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DH — Definitive Healthcare News Story

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Brief: Definitive Healthcare Q2 Revenue USD 60.75 Million Vs. IBES Estimate USD 59.2 Million

Overview

Definitive Healthcare Q2 revenue fell 5% but beat analyst expectations, per LSEG data

Net loss improved to $9.3 mln from $306.2 mln in Q2 2024

Adjusted EBITDA decreased to $18.7 mln, representing 31% of revenue

Outlook

Company raises full-year revenue guidance to $237-240 mln

Company expects Q3 revenue of $59.0 mln to $60.0 mln

Company raises full-year adjusted EBITDA outlook to $64.0 – $67.0 mln

Adjusted Net Income for Q3 expected to be $7.5 mln to $8.5 mln

Result Drivers

CUSTOMER WINS - Co attributes success to new customer acquisitions and expansion opportunities across end-markets, driven by superior data and integration capabilities

DATA QUALITY - Healthcare revenue cycle management firm selected co due to superior data quality and integration with HubSpot

RETURNING CLIENTS - Digital health organization returned to co for custom reporting capabilities, crucial for Medicaid claims activity

Key Details

MetricBeat/MissActualConsensus Estimate
Q2 RevenueBeat$60.75 mln$59.20 mln (12 Analysts)
Q2 Net Income-$9.26 mln
Q2 Gross Profit$46.61 mln
Q2 Pretax Profit-$8.81 mln
Analyst Coverage The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell" The average consensus recommendation for the software peer group is "buy." Wall Street's median 12-month price target for Definitive Healthcare Corp is $4.00, about 1.7% above its August 6 closing price of $3.93 The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 12 three months ago Press Release: ID:nGNX1nZw8q (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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