Gartner (NYSE: IT) shares surged 10.21% in pre-market trading on Tuesday after the company reported second-quarter financial results that significantly exceeded analyst expectations and raised its full-year earnings guidance.
The research and advisory firm posted adjusted earnings per share of $4.37, handily beating the consensus estimate of $3.75 by 16.53% and marking a 23.8% increase from $3.53 in the same quarter last year. Revenue came in at $1.68 billion to $1.70 billion, topping the $1.65 billion consensus forecast, despite a slight year-over-year dip. Net income rose 14.4% to $275 million, while operating cash flow reached $398 million.
Looking ahead, Gartner raised its full-year adjusted EPS guidance to at least $14.00, up from a prior outlook of at least $13.25 and well above the $13.69 analyst consensus. CEO Gene Hall noted that contract value growth accelerated again, with foreign-exchange-neutral contract value rising 1.7% year-over-year to $5.3 billion. The board also lifted the share repurchase authorization by $500 million in July 2026, signaling confidence in the company's trajectory.