.4%-14.4%
Q3 2022+1.4%+6.1%+11.3%
Q2 2022+0.5%-0.4%+8.3%
Q1 2022+6.1%+5.0%+6.7%
Q4 2021-3.2%-4.8%-6.9%
Q3 2021+2.1%+1.8%+6.6%
Q2 2021-0.8%+0.2%+4.5%
Q1 2021+6.1%+7.0%+9.1%
Q4 2020+4.9%+4.8%+1.6%
Q3 2020+3.2%+2.1%+3.4%
Q2 2020+2.9%+3.4%+0.4%
Q1 2020+8.5%+3.5%+10.9%
Q4 2019+2.5%+1.6%-26.6%
Q3 2019-3.8%-2.4%-2.7%
Q2 2019+2.1%+1.6%-2.3%
Q1 2019-2.0%-0.1%-2.2%
Q4 2018+7.6%+7.3%+7.4%
Q3 2018-3.5%-5.3%-8.4%
Q2 2018+12.5%+8.2%+11.7%
Q1 2018-0.7%+0.2%+2.6%
Q4 2017+1.5%+1.7%+5.6%
Q3 2017+6.1%+6.5%+2.7%
Q2 2017-1.3%-1.0%+4.4%
Q1 2017-3.7%-2.0%+3.0%
Q4 2016-2.7%-4.1%+0.5%
Q3 2016+0.8%+4.1%+3.3%
Q2 2016+3.3%+4.2%+0.3%
Q1 2016-5.9%
Q4 2015+3.6%
Q3 2015-6.2%
Q2 2015+2.6%
Q1 2015-4.9%
Q4 2014+4.3%
Q3 2014+0.9%
Q2 2014-3.1%
Q1 2014+0.4%
Q4 2011+7.5%
Q4 2013+7.5%
Q3 2012+0.1%
Q3 2013+0.1%
Q2 2012+0.8%
Q2 2013+0.8%
Q1 2012+5.0%
Q4 2012+5.0%
Q1 2013

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