Gartner raises profit forecast on strong AI service demand

Gartner (IT.N), opens new tab on Tuesday raised its annual profit forecast driven by steady demand for its research ​and advisory services, as companies continue to ‌assess technology upgrades and AI adoption plans.

Gartner's research has become critical in technology planning and vendor evaluation ​processes across a wide range of ​industries, supported by its large data sets ⁠and domain expertise, News.Az reports, citing Reuters.

It now expects 2026 adjusted ​earnings at $13.25 per share, compared to analysts' average ​estimate of $13.16 per share, according to data compiled by LSEG. Gartner previously expected a profit of $12.30 per ​share.

It, however, cut its annual revenue forecast ​to $6.41 billion, from its previous view of $6.46 billion, below expectations ‌of $6.52 ⁠billion.

Gartner also projected annual revenue of $5.2 billion for the insights segment, its biggest unit, slightly ahead of its previous estimate of $5.19 billion.

For ​the quarter ​ended March ⁠31, the company reported revenue of $1.51 billion, which fell short of ​estimates of $1.52 billion.

Adjusted earnings for the ​first ⁠quarter came in at $3.32 per share, compared to estimates of $2.91.

The first-quarter revenue at Gartner's consulting segment, ⁠which ​provides advisory work that ​helps firms execute and implement strategy fell about 15% to $119 ​million.

News.Az 

By Faig Mahmudov