IQVIA Holdings (IQV) risk factors, FY2025 10-K

Risks Relating to Our Business

1. 01The potential loss or delay of our large contracts or of multiple contracts could adversely affect our results
2. 02Our Commercial Solutions information services are derived from data we collect from third parties. These data suppliers are numerous and diverse, reflecting the broad scope of information that we collect and use in our business
3. 03If we fail to perform our services in accordance with contractual requirements, regulatory standards and ethical considerations, we could be subject to significant costs or liability and our reputation could be harmed
4. 04Security breaches and unauthorized use of our IT systems and information, or the IT systems or information in the possession of our vendors, could expose us, our clients, our data suppliers or others to risk of loss
5. 05Failure to meet productivity objectives under our internal business transformation initiatives could adversely impact our competitiveness and harm our operating results
6. 06If we are unsuccessful at investing in growth opportunities, our business could be materially and adversely affected28% rewritten
7. 07The confidentiality, collection, use, retention, security, transfer and disclosure of personal information is subject to governmental regulation in the countries where the personal information was collected or processedNew
8. 08Our success depends on our ability to protect our intellectual property rights
9. 09We may be subject to claims by others that we are infringing on their intellectual property rights
10. 10We rely on licenses from third parties to certain technology and intellectual property rights for some of our services and the licenses we currently have could terminate or expire
11. 11Our financial results may be adversely affected if we underprice our contracts, overrun our cost estimates or fail to receive approval for or experience delays in documenting change orders
12. 12The relationship of backlog to revenues varies over time
13. 13Our business depends on the continued effectiveness and availability of our information systems, including the information systems we use to provide our services to our clients, and failures of these systems may materially limit our operations
14. 14We may experience challenges with the acquisition, development, enhancement or deployment of technology necessary for our business34% rewritten
15. 15Consolidation in the industries in which our clients operate may reduce the volume of services purchased by consolidated clients following an acquisition or merger, which could materially harm our operating results and financial condition
16. 16We may be adversely affected by client or therapeutic concentration
17. 17Our business is subject to international economic, political and other risks that could negatively affect our results of operations and financial condition
18. 18Environmental events may have an impact on our businessNew
19. 19The expectations and requirements of regulators and other key stakeholders on sustainability-related matters, continue to evolve and diverge, and our ability to meet these expectations and requirements could increase our costs, and inaction could harm our reputation and adversely impact our financial resultsNew
20. 20Exchange rate fluctuations may affect our results of operations and financial condition
21. 21We face risks related to sales to government entities
22. 22If we are unable to successfully develop and market new services or enter new markets, our growth, results of operations or financial condition could be adversely affected
23. 23Our Research & Development Solutions business could subject us to potential liability that may adversely affect our results of operations and financial condition
24. 24Some of our services involve direct interaction with clinical trial subjects or volunteers and subcontracting into a network of Phase I clinical facilities, which could create potential liability that may adversely affect our results of operations, financial condition and reputation
25. 25Our Commercial Solutions business could result in liability to us if a drug causes harm to a patient. While we are generally indemnified and insured against such risks, we may still suffer financial losses
26. 26Our insurance may not cover all of our indemnification obligations and other liabilities associated with our operations
27. 27If we are unable to attract suitable investigators and patients for our clinical trials, our clinical development business might suffer
28. 28If we lose the services of key personnel or experience sustained labor shortages and are unable to recruit additional qualified personnel, or we are required to substantially increase wage rates to attract or retain employees, our business could be adversely affected41% rewritten
29. 29Disruptions in the credit and capital markets and unfavorable general economic conditions could negatively affect our business, results of operations and financial condition
30. 30Our effective income tax rate may fluctuate for a variety of reasons, which may adversely affect our operations, earnings and earnings per share
31. 31Changes in accounting standards issued by the Financial Accounting Standards Board (“FASB”) or other standard-setting bodies may adversely affect our financial statements
32. 32Our relationships with existing or potential clients who are in competition with each other may adversely impact the degree to which other clients or potential clients use our services, which may adversely affect our results of operations
33. 33If we are unable to successfully identify, acquire and integrate existing businesses, services and technologies, our business, results of operations and financial condition could be adversely impacted
34. 34Our results of operations may be adversely affected if we fail to realize the full value of our goodwill and acquired intangible assets
35. 35We face risks arising from the restructuring of our operations
36. 36Because of these and other factors, we cannot predict whether we will realize the purpose and anticipated benefits of these measures and, if we do not, our business and results of operations may be adversely affected

Risks Relating to Our Industry

1. 37The biopharmaceutical services industry is highly competitive and our business could be materially impacted if we do not compete effectively or rapidly adapt to technological change
2. 38Outsourcing trends in the biopharmaceutical industry and changes in aggregate spending and research and development budgets could adversely affect our operating results and growth rate
3. 39Our business may be materially and adversely impacted by factors affecting the biopharmaceutical and healthcare industries
4. 40We may be affected by healthcare reform and potential additional reforms, which may adversely impact the biopharmaceutical industry and reduce demand for our services or negatively impact our profitability37% rewritten
5. 41Actions by government regulators or clients to limit a prescription’s scope or withdraw an approved drug from the market could adversely affect our business and result in a loss of revenues
6. 42Laws restricting biopharmaceutical sales and marketing practices may adversely impact demand for our services
7. 43Our Research & Development Solutions clients face intense competition from lower cost generic products, which may lower the amount that they spend on our services

Risks Relating to Our Indebtedness

1. 44Despite our level of indebtedness, we are able to incur more debt and undertake additional obligations. Incurring such debt or undertaking such additional obligations could further exacerbate the risks to our financial condition
2. 45Restrictive covenants in our other indebtedness may limit our flexibility in our current and future operations, particularly our ability to respond to changes in our business or to pursue our business strategies
3. 46Interest rate fluctuations and our ability to deduct interest expense may affect our results of operations and financial condition

Risks Relating to Ownership of Our Common Stock

1. 47Provisions of the corporate governance documents of IQVIA could make an acquisition of IQVIA difficult and may prevent attempts by its stockholders to replace or remove its management, even if beneficial to its stockholders
2. 48Our operating results and share price may be volatile, which could cause the value of our stockholders’ investments to decline
3. 49Since we have no current plans to pay regular cash dividends on our common stock, stockholders may not receive any return on investment unless they sell their common stock for a price greater than that which they paid for it
4. 50Our certificate of incorporation contains a provision renouncing any interest and expectancy in certain corporate opportunities identified by certain parties, even if such corporate opportunities are ones that we might reasonably be deemed to have pursued or had the ability or desire to pursue