Gartner Q4 2024 Earnings Recap

Gartner initially announced the timeframe for these methodology changes as April 2025. Gartner now says that was a misstatement – the corrected timeline is June 2025. All Voice of the Customer reports scheduled for June and beyond will adhere to the new methodology. VOC reports publishing from now to the end of May will adhere to the current methodology. The details of the updated methodology will be available starting March 1, 2025. All references below to this timeline have been updated. 

What you need to know: 

• It’s a familiar – yet impressive – refrain: Gartner continues to grow. With gusto.
• For Q4 2024, Gartner beat expectations for revenue ($1.72 billion vs. forecasted $1.69 billion) and earnings per share ($5.45 vs. expected $3.25).  
• Research-specific revenue landed at $1.3 billion, an increase of 5% from Q4 2023. 
• For the full year of 2024, total revenue was $6.3 billion, an increase of 6% versus 2023. 
• Given its continued growth and juggernaut influence, any AR strategy that does not include “more Gartner” should be reevaluated.

Spotlight’s take on the Gartner Q4 2024 Earnings:

• Research No. 1: Research remains the largest contributor to Gartner’s success. Specifically, subscription revenue was 77% of 2024 consolidated revenue.
• Other Segments: conferences and consulting grew year over year by 17% and 19%, respectively.
• 2025: Gartner projects 2025 research revenue of at least $5.365 billion, which would be growth of about 6%.
• Contracts: Contract value with technology function leaders grew 7% from Q4 2023. Contract value with business function leaders grew 12% from Q4 2023.
• Vendors: Contract value from technology vendors grew for the third consecutive quarter. 
• “The tech vendor market has recovered nicely, and we are as well,” said Gartner CEO Gene Hall. “So we expect it to return to a more normalized state over the next several quarters. We expect it to continue to accelerate for the year.”
• AI: Gene Hall made a variety of comments about artificial intelligence:
• AI is “one of the biggest areas of uncertainty” for Gartner clients. But there also are significant expectations for how AI can improve productivity.
• “We’re best positioned in the world to help our clients sort this out, both on the enterprise function leader side as well as on the tech vendor side,” Hall said.
• Internally for Gartner operations, Hall acknowledged that the firm has “tens” of AI initiatives. Applications for these range from statistical analysis to training to translations. Hall said that no single application will radically improve productivity and that the firm will continue to experiment. 
• That said, the most significant advantage from AI for Gartner, Hall says, won’t be internal. The No. 1 opportunity for Gartner related to AI is to help its clients navigate change and apply AI to business outcomes.