Gartner(US:IT)2025-06-24 12:49Business Model & Revenue - The company's business model drives strong free cash flow through recurring revenue, high renewal rates, and high contribution margins[6] - Total revenue in 2024 exceeded $6 billion, with research subscriptions accounting for 77% of the total[9] - Approximately 75% of research revenue contracts are multi-year agreements, averaging around 1.7 years in length[11] Retention Rates - Client retention rates have been consistently high, reaching 84.3% in 2024[15] - Wallet retention rate was 104% in 2024, indicating growth from existing clients[13] Profitability & Margins - The consolidated Gartner contribution margin was 67.7% in 2024[19] - The research segment contribution margin was 74% in 2024[21] Cash Flow & Investments - Cash provided by operating activities reached $1.485 billion in 2024[26] - Capex spending is expected to be approximately 2% of revenue[36] - The company is reinvesting for growth, with quota-bearing headcount (GTS & GBS) reaching 5,102 in 2024, representing a 7% CAGR[39] Financial Performance - EBITDA reached $1.556 billion in 2024, demonstrating a 17% CAGR[44] - Free cash flow was $1.383 billion in 2024, with a 14% CAGR[46]