Claritev (CTEV) Q3 2025 earnings summary

Executive summary

• Achieved a second consecutive quarter of beat-and-raise performance, with Q3 2025 revenue up 6.7% year-over-year to $246 million, driven by core business growth and major client renewals.

• Net loss narrowed to $69.8 million from $391.5 million in Q3 2024, with no goodwill or intangible asset impairments recorded in 2025.

• Expanded into new market verticals, including international markets and government, with first revenue from the MENA region and new partnerships.

• Completed migration to Oracle Cloud Infrastructure, improving scalability and performance.

• Rebrand efforts increased brand engagement, with website visits up over 100%.

Financial highlights

• Q3 2025 revenue was $246 million, up 6.7% year-over-year; adjusted EBITDA was $155.1 million, up 9.5% with a margin of 63.1%.

• Adjusted EPS for Q3 2025 was $1.48; net loss per share improved to $(4.23) from $(24.25) in Q3 2024.

• Unlevered free cash flow was $113 million, while levered free cash flow was a use of $16.3 million in Q3.

• Cash and cash equivalents at quarter-end were $39.2 million, with $273.6 million available under the revolving credit facility.

• Best absolute revenue dollar performance in the last 12 quarters.

Outlook and guidance

• Raised full-year 2025 revenue growth guidance to 2.8%–3.2% and adjusted EBITDA margin guidance to 62.5%–63.0%.

• Capital expenditures expected at $165–$175 million for FY 2025.

• Free cash flow guidance remains $(20) million to $20 million.

• Management expects sufficient liquidity for the next twelve months, supported by internal cash generation and borrowing capacity.

• Expecting $60 million of incremental ACV to largely convert to revenue in 2026 and beyond.