• Recent Posts: Influencer Relations

    Saying farewell to David Bradshaw

    Saying farewell to David Bradshaw

    A funeral and celebration for David Bradshaw (shown left in this 2000 Ovum awayday photo, arm raised, with me and other colleagues) is to take place at West Norwood Crematorium, London SE27 at 2.45pm on Tuesday 23rd August and after at the Amba Hotel above London’s Charing Cross Station, on the Strand. David considered that that Ovum in that incarnation was […]

    David Bradshaw 1953-2016

    David Bradshaw 1953-2016

    David Bradshaw, one of the colleagues I worked with during my time as an analyst at Ovum, died on August 11. He led Cloud research in Europe for IDC, whose statement is below. David played a unique role at Ovum, bridging its telecoms and IT groups in the late 1990s by looking at computer-telecoms integration areas like CRM, which I […]

    AR managers are failing with consulting firms

    AR managers are failing with consulting firms

    Reflecting the paradoxical position of many clients, Kea’s Analyst Attitude Survey also goes to a wide range of consultants who play similar roles to analysts and are often employed by analyst firms. The responses to the current survey show that consultants are generally much less happy with their relationships with AR teams than analysts are. The paradox is that as […]

    Fersht: some IIAR award-winners “just tick the boxes”

    Fersht: some IIAR award-winners “just tick the boxes”

    Some of the firms mentioned by the IIAR’s analyst team awards fall short of excellence. That’s the verdict of several hundred analysts who took our Analyst Attitude Survey, and of the CEO of one of the top analyst firms. Phil Fersht left the comment below on our criticism of the IIAR awards. We thought we’d reprint it together with the […]

    Do the IIAR awards simply reward large firms?

    Do the IIAR awards simply reward large firms?

    The 2016 Institute for Industry Analyst Relations’ awards seem to be rewarding firms for the scale of their analyst relations, rather than their quality. In a blog post on July 6th, the IIAR awarded IBM the status of best analyst relations teams, with Cisco, Dell and HP as runners-up. Together with Microsoft, which outsources much of its analyst relations to […]

Gartner Q3 2009 earnings

This analysis does not look at areas of interest to investors, but seeks to pull out insights that are relevant to clients and prospects of the “Big Two” advisory analyst firms as well as communications and IT vendor analyst relations (AR) teams.  

logo-gartner.gifGartner, Inc. (NYSE:IT) announced its Q3 2009 earnings on October 30, 2009. See the end of this blog post for a summary and link to the press release.

In general Gartner’s results were much as expected at this point in a recession. All the key statistics were down year-over-year, but improved (i.e., less bad) quarter-to-quarter sequentially. All statistics are year-over-year and are FX neutral unless noted.

  • Overall revenues: $267.5m, down 7%.
  • Research: $187.7m, down 4%.
  • Events: $16m, down 6%.
  • Consulting: $65.7m, down 16%.

Demonstrating that a well-managed advisory analyst firm can be a cash machine, Gartner generated $55.1m in cash in Q3, only a half-million below Q3 2008. For the full year, Gartner raised its guidance on cash flow to $125m to $135m. Cash and equivalents at the end Q3 2009 was $113m, down from $141m at the end of Q3 2008. During the first nine months of 2009, Gartner primarily used cash to repay $151m in debt. Gartner retains $250m in available credit, which with the $113m in cash should give it the necessary resources to maintain its business as well as conduct M&A activity. On the M&A front, CEO Hall maintained the position that M&A opportunities are being constantly evaluated, but unlike Forrester, who mentioned it was actively evaluating potential deals, he provided no color to that remark.

Pricing

In his remarks CEO Gene Hall mentioned that Gartner’s most recent price increase was holding. Hall also said that Gartner was implementing a price increase on November 1, 2009. Yes, Gartner has been and continues to raise prices even in a recession. This can be attributed to Continue reading

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