IQVIA Reports Third-Quarter 2018 Results and Updates Full-Year 2018 Guidance Revenue $2,594 million, up 6.3 percent at constant currency and 5.2 percent reported Adjusted EBITDA $561 million, up 8.4 percent at constant c

Reports Third-Quarter 2018 Results and Updates Full-Year 2018 Guidance

$2,594 million, up 6.3 percent at constant currency and 5.2 percent

EBITDA $561 million, up 8.4 percent at constant currency and 9.4

Diluted Earnings per Share $0.29

Diluted Earnings per Share $1.42, up 19.3 percent

million of share repurchase completed year-to-date; $133 million

during the third quarter

quarter of R&D Solutions contracted services Net New Business,

resulting in a book-to-bill ratio of 1.69x

mid-point of full-year 2018 revenue guidance inclusive of foreign

currency headwind; raising mid-point of full-year 2018 Adjusted EBITDA

and Adjusted Diluted EPS guidance

DANBURY, Conn. & RESEARCH TRIANGLE PARK, N.C.--(BUSINESS WIRE)--October

22, 2018--IQVIA Holdings Inc. ("IQVIA") (NYSE: IQV), a leading global

provider of advanced analytics, technology solutions, and contract

research services to the life sciences industry, today reported

financial results for the quarter ended September 30, 2018. On January

1, 2018, IQVIA adopted ASC 606 "Revenue from Contracts with Customers"

as required by the Financial Accounting Standards Board. Under this new

standard, IQVIA recognizes revenue in the Research & Development

Solutions segment on a percentage of completion basis. Additionally, ASC

606 requires that service revenue and reimbursed expense revenue be

consistently presented as one line on the income statement. Unless

stated otherwise, all financial information that follows has been

provided under ASC 606.

Third-Quarter 2018 Operating Results

Revenue for the third quarter of $2,594 million increased 6.3 percent at

constant currency and 5.2 percent reported, compared to the third

quarter of 2017. Technology & Analytics Solutions (TAS) revenue of

$1,014 million grew 15.0 percent at constant currency and 12.9 percent

reported, including the benefit of acquisitions. Research & Development

Solutions (R&DS) revenue of $1,382 million grew 3.5 percent at constant

currency and 3.1 percent reported, with growth in R&DS substantially all

organic. Contract Sales & Medical Solutions (CSMS) revenue of $198

million declined 11.9 percent at constant currency and 12.8 percent

Third-quarter 2018 Adjusted EBITDA of $561 million increased 8.4 percent

at constant currency and 9.4 percent reported. GAAP net income was $60

million and GAAP diluted earnings per share was $0.29. Adjusted Net

Income of $294 million grew 13.1 percent, and Adjusted Diluted Earnings

per Share of $1.42 grew 19.3 percent.

"We delivered another quarter of strong financial performance, with

solid core growth in our R&DS and TAS segments," said Ari Bousbib,

chairman and CEO of IQVIA. "In R&DS, we had a record quarter of

contracted services net new business, which positions us well to deliver

on our merger synergy targets exiting 2019. Our technology business

continues its strong momentum, driven by deals such as the recent

milestone agreement with Roche to deploy and use IQVIA commercial

technologies globally, and by the launch of our clinical technologies

suite, which we are developing on Salesforce."

Year-to-Date 2018 Operating Results

Revenue of $7,724 million for the first nine months of 2018 increased

6.4 percent at constant currency and 7.6 percent reported, compared to

the first nine months of 2017. TAS revenue of $3,010 million grew 12.5

percent at constant currency and 13.8 percent reported. R&DS revenue of

$4,097 million grew 5.8 percent at constant currency and 6.8 percent

reported. CSMS revenue of $617 million declined 13.3 percent at constant

currency and 11.7 percent reported.

R&DS contracted backlog including reimbursed expenses was $16.4 billion

at September 30, 2018. The company expects approximately $4.6 billion of

this backlog to convert to revenue in the next twelve months. For

comparability during 2018, the company is reporting R&DS net new

business on a contracted basis excluding reimbursed expenses. Under this

approach, R&DS contracted net new business of $5.37 billion for the

twelve months ended September 30, 2018, grew 22.9 percent compared to

the twelve months ended September 30, 2017. R&DS contracted net new

business for the quarter ending September 30, 2018 was $1.7 billion,

representing a contracted book-to-bill ratio (excluding reimbursed

expenses) of 1.69 for the third quarter 2018.

Adjusted EBITDA of $1,641 million for the first nine months of 2018

increased 10.0 percent at constant currency and 10.6 percent reported.

GAAP net income was $190 million and GAAP diluted earnings per share was

$0.91. Adjusted Net Income of $849 million for the first nine months of

2018 grew 12.7 percent, and Adjusted Diluted Earnings per Share of $4.05

grew 21.3 percent compared to the first nine months of 2017.

As of September 30, 2018, cash and cash equivalents were $827 million

and debt was $10,619 million, resulting in net debt of $9,792 million.

At the end of the third quarter of 2018, IQVIA's Gross Leverage Ratio

was 4.9 times, and Net Leverage Ratio was 4.5 times, trailing twelve

month Adjusted EBITDA.

During the third quarter, the company repurchased $133 million of its

stock in the open market, bringing year-to-date repurchases to $792

million. IQVIA had $889 million of share repurchase authorization

remaining as of September 30, 2018.

Full-Year 2018 Guidance

Guidance ranges for full-year 2018 have been updated. The revenue

guidance range has been reaffirmed at the mid-point of the range,

despite a foreign currency headwind of approximately $35 million. The

Adjusted EBITDA guidance has been increased by $10 million at the

mid-point of the range, and the Adjusted Diluted Earnings per Share

guidance has been increased by $0.05 at the mid-point of the range.

Full-year 2018 guidance updates are as follows:

This financial guidance assumes current foreign currency exchange rates

remain in effect for the remainder of the year.

Webcast & Conference Call Details

IQVIA will host a conference call at 9:00 a.m. Eastern Time today to

discuss its third-quarter 2018 financial results. To participate, please

dial 1-800-901-1807 in the United States and Canada or +1-212-231-2924

outside the United States approximately 15 minutes before the scheduled