01—Abstract
Summary
Summary of the 10-Q filed October 31, 2024. Cited figures are marked; the original filing is the authoritative source.
IQVIA Holdings Inc. reported third-quarter 2024 revenues of $3,896 milliona, up $160 million, or 4.3%, from $3,736 million a year earlier.
Net income was $285 millionb versus $303 million, and diluted EPS was $1.55 compared with $1.63. For the first nine months, revenues were $11,447 million (up 3.0%) and net income was $936 million, with diluted EPS of $5.08 versus $4.76. Research & Development Solutions contracted backlog rose to $31.1 billion from $29.7 billion at December 31, 2023, and total remaining performance obligations were approximately $33.3 billion.
Cash flow strengthened. Net cash provided by operating activities was $1,831 millionc for the nine months, up from $1,402 million, and cash and cash equivalents rose to $1,572 million. The company repurchased $200 million of stock in the nine months, leaving $2,163 million of remaining authorization under its Repurchase Program.
Total indebtedness was $13,578 milliond, with $1,995 million of additional revolver availability. At the segment level, Technology & Analytics Solutions segment profit rose 14.1% in the quarter, while Research & Development Solutions segment profit was $498 million versus $495 million.
Contract Sales & Medical Solutions revenues declined 1.6% in the quarter. The company stated that its legal matters in Korea were resolved in its favor when the Supreme Court dismissed appeals on July 11, 2024, and that the Veeva litigation trial is scheduled for early 2025.
02—Key points
Key Highlights
- Third-quarter 2024 revenues rose 4.3% to $3,896 million; nine-month revenues rose 3.0% to $11,447 million.
- Third-quarter net income was $285 million (diluted EPS $1.55), versus $303 million (diluted EPS $1.63) in the prior-year quarter.
- Technology & Analytics Solutions segment profit increased 14.1% to $405 million in the third quarter, driven by revenue growth of 8.6%.
- Research & Development Solutions contracted backlog grew to $31.1 billion from $29.7 billion at December 31, 2023, with about $7.8 billion expected to convert to revenue within twelve months.
- Net cash provided by operating activities was $1,831 million for the first nine months, compared with $1,402 million a year earlier.
- The company repurchased $200 million of common stock in the nine months and had $2,163 million remaining under its Repurchase Program at September 30, 2024.
- Total indebtedness was $13,578 million at September 30, 2024, and the receivables financing facility term was extended to October 1, 2027.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in Q3 FY2024, IQVIA Holdings kept $0.07.
- Revenue$3.90B100.0%
- Cost of revenue−$2.98B76.5%
- Gross profit$915.0M23.5%
- Operating costs−$365.0M9.4%
- Operating income$550.0M14.1%
- Interest, other & tax−$265.0M6.8%
- Net income$285.0M7.3%
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2024filed October 31, 2024Financial Statements
Q3 FY2024 against Q3 FY2023
| Line item | Q3 FY2024Q3 FY2023 | Change |
|---|---|---|
| Revenue | $3.90B$3.74B | +4.3% |
| Gross Profit | $915.00M$862.00M | +6.1% |
| SG&A Expenses | $522.00M$502.00M | +4.0% |
| Operating Income | $550.00M$481.00M | +14.3% |
| Interest Expense | $170.00M$181.00M | −6.1% |
| Net Income | $285.00M$303.00M | −5.9% |
| EPS (Basic) | $1.57$1.66 | −5.4% |
| EPS (Diluted) | $1.55$1.63 | −4.9% |
| Shares Outstanding (Basic) | 182.10M182.90M | −0.4% |
| Shares Outstanding (Diluted) | 184.20M185.50M | −0.7% |
05—Questions
Frequently Asked Questions
How did IQVIA perform in the third quarter of 2024?
Revenues were $3,896 million, up $160 million or 4.3% from $3,736 million. Income from operations rose to $550 million from $481 million, while net income declined to $285 million from $303 million, and diluted EPS was $1.55 versus $1.63.
What is the status of the company's debt and liquidity?
Total indebtedness was $13,578 million at September 30, 2024, with $1,995 million of additional available borrowings under the revolving credit facility. Cash and cash equivalents were $1,572 million, and the company stated it believes it can meet its obligations for at least the next 12 months.
How much is left on the share repurchase authorization?
As of September 30, 2024, the company had remaining authorization to repurchase up to $2,163 million of common stock under its Repurchase Program, after repurchasing 0.8 million shares for $200 million in the first nine months of 2024.
What drove segment results?
Technology & Analytics Solutions revenue grew 8.6% in the third quarter, led by Europe and Africa and information and technology services. Research & Development Solutions revenue rose 1.9% in the quarter, and Contract Sales & Medical Solutions revenue fell 1.6%.
What legal matters were disclosed?
The Supreme Court of Korea dismissed plaintiffs' appeal and the prosecutor's appeal on July 11, 2024, making decisions in favor of IMS Korea final. In the Veeva litigation, trial has been scheduled for early 2025, and Veeva's counterclaims seek damages in excess of $200 million, which the company believes are without merit.
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