📈 Price History

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📊 Sector Averages

About

Fortrea Holdings Inc., a contract research organization, provides biopharmaceutical product and medical device development solutions to pharmaceutical, biotechnology, and medical device customers worldwide.

Key Ratios Snapshot

📈 Growth Pattern

⚡ Latest Quarter —

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📊 Quick Scorecard

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⭐ Superinvestors Holding FTRE

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Manager	Shares	Value	% of Fund	Period
Jim Simons Renaissance Technologies LLC	1.43M	$13.5M	0.02%	Mar 2026
Steve Cohen Point72 Asset Management	352.4K	$3.3M	0.00%	Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

📊 MIXED Q1 revenue $636.5M, book-to-bill 1.15x, adjusted EBITDA $47M

Revenue & Profitability

Revenue for Q1 2026 was $636.5 million, down 2.3% year-over-year (constant currency decline of 3.2%). GAAP net loss was $23.6 million, significantly improved from a net loss of $562.9 million in the prior year (which included a goodwill impairment). Adjusted net income was $15.2 million, and adjusted EBITDA was $47 million, up from $30.3 million in the prior year. Adjusted diluted EPS was $0.16. Operating cash flow was -$17 million and free cash flow was -$25 million.

Outlook

Management sees a stabilizing market with early signs of improvement. Large pharma is more constructive, and biotech funding has inflected positively year-over-year, leading to a steadier demand backdrop. Clinical trial starts rebounded in Q1, and RFPs for biotech opportunities increased sequentially and year-over-year. Full-year 2026 revenue is guided at $2.55-$2.65 billion, with adjusted EBITDA of $190-$220 million, reflecting continued cost optimization and a gradual return to growth.

Growth Drivers

Growth is driven by commercial execution under the 'Three Rs' (reach, relevance, repeat). Key levers include a strong biotech skew in bookings, double-digit pipeline growth in China, and the best first quarter for clinical pharmacology authorizations since Fortrea’s founding. The company is expanding its FSP organization with new leadership and leveraging differentiated scientific capabilities to win new-to-Fortrea biotech clients. The launch of FIT is also expected to support win rates and operational efficiency over time.

Balance Sheet & CapEx

Not discussed in detail. Management mentioned small organic investments in therapeutic areas, medical expertise, and the commercial organization to accelerate growth, as well as continued investment in technology (FIT). No specific CapEx guidance or capacity plans were provided.

Margins

Adjusted EBITDA margin improvement is a multi-year journey toward mid-teens over 3-5 years. In Q1, adjusted EBITDA was $47 million on $636.5 million revenue. Cost savings delivered $16 million gross and $9 million net in the quarter, against full-year targets of $70-$80 million gross and $40-$50 million net. Margin expansion is supported by revenue diversification, growth, and cost optimization. Q2 is expected to see a modest sequential step-up in adjusted EBITDA, with gradual improvement through the year.

Key Risks

Risks flagged include the impact of a pricing concession on a large pharma FSP contract, which is now embedded in run rates. DSO increased slightly to 16-20 days in Q1, and operating cash flow was negative due to variable compensation payments, though expected to be positive for the remainder of 2026. Enterprise cancellations remain within historical range. AI adoption could temporarily pressure top-line growth but is seen as a long-term tailwind.

Generated by AI · Q1 2026 results · Not investment advice

✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter

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📞 Earnings Call Transcripts (5)

Q2 2026 Q2 2026 2026-07-29

Second quarter results exceeded expectations, with improved full-year guidance and strong commercial momentum, especially in biotech. Revenue declined year-over-year due to lower passthroughs, but adjusted EBITDA and cash flow improved, supported by cost savings and operational efficiencies.

Q1 2026 Q1 2026 2026-05-05

Q1 2026 saw strong commercial momentum, margin expansion, and improved operational efficiency, with a book-to-bill of 1.15x and significant gains in biotech and China. Revenue declined 2.3% year-over-year, but adjusted EBITDA and net income improved, supporting reaffirmed full-year guidance.

Q4 2025 Q4 2025 2026-02-26

Revenue and Adjusted EBITDA met guidance for 2025, with strong cash flow and cost savings. 2026 guidance anticipates stable revenue, margin improvement, and continued cost optimization, supported by improved biotech funding and operational efficiency.

Q3 2025 Q3 2025 2025-11-05

Q3 2025 saw 3.9% revenue growth, improved book-to-bill, and strong cash flow, despite margin pressure from higher pass-through costs. Raised full-year revenue guidance and continued cost optimization position the company for margin improvement and stable liquidity.

Q2 2025 Q2 2025 2025-08-06

Q2 2025 revenue grew 7.2% year-over-year to $710.3 million, with adjusted EBITDA of $54.9 million and a raised full-year revenue outlook. A $309.1 million goodwill impairment drove a net loss, but operational improvements, cost savings, and strong clinical pharmacology performance support a positive outlook.

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