Clarivate PLC【CLVT】株式ニュース

Clarivate Reports First Quarter 2026 ResultsApril 29, 2026 6:00 AM
PR Newswire (US)

— Value Creation Plan delivering accelerated organic revenue growth —— Utilized solid free cash flow generation to deleverage —— Reaffirms 2026 financial outlook —LONDON, April 29, 2026 /PRNewswire/ -- Clarivate Plc (NYSE: CLVT) (the "Company" or "Clarivate"), a leading global provider of transformative intelligence, today reported results for the first quarter ended March 31, 2026.
Executive CommentaryMatti Shem Tov, Chief Executive Officer: "We are off to a solid start to 2026, with first-quarter results demonstrating tangible progress against the Value Creation Plan we launched in early 2025. Execution of the VCP is strengthening the quality and durability of our performance. We are simplifying and optimizing our business model, improving commercial effectiveness, and accelerating innovation across the portfolio. Together, these actions are expanding margins, increasing free cash flow generation, and improving the consistency of our results. AI is becoming a meaningful enabler of this progress, embedded in our products to enhance customer workflows and decision-making, and deployed internally to drive efficiency and scalability. With a more focused strategy and continued execution discipline, we remain confident in our ability to deliver sustainable growth and long-term value for shareholders."Jonathan Collins, Executive Vice President and Chief Financial Officer: "We generated solid free cash flow of $79 million in the first quarter, reflecting strong Adjusted EBITDA performance and continued financial discipline. During the quarter, we used free cash flow and excess cash on hand to retire $143 million of debt, further strengthening our balance sheet. Based on our first-quarter performance and continued execution under the Value Creation Plan, we are reaffirming our full-year 2026 outlook, including expectations for margin expansion and approximately $400 million of free cash flow."First Quarter 2026 ResultsTotal revenues for the first quarter 2026 were $585.5 million, compared to total revenues of $593.7 million in the first quarter 2025, reflecting the impact of inorganic disposals. On an organic basis, revenues improved 0.6%, as 1.7% organic subscription growth was partially offset by organic re-occurring and transactional revenues.Organic ACV increased 1.6% compared to March 31, 2025, reflecting continued progress toward a more sustainable, subscription-led revenue base.Net loss for the first quarter 2026 improved to $40.2 million, or $0.06 per diluted share, compared to a net loss of $103.9 million, or $0.15 per diluted share, in the first quarter 2025. Adjusted net income was $119.3 million, or $0.18 per diluted share, compared to $95.8 million, or $0.14 per diluted share, in the first quarter 2025. Adjusted EBITDA improved to $241.2 million, compared to $233.2 million in the first quarter 2025.Clarivate generated $134.7 million of operating cash flow and $78.9 million of free cash flow during the first quarter of 2026.Selected Financial Information(In millions, except percentages and per share data), (unaudited)Three Months EndedMarch 31,
Change2026
2025
$
%Revenues$        585.5
$        593.7
$ (8.2)
(1.4) %

Net income (loss)$ (40.2)
$ (103.9)
$         63.7
61.3 %Adjusted net income(1)$ 119.3
$ 95.8
$         23.5
24.5 %Adjusted EBITDA(1)$        241.2
$        233.2
$ 8.0
3.4 %

Diluted EPS$ (0.06)
$ (0.15)
$         0.09
60.0 %Adjusted diluted EPS(1)$ 0.18
$ 0.14
$         0.04
28.6 %

Net cash provided by operating activities$        134.7
$        171.2
$        (36.5)
(21.3) %Free cash flow(1)$ 78.9
$        110.3
$        (31.4)
(28.5) %First Quarter 2026 CommentarySubscription revenues were $397.5 million, compared to $388.6 million in the prior year period. Organic subscription revenues increased 1.7%, driven by new customer wins and pricing.Re-occurring revenues were $108.6 million, compared to $105.9 million in the prior year period. Organic re-occurring revenues declined 1.6%, primarily due to lower IP segment volumes.Total recurring revenues, consisting of subscription and re-occurring revenues, increased 1.0% organically, compared to the prior year period, reflecting continued progress toward a more stable and predictable revenue profile.Transactional revenues were $79.4 million compared to $99.2 million in the prior year period, reflecting the impact of disposals in A&G and LS&H segments. Organic transactional revenues declined 2.0%, primarily due to lower A&G activity.Balance Sheet and Cash FlowAs of March 31, 2026, cash and cash equivalents were $242.2 million, a decrease of $87.0 million compared to December 31, 2025.Total debt outstanding was $4,326.8 million as of March 31, 2026, a decrease of $143.1 million compared to the prior year, driven by a $100.0 million accelerated debt repayment completed in January 2026, fully redeeming the senior secured notes due November 2026, as well as the retirement of $42.6 million aggregate principal of the senior secured notes due 2028 and senior notes due 2029 through a series of debt repurchases completed in March 2026 at an approximate 10% discount to par.Net cash provided by operating activities for the three months ended March 31, 2026 was $134.7 million compared to $171.2 million in the prior year period. Free cash flow was $78.9 million compared to $110.3 million in the prior year period.Reaffirms outlook for 2026 (forward-looking statement)The full-year outlook presented below assumes no further acquisitions, divestitures, or other unanticipated events.
Full Year 2026 OutlookOrganic ACV2.0% to 3.0%Recurring Organic Revenue Growth0.75% to 2.25%Revenues$2.30B to $2.42BAdjusted EBITDA(1)$980M to $1.04BAdjusted EBITDA Margin(1)42.0% to 43.5%Adjusted Diluted EPS(1)(2)$0.70 to $0.80 Free Cash Flow(1)$365M to $435MNotes to press release(1)Non-GAAP measure. Please see "Reconciliations to Certain Non-GAAP Measures" in this release for important disclosures and reconciliations of these financial measures to the most directly comparable GAAP measure. These terms are defined elsewhere in this press release.(2)Adjusted diluted EPS for 2026 is calculated based on approximately 650 million fully diluted adjusted weighted average ordinary shares outstanding.Conference Call and WebcastClarivate will host a conference call and webcast today to review the results for the first quarter at 9:30 a.m. Eastern Time. The webcast is open to all interested parties and may include forward-looking information.The live webcast of the earnings call will be accessible through the investor relations section of the Company's website. To join the webcast please visit https://events.q4inc.com/attendee/839803049.Interested parties may access the live audio broadcast. U.S. participants may call 800-715-9871; international participants may call +1 646-307-1963 (long-distance charges will apply). The conference ID number is 3598988.A replay of the webcast will also be available on https://ir.clarivate.com beginning two hours after the conclusion of the live call and will remain available for one year.Use of Non-GAAP Financial MeasuresThis release contains financial measures that have not been prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), including Adjusted EBITDA, Adjusted EBITDA margin, Adjusted net income, Adjusted diluted EPS, and Free cash flow. Non-GAAP financial measures are not recognized terms under GAAP, are not measures of financial condition or liquidity, and should not be considered as an alternative to profit or loss for the period determined in accordance with GAAP or operating cash flows determined in accordance with GAAP. As a result, you should not consider such measures in isolation from, or as a substitute for, financial measures or results of operations calculated or determined in accordance with GAAP.We use non-GAAP measures internally in our operational and financial decision-making, to assess the operating performance of our business, to assess performance for employee compensation purposes, and to decide how to allocate resources. We believe that such measures allow us to focus on what we deem to be more reliable indicators of ongoing operating performance and our ability to generate cash flow from operations, and we also believe that investors may find these non-GAAP financial measures useful for the same reasons. Non-GAAP measures are frequently used by securities analysts, investors, and other interested parties in their evaluation of companies comparable to us, many of which present non-GAAP measures when reporting their results. Further, these measures can be useful in evaluating our performance against our peer companies because we believe they provide users with valuable insight into key components of our GAAP financial disclosure. However, non-GAAP measures have limitations as analytical tools and because not all companies use identical calculations, our presentation of non-GAAP financial measures may not be comparable to other similarly titled measures of other companies.Definitions and reconciliations of non-GAAP measures to the most directly comparable GAAP measures are provided within the schedules attached to this release. Our presentation of non-GAAP measures should not be construed as an inference that our future results will be unaffected by any of the adjusted items, or that any projections and estimates will be realized in their entirety or at all.Forward-Looking StatementsThis release includes statements that express our opinions, expectations, beliefs, plans, objectives, assumptions, or projections regarding future events or future results and therefore are, or may be deemed to be, "forward-looking statements" within the meaning of the "safe harbor provisions" of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include all matters that are not historical facts, including statements relating to our intentions, beliefs, or current expectations concerning, among other things, the anticipated divestiture of our LS&H business or any other strategic transactions we may explore, anticipated cost savings, results of operations, financial condition, liquidity, capital allocation plans and share repurchases, foreign exchange impacts, prospects, growth, strategies, and the markets in which we operate, our financial guidance for the fiscal year 2026 and key drivers thereof and underlying assumptions, the impact or anticipated benefits of our Value Creation Plan and other growth strategies, the global macroeconomic uncertainty and volatility, the impact of artificial intelligence ("AI") on our business and strategy, and the timing of any of the foregoing. These forward-looking statements can generally be identified by the use of forward-looking terminology, including the terms "believes," "estimates," "anticipates," "expects," "seeks," "projects," "intends," "plans," "may," "will," or "should" or, in each case, their negative or other variations or comparable terminology. Such forward-looking statements are based on available current market material and management's expectations, beliefs, and forecasts concerning future events impacting us. These forward-looking statements involve a number of risks and uncertainties (some of which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in Item 1A. Risk Factors in our annual report on Form 10-K, along with our other filings with the U.S. Securities and Exchange Commission ("SEC"). There can be no assurance that future developments affecting us will be those that we have anticipated. Should one or more of these risks or uncertainties materialize, or should any of the assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Please consult our public filings with the SEC, which are also available on our website at www.clarivate.com.About ClarivateClarivate is a leading global provider of transformative intelligence. We offer enriched data, insights & analytics, workflow solutions and expert services in the areas of Academia & Government, Intellectual Property, and Life Sciences & Healthcare. For more information, please visit www.clarivate.com.Condensed Consolidated Balance Sheets (Unaudited) (In millions)March 31, 2026
December 31, 2025ASSETS

Current assets:

Cash and cash equivalents, including restricted cash$ 242.2
$             329.2Accounts receivable, net882.9
821.7Prepaid expenses109.1
94.2Other current assets66.9
64.9Total current assets1,301.1
1,310.0Property and equipment, net50.9
52.7Other intangible assets, net7,863.7
8,008.1Goodwill1,566.6
1,566.7Other non-current assets85.8
68.1Deferred income taxes16.5
17.2Operating lease right-of-use assets42.5
46.6Total assets$          10,927.1
$          11,069.4LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable$ 135.7
$ 150.6Accrued compensation100.6
146.7Accrued expenses and other current liabilities286.3
273.0Current portion of deferred revenues1,000.4
878.6Current portion of operating lease liability17.6
18.4Current portion of long-term debt1.5
101.5Total current liabilities1,542.1
1,568.8Long-term debt4,281.6
4,321.5Other non-current liabilities75.9
86.2Deferred income taxes205.0
212.1Operating lease liabilities33.7
37.9Total liabilities6,138.3
6,226.5Commitments and contingencies

Shareholders' equity:

Ordinary Shares, no par value; unlimited shares authorized; 639.2 and 640.7 shares issued
and outstanding as of March 31, 2026 and December 31, 2025, respectively12,801.3
12,810.6Accumulated other comprehensive loss(457.7)
(453.1)Accumulated deficit(7,554.8)
(7,514.6)Total shareholders' equity4,788.8
4,842.9Total liabilities and shareholders' equity$          10,927.1
$          11,069.4 Condensed Consolidated Statements of Operations (Unaudited)
Three Months Ended March 31,(In millions, except per share data)2026
2025Revenues$             585.5
$             593.7Operating expenses:

Cost of revenues192.1
207.0Selling, general and administrative costs176.3
178.4Depreciation and amortization184.0
185.4Restructuring costs12.0
24.7Other operating expense (income), net(9.1)
19.0Total operating expenses555.3
614.5Income (loss) from operations30.2
(20.8)Interest expense, net59.0
64.3Income (loss) before income taxes(28.8)
(85.1)Provision (benefit) for income taxes11.4
18.8Net income (loss)$              (40.2)
$            (103.9)

Per share:

Basic$              (0.06)
$              (0.15)Diluted$              (0.06)
$              (0.15)

Weighted average shares used to compute earnings per share:

Basic640.7
689.8Diluted640.7
689.8 Condensed Consolidated Statements of Cash Flows (Unaudited)
Three Months Ended March 31,(In millions)2026
2025Cash Flows From Operating Activities

Net income (loss)$              (40.2)
$            (103.9)Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation and amortization184.0
185.4Share-based compensation14.2
10.7Amortization and write-off of debt issuance costs3.3
2.9Other operating activities(16.8)
21.6Changes in operating assets and liabilities:

Accounts receivable(62.3)
(33.6)Prepaid expenses(15.2)
(14.7)Other assets(8.7)
1.9Accounts payable(14.5)
(5.8)Accrued expenses and other current liabilities(34.8)
(3.9)Deferred revenues129.3
111.3Operating leases, net(0.8)
(1.5)Other liabilities(2.8)
0.8Net cash provided by operating activities134.7
171.2Cash Flows From Investing Activities

Capital expenditures(55.8)
(60.9)Net cash used for investing activities(55.8)
(60.9)Cash Flows From Financing Activities

Principal payments on debt(138.5)
–Repurchases of ordinary shares(18.1)
(50.0)Payments related to tax withholding for share-based compensation(5.3)
(6.4)Other financing activities(0.4)
(0.2)Net cash used for financing activities(162.3)
(56.6)Effects of exchange rates(3.6)
5.1Net change in cash and cash equivalents, including restricted cash(87.0)
58.8Cash and cash equivalents, including restricted cash, beginning of period329.2
295.2Cash and cash equivalents, including restricted cash, end of period$             242.2
$             354.0Supplemental Revenues InformationAnnualized contract value ("ACV"), at any point in time, represents the annualized value of all active customer subscription-based license agreements for the next 12 months, assuming those coming up for renewal during the measurement period are renewed at their current price level. Our organic ACV grew 1.6% compared to March 31, 2025, primarily driven by improved product pricing. Our total ACV for March 31, 2026, compared to March 31, 2025, increased 3.2%, primarily due to improved product pricing and FX movements.The following tables present our revenues by type and by segment for the periods indicated, as well as the components driving the changes between periods.(In millions, except percentages); (unaudited)Three Months EndedMarch 31,
Change
% of Change2026
2025
$%
AcquisitionsDisposalsFXOrganicSubscription$    397.5
$    388.6
$      8.92.3 %
– %(1.3) %1.9 %1.7 %Re-occurring108.6
105.9
2.72.5 %
– %(0.1) %4.2 %(1.6) %Recurring revenues506.1
494.5
11.62.3 %
– %(1.1) %2.4 %1.0 %Transactional79.4
99.2
(19.8)(20.0) %
– %(19.3) %1.3 %(2.0) %Revenues$    585.5
$    593.7
$     (8.2)(1.4) %
– %(4.2) %2.2 %0.6 %
(In millions, except percentages); (unaudited) Three Months EndedMarch 31,
Change
% of Change2026
2025
$%
AcquisitionsDisposalsFXOrganicAcademia & Government$    295.0
$    302.7
$     (7.7)(2.5) %
– %(6.2) %1.7 %2.0 %Intellectual Property197.2
192.7
4.52.3 %
– %– %3.6 %(1.3) %Life Sciences & Healthcare93.3
98.3
(5.0)(5.1) %
– %(6.9) %1.0 %0.8 %Revenues$    585.5
$    593.7
$     (8.2)(1.4) %
– %(4.2) %2.2 %0.6 %Reconciliations to Certain Non-GAAP MeasuresAdjusted EBITDA and Adjusted EBITDA marginAdjusted EBITDA represents Net income (loss) before the Provision (benefit) for income taxes, Depreciation and amortization, and Interest expense, net, adjusted to exclude share-based compensation, impairments, restructuring expenses, the impact of certain non-cash fair value adjustments on financial instruments, acquisition and/or disposal-related transaction costs, unrealized foreign currency gains/losses, legal settlements, and other items that are included in Net income (loss) for the period that we do not consider indicative of our ongoing operating performance. Net income (loss) margin is calculated by dividing Net income (loss) by Revenues. Adjusted EBITDA margin is calculated by dividing Adjusted EBITDA by Revenues.The following table presents our calculation of Adjusted EBITDA and Adjusted EBITDA margin for the three months ended March 31, 2026 and 2025 and reconciles these non-GAAP measures to our Net income (loss) and Net income (loss) margin for the same periods:
Three Months Ended March 31,(In millions, except percentages); (unaudited)2026
2025Net income (loss)$           (40.2)
$         (103.9)Provision (benefit) for income taxes11.4
18.8Depreciation and amortization184.0
185.4Interest expense, net59.0
64.3Share-based compensation expense14.6
11.1Restructuring costs12.0
24.7Transaction related costs8.2
6.3Other(1)(7.8)
26.5Adjusted EBITDA$          241.2
$          233.2

Net income (loss) margin(6.9) %
(17.5) %Adjusted EBITDA margin41.2 %
39.3 %(1)Includes the net impact of foreign exchange gains and losses related to the remeasurement of balances and other items that do not reflect our ongoing operating performance.Adjusted net income and Adjusted diluted EPSAdjusted net income represents Net income (loss), adjusted to exclude amortization related to acquired intangible assets, share-based compensation, impairments, restructuring expenses, the impact of certain non-cash fair value adjustments on financial instruments, acquisition and/or disposal-related transaction costs, unrealized foreign currency gains/losses, legal settlements, and other items that are included in net income (loss) for the period that we do not consider indicative of our ongoing operating performance and the associated income tax impact of such adjustments.Adjusted diluted EPS is calculated by dividing Adjusted net income by Adjusted diluted weighted average shares. The Adjusted diluted weighted average shares calculation assumes that all instruments in the calculation are dilutive.The following table presents our calculation of Adjusted net income and Adjusted diluted EPS for the three months ended March 31, 2026 and 2025 and reconciles these non-GAAP measures to our Net income (loss) and diluted EPS for the same periods:
Three Months Ended March 31,
2026
2025(In millions, except per share amounts); (unaudited)Amount
Per Share
Amount
Per ShareNet income (loss) and Diluted EPS$            (40.2)
$           (0.06)
$           (103.9)
$           (0.15)Amortization related to acquired intangible assets135.4
0.21
136.3
0.20Share-based compensation expense14.6
0.02
11.1
0.02Restructuring costs12.0
0.02
24.7
0.04Transaction related costs8.2
0.01
6.3
0.01Other(1)(6.2)
(0.01)
26.5
0.03Income tax impact of related adjustments(4.5)
(0.01)
(5.2)
(0.01)Adjusted net income and Adjusted diluted EPS$            119.3
$            0.18
$             95.8
$            0.14Adjusted weighted average ordinary shares, diluted647.3
695.2(1)Includes the net impact of foreign exchange gains and losses related to the remeasurement of balances and other items that do not reflect our ongoing operating performance.Free cash flowFree cash flow represents Net cash provided by operating activities less Capital expenditures. The following table presents our calculation of Free cash flow for the three months ended March 31, 2026 and 2025 and reconciles this non-GAAP measure to Net cash provided by operating activities for the same periods:
Three Months Ended March 31,(In millions); (unaudited)2026
2025Net cash provided by operating activities$            134.7
$            171.2Capital expenditures(55.8)
(60.9)Free cash flow$             78.9
$            110.3Reconciliations to Certain Non-GAAP Measures - 2026 OutlookAdjusted EBITDA and Adjusted EBITDA marginThe following table presents our calculation of Adjusted EBITDA and Adjusted EBITDA margin for the 2026 outlook and reconciles these non-GAAP measures to our Net income (loss) and Net income (loss) margin for the same period:
Year Ending December 31, 2026(Forecasted)(In millions); (unaudited)Low
HighNet income (loss)$           (189)
$           (124)Provision (benefit) for income taxes43
48Depreciation and amortization786
786Interest expense, net238
228Share-based compensation expense70
70Restructuring costs(1)25
25Transaction related costs13
13Other(6)
(6)Adjusted EBITDA$            980
$          1,040

Net income (loss) margin(8.2) %
(5.1) %Adjusted EBITDA margin42.0 %
43.5 %(1)Reflects restructuring costs expected to be incurred in 2026 associated with the Value Creation Plan.Adjusted diluted EPSThe following table presents our calculation of Adjusted diluted EPS for the 2026 outlook and reconciles this non-GAAP measure to our Net income (loss) per share for the same period:
Year Ending December 31, 2026(Forecasted)(Unaudited)Low
HighNet income (loss)$             (0.29)
$             (0.19)Amortization related to acquired intangible assets0.84
0.84Share-based compensation expense0.11
0.11Restructuring costs(1)0.04
0.04Transaction related costs0.02
0.02Other0.01
0.01Income tax impact of related adjustments(0.03)
(0.03)Adjusted diluted EPS$              0.70
$              0.80Adjusted weighted average ordinary shares, diluted~650 million(1)Reflects restructuring costs expected to be incurred in 2026 associated with the Value Creation Plan.Free cash flowThe following table presents our calculation of Free cash flow for the 2026 outlook and reconciles this non-GAAP measure to our Net cash provided by operating activities for the same period:
Year Ending December 31, 2026(Forecasted)(In millions); (unaudited)Low
HighNet cash provided by operating activities$              615
$              685Capital expenditures(250)
(250)Free cash flow$              365
$              435Logo - https://mma.prnewswire.com/media/1159266/5943434/Clarivate_Logo_v1.jpg

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Original: Clarivate Reports First Quarter 2026 Results

Clarivate Reports Fourth Quarter and Full Year 2025 ResultsFebruary 24, 2026 6:00 AM
PR Newswire (US)

— Value Creation Plan accelerated organic ACV and drove higher cash flow in 2025 —— Financial outlook for 2026 projects continued momentum —— Provides update on strategic review; Currently engaged in active discussions with interested parties to sell Life Sciences & Healthcare business —LONDON, Feb. 24, 2026 /PRNewswire/ -- Clarivate Plc (NYSE: CLVT) (the "Company" or "Clarivate"), a leading global provider of transformative intelligence, today reported results for the fourth quarter and full year ended December 31, 2025.
Executive CommentaryMatti Shem Tov, Chief Executive Officer: "In 2025, Clarivate achieved significant innovation and growth. We advanced our Value Creation Plan by refining our business model, enhancing sales execution, and investing in proprietary assets while developing Agentic AI capabilities throughout our portfolio. These efforts have strengthened both our operational and financial standing and improved our revenue composition through the broader adoption of subscription-based services. As a result, we realized nearly 2% organic ACV growth, increased recurring organic revenue, and stronger free cash flow conversion, all while meeting our full-year financial guidance for 2025.""As we look ahead to 2026, we are operating with improved focus, efficiency, and momentum. We are utilizing our proprietary solutions in conjunction with AI to deliver greater value to our customers, and we remain committed to disciplined execution, continued organic growth, and thoughtful capital allocation."Jonathan Collins, Executive Vice President and Chief Financial Officer: "We anticipate a steady improvement in our financial performance for 2026. Although overall reported revenue will be lower due to the previously announced strategic divestitures of transactional based revenues, we forecast growth in organic ACV and recurring organic revenue. Due to robust organic growth conversion and diligent cost management, Adjusted EBITDA is projected to grow, accompanied by an estimated 200 basis point expansion in margins. Additionally, we estimate free cash flow will rise by roughly 10% to nearly $400 million at midpoint, allowing us to reinvest in our business and provide returns to shareholders."Sale Process for Life Sciences & Healthcare SegmentThe Company previously announced a strategic review of its business portfolio. Following a comprehensive evaluation, the Company today announced it is pursuing a sale of its Life Sciences & Healthcare business. Clarivate has retained Morgan Stanley & Co. LLC as its financial advisor, and is currently engaged in active discussions with interested parties. The Company believes that a potential sale will allow further emphasis on the Academia & Government and Intellectual Property markets, and it is anticipated that proceeds from a potential sale would enable the Company to strengthen its balance sheet through reduced leverage. There can be no assurances that the sale process will result in a transaction. Clarivate does not intend to comment further regarding this matter until additional disclosure is determined to be appropriate.Fourth Quarter 2025 ResultsTotal revenues for the fourth quarter 2025 were $617.0 million, compared to $663.0 million in the fourth quarter 2024, reflecting the impact of inorganic divestitures and disposals. On an organic basis, revenues declined 1.2%, as 1.0% organic subscription growth was more than offset by lower organic re-occurring and transactional revenues.Net income for the fourth quarter 2025 improved to $3.1 million, or $0.00 per diluted share, compared to a net loss of $191.8 million, or $0.27 per diluted share, in the prior year period. Adjusted net income was $129.7 million, or $0.20 per diluted share, compared to $145.5 million, or $0.21 per diluted share, in the fourth quarter 2024. Adjusted EBITDA was $254.6 million, compared to $285.3 million in the prior year period.Full Year 2025 ResultsTotal revenues for the full year 2025 were $2,455.2 million, compared to total revenues of $2,556.7 million in 2024, primarily reflecting the impact of inorganic divestitures and disposals. Organic revenues declined 0.1%, as 0.6% organic recurring revenue growth was offset by lower organic transactional revenues.Organic ACV increased 1.8% compared to December 31, 2024, and the mix of organic recurring revenue improved significantly, increasing 800 basis points to 88% of total revenue, compared to 80% in the prior year. This shift reflects continued progress toward a more sustainable, subscription-led revenue base.Net loss for the full year 2025 improved to $201.1 million, or $0.30 per diluted share, compared to a net loss of $636.7 million, or $0.96 per diluted share, in 2024. Adjusted net income was $468.1 million, or $0.69 per diluted share, compared to $525.3 million, or $0.73 per diluted share, in the prior year. Adjusted EBITDA was $1,001.8 million, compared to $1,060.4 million in 2024.Strong Cash Flow GenerationClarivate generated $628.5 million of operating cash flow and $365.3 million of free cash flow during the full year of 2025. The Company returned capital to shareholders through approximately $225 million in ordinary share repurchases, including 21.2 million shares during the fourth quarter, for a total of 56.0 million shares repurchased in 2025.Selected Financial Information(In millions, except percentages and per share data),
(unaudited)Three Months EndedDecember 31,
Change
Year EndedDecember 31,
Change2025
2024
$
%
2025
2024
$
%Revenues$     617.0
$     663.0
$ (46.0)
(6.9) %
$ 2,455.2
$ 2,556.7
$ (101.5)
(4.0) %

Net income (loss)$         3.1
$ (191.8)
$ 194.9
101.6 %
$ (201.1)
$ (636.7)
$ 435.6
68.4 %Adjusted net income(1)$     129.7
$     145.5
$ (15.8)
(10.9) %
$     468.1
$     525.3
$ (57.2)
(10.9) %Adjusted EBITDA(1)$     254.6
$     285.3
$ (30.7)
(10.8) %
$ 1,001.8
$ 1,060.4
$ (58.6)
(5.5) %

Diluted EPS$       0.00
$ (0.27)
$    0.27
100.0 %
$ (0.30)
$ (0.96)
$ 0.66
68.8 %Adjusted diluted EPS(1)$       0.20
$       0.21
$ (0.01)
(4.8) %
$       0.69
$       0.73
$ (0.04)
(5.5) %

Net cash provided by operating activities$     159.9
$     141.3
$    18.6
13.2 %
$     628.5
$     646.6
$ (18.1)
(2.8) %Free cash flow(1)$       89.2
$       59.1
$    30.1
50.9 %
$     365.3
$     357.5
$ 7.8
2.2 %Fourth Quarter 2025 CommentarySubscription revenues were $405.8 million, compared to $407.0 million in the prior year period. On an organic basis, subscription revenues increased 1.0%, driven by new sales, improved retention and pricing actions.Re-occurring revenues were $114.1 million, compared to $112.0 million in the prior year period. Organic re-occurring revenues declined 1.2%, primarily reflecting lower Intellectual Property ("IP") volumes and sales.Total recurring revenues, which include subscription and re-occurring revenues, increased 0.5% organically, compared to the prior year period, underscoring the resilience of Clarivate's recurring revenue base.Transactional revenues were $97.1 million compared to $144.0 million in the prior year period, reflecting the impact of divestitures and disposals in Academia & Government ("A&G") and Life Sciences & Healthcare ("LS&H"). On an organic basis, transactional revenues declined 11.9%, primarily due to lower IP volumes.Full Year 2025 CommentarySubscription revenues were $1,605.5 million, compared to $1,626.8 million in the prior year. Organic subscription revenues increased 0.8%, driven by new customer wins, improved retention, and pricing.Re-occurring revenues were $434.2 million, compared to $429.8 million in 2024. Organic re-occurring revenues declined 0.4%, primarily due to lower IP segment volumes and sales.Total recurring revenues, consisting of subscription and re-occurring revenues, increased 0.6% organically, compared to 2024, reflecting continued progress toward a more stable and predictable revenue profile.Transactional revenues were $415.5 million compared to $500.1 million in the prior year, reflecting the impact of divestitures and disposals in A&G and LS&H segments. Organic transactional revenues declined 4.8%, primarily due to lower IP segment volumes.Balance Sheet and Cash FlowAs of December 31, 2025, cash and cash equivalents were $329.2 million, an increase of $34.0 million compared to December 31, 2024.Total debt outstanding was $4,469.9 million as of December 31, 2025, a decrease of $101.2 million compared to the prior year, driven by a $100.0 million accelerated debt repayment completed in September 2025. An additional $100.0 million accelerated debt repayment was made in January 2026, fully redeeming the senior secured notes due November 2026.Net cash provided by operating activities for the full year 2025 was $628.5 million compared to $646.6 million in the prior year. Free cash flow increased $365.3 million compared to $357.5 million in 2024, reflecting continued strong cash generation.Outlook for 2026 (forward-looking statement)The full-year outlook presented below assumes no further acquisitions, divestitures, or other unanticipated events.
Full Year 2026 OutlookOrganic ACV2.0% to 3.0%Recurring Organic Revenue Growth0.75% to 2.25%Revenues$2.30B to $2.42BAdjusted EBITDA(1)$980M to $1.04BAdjusted EBITDA Margin(1)42.0% to 43.5%Adjusted Diluted EPS(1)(2)$0.70 to $0.80Free Cash Flow(1)$365M to $435M
Notes to press release(1) Non-GAAP measure. Please see "Reconciliations to Certain Non-GAAP Measures" in this release for important disclosures and reconciliations of these financial measures to the most directly comparable GAAP measure. These terms are defined elsewhere in this press release.(2) Adjusted diluted EPS for 2026 is calculated based on approximately 650 million fully diluted adjusted weighted average ordinary shares outstanding.Conference Call and WebcastClarivate will host a conference call and webcast today to review the results for the fourth quarter and full year at 9:00 a.m. Eastern Time. The webcast is open to all interested parties and may include forward-looking information.The live webcast of the earnings call will be accessible through the investor relations section of the Company's website. To join the webcast please visit https://events.q4inc.com/attendee/295400608.Interested parties may access the live audio broadcast. U.S. participants may call 800-715-9871; international participants may call +1 646-307-1963 (long-distance charges will apply). The conference ID number is 7258454.A replay of the webcast will also be available on https://ir.clarivate.com beginning two hours after the conclusion of the live call and will remain available for one year.Use of Non-GAAP Financial MeasuresThis release contains financial measures that have not been prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), including Adjusted EBITDA, Adjusted EBITDA margin, Adjusted net income, Adjusted diluted EPS, and Free cash flow. Non-GAAP financial measures are not recognized terms under GAAP, are not measures of financial condition or liquidity, and should not be considered as an alternative to profit or loss for the period determined in accordance with GAAP or operating cash flows determined in accordance with GAAP. As a result, you should not consider such measures in isolation from, or as a substitute for, financial measures or results of operations calculated or determined in accordance with GAAP.We use non-GAAP measures internally in our operational and financial decision-making, to assess the operating performance of our business, to assess performance for employee compensation purposes, and to decide how to allocate resources. We believe that such measures allow us to focus on what we deem to be more reliable indicators of ongoing operating performance and our ability to generate cash flow from operations, and we also believe that investors may find these non-GAAP financial measures useful for the same reasons. Non-GAAP measures are frequently used by securities analysts, investors, and other interested parties in their evaluation of companies comparable to us, many of which present non-GAAP measures when reporting their results. Further, these measures can be useful in evaluating our performance against our peer companies because we believe they provide users with valuable insight into key components of our GAAP financial disclosure. However, non-GAAP measures have limitations as analytical tools and because not all companies use identical calculations, our presentation of non-GAAP financial measures may not be comparable to other similarly titled measures of other companies.Definitions and reconciliations of non-GAAP measures to the most directly comparable GAAP measures are provided within the schedules attached to this release. Our presentation of non-GAAP measures should not be construed as an inference that our future results will be unaffected by any of the adjusted items, or that any projections and estimates will be realized in their entirety or at all.Forward-Looking StatementsThis release includes statements that express our opinions, expectations, beliefs, plans, objectives, assumptions, or projections regarding future events or future results and therefore are, or may be deemed to be, "forward-looking statements" within the meaning of the "safe harbor provisions" of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can generally be identified by the use of forward-looking terminology, including the terms "believes," "estimates," "anticipates," "expects," "seeks," "projects," "intends," "plans," "may," "will," or "should" or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include all matters that are not historical facts, and include statements regarding our intentions, beliefs, or current expectations concerning, among other things, the anticipated divestiture of our LS&H business or any other strategic transactions we may explore, anticipated cost savings, results of operations, financial condition, liquidity, prospects, growth, strategies, anticipated transactions, and the markets in which we operate. Such forward-looking statements are based on available current market material and management's expectations, beliefs, and forecasts concerning future events impacting us. There can be no assurance that future developments affecting us will be those that we have anticipated. These forward-looking statements involve a number of risks and uncertainties (some of which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in Item 1A. Risk Factors in our annual report on Form 10-K, along with our other filings with the U.S. Securities and Exchange Commission ("SEC"). Should one or more of these risks or uncertainties materialize, or should any of the assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. We do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. Please consult our public filings with the SEC, which are also available on our website at www.clarivate.com.About ClarivateClarivate is a leading global provider of transformative intelligence. We offer enriched data, insights & analytics, workflow solutions and expert services in the areas of Academia & Government, Intellectual Property, and Life Sciences & Healthcare. For more information, please visit www.clarivate.com.Consolidated Balance Sheets (Unaudited)

As of December 31,(in millions)2025
2024ASSETS

Current assets:

Cash and cash equivalents, including restricted cash$                      329.2
$                      295.2Accounts receivable, net821.7
798.3Prepaid expenses94.2
85.9Other current assets64.9
65.2Total current assets1,310.0
1,244.6Property and equipment, net52.7
53.5Other intangible assets, net8,008.1
8,441.2Goodwill1,566.7
1,566.6Other non-current assets68.1
82.2Deferred income taxes17.2
48.5Operating lease right-of-use assets46.6
53.6Total assets$                 11,069.4
$                 11,490.2LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable$                      150.6
$                      124.5Accrued compensation146.7
119.2Accrued expenses and other current liabilities273.0
308.8Current portion of deferred revenues878.6
859.1Current portion of operating lease liability18.4
20.6Current portion of long-term debt101.5
1.3Total current liabilities1,568.8
1,433.5Long-term debt4,321.5
4,518.7Other non-current liabilities86.2
72.5Deferred income taxes212.1
273.3Operating lease liabilities37.9
53.2Total liabilities6,226.5
6,351.2Commitments and contingencies

Shareholders' equity:

Ordinary Shares, no par value; unlimited shares authorized; 640.7 and 691.4 shares issued
and outstanding as of December 31, 2025 and December 31, 2024, respectively12,810.6
12,978.8Accumulated other comprehensive loss(453.1)
(526.3)Accumulated deficit(7,514.6)
(7,313.5)Total shareholders' equity4,842.9
5,139.0Total liabilities and shareholders' equity$                 11,069.4
$                 11,490.2 Consolidated Statements of Operations (Unaudited)

Three Months Ended December 31,
Year Ended December 31,(In millions, except per share data)2025
2024
2025
2024Revenues$                    617.0
$                    663.0
$                 2,455.2
$                 2,556.7Operating expenses:

Cost of revenues204.8
227.7
833.6
869.2Selling, general and administrative costs179.1
180.8
708.6
727.6Depreciation and amortization189.1
186.0
757.2
727.0Goodwill and intangible asset impairments15.0
224.1
15.0
540.7Restructuring and other impairments4.8
5.4
50.7
19.6Other operating expense (income), net(17.2)
(98.7)
18.6
(51.8)Total operating expenses575.6
725.3
2,383.7
2,832.3Income (loss) from operations41.4
(62.3)
71.5
(275.6)Fair value adjustment of warrants—
—
—
(5.2)Interest expense, net66.0
69.9
265.4
283.4Income (loss) before income taxes(24.6)
(132.2)
(193.9)
(553.8)Provision (benefit) for income taxes(27.7)
59.6
7.2
82.9Net income (loss)3.1
(191.8)
(201.1)
(636.7)Dividends on preferred shares—
—
—
31.3Net income (loss) attributable to ordinary shares$                        3.1
$                  (191.8)
$                  (201.1)
$                  (668.0)

Per share:

Basic$                      0.00
$                    (0.27)
$                    (0.30)
$                    (0.96)Diluted$                      0.00
$                    (0.27)
$                    (0.30)
$                    (0.96)

Weighted average shares used to compute earnings per share:

Basic654.2
702.8
673.3
693.6Diluted662.3
702.8
673.3
693.6 Consolidated Statements of Cash Flows (Unaudited)

Year Ended December 31,(In millions)2025
2024Cash Flows From Operating Activities

Net income (loss)$                    (201.1)
$                    (636.7)Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation and amortization757.2
727.0 Share-based compensation63.1
59.9 Restructuring and other impairments, including goodwill18.6
540.3 Gain on sale from divestitures—
(54.7) Deferred income taxes(41.5)
21.2 Amortization and write-off of debt issuance costs14.3
16.4 Other operating activities14.4
(1.9)Changes in operating assets and liabilities:

Accounts receivable(5.0)
92.6 Prepaid expenses(7.5)
1.5 Other assets3.2
(0.8) Accounts payable22.8
(15.0) Accrued expenses and other current liabilities(11.3)
3.8 Deferred revenues(2.6)
(106.2) Operating leases, net(5.4)
(9.6) Other liabilities9.3
8.8Net cash provided by operating activities628.5
646.6Cash Flows From Investing Activities

Capital expenditures(263.2)
(289.1)Payments for acquisitions, net of cash acquired—
(32.0)Proceeds from divestitures, net of cash divested—
84.4Net cash used for investing activities(263.2)
(236.7)Cash Flows From Financing Activities

Principal payments on debt(600.0)
(198.1)Proceeds from issuance of debt500.0
—Payment of debt issuance and extinguishment costs(9.4)
(20.1)Repurchases of ordinary shares(224.5)
(200.0)Cash dividends on preferred shares—
(37.7)Payments related to tax withholding for share-based compensation(10.4)
(15.6)Other financing activities1.2
1.4Net cash used for financing activities(343.1)
(470.1)Effects of exchange rates11.8
(15.3)Net change in cash and cash equivalents, including restricted cash34.0
(75.5)Cash and cash equivalents, including restricted cash, beginning of period295.2
370.7Cash and cash equivalents, including restricted cash, end of period$                      329.2
$                      295.2Supplemental Cash Flow Information:

Cash paid for interest$                      256.3
$                      265.3Cash paid for income tax$                        42.1
$                        52.9Supplemental Revenues InformationAnnualized contract value ("ACV"), at any point in time, represents the annualized value of all active customer subscription-based license agreements for the next 12 months, assuming those coming up for renewal during the measurement period are renewed at their current price level. Our organic ACV grew 1.8% in 2025, compared to 2024, primarily driven by improved product pricing. Our total ACV for 2025, compared to 2024, declined 1.0% primarily due to the wind-down of certain product groups beginning in the first quarter of 2025.The following tables present our revenues by type and by segment for the periods indicated, as well as the components driving the changes between periods.
Three Months EndedDecember 31,
Change
% of Change
2025
2024
$%
AcquisitionsDisposalsFXOrganicSubscription$         405.8
$         407.0
$ (1.2)(0.3) %
— %(2.4) %1.1 %1.0 %Re-occurring114.1
112.0
2.11.9 %
— %0.1 %3.0 %(1.2) %Recurring revenues519.9
519.0
0.90.2 %
— %(1.8) %1.5 %0.5 %Transactional97.1
144.0
(46.9)(32.6) %
— %(21.3) %0.6 %(11.9) %Revenues$         617.0
$         663.0
$ (46.0)(6.9) %
— %(7.0) %1.3 %(1.2) %

Year EndedDecember 31,
Change
% of Change
2025
2024
$%
AcquisitionsDisposalsFXOrganicSubscription$      1,605.5
$      1,626.8
$ (21.3)(1.3) %
0.1 %(2.7) %0.5 %0.8 %Re-occurring434.2
429.8
4.41.0 %
— %— %1.4 %(0.4) %Recurring revenues2,039.7
2,056.6
(16.9)(0.8) %
0.1 %(2.2) %0.7 %0.6 %Transactional415.5
500.1
(84.6)(16.9) %
0.1 %(12.6) %0.4 %(4.8) %Revenues$      2,455.2
$      2,556.7
$      (101.5)(4.0) %
0.1 %(4.7) %0.7 %(0.1) %

Three Months EndedDecember 31,
Change
% of Change
2025
2024
$%
AcquisitionsDisposalsFXOrganicAcademia & Government$         312.3
$         342.9
$ (30.6)(8.9) %
— %(10.9) %0.9 %1.1 %Intellectual Property206.4
209.1
(2.7)(1.3) %
— %— %2.5 %(3.8) %Life Sciences & Healthcare98.3
111.0
(12.7)(11.4) %
— %(9.9) %0.4 %(1.9) %Revenues$         617.0
$         663.0
$ (46.0)(6.9) %
— %(7.0) %1.3 %(1.2) %

Year EndedDecember 31,
Change
% of Change
2025
2024
$%
AcquisitionsDisposalsFXOrganicAcademia & Government$      1,266.0
$      1,326.4
$ (60.4)(4.6) %
— %(6.7) %0.5 %1.6 %Intellectual Property799.4
811.4
(12.0)(1.5) %
0.1 %(1.0) %1.3 %(1.9) %Life Sciences & Healthcare389.8
418.9
(29.1)(6.9) %
0.2 %(6.0) %0.3 %(1.4) %Revenues$      2,455.2
$      2,556.7
$      (101.5)(4.0) %
0.1 %(4.7) %0.7 %(0.1) %Reconciliations to Certain Non-GAAP MeasuresAdjusted EBITDA and Adjusted EBITDA marginAdjusted EBITDA represents Net income (loss) before the Provision (benefit) for income taxes, Depreciation and amortization, and Interest expense, net, adjusted to exclude share-based compensation, impairments, restructuring expenses, the impact of certain non-cash fair value adjustments on financial instruments, acquisition and/or disposal-related transaction costs, unrealized foreign currency gains/losses, legal settlements, and other items that are included in Net income (loss) for the period that we do not consider indicative of our ongoing operating performance. Net income (loss) margin is calculated by dividing Net income (loss) by Revenues. Adjusted EBITDA margin is calculated by dividing Adjusted EBITDA by Revenues.The following table presents our calculation of Adjusted EBITDA and Adjusted EBITDA margin for the fourth quarter and full year ended December 31, 2025 and 2024 and reconciles these non-GAAP measures to our Net income (loss) and Net income (loss) margin for the same periods:
Three Months Ended December 31,
Year Ended December 31,(In millions, except percentages); (unaudited)2025
2024
2025
2024Net income (loss)$                    3.1
$              (191.8)
$              (201.1)
$              (636.7)Provision (benefit) for income taxes(27.7)
59.6
7.2
82.9Depreciation and amortization189.1
186.0
757.2
727.0Interest expense, net66.0
69.9
265.4
283.4Share-based compensation expense17.4
10.9
63.0
60.6Goodwill and intangible asset impairments15.0
224.1
15.0
540.7Restructuring and other impairments4.8
5.4
50.7
19.6Fair value adjustment of warrants—
—
—
(5.2)Transaction related costs4.0
4.3
22.5
17.9Other(1)(17.1)
(83.1)
21.9
(29.8)Adjusted EBITDA$                254.6
$                285.3
$             1,001.8
$             1,060.4

Net income (loss) margin0.5 %
(28.9) %
(8.2) %
(24.9) %Adjusted EBITDA margin41.3 %
43.0 %
40.8 %
41.5 %(1) Includes the net impact of foreign exchange gains and losses related to the remeasurement of balances and other items that do not reflect our ongoing operating performance. The fourth quarter and full year 2024 includes a gain of $69.5 and a net gain of $54.7, respectively, from the divestitures completed in 2024.Adjusted net income and Adjusted diluted EPSAdjusted net income represents Net income (loss), adjusted to exclude amortization related to acquired intangible assets, share-based compensation, impairments, restructuring expenses, the impact of certain non-cash fair value adjustments on financial instruments, acquisition and/or disposal-related transaction costs, unrealized foreign currency gains/losses, legal settlements, and other items that are included in net income (loss) for the period that we do not consider indicative of our ongoing operating performance and the associated income tax impact of such adjustments.Adjusted diluted EPS is calculated by dividing Adjusted net income by Adjusted diluted weighted average shares. The Adjusted diluted weighted average shares calculation assumes that all instruments in the calculation are dilutive.The following tables present our calculation of Adjusted net income and Adjusted diluted EPS for the fourth quarter and full year ended December 31, 2025 and 2024 and reconciles these non-GAAP measures to our Net income (loss) and diluted EPS for the same periods:
Three Months Ended December 31,
2025
2024(In millions, except per share amounts); (unaudited)Amount
Per Share
Amount
Per ShareNet income (loss) and Diluted EPS$                        3.1
$                   0.00
$                  (191.8)
$                 (0.27)Amortization related to acquired intangible assets135.5
0.20
137.2
0.20Share-based compensation expense17.4
0.03
10.9
0.02Goodwill and intangible asset impairments15.0
0.02
224.1
0.32Restructuring and other impairments4.8
0.01
5.4
0.01Transaction related costs4.0
0.01
4.3
0.01Other(1)(15.7)
(0.02)
(83.1)
(0.13)Income tax impact of related adjustments(34.4)
(0.05)
38.5
0.05Adjusted net income and Adjusted diluted EPS$                    129.7
$                   0.20
$                    145.5
$                   0.21Adjusted weighted average ordinary shares, diluted662.3
707.7(1) Includes the net impact of foreign exchange gains and losses related to the remeasurement of balances and other items that do not reflect our ongoing operating performance. The fourth quarter 2024 includes a gain of $69.5 from the ScholarOne divestiture.
Year Ended December 31,
2025
2024(In millions, except per share amounts); (unaudited)Amount
Per Share
Amount
Per ShareNet income (loss) and Diluted EPS$                  (201.1)
$                 (0.30)
$                  (636.7)
$                 (0.92)Amortization related to acquired intangible assets545.5
0.81
554.1
0.80Share-based compensation expense63.0
0.09
60.6
0.09Goodwill and intangible asset impairments15.0
0.02
540.7
0.78Restructuring and other impairments50.7
0.08
19.6
0.03Fair value adjustment of warrants—
—
(5.2)
(0.01)Transaction related costs22.5
0.03
17.9
0.03Other(1)24.8
0.04
(29.8)
(0.08)Income tax impact of related adjustments(52.3)
(0.08)
4.1
0.01Adjusted net income and Adjusted diluted EPS$                    468.1
$                   0.69
$                    525.3
$                   0.73Adjusted weighted average ordinary shares, diluted679.3
721.5(1) Includes the net impact of foreign exchange gains and losses related to the remeasurement of balances and other items that do not reflect our ongoing operating performance. The 2024 amount includes a net gain of $54.7 from divestitures.Free cash flowFree cash flow represents Net cash provided by operating activities less Capital expenditures. The following table presents our calculation of Free cash flow for the fourth quarter and full year ended December 31, 2025 and 2024 and reconciles this non-GAAP measure to Net cash provided by operating activities for the same periods:
Three Months Ended December 31,
Year Ended December 31,(In millions); (unaudited)2025
2024
2025
2024Net cash provided by operating activities$                    159.9
$                    141.3
$                    628.5
$                    646.6 Capital expenditures(70.7)
(82.2)
(263.2)
(289.1)Free cash flow$                      89.2
$                      59.1
$                    365.3
$                    357.5Reconciliations to Certain Non-GAAP Measures - 2026 OutlookAdjusted EBITDA and Adjusted EBITDA marginThe following table presents our calculation of Adjusted EBITDA and Adjusted EBITDA margin for the 2026 outlook and reconciles these non-GAAP measures to our Net income (loss) and Net income (loss) margin for the same period:
Year Ending December 31, 2026(Forecasted)(In millions); (unaudited)Low
HighNet income (loss)$                 (189)
$                 (124)Provision (benefit) for income taxes43
48Depreciation and amortization786
786Interest expense, net238
228Share-based compensation expense70
70Restructuring and other impairments(1)25
25Transaction related costs13
13Other(6)
(6)Adjusted EBITDA$                   980
$                1,040

Net income (loss) margin(8.2) %
(5.1) %Adjusted EBITDA margin42.0 %
43.5 %(1) Reflects restructuring costs expected to be incurred in 2026 associated with the Value Creation Plan.Adjusted diluted EPSThe following table presents our calculation of Adjusted diluted EPS for the 2026 outlook and reconciles this non-GAAP measure to our Net income (loss) per share for the same period:
Year Ending December 31, 2026(Forecasted)(Unaudited)Low
HighNet income (loss)$                    (0.29)
$                    (0.19)Amortization related to acquired intangible assets0.84
0.84Share-based compensation expense0.11
0.11Restructuring and other impairments(1)0.04
0.04Transaction related costs0.02
0.02Other0.01
0.01Income tax impact of related adjustments(0.03)
(0.03)Adjusted diluted EPS$                      0.70
$                      0.80Adjusted weighted average ordinary shares, diluted~650 million(1) Reflects restructuring costs expected to be incurred in 2026 associated with the Value Creation Plan.Free cash flowThe following table presents our calculation of Free cash flow for the 2026 outlook and reconciles this non-GAAP measure to our Net cash provided by operating activities for the same period:
Year Ending December 31, 2026(Forecasted)(In millions); (unaudited)Low
HighNet cash provided by operating activities$                       615
$                       685Capital expenditures(250)
(250)Free cash flow$                       365
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Original: Clarivate Reports Fourth Quarter and Full Year 2025 Results