IQVIA Q2 Earnings Call Highlights

IQVIA exceeded Q2 expectations , with revenue up 8.7% to $4.368 billion, adjusted EBITDA rising 9.2% to $994 million and adjusted EPS increasing 12.1% to $3.15. R&D Solutions bookings jumped 19.3% year over year to $3.15 billion, lifting the backlog to $34.2 billion. Commercial Solutions organic growth accelerated to 5%, supported by stronger product launches, customer demand and win rates. IQVIA raised its 2026 outlook for revenue to $17.275 billion–$17.475 billion, adjusted EBITDA to $4.0 billion–$4.05 billion and adjusted EPS to $12.80–$13.00, while continuing investments in AI and productivity initiatives. IQVIA NYSE: IQV reported second-quarter results that exceeded the high end of its guidance, supported by accelerating organic revenue growth, higher R&D Solutions bookings and operational productivity gains. The company also raised its full-year outlook for revenue, adjusted EBITDA and adjusted diluted earnings per share. Chairman and Chief Executive Officer Ari Bousbib said revenue, adjusted EBITDA and adjusted diluted EPS all surpassed management’s expectations. “The momentum we saw in the first quarter continued with improving market conditions and strong operational execution,” Bousbib said. Second-quarter revenue totaled $4.368 billion, up 8.7% on a reported basis and 8.5% at constant currency. Acquisitions accounted for about 2.5 percentage points of the quarter’s revenue growth, according to Executive Vice President and Chief Financial Officer Mike Fedock. Adjusted EBITDA rose 9.2% year over year to $994 million, while adjusted diluted EPS increased 12.1% to $3.15. On a GAAP basis, IQVIA reported net income of $256 million, or $1.53 per diluted share. R&D Solutions bookings and backlog increase R&D Solutions revenue was $2.575 billion in the second quarter, rising 8.8% on a reported basis and 8.6% at constant currency. The business recorded $3.15 billion in net new bookings, up 19.3% from a year earlier and 27% sequentially, producing a book-to-bill ratio of 1.22. Fedock said cancellations remained within IQVIA’s historical range. The company’s R&D Solutions backlog stood at $34.2 billion as of June 30, with $9.23 billion expected to convert to revenue over the next 12 months, up 7.5% year over year. Last-12-month net new bookings reached $11.25 billion, an increase of 12.9% year over year. Bousbib said that metric has increased in each of the past four quarters and reflects both an improving demand environment and higher win rates. Management said bookings strength was broad-based rather than driven by unusually large contracts or changes in cancellation or pass-through trends. Bousbib said full-service outsourcing was strong, while functional service provider activity remained in the low- to mid-double-digit percentage range of total bookings. The company also updated its customer classifications for benchmarking purposes. Under the new definitions, IQVIA said large pharmaceutical companies account for about 50% of R&D Solutions revenue, midsize pharmaceutical companies account for about 15%, and emerging biopharma companies account for roughly 35%. Bousbib said emerging biopharma customers are a major source of industry innovation, noting that they account for about 70% of global clinical trial starts today, compared with about 45% a decade ago. He also said emerging biopharma research-and-development spending is expected to grow two to three times faster than large-pharma R&D spending. Commercial Solutions growth accelerates Commercial Solutions revenue rose 8.6% on a reported basis and 8.4% at constant currency to $1.793 billion. Organic revenue growth in the segment accelerated to 5%, Bousbib said, as clients launched new products and.