Fortrea Q4 revenue slightly misses

Fortrea Holdings

26/02/2026 11:21

Overview

Contract research organization's Q4 revenue slightly missed analyst expectations

Adjusted EBITDA for Q4 beat analyst expectations

Company achieved full-year cost savings exceeding targets

Outlook

Fortrea targets 2026 revenue between $2.55 bln and $2.65 bln

Fortrea expects 2026 adjusted EBITDA between $190 mln and $220 mln

Guidance assumes 2025 year-end foreign exchange rates remain unchanged

Result Drivers

BOOK-TO-BILL RATIO - Fortrea reported a Q4 book-to-bill ratio of 1.14x, reflecting strong order intake in the second half of 2025

CLIENT FEEDBACK - Positive feedback from large pharma and biotech clients supported operational performance, per CEO Anshul Thakral

CAPITAL ALLOCATION - Fortrea strengthened its balance sheet through disciplined capital allocation and debt paydown

Company press release: ID:nGNX6dYg3L

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Miss*
$660.50 mln
$665.22 mln (10 Analysts)
Q4 EPS
-$0.35
Q4 Net Income
-$32.50 mln
Q4 Adjusted EBITDA
Beat
$54 mln
$49.88 mln (10 Analysts)
Q4 Operating Income
-$13.60 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 5 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the biotechnology & medical research peer group is "buy."

Wall Street's median 12-month price target for Fortrea Holdings Inc is $15.50, about 49.9% above its February 25 closing price of $10.34

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 13 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)