Core Insights - The French National Centre for Scientific Research (CNRS) announced it will stop accessing the Web of Science database from January 1, 2026, as part of its commitment to open science and changing the evaluation of scientific work [1][7][9] Group 1: Open Science Policy - CNRS has been promoting open science since the release of its first Open Science Roadmap in 2019, opposing quantitative evaluations based on bibliometric indicators in favor of qualitative assessments [3][9] - The decision to discontinue Web of Science is a significant step in CNRS's open science policy, aiming to enhance the quality and ethics of scientific evaluation [4][10] Group 2: Financial Implications - By stopping the subscription to Web of Science, CNRS will save €1.4 million annually, which will be reinvested into open science initiatives, particularly the development of open databases [5][11] Group 3: Transition to OpenAlex - CNRS is encouraging researchers to transition to OpenAlex, which offers greater visibility for non-English journals and a broader range of indexed journals compared to Web of Science [5][11] - OpenAlex aims to address the coverage gaps in various fields, such as humanities, social sciences, computer science, and mathematics, where Web of Science has been lacking [5][11] Group 4: Challenges and Future Directions - While leaving Web of Science may temporarily hinder the ability to make standardized comparisons between institutions and researchers, CNRS acknowledges the need to establish new principles for such evaluations [6][12] - CNRS is actively working to improve OpenAlex's metadata management to enhance its potential and is confident that it will soon meet the needs of researchers [6][12] - The organization aims to regain autonomy in scientific decision-making and enhance transparency through open tools, inviting partners to also distance themselves from Web of Science [6][12]

Core Insights - China's scientific research influence is rapidly increasing, reshaping the global scientific landscape, as highlighted by the analysis from Clarivate Analytics based on 25 years of citation data from the Web of Science database [1] - The United States is experiencing a gradual decline in its traditional position as a research powerhouse and collaboration center due to various policies that have negatively impacted its research environment [1] - Over the past decade, China's domestic research output has doubled, making it the largest producer of academic papers globally by 2020, with expectations to lead in citation metrics as well [1] Group 1 - The collaboration between China and Europe in scientific research is strengthening, while the collaboration between China and the U.S. has slowed down since 2019 due to restrictions on academic exchanges and China's focus on enhancing its own research capabilities [2] - The overall global research collaboration is on the rise, with high-impact research increasingly stemming from multilateral cooperation [1][2] - The decline in U.S. research output and citation influence has been ongoing for several years, exacerbated by the pandemic, with a notable decrease in citation impact observed since 2018 [1] Group 2 - Experts suggest that the global research collaboration network is undergoing a restructuring, influenced by the adjustments in U.S.-China relations, with China aiming to build a multipolar scientific system while enhancing its domestic capabilities [2] - The shift in the dynamics of international scientific collaboration may hinder the open exchange of information, particularly if the U.S. imposes further restrictions under the guise of national security and economic competitiveness [2]

Summary of Clarivate Conference Call Company Overview - **Company**: Clarivate (NYSE: CLVT) - **Date of Conference**: November 19, 2025 Key Industry Insights - **Industry Focus**: Information services, particularly in academic, life sciences, and intellectual property (IP) sectors - **Core Technology**: Emphasis on proprietary data and AI integration Core Points and Arguments 1. **Generative AI Impact**: Clarivate views generative AI as an opportunity rather than a threat, leveraging its proprietary data that cannot be replicated by public AI systems [4][5][6] 2. **Proprietary Data**: The company emphasizes its unique data assets across segments, including bibliometric databases and proprietary analytics, which are deeply embedded in client workflows [5][6][7] 3. **AI Innovations**: Clarivate is actively deploying AI across its products, enhancing existing offerings and introducing new AI-driven products, such as RiskMark and Web of Science Research Intelligence [8][15] 4. **Investment Strategy**: Current capital spending is deemed adequate, with a focus on AI-driven product development and operational efficiencies expected to enhance margins in the future [11][12] 5. **Subscription Growth**: The company has increased its subscription revenue from 80% to 88% of organic revenue, with plans to reach 90% [16][18] 6. **Renewal Rates**: Improvement in renewal rates from 92% to 93% attributed to product investments and enhanced customer success initiatives [14][20] 7. **Market Growth Projections**: Clarivate anticipates growth in the ANG market at 3%-4%, with life sciences showing mid-single-digit growth potential [21][22][30] 8. **IP Market Recovery**: New patent filings increased by 5%, indicating a recovery in the IP market, which is expected to benefit Clarivate's annuity business [24][25] 9. **Competitive Positioning**: Clarivate maintains a unique market position with a comprehensive suite of products that competitors cannot match [26] Additional Important Insights - **Geographic Stability**: The company reports stable budgets across major geographies, with encouraging performance in North America [29] - **Life Sciences Transition**: The life sciences segment is transitioning towards a higher percentage of subscription revenue, currently at 85% [32] - **Cash Flow and Capital Allocation**: Clarivate has robust free cash flow generation, with balanced capital allocation strategies including stock repurchases and debt reduction [36][37] This summary encapsulates the key points discussed during the Clarivate conference call, highlighting the company's strategic focus on AI, proprietary data, and subscription growth while navigating market dynamics and competitive positioning.

Core Insights - Kenneth L. Cornick, a board member of Clarivate Plc, purchased 725,000 shares valued at approximately $2.5 million, increasing his total ownership to 1,032,711 shares post-transaction [1][2][6] Transaction Summary - Total shares purchased in open-market transactions amounted to 725,000 [2] - The transaction value was approximately $2.5 million, based on a weighted average purchase price of $3.42 per share [2] - Post-transaction, direct ownership was 32,711 shares, while indirect ownership totaled one million shares [6] - The transaction represented a small fraction of Clarivate's market capitalization of $2.28 billion as of November 3, 2025 [6] Company Overview - Clarivate's stock price was $3.54 as of market close on November 3, 2025, with a market capitalization of $2.28 billion and a revenue of $2.50 billion for the trailing twelve months [4] - The company experienced a 1-year price change of -26.28% as of the reference date [4] Company Performance - Clarivate reported Q3 revenue of $623.1 million, slightly above the previous year's $622.2 million, but total sales for the first three quarters were down 3% year-over-year to $1.9 billion [10] - The company had a significant debt of $4.5 billion at the end of Q3, with cash and equivalents amounting to $318.7 million [11] - Clarivate reported a Q3 net loss of $28.3 million, an improvement from a loss of $65.6 million in the prior year [11] Market Context - The purchase by Cornick occurred during a period of declining stock prices, with shares down from a 52-week high of $5.88 reached last December [9] - The transaction suggests a bullish outlook from Cornick despite the company's recent performance challenges and high debt levels [12]

Financial Data and Key Metrics Changes - Q3 revenue was $623 million, essentially flat compared to the same period last year, bringing year-to-date revenue to $1.84 billion [17] - The third quarter net loss was $28 million, an improvement driven by higher foreign exchange gains and the absence of a non-cash impairment charge recorded last year [17] - Adjusted diluted EPS was flat sequentially at $0.18, with changes attributed to the divestiture of ScholarOne [17] - Free cash flow was $115 million in Q3, totaling $276 million year-to-date, driven by adjusted EBITDA and working capital [22] Business Line Data and Key Metrics Changes - The A&G segment saw a 2% ACV growth, with a subscription mix now at 93% compared to 81% last year [7][8] - The Intellectual Property segment's recurring revenue was flat year-to-date, representing a 3% improvement in organic growth compared to the full year of 2024 [9] - Life Sciences and Health segment returned to 2% ACV growth, driven by new product introductions and AI integration [11] Market Data and Key Metrics Changes - The company secured over 100 contracts for its new content subscription framework, indicating strong market demand [8] - Renewal rates in Life Sciences and Health improved to 93%, up 100 basis points year-over-year [5] - The U.S. dollar remained weaker against foreign currencies, providing a foreign exchange tailwind on revenue [20] Company Strategy and Development Direction - The company is focused on executing its value creation plan, emphasizing product and AI development to drive organic growth [6][14] - Plans to streamline the business model and market focus include exiting A&G transactional books and the Life Sciences Real World Data Resell Market [15] - The company aims to enhance its core subscription and recurring revenue mix to improve predictability, achieving an 8% improvement this year compared to last year [7] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning the Intellectual Property segment to sustainable growth under new leadership [9][35] - The company anticipates continued acceleration in organic annual contract value and expects to raise revenue guidance by $50 million [24] - Management believes that operational efficiency and margin expansion will be achieved through the adoption of agentic AI [14] Other Important Information - The company has completed $150 million in share repurchases year-to-date and paid down $100 million in debt [5][23] - The strategic disposals are expected to lower revenue by approximately $90 million this year, with a similar impact anticipated next year [28] Q&A Session Summary Question: Insights on the patent renewal business and competitive landscape - Management noted that the patent and trademark renewal service declined by about 3% last year but is now flat year-to-date, with expectations for improvement under new leadership [35][36] Question: Updates on new innovations in the value creation plan - Management highlighted the introduction of AI-enabled products and a renewed focus on product innovation, with several new products expected to drive growth [41][42] Question: Impact of large ebook transactions on revenue and EBITDA - Management indicated that multiple large ebook transactions positively impacted revenue, with expectations for a decline in that area moving forward [47] Question: Potential of the business after strategic changes - Management expressed optimism about returning to market growth rates of 3-4% over time, citing strong fundamentals and a supportive customer base [48][49] Question: ACV acceleration and segment contributions - Management noted improvements across all segments, particularly in Life Sciences, with expectations for continued growth in the IP segment [55] Question: Trends in patents and trademarks - Management observed a gradual increase in patents in force and anticipated a recovery in volumes driven by innovation, particularly in AI [61][62] Question: Transactional revenues and their impact on guidance - Management explained that slower attrition of disposals contributed to improved revenue guidance, with a significant portion of revenue expected to decline next year [72]

Financial Data and Key Metrics Changes - Q3 revenue was $623 million, essentially flat compared to the same period last year, bringing year-to-date revenue to $1.84 billion [17] - The third quarter net loss was $28 million, an improvement driven by higher foreign exchange gains and the absence of a non-cash impairment charge recorded last year [17] - Adjusted diluted EPS was flat sequentially at $0.18, with changes attributed to the divestiture of ScholarOne [17] - Free cash flow was $115 million in Q3, totaling $276 million year-to-date, driven by adjusted EBITDA and working capital [22] Business Line Data and Key Metrics Changes - In the A&G segment, there was a 2% ACV growth, with a subscription mix now at 93% compared to 81% last year [7][8] - The Intellectual Property segment's recurring revenue was flat year-to-date, but showed a 3% improvement in organic growth rate compared to the full year of 2024 [9] - The Life Sciences and Health segment returned to 2% ACV growth, driven by new product introductions and AI integration [11] Market Data and Key Metrics Changes - The company secured over 100 contracts for its new content subscription framework, indicating strong market demand [8] - Renewal rates in the A&G segment were strong, with 90% of global subscriptions successfully renewed through October 27 [8] - The overall patents in force in core markets are expected to grow, indicating a potential recovery in the IP market [60] Company Strategy and Development Direction - The company is focused on executing its value creation plan, emphasizing product and AI development to drive organic growth [6][14] - There is a commitment to optimizing the business model by increasing the core subscription and recurring revenue mix [7] - The company is streamlining its business model by exiting non-core areas and focusing on strategic alternatives [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning the IP segment to sustainable growth under new leadership [9][34] - The company anticipates continued acceleration in organic annual contract value and recurring organic growth in the upper half of its guidance range [24] - There is optimism regarding the impact of AI on future growth, with expectations of a market recovery in the coming years [60] Other Important Information - The company has completed $150 million in share repurchases year-to-date and paid down $100 million in debt [5][23] - The company expects to maintain a balanced capital allocation strategy while investing in product innovation [30] Q&A Session Summary Question: Insights on the patent renewal business and competitive landscape - Management noted that the patent and trademark renewal service declined by about 3% last year but is now flat year-to-date, with expectations for improvement under new leadership [34] Question: Updates on the value creation plan and new innovations - Management highlighted the introduction of new AI-enabled products and a renewed focus on product innovation as key components of the value creation plan [42] Question: Impact of large ebook transactions on revenue and EBITDA - Multiple large ebook transactions positively impacted revenue in Q3, with expectations for a slower decline in disposals than previously anticipated [46][68] Question: Trends in the IP market and catalysts for recovery - Management indicated that the overall patents in force are expected to grow, with AI innovation likely to boost renewal volumes in the coming years [60] Question: AI initiatives and proprietary content - The majority of AI innovations support information services, with significant proprietary data being utilized to enhance product offerings [62]

Q3 2025 Earnings Call October 29, 2025 Safe Harbor Statement and Non-GAAP Financial Measures Forward-Looking Statements This communication 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 c ...

Group 1 - Clarivate Plc is a diversified information services company with a share price of $4.15 and a forward P/E of 6.01 as of September 3rd [1][2] - The company operates across three core segments: Academia & Government (52% of FY24 revenue), Intellectual Property (32% of revenue), and Life Sciences & Healthcare (16% of revenue) [2][3] - The company has historically underperformed due to poorly integrated acquisitions and reliance on one-time transactional revenues, which account for approximately 19% of FY24 revenue [3] Group 2 - Under CEO Matti Shem Tov, Clarivate launched a Value Creation Plan (VCP) aimed at recurring revenue growth and operational improvements, resulting in stabilizing organic growth and strong recurring revenue retention of about 92% [4][5] - A formal review of strategic alternatives was initiated in February 2025, with private equity interest in the IP segment valued at around $4 billion, implying a 12x FY25E EBITDA [4] - The company's sum-of-the-parts (SOTP) analysis suggests a potential upside of approximately 45%, with divestitures expected to unlock value and reduce net leverage from its current level of about 4.3x [4][5] Group 3 - Clarivate benefits from mission-critical datasets and workflow solutions, with 64% of revenue derived from subscriptions and 17% from recurring patent maintenance [5] - The VCP, supported by activist and private equity investors, is expected to enhance margins and generate sustainable free cash flow estimated between $300 million and $380 million for FY25 [5] - The company presents an attractive entry point even in a standalone scenario, with potential catalysts including business unit sales and accelerating organic growth [5]

Summary of Clarivate's Conference Call Company Overview - **Company**: Clarivate - **Key Executives**: Matti Shem Tov (CEO), Jonathan Collins (CFO) Industry and Strategic Focus - **Industry**: Information and analytics services, particularly in academic, government, and life sciences sectors - **Core Strategy**: Value Creation Plan with four pillars aimed at transforming the business model and enhancing shareholder value Key Points from the Conference Call 1. Value Creation Plan - **Pillar 1: Transition to Subscription Model** - Phasing out transactional sales in favor of subscription models - Current revenue mix: 88% subscription, aiming for 90% over time [6][4][3] - Phasing out print books and transactional e-books by June 2026 [4] - New subscription products introduced: ProQuest e-books and digital collections [5] 2. Sales Execution Improvement - **Pillar 2: Enhancing Sales Execution** - Changes implemented in sales organization leading to improved retention rates and sales momentum [8][10] - New talent acquisition, including a Senior Vice President for Sales in Life Science [9] 3. Product Innovation - **Pillar 3: Focus on Product Innovation** - Emphasis on AI integration across product lines, including GenAI and agentic AI capabilities [11][12] - Development of new products like Web of Science Research Intelligence, expected to launch in May 2026 [16][27] - AI enablement of existing products to enhance customer retention and attract new customers [13][14] 4. Portfolio Rationalization - **Pillar 4: Strategic Review of Non-Core Assets** - Ongoing review to identify non-core assets for potential divestiture to enhance shareholder value [19][20] 5. Organic Revenue Growth - **Target for Growth**: Aligning with market growth rates of 3-5% across segments [21][22] - **Segments**: Academic & Government (A&G), Intellectual Property (IP), Life Sciences - **Life Sciences Growth**: Strong demand in R&D, particularly for Cortellis product line [30][32] 6. Market Dynamics - **Healthcare Market**: Sustainable growth expected due to advancements in personalized medicine and AI integration [32][34] - **IP Segment**: Increased patent activity and AI-driven solutions like MacRisk and Derwent products [36][37] 7. Financial Performance and Margins - **EBITDA Margins**: Expected contraction to 41% due to disposals, with potential for recovery post-disposal [41][42] - **Margin Expansion**: Anticipated improvement as organic growth resumes, with a target of 2-3% growth leading to margin expansion [45] 8. Capital Allocation - **Balance Sheet Management**: Current gross leverage at 4.3 times; plans for debt paydown and share buybacks while maintaining flexibility [46] 9. Additional Insights - **Customer Engagement**: Focus on enhancing customer collaboration and engagement through innovative products [24][25] - **AI Cost Management**: Internal AI development is more economical compared to third-party vendors [17] Conclusion Clarivate is actively pursuing a transformation strategy focused on subscription models, product innovation, and enhancing sales execution, with a clear goal of driving organic revenue growth and improving shareholder value. The company is well-positioned to capitalize on market opportunities, particularly in the life sciences and IP sectors, while managing its financial health and capital allocation effectively.

Core Insights - Clarivate Plc has signed agreements with China Petrochemical Corporation (Sinopec Group) to provide academic research and intellectual property solutions, enhancing Sinopec's research and development capabilities [1][2] - The partnership aims to support Sinopec's vision of advancing low-carbon energy technologies and environmentally friendly materials through improved innovation processes [2][5] Company Collaboration - Clarivate will supply Sinopec Group with the Web of Science platform, which includes a comprehensive citation index and various data insights, facilitating access to a wide range of academic content [3][5] - Beijing incoPat Technology Co., Ltd. will contribute global patent data through the incoPat database, which contains over 200 million records from 172 countries and organizations [4][5] Strategic Goals - The collaboration is positioned as a significant step in driving innovation within Sinopec Group, aligning with its goal to become a world-leading energy and chemical company [5] - The partnership builds on a history of collaboration, with Sinopec already utilizing other Clarivate solutions such as InCites Benchmarking & Analytics and Derwent Innovation [5]