Gartner Reports $1.51 Billion Revenue in Q1 2026, Net Income Increases to $222.3 Million

Gartner, Inc. reported a total revenue of $1.51 billion for the first quarter of 2026, reflecting a 2% decrease from $1.53 billion in the same period of 2025. The decline was primarily attributed to the divestiture of its Digital Markets business, which was sold for approximately $104.8 million in February 2026. Despite the overall revenue drop, the company saw a 3% increase in its Insights segment, which generated $1.29 billion, while revenues from Conferences rose by 8% to $78.3 million. However, Consulting revenues fell by 15% to $119.1 million, indicating challenges in that segment.

In terms of profitability, Gartner's net income for the first quarter of 2026 was $222.3 million, up from $210.9 million a year earlier, resulting in diluted earnings per share of $3.18 compared to $2.71 in the prior year. The increase in net income was driven by a reduction in operating expenses, which totaled $1.19 billion, down from $1.26 billion in the previous year. Operating income rose by 14% to $316.1 million, aided by a $6.1 million gain from the sale of the Digital Markets business.

Operationally, Gartner's total employee count decreased by 8% year-over-year to 19,367 as of March 31, 2026. The company reported a significant increase in cash provided by operating activities, which rose to $391 million from $313.5 million in the prior year, attributed to improved collection timing. The company also maintained a strong liquidity position with $1.67 billion in cash and cash equivalents and approximately $1 billion in available borrowing capacity under its revolving credit facility.

Gartner's strategic focus remains on enhancing its Insights segment, which continues to show resilience with a contract value of $5.27 billion, a slight increase from the previous year. The company is also actively managing its operational costs and has authorized an additional $600 million for share repurchases, building on its existing program. Looking ahead, Gartner anticipates continued challenges in the Consulting segment but remains optimistic about growth in Insights and Conferences, supported by a strong client retention rate and ongoing demand for its services.