Exceeded Guidance on Top and Bottom Line
Definitive Healthcare's Q2 2025 financial results were above the high end of guidance ranges for both revenue and adjusted EBITDA. Revenue was $60.8 million, and adjusted EBITDA was $18.7 million, representing a 31% margin.
Improvement in Renewal Rates
There were early signs of improvement in renewal rates, with the highest retention rate since Q2 of the previous year. This improvement was attributed to changes in customer success investments.
Increase in Professional Services Revenue
Professional services revenue grew by 46% year-over-year in the quarter, helping to partially offset subscription revenue pressures.
Successful Data Partnership
The data partnership contributed a couple of points of growth to overall revenue in the quarter and is expected to benefit the company through 2027.
New Customer Wins and Renewals
12 new enterprise clients were added in the quarter, and there were notable examples of customer wins due to enhanced data integrations and custom reporting capabilities.