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Forrester Research (FORR) investor relations material

Forrester Research Q3 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q3 2025 earnings summary30 Oct, 2025

Executive summary

  • Q3 2025 revenue was $94.3M, down 8% year-over-year, with research, consulting, and events all declining; contract value fell 7% to $288.1M.

  • Operating margin and adjusted EPS improved year-over-year, driven by cost controls and operational efficiencies.

  • AI Access, a self-service AI research product, was launched, generating significant early interest and a major government contract.

  • Wallet retention improved to 86%, client retention held steady at 74%.

  • Full year 2024 revenue was $432.5M, down 10% year-over-year, with negative free cash flow of $7.3M.

Financial highlights

  • Q3 2025 revenue: $94.3M (down from $102.5M in Q3 2024); research: $72.7M (-6% YoY), consulting: $21.5M (-8% YoY), events: $0.2M (-92% YoY).

  • Adjusted operating margin for Q3 2025 was 10.5%, up 253 bps year-over-year; adjusted EBITDA margin was 12.2%.

  • Adjusted EPS for Q3 2025 was $0.37 (up 28% YoY); GAAP net loss was $2.1M ($0.11 per share).

  • Net cash from operating activities for the first nine months of 2025 was $24.3M; cash at quarter-end was $132M.

  • Deferred revenue stood at $141.2M; debt outstanding was $35M.

Outlook and guidance

  • 2025 revenue guidance is $395M–$405M, a 6–9% decline from 2024.

  • Adjusted operating margin expected at 7.5–8.5%; adjusted EPS guidance is $1.15–$1.25.

  • Research business expected to decline mid-single digits; consulting high single to low double digits; events high 20% decline.

  • GAAP operating margin expected at negative 19.3% to negative 18.3%; diluted loss per share of $4.50 to $4.40.

  • Anticipates Q4 improvement from AI Access pipeline, with CV expected to improve to a low single-digit decline for the year.

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Forrester Research Inc provides research, advisory, and consulting services that support business and technology decision-making. The company serves corporate and public sector clients with insights on customer experience, digital transformation, and market trends. The company is headquartered in Cambridge, Massachusetts, and its shares are listed on the NASDAQ.

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