Forrester Research Reports 2024 Fourth-Quarter And Full-Year Financial Results
Forrester Research (FORR) reported challenging Q4 and full-year 2024 results, with contract value (CV) declining 5% to $307.6 million. Q4 revenues were $108.0 million, down from $118.1 million in Q4 2023. Full-year 2024 revenues decreased to $432.5 million from $480.8 million in 2023.
The company reported Q4 2024 GAAP net income of $0.4 million ($0.02 per share) and adjusted net income of $6.8 million ($0.36 per share). For full-year 2024, FORR posted a GAAP net loss of $5.7 million (-$0.30 per share) and adjusted net income of $28.1 million ($1.47 per share).
Looking ahead, Forrester's 2025 guidance projects revenues between $400.0-415.0 million, representing a decline of 4.0-7.5%. The company expects GAAP EPS of $0.24-0.34 and adjusted EPS of $1.20-1.35 for 2025.
Forrester Research (FORR) ha riportato risultati difficili per il Q4 e per l'intero anno 2024, con il valore dei contratti (CV) in calo del 5% a $307.6 milioni. I ricavi del Q4 sono stati di $108.0 milioni, rispetto ai $118.1 milioni del Q4 2023. I ricavi dell'intero anno 2024 sono diminuiti a $432.5 milioni rispetto ai $480.8 milioni del 2023.
L'azienda ha riportato un reddito netto GAAP di $0.4 milioni ($0.02 per azione) per il Q4 2024 e un reddito netto rettificato di $6.8 milioni ($0.36 per azione). Per l'intero anno 2024, FORR ha registrato una perdita netta GAAP di $5.7 milioni (-$0.30 per azione) e un reddito netto rettificato di $28.1 milioni ($1.47 per azione).
Guardando al futuro, le previsioni di Forrester per il 2025 stimano ricavi tra $400.0-415.0 milioni, rappresentando un calo del 4.0-7.5%. L'azienda prevede un EPS GAAP di $0.24-0.34 e un EPS rettificato di $1.20-1.35 per il 2025.
Forrester Research (FORR) reportó resultados desafiantes para el cuarto trimestre y el año completo de 2024, con un valor de contrato (CV) que disminuyó un 5% a $307.6 millones. Los ingresos del cuarto trimestre fueron de $108.0 millones, en comparación con $118.1 millones en el cuarto trimestre de 2023. Los ingresos del año completo de 2024 disminuyeron a $432.5 millones desde $480.8 millones en 2023.
La empresa reportó un ingreso neto GAAP de $0.4 millones ($0.02 por acción) para el cuarto trimestre de 2024 y un ingreso neto ajustado de $6.8 millones ($0.36 por acción). Para el año completo de 2024, FORR registró una pérdida neta GAAP de $5.7 millones (-$0.30 por acción) y un ingreso neto ajustado de $28.1 millones ($1.47 por acción).
De cara al futuro, las proyecciones de Forrester para 2025 estiman ingresos entre $400.0-415.0 millones, lo que representa una disminución del 4.0-7.5%. Se espera que la empresa tenga un EPS GAAP de $0.24-0.34 y un EPS ajustado de $1.20-1.35 para 2025.
포레스터 리서치 (FORR)는 2024년 4분기 및 연간 결과가 어려웠으며 계약 가치(CV)가 5% 감소한 3억 760만 달러를 기록했다고 보고했습니다. 4분기 수익은 1억 80만 달러로, 2023년 4분기의 1억 1810만 달러에서 감소했습니다. 2024년 전체 수익은 4억 3250만 달러로, 2023년의 4억 8080만 달러에서 줄어들었습니다.
회사는 2024년 4분기 GAAP 순이익이 40만 달러 ($0.02 주당)이며 조정된 순이익이 680만 달러 ($0.36 주당)라고 보고했습니다. 2024년 전체에 대해 FORR은 GAAP 순손실 570만 달러 (-$0.30 주당)와 조정된 순이익 2810만 달러 ($1.47 주당)를 기록했습니다.
앞을 내다보며, 포레스터의 2025년 가이던스는 수익이 4억~4억 1500만 달러로, 4.0-7.5% 감소할 것으로 예상하고 있습니다. 회사는 2025년 GAAP EPS가 $0.24-0.34, 조정된 EPS가 $1.20-1.35가 될 것으로 예상하고 있습니다.
Forrester Research (FORR) a rapporté des résultats préoccupants pour le 4ème trimestre et l'ensemble de l'année 2024, avec une valeur contractuelle (CV) en baisse de 5% à 307,6 millions de dollars. Les revenus du 4ème trimestre étaient de 108,0 millions de dollars, en baisse par rapport à 118,1 millions de dollars au 4ème trimestre 2023. Les revenus de l'année 2024 ont chuté à 432,5 millions de dollars, contre 480,8 millions de dollars en 2023.
L'entreprise a annoncé un bénéfice net GAAP de 0,4 million de dollars (0,02 $ par action) pour le 4ème trimestre 2024 et un bénéfice net ajusté de 6,8 millions de dollars (0,36 $ par action). Pour l'année complète 2024, FORR a enregistré une perte nette GAAP de 5,7 millions de dollars (-0,30 $ par action) et un bénéfice net ajusté de 28,1 millions de dollars (1,47 $ par action).
Pour l'avenir, les prévisions de Forrester pour 2025 estiment des revenus compris entre 400,0 et 415,0 millions de dollars, représentant une baisse de 4,0 à 7,5%. L'entreprise prévoit un BPA GAAP de 0,24 à 0,34 et un BPA ajusté de 1,20 à 1,35 pour 2025.
Forrester Research (FORR) berichtete herausfordernde Ergebnisse für das 4. Quartal und das Gesamtjahr 2024, wobei der Vertragswert (CV) um 5% auf 307,6 Millionen USD zurückging. Die Einnahmen im 4. Quartal betrugen 108,0 Millionen USD, gegenüber 118,1 Millionen USD im 4. Quartal 2023. Die Einnahmen für das Gesamtjahr 2024 sanken auf 432,5 Millionen USD von 480,8 Millionen USD im Jahr 2023.
Das Unternehmen berichtete für das 4. Quartal 2024 einen GAAP-Nettogewinn von 0,4 Millionen USD (0,02 USD pro Aktie) und einen bereinigten Nettogewinn von 6,8 Millionen USD (0,36 USD pro Aktie). Für das Gesamtjahr 2024 verzeichnete FORR einen GAAP-Nettoverlust von 5,7 Millionen USD (-0,30 USD pro Aktie) und einen bereinigten Nettogewinn von 28,1 Millionen USD (1,47 USD pro Aktie).
Für die Zukunft erwartet Forrester für 2025 Einnahmen zwischen 400,0 und 415,0 Millionen USD, was einem Rückgang von 4,0-7,5% entspricht. Das Unternehmen prognostiziert für 2025 einen GAAP EPS von 0,24-0,34 und einen bereinigten EPS von 1,20-1,35.
- Forrester Decisions platform migration is 80% complete
- Q4 2024 GAAP net income improved to $0.4M from -$0.7M in Q4 2023
- Q4 2024 adjusted EPS increased to $0.36 from $0.25 in Q4 2023
- Contract value (CV) declined 5% to $307.6M
- Q4 2024 revenue decreased 8.6% to $108.0M from $118.1M
- Full-year 2024 revenue dropped 10% to $432.5M from $480.8M
- Full-year 2024 net loss of $5.7M compared to $3.1M profit in 2023
- 2025 guidance projects revenue decline of 4.0-7.5%
Insights
The Q4 and full-year 2024 results from Forrester Research paint a concerning picture of persistent business challenges, with several critical metrics trending negatively. The 5% decline in contract value to
The shift to a GAAP net loss of
Three key factors warrant investor attention:
- The announced restructuring and its associated costs of
$11.8 million in 2024 highlight management's focus on cost optimization, but the projected adjusted operating margin of8-9% for 2025 suggests improvement in profitability despite these efforts. - The emphasis on events as a CV growth driver represents a strategic pivot, potentially indicating challenges in the core research subscription business model.
- The high effective tax rate guidance of
45% for 2025 will significantly impact bottom-line performance, suggesting tax optimization opportunities.
The company's focus on retention rates and growth initiatives across existing and new accounts demonstrates a defensive strategy, prioritizing stability over aggressive expansion. While management frames 2025 as a stabilization year, the continued revenue decline and margin pressure suggest a more fundamental challenge in adapting to evolving market dynamics in the research and advisory services sector.
Commenting on the results, George F. Colony, Forrester’s CEO and chairman, stated: “Fourth-quarter and full-year financial results posed challenges, with revenue and CV declines leading to the restructuring announced last month to improve cost efficiency and influencing our 2025 guidance. Despite these results, the Forrester Decisions migration is essentially now complete, with
“The company is focused on three initiatives in 2025 — increasing retention rates, driving growth across both existing and new accounts, and supercharging our events to make them a more effective platform for CV growth. We are turning from the three-year product transition to being laser-focused on operating the new Forrester model. We are a resilient business and see 2025 as a year to deliver steady improvements across all three lines of business, which will set us up to return to CV growth.”
Fourth-Quarter Financial Performance
Total revenues for the fourth quarter of 2024 were
On a GAAP basis, net income was
On an adjusted basis, net income was
Year Ended December 31, 2024, Financial Performance
Total revenues were
On a GAAP basis, net loss was
On an adjusted basis, net income was
Additional details regarding key metrics can be found in the investor presentation on the investor relations section of the company’s website.
A reconciliation of GAAP results to adjusted results may be found in the attached financial tables.
2025 Guidance
Forrester is providing full-year 2025 financial guidance as follows:
Full-Year 2025 (GAAP):
-
Total revenues of approximately
$400.0 million $415.0 million 7.5% to4.0% versus the prior year -
Operating margin of approximately
1.8% to2.8% -
Interest expense of approximately
$2.7 million -
An effective tax rate of
45% -
Diluted earnings per share of approximately
$0.24 $0.34
Full-Year 2025 (Adjusted):
Adjusted financial guidance for full-year 2025 excludes stock-based compensation expense of
-
Adjusted operating margin of approximately
8.0% to9.0% -
Adjusted effective tax rate of
29% -
Adjusted diluted earnings per share of approximately
$1.20 $1.35
About Forrester
Forrester (Nasdaq: FORR) is one of the most influential research and advisory firms in the world. We empower leaders in technology, customer experience, digital, marketing, sales, and product functions to be bold at work and accelerate growth through customer obsession. Our unique research and continuous guidance model helps executives and their teams achieve their initiatives and outcomes faster and with confidence. To learn more, visit Forrester.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, Forrester’s financial guidance for the full-year 2025 and statements about the performance of Forrester Decisions and Forrester’s future financial performance and financial condition. These statements are based on Forrester’s current plans and expectations and involve risks and uncertainties that could cause actual future activities and results of operations to be materially different from those set forth in the forward-looking statements. Important factors that could cause actual future activities and results to differ include, among others, Forrester’s ability to retain and enrich memberships for its research products and services, including the migration of its existing clients into its Forrester Decisions portfolio of services; Forrester’s ability to fulfill existing or generate new consulting engagements and advisory services; technology spending; the risks and challenges inherent in international business activities; the use of generative AI in Forrester’s business and by Forrester’s clients and competitors; Forrester’s ability to offer new products and services; Forrester’s dependence on key personnel; Forrester’s ability to attract and retain professional staff; Forrester’s ability to respond to business and economic conditions and market trends; the impact of Forrester’s outstanding debt obligations; competition and industry consolidation; possible variations in Forrester’s quarterly operating results; concentration of ownership of Forrester; the possibility of network disruptions and security breaches; any failure to enforce and protect Forrester’s intellectual property rights; compliance with privacy laws; taxation risks; any weakness in Forrester’s system of internal controls; and the amount and timing of the repurchase of Forrester stock. Forrester undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. For further information, please refer to Forrester’s reports and filings with the Securities and Exchange Commission.
The consolidated statements of operations and the table of key financial data are attached.
© 2025, Forrester Research, Inc. All rights reserved. Forrester is a trademark of Forrester Research, Inc.
| Forrester Research, Inc. | ||||||||||||||||
| Consolidated Statements of Operations | ||||||||||||||||
| (Unaudited, in thousands, except per share data) | ||||||||||||||||
| Three Months Ended | Year Ended | |||||||||||||||
| December 31, | December 31, | |||||||||||||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
| Revenues: | ||||||||||||||||
| Research | $ |
79,425 |
|
$ |
85,185 |
|
$ |
316,739 |
|
$ |
334,396 |
|
||||
| Consulting |
|
25,933 |
|
|
28,271 |
|
|
97,254 |
|
|
118,228 |
|
||||
| Events |
|
2,683 |
|
|
4,633 |
|
|
18,477 |
|
|
28,155 |
|
||||
| Total revenues |
|
108,041 |
|
|
118,089 |
|
|
432,470 |
|
|
480,779 |
|
||||
| Operating expenses: | ||||||||||||||||
| Cost of services and fulfillment |
|
44,506 |
|
|
52,600 |
|
|
182,534 |
|
|
204,484 |
|
||||
| Selling and marketing |
|
41,673 |
|
|
44,272 |
|
|
159,621 |
|
|
167,352 |
|
||||
| General and administrative |
|
14,584 |
|
|
16,847 |
|
|
58,818 |
|
|
68,497 |
|
||||
| Depreciation |
|
1,482 |
|
|
1,895 |
|
|
7,561 |
|
|
8,452 |
|
||||
| Amortization of intangible assets |
|
2,217 |
|
|
2,781 |
|
|
9,648 |
|
|
11,956 |
|
||||
| Restructuring costs |
|
4,130 |
|
|
1,132 |
|
|
11,773 |
|
|
13,272 |
|
||||
| Loss from sale of divested operation |
|
— |
|
|
— |
|
|
1,775 |
|
|
— |
|
||||
| Total operating expenses |
|
108,592 |
|
|
119,527 |
|
|
431,730 |
|
|
474,013 |
|
||||
| Income (loss) from operations |
|
(551 |
) |
|
(1,438 |
) |
|
740 |
|
|
6,766 |
|
||||
| Interest expense |
|
(716 |
) |
|
(774 |
) |
|
(3,011 |
) |
|
(3,060 |
) |
||||
| Other income, net |
|
1,378 |
|
|
739 |
|
|
4,094 |
|
|
2,371 |
|
||||
| Gains on investments, net |
|
814 |
|
|
208 |
|
|
814 |
|
|
208 |
|
||||
| Income (loss) before income taxes |
|
925 |
|
|
(1,265 |
) |
|
2,637 |
|
|
6,285 |
|
||||
| Income tax expense (benefit) |
|
493 |
|
|
(602 |
) |
|
8,384 |
|
|
3,235 |
|
||||
| Net income (loss) | $ |
432 |
|
$ |
(663 |
) |
$ |
(5,747 |
) |
$ |
3,050 |
|
||||
| Basic income (loss) per common share | $ |
0.02 |
|
$ |
(0.03 |
) |
$ |
(0.30 |
) |
$ |
0.16 |
|
||||
| Diluted income (loss) per common share | $ |
0.02 |
|
$ |
(0.03 |
) |
$ |
(0.30 |
) |
$ |
0.16 |
|
||||
| Basic weighted average common shares outstanding |
|
18,934 |
|
|
19,238 |
|
|
19,094 |
|
|
19,183 |
|
||||
| Diluted weighted average common shares outstanding |
|
18,942 |
|
|
19,238 |
|
|
19,094 |
|
|
19,258 |
|
||||
| Adjusted data (1): | ||||||||||||||||
| Income (loss) from operations - GAAP | $ |
(551 |
) |
$ |
(1,438 |
) |
$ |
740 |
|
$ |
6,766 |
|
||||
| Amortization of intangible assets |
|
2,217 |
|
|
2,781 |
|
|
9,648 |
|
|
11,956 |
|
||||
| Restructuring costs |
|
4,130 |
|
|
1,132 |
|
|
11,773 |
|
|
13,272 |
|
||||
| Loss from sale of divested operation and transaction costs |
|
— |
|
|
— |
|
|
1,994 |
|
|
— |
|
||||
| Legal settlement |
|
— |
|
|
— |
|
|
— |
|
|
4,800 |
|
||||
| Stock-based compensation included in the | ||||||||||||||||
| following expense categories: | ||||||||||||||||
| Cost of services and fulfillment |
|
1,923 |
|
|
2,563 |
|
|
8,700 |
|
|
9,068 |
|
||||
| Selling and marketing |
|
479 |
|
|
849 |
|
|
2,164 |
|
|
2,943 |
|
||||
| General and administrative |
|
739 |
|
|
905 |
|
|
3,479 |
|
|
3,475 |
|
||||
| Adjusted income from operations | $ |
8,937 |
|
$ |
6,792 |
|
$ |
38,498 |
|
$ |
52,280 |
|
||||
| Three Months Ended | Year Ended | |||||||||||||||||||||||||||||||
| December 31, | December 31, | |||||||||||||||||||||||||||||||
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||||||||||||||||||
| Amount | Per Share | Amount | Per Share | Amount | Per Share | Amount | Per Share | |||||||||||||||||||||||||
| Net income (loss) - GAAP | $ |
432 |
|
$ |
0.02 |
|
$ |
(663 |
) |
$ |
(0.03 |
) |
$ |
(5,747 |
) |
$ |
(0.30 |
) |
$ |
3,050 |
|
$ |
0.16 |
|
||||||||
| Amortization of intangible assets |
|
2,217 |
|
|
0.12 |
|
|
2,781 |
|
|
0.14 |
|
|
9,648 |
|
|
0.50 |
|
|
11,956 |
|
|
0.62 |
|
||||||||
| Restructuring costs |
|
4,130 |
|
|
0.22 |
|
|
1,132 |
|
|
0.06 |
|
|
11,773 |
|
|
0.62 |
|
|
13,272 |
|
|
0.69 |
|
||||||||
| Loss from sale of divested operation and transaction costs |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
1,994 |
|
|
0.10 |
|
|
— |
|
|
— |
|
||||||||
| Legal settlement |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
4,800 |
|
|
0.25 |
|
||||||||
| Stock-based compensation |
|
3,141 |
|
|
0.17 |
|
|
4,317 |
|
|
0.22 |
|
|
14,343 |
|
|
0.75 |
|
|
15,486 |
|
|
0.80 |
|
||||||||
| Gains on investments |
|
(814 |
) |
|
(0.04 |
) |
|
(208 |
) |
|
(0.01 |
) |
|
(814 |
) |
|
(0.04 |
) |
|
(208 |
) |
|
(0.01 |
) |
||||||||
| Tax effects of items above (2) |
|
(2,189 |
) |
|
(0.12 |
) |
|
(1,994 |
) |
|
(0.10 |
) |
|
(3,856 |
) |
|
(0.20 |
) |
|
(11,111 |
) |
|
(0.58 |
) |
||||||||
| Adjustment to tax expense for adjusted tax rate (3) |
|
(101 |
) |
|
(0.01 |
) |
|
(568 |
) |
|
(0.03 |
) |
|
762 |
|
|
0.04 |
|
|
(616 |
) |
|
(0.03 |
) |
||||||||
| Adjusted net income | $ |
6,816 |
|
|
0.36 |
|
$ |
4,797 |
|
$ |
0.25 |
|
$ |
28,103 |
|
|
1.47 |
|
$ |
36,629 |
|
$ |
1.90 |
|
||||||||
| Diluted weighted average shares outstanding |
|
18,942 |
|
|
19,314 |
|
|
19,124 |
|
|
19,258 |
|
||||||||||||||||||||
| (1) Forrester believes that adjusted financial results provide investors with consistent and comparable information to aid in the understanding of Forrester’s ongoing business and are also used by Forrester in making compensation decisions. Our adjusted presentation excludes amortization of acquisition-related intangible assets, stock-based compensation, restructuring costs, a loss from the sale of a divested operation and related transaction costs, a legal settlement, and net gains or losses from investments, as well as their related tax effects. We also utilized an assumed tax rate of |
||||||||||||||||
| (2) The tax effect of adjusting items is based on the accounting treatment and rate for the jurisdiction of each item. | ||||||||||||||||
| (3) To compute adjusted net income, we apply an adjusted effective tax rate of |
||||||||||||||||
| Forrester Research, Inc. | |||||||||
| Key Financial Data | |||||||||
| (Unaudited, dollars in thousands) | |||||||||
| December 31, | December 31, | ||||||||
2024 |
2023 |
||||||||
| Balance sheet data: | |||||||||
| Cash, cash equivalents, and marketable investments | $ |
104,669 |
|
$ |
124,489 |
|
|||
| Accounts receivable, net | $ |
55,490 |
|
$ |
58,999 |
|
|||
| Deferred revenue | $ |
145,404 |
|
$ |
156,798 |
|
|||
| Debt outstanding | $ |
35,000 |
|
$ |
35,000 |
|
|||
| Year Ended | |||||||||
| December 31, | |||||||||
2024 |
2023 |
||||||||
| Cash flow data: | |||||||||
| Net cash provided by (used in) operating activities | $ |
(3,861 |
) |
$ |
21,673 |
|
|||
| Purchases of property and equipment | $ |
(3,400 |
) |
$ |
(5,495 |
) |
|||
| Repayments of debt | $ |
— |
|
$ |
(15,000 |
) |
|||
| Repurchases of common stock | $ |
(15,920 |
) |
$ |
(4,082 |
) |
|||
| As of | |||||||||
| December 31, | |||||||||
2024 |
2023 |
||||||||
| Metrics: | |||||||||
| Contract value | $ |
307,600 |
|
$ |
323,600 |
|
(a) | ||
| Client retention |
|
73 |
% |
|
73 |
% |
(a) | ||
| Wallet retention |
|
89 |
% |
|
87 |
% |
(a) | ||
| Number of clients |
|
1,942 |
|
|
2,257 |
|
(a) | ||
| As of | |||||||||
| December 31, | |||||||||
2024 |
2023 |
||||||||
| Headcount: | |||||||||
| Total headcount |
|
1,571 |
|
|
1,744 |
|
|||
| Sales force |
|
580 |
|
|
601 |
|
|||
(a) December 31, 2023 amounts have been recast based on 2025 foreign currency rates, the divestiture of an operation in Q3 2024, and a correction of an insignificant error.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250211939171/en/
Ed Bryce Morris
Vice President, Corporate Development & Investor Relations
Forrester Research, Inc.
+1 617-613-6565
ebrycemorris@forrester.com
Shweta Agarwal
VP, Corporate Communications
Forrester Research, Inc.
+1 617-613-6805
sagarwal@forrester.com
Source: Forrester Research, Inc.
FAQ
What was Forrester's (FORR) contract value performance in Q4 2024?
How much revenue did Forrester (FORR) generate in Q4 2024?
What is Forrester's (FORR) revenue guidance for 2025?
What was Forrester's (FORR) adjusted EPS for full-year 2024?
What is the progress of Forrester's (FORR) Decisions platform migration?
