ICON Reports Third Quarter 2025 Results

Core Insights - ICON plc reported its financial results for the third quarter of 2025, highlighting a net book to bill ratio of 1.02 times, indicating solid business wins despite ongoing sector challenges [3][4]. Financial Performance - Gross business wins for Q3 2025 were $2,986 million, with cancellations amounting to $901 million, resulting in net business wins of $2,086 million [4]. - Revenue for Q3 2025 was $2,042.8 million, reflecting a 0.6% increase compared to Q3 2024, but a 1.0% decrease on a constant currency basis [4]. - Net income for the quarter was $2.4 million, translating to $0.03 per diluted share, compared to $2.36 per diluted share in Q3 2024 [7]. - Adjusted EBITDA for Q3 was $396.7 million, representing 19.4% of revenue, a slight increase of 0.2% from Q2 2025 [6]. - The company amended its full-year 2025 revenue guidance to a range of $8,050 - $8,100 million, an increase of $75 million at the midpoint from prior guidance [6]. Year-to-Date Results - Year-to-date gross business wins were $8,633 million, with cancellations of $2,469 million, leading to net business wins of $6,164 million [10]. - Year-to-date revenue was $6,061.5 million, a year-on-year decrease of 2.9% [10]. - Year-to-date adjusted net income was $776.6 million, resulting in an adjusted diluted earnings per share of $9.77, down from $10.57 for the same period last year [12]. Cash Flow and Capital Management - Free cash flow for Q3 was $333.9 million, with year-to-date free cash flow totaling $687.2 million [6]. - The company repurchased $250.0 million worth of stock in Q3 at an average price of $175 per share [6][9]. - Cash generated from operating activities for Q3 was $387.6 million, with capital expenditures of $53.7 million [9]. Goodwill Impairment - A non-cash goodwill impairment charge of $165.3 million was recorded for the Data Solutions Reporting Unit as part of the annual impairment assessment [5][11].