Iqvia Holdings, Inc. · NYSE:IQV
Iqvia — Q4 2023 Earnings Presentation
17 slides from Iqvia's earnings presentation, Feb 14, 2024
Slide 1: Q4 2023 Earnings Call
Q4 2023 Earnings Call February 14, 2024 1
Slide 2: Legal: Safe Harbor Statement for Forward-Looking Statements
Legal This presentation should be viewed in conjunction with IQVIA’s Q4 2023 earnings call Safe Harbor Statement for Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 19
Slide 3: Legal: Non-GAAP Information
Legal Non-GAAP Information This presentation includes information based on financial measures that are not recognized under generally accepted accounting principles in the United States ("GAAP"), such as Adjusted EBITDA, Adjusted Net Income, Adjusted Diluted Earnings per Share, Gross Leverage Ratio,
Slide 4: 4th Quarter Results
4th Quarter Results $M, except per share data Revenue Adjusted EBITDA(1) Adjusted Diluted EPS(1) 3.5% AFx 2.6% CFx 5.0% AFx 2.2% AFx $3,868 $2.84 $2.78 $3,739 $966 $920 Dollars are at actual foreign exchange rates. AFx is actual currency. CFx is constant currency. (1) See reconciliation of non-GAAP
Slide 5: 4th Quarter and Full-Year Revenue
4th Quarter and Full-Year Revenue $M Q4 Full Year 2023 2022 VPY% VPY% 2023 2022 VPY% VPY% AFx CFx AFx CFx Technology & Analytics $1,531 $1,499 2.1% 1.3% $5,862 $5,746 2.0% 2.1% Solutions Research & $2,151 $2,058 4.5% 3.7% $8,395 $7,921 6.0% 6.0% Development Solutions Contract Sales & $186 $182 2.2%
Slide 6: 4th Quarter and Full-Year Profit
4th Quarter and Full-Year Profit $M, except per share data Q4 Full Year 2023 2022 2023 2022 Adjusted EBITDA (1) $966 $920 $3,569 $3,346 Net Income $469 $227 $1,358 $1,091 Diluted Earnings per Share $2.54 $1.20 $7.29 $5.72 Adjusted Net Income (1) $523 $524 $1,901 $1,937 Adjusted Diluted Earnings per
Slide 7: R&D Solutions Backlog
R&D Solutions Backlog $B Up 31% since Q4 2020 Up 9.2% vs PY Dollars are at actual foreign exchange rates. 7
Slide 8: 4th Quarter Balance Sheet and Cash Flow Items and Metrics
4th Quarter Balance Sheet and Cash Flow Items and Metrics $M Cash & Cash Equivalents $1,376 Gross Debt $13,673 Net Debt $12,297 Gross Leverage Ratio (1) 3.83x Net Leverage Ratio (1) 3.45x Net Cash Provided by Operating Activities $747 Capital Expenditures $179 Free Cash Flow (2) $568 Dollars are at
Slide 9: Net Interest Expense
Net Interest Expense $M ~$650 November 2023 Refinancing Highlights • Refinanced ~$2.75B of near-term debt • Significantly oversubscribed • Extended maturities to 2029 and 2031 • Fixed rate at just under 4.9% after swaps 2017 2018 2019 2020 2021 2022 2023 2024 Over 80% of total debt now at fixed rate
Slide 10: Full-Year 2024 Guidance
Full-Year 2024 Guidance $M, except per share data Revenue $15,400 – $15,650 Adj. EBITDA $3,700 – $3,800 Adj. Diluted EPS $10.95 – $11.25 All financial guidance assumes February 12th, 2024 foreign exchange rates remain in effect for the guidance period. 10
Slide 11: Full-Year 2024 Segment Revenue Guidance
Full-Year 2024 Segment Revenue Guidance $B TAS $6.0 – $6.2 R&DS $8.7 – $8.8 CSMS $0.7 All financial guidance assumes February 12th, 2024 foreign exchange rates remain in effect for the guidance period. 11
Slide 12: Q1 2024 Guidance
Q1 2024 Guidance $M, except per share data Revenue $3,650 – $3,725 Adj. EBITDA $850 – $870 Adj. Diluted EPS $2.45 – $2.55 All financial guidance assumes February 12th, 2024 foreign exchange rates remain in effect for the guidance period. 12
Slide 13: Q&A
Q&A 13
Slide 14: Net Income to Adjusted EBITDA Reconciliation
Net Income to Adjusted EBITDA Reconciliation Three Months Ended Twelve Months Ended December 31, December 31, (in millions) 2023 2022 2023 2022 Net Income $ 469 $ 227 $ 1,358 $ 1,091 (Benefit from) provision for income taxes (1) (102) 48 101 260 Depreciation and amortization 316 357 1,125 1,130 Inte
Slide 15: Net Income to Adj. Net Income and Per Share Data Reconciliation
Net Income to Adj. Net Income and Per Share Data Reconciliation Three Months Ended Twelve Months Ended December 31, December 31, (in millions, except per share data) 2023 2022 2023 2022 Net Income $ 469 $ 227 $ 1,358 $ 1,091 (Benefit from) provision for income taxes (1) (102) 48 101 260 Purchase acc
Slide 16: Operating Cash Flow to Free Cash Flow Reconciliation
Operating Cash Flow to Free Cash Flow Reconciliation Three Months Ended Twelve Months Ended December 31, December 31, (in millions) 2023 2023 Net Cash provided by Operating Activities $ 747 $ 2,149 Acquisition of property, equipment and software (179) (649) Free Cash Flow $ 568 $ 1,500 16
Slide 17: Leverage Ratios
Leverage Ratios (in millions) Gross Debt, net of Unamortized Discount and Debt Issuance Costs, as of December 31, 2023 $ 13,673 Net Debt as of December 31, 2023 $ 12,297 Adjusted EBITDA for the twelve months ended December 31, 2023 $ 3,569 Gross Leverage Ratio (Gross Debt/LTM Adjusted EBITDA) 3.83x