Loading...
•
Jun 30, 2025
Definitive Healthcare Q2 2025 Earnings Report
Definitive Healthcare reported its financial results for the second quarter of fiscal year 2025, exceeding revenue guidance.
Key Takeaways
Definitive Healthcare reported second-quarter revenue of $60.8 million, a 5% decrease year-over-year, but exceeded its guidance. The company achieved a net loss of $(9.3) million, a significant improvement from the prior year's $(306.2) million loss which included substantial goodwill impairment. Adjusted Net Income was $9.7 million and Adjusted EBITDA was $18.7 million, representing a 31% margin. Cash Flow from Operations was $9.3 million, and Unlevered Free Cash Flow was $11.5 million.
Revenue for Q2 2025 was $60.8 million, exceeding the company's guidance.
Net loss significantly improved to $(9.3) million in Q2 2025 from $(306.2) million in Q2 2024, primarily due to the absence of large goodwill impairment charges.
Adjusted EBITDA was $18.7 million, representing a 31% margin, indicating strong operational profitability despite a revenue decline.
The company generated positive cash flow from operations of $9.3 million and unlevered free cash flow of $11.5 million in the quarter.
Forward Guidance
Definitive Healthcare is raising the midpoint of its full-year revenue guidance and increasing its adjusted EBITDA outlook for fiscal year 2025, reflecting confidence in continued progress.
Positive Outlook
- Increased midpoint of full-year revenue guidance to $237.0 – $240.0 million.
- Raised full-year Adjusted EBITDA outlook to $64.0 – $67.0 million.
- Anticipates full-year Adjusted EBITDA margin of 27 – 28%.
- Projects Q3 2025 revenue between $59.0 – $60.0 million.
- Forecasts Q3 2025 Adjusted Operating Income between $12.5 – $13.5 million.
Challenges Ahead
- Third-quarter revenue guidance of $59.0 – $60.0 million is slightly lower than Q2 2025 actual revenue.
- Third-quarter Adjusted EBITDA margin is expected to be 26 – 28%, a slight decrease from Q2 2025's 31%.
- Adjusted Net Income Per Diluted Share for Q3 2025 is projected at $0.05 to $0.06, lower than Q2 2025's $0.07.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...