Clarivate (CLVT) Q4 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 21, 2026 astatine 10:33 AM CDT 34 min read

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Tuesday, February 24, 2026 astatine 9 a.m. ET

• Chief Executive Officer — Matti Shem Tov

• Chief Financial Officer — Jonathan Collins

With maine contiguous are Matti Shem Tov, Chief Executive Officer; and Jonathan Collins, Chief Financial Officer. After our prepared remarks, we'll unfastened up the telephone to your questions. And with that, it's a pleasance to crook the telephone implicit to Matti.

Matti Shem Tov: Good morning, everyone, and convey you for joining america today. We are astatine a affirmative inflection constituent successful the Clarivate journey. In 2025, we delivered connected our archetypal afloat twelvemonth fiscal usher for the archetypal clip since 2019. The worth instauration program is moving arsenic evidenced by our improved show and guardant outlook. We person accelerated integrated ACV, integrated recurring gross and enhanced our escaped currency travel conversion. Looking up to 2026, our guidance calls for 10% escaped currency travel maturation and continued betterment successful our KPIs. With beardown currency generation, unchangeable gross retention rates of 93% and a concern that generates 97% of its gross from proprietary solution enhanced by AI, we spot tremendous accidental successful beforehand of us.

Last February, we announced a strategical reappraisal of our concern portfolio, which involves evaluating aggregate options. After an in-depth analysis, we person launched a process to merchantability our Life Sciences & Health business, which if the woody is concluded, could accelerate worth instauration for shareholders. We judge selling this conception volition let further accent connected the A&G and IP marketplace and fortify our equilibrium expanse done reduced leverage. We are presently engaged successful progressive treatment with funny parties. There are nary guarantees we volition scope an agreement. We volition update the marketplace erstwhile appropriate.

While we recognize the market's interest astir AI disruption for bundle and accusation services companies successful general, we judge our concern is highly proprietary with important moats. A fewer weeks ago, we launched a webinar titled Clarivate Intelligence Amplified successful the Age of AI. If you person not viewed it yet, I promote you to bash so. For us, AI is not a disruption to our concern model. It is an amplifier of what already sets america apart. Today, 97% of Clarivate's gross travel from proprietary assets, including quality solutions, workflow bundle and tech-enabled services. This reflects decades of strategical concern successful proprietary content, adept enrichment and curation and the improvement of bundle products embedded crossed lawsuit workflows.