The first quarter of 2025 financial statements from IQVIA Holdings Inc. showed an increase in both sales and profit. The April 24, 2025, statement focused on the company’s performance during what it called a period of delayed customer decision-making on new clinical trial projects because of industry and macroeconomic concerns.
Key Financial Achievements for Q1 2025
IQVIA reported $3.829 billion in total revenue for the first quarter that ended on March 31, 2025, a 2.5% increase over the same period in 2024. This gain was 3.5 percent when all currencies were held constant. The business made $249 million in GAAP net income. At $883 million, adjusted EBITDA increased 2.4% from the previous year. Adjusted diluted earnings per share increased by 6.3% to $2.70, while GAAP diluted earnings per share remained at $1.40. With operating cash flow of $568 million and free cash flow up 13% year over year to $426 million, the company also recorded solid cash flow.
With revenue of $1.546 billion, the Technology & Analytics Solutions (TAS) division had strong results when performance was broken down by business category. When measured in constant currency, this represented a growth of 6.4%, or 7.6%. Revenue for the Research & Development Solutions (R&DS) division was $2.102 billion, a 0.3% (or 1.1% at constant currency) rise. R&DS revenue increased by 1.2% when reimbursement expenses were taken out of the equation. The contracted backlog, a key metric for this category, increased 4.8% from the previous year to $31.5 billion. However, with reported revenue of $181 million, the Contract Sales & Medical Solutions (CSMS) business had a 4.2% decline in revenue (2.1% at constant currency).
Leadership Commentary
IQVIA delivered strong revenue and profit performance, at the high-end of our expectations,
In the clinical trial business, we experienced delayed decision-making by customers on new programs, reflecting incremental macroeconomic and industry sector uncertainty. Despite the environment, our R&DS forward-looking indicators such as qualified pipeline, RFP flow, and backlog continued to grow. On the commercial side, the TAS business delivered above target performance, with revenue growth of 7.6 percent at constant currency. Our strong financial results demonstrate that we are navigating the current market conditions more effectively than our sector, reflecting the scale and strength of our differentiated portfolio and the resilience of our operational execution.
Ari Bousbib
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