Gartner, Inc. reported first‑quarter 2026 revenue of $1.511 billion, a 1.5% decline from the same period a year earlier. The decline is larger on a foreign‑currency‑neutral basis, where revenue fell 4.3%. Adjusted earnings per share came in at $3.32, beating the consensus estimate of $2.99 by $0.33, or 11%.
The revenue miss was driven primarily by a contraction in the Consulting segment and a slowdown in the U.S. Federal government business, which together weighed on top‑line growth. In contrast, the Insights segment – Gartner’s subscription‑based core – grew 3% year‑over‑year, offsetting some of the weakness in other areas.
The earnings beat was largely a result of disciplined cost management and a favorable mix shift toward higher‑margin Insights revenue. Operating leverage helped maintain adjusted EBITDA margins, while a $535 million share‑repurchase program reduced the share count, amplifying the per‑share earnings figure.
Management raised its full‑year 2026 guidance, increasing the adjusted EPS target to at least $13.25 and lifting adjusted EBITDA and free‑cash‑flow guidance. The upgrade signals confidence that the company can sustain profitability even as top‑line growth moderates.
Gene Hall, Chairman and CEO, highlighted the acceleration of contract value and the strength of Insights revenue, noting that adjusted EBITDA, adjusted EPS, and free cash flow were ahead of expectations. He also emphasized the $535 million stock repurchase as part of the company’s capital‑allocation strategy.
Investor reaction was tempered by the revenue miss and modest contract‑value growth, which raised concerns about long‑term top‑line momentum. The EPS beat and guidance upgrade, however, helped mitigate some of the negative sentiment, leaving the overall market response muted rather than strongly positive or negative.
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