• Accenture for drug development and clinical trials.

• Clinical Development Services: Comprehensive management and execution of clinical trials across all phases, including study design, patient recruitment, site management, and monitoring.
• Central Laboratory Services: Providing specialized laboratory testing, sample management, and data analysis for clinical trial samples globally.
• Data & Biostatistics Services: Expert collection, management, and statistical analysis of clinical trial data to support regulatory submissions and decision-making.
• Regulatory Affairs Consulting: Guiding clients through complex regulatory pathways and preparing submissions to health authorities worldwide for drug and device approvals.
• Pharmacovigilance & Safety Solutions: Monitoring, evaluating, and reporting adverse events throughout the lifecycle of a product to ensure patient safety and regulatory compliance.

Anshul Thakral, Chief Executive Officer

Anshul Thakral joined Fortrea in August 2025 and also serves on its Board of Directors. He brings more than 25 years of experience in the CRO, pharmaceutical, and biotech industries. Thakral co-founded and served as Chief Executive Officer of Launch Therapeutics since its inception in March 2022. From July 2016 to February 2022, he held increasing levels of seniority at PPD, including Global Head of PPD Biotech, Chief Commercial Officer, and Executive Vice President of Peri- and Post-Approval Services. Before PPD, he led the global life sciences business unit at Gerson Lehrman Group and was an associate principal in the healthcare practice at McKinsey & Company. He currently serves on the Board of Directors of Orsini Specialty Pharmacy, TriNetX, and Saama Technologies.

Jill McConnell, Chief Financial Officer

Jill McConnell has served as Fortrea's Chief Financial Officer since the company's launch as an independent entity in July 2023, following its spinoff from Labcorp. She possesses over 25 years of financial leadership experience in healthcare, driving growth, margin expansion, and global change. Prior to Fortrea, McConnell joined Labcorp in 2018 as Chief Financial Officer of Labcorp Drug Development and led the project that executed the spinoff of Fortrea. Before Labcorp, she qualified as a Certified Public Accountant, primarily with PwC.

Mark Morais, Chief Operations Officer and President, Clinical Development

Mark Morais has served as Fortrea's Chief Operations Officer and President, Clinical Development since May 2023. In this role, he is responsible for the strategy and delivery of Fortrea's clinical operations, which includes its full-service CRO, functional service provider offerings, and therapeutic expansion.

Oren Cohen, MD, Chief Medical Officer

Oren Cohen, MD, serves as Fortrea's Chief Medical Officer, focusing on medical strategy, scientific leadership, ethics, and governance across the company's portfolio. He brings over 20 years of experience in executive medical and scientific leadership roles within the pharmaceutical industry. Before joining Fortrea, Dr. Cohen served as CMO and head of Clinical Pharmacology Services at Labcorp Drug Development.

Drayton Virkler, President and Chief Commercial Officer

Prior to joining Fortrea, Drayton Virkler was the President of the Regulatory and Access division at Certara, where he previously served as Chief Commercial Officer. He also held a variety of commercial leadership roles at Quintiles (now part of IQVIA) for 10 years, leading business development across the US, Canada, and Asia Pacific.

Here are the key risks to Fortrea (FTRE):

1. Declining Revenue and Inability to Generate New Business Awards: Fortrea has experienced weak and declining revenue growth over the past several years, with analysts expecting flat to further declining revenue in the near term. The company's ability to generate new business awards is critical to its success, and delays, terminations, or reductions in the scope of these awards could materially affect its business operations and financial results.
2. High Debt Levels and Poor Profitability: Fortrea carries a significant debt burden, with its debt exceeding its cash on the balance sheet. This high leverage is coupled with low and declining operating and EBITDA margins, raising concerns about the company's ability to service its debt and generate sufficient profits. The declining profitability indicates rising expenses and difficulty in passing these costs onto customers, potentially leading to financial stress.
3. Customer Concentration: A substantial portion of Fortrea's revenue is concentrated among a limited number of customers. Any reduction in business from these key clients could have a material adverse impact on the company's financial performance and results of operations.

Addressable Markets for Fortrea (FTRE)

Fortrea operates within the global contract research organization (CRO) market, providing comprehensive clinical development and patient access solutions, including Phase I-IV clinical trial management, clinical pharmacology, and post-approval services to pharmaceutical, biotechnology, and medical device companies globally.

Global Contract Research Organization (CRO) Market

The global contract research organization (CRO) market was valued at approximately USD 59.8 billion in 2023 and is projected to grow to about USD 118.2 billion by 2032, with a compound annual growth rate (CAGR) of 8.1%. Another estimate indicates the market size was USD 92.27 billion in 2025 and is projected to reach USD 199.28 billion by 2034, exhibiting a CAGR of 9%.

North America Contract Research Organization (CRO) Market

The North America contract research organization market was valued at over USD 22.6 billion in 2023 and is expected to reach USD 44.4 billion by 2032. North America held the largest share of the global CRO market, accounting for 44.9% in 2024.

Fortrea (NASDAQ: FTRE) anticipates several key drivers for future revenue growth over the next two to three years, stemming from its strategic initiatives and market performance.

1. Growing Bookings and Backlog Conversion: Fortrea's ability to secure new business, evidenced by a solid book-to-bill ratio, is a primary indicator of future revenue. The company reported a book-to-bill ratio of 1.14x for the fourth quarter of 2025 and a trailing twelve-month book-to-bill of 1.02x, suggesting new business awards are outpacing revenue recognized. Management also noted a meaningful rebound in funding activity in the second half of 2025, with the strongest activity in the fourth quarter, contributing to strategic wins like a long-term clinical pharmacology partnership and global clinical development projects. The existing backlog of approximately $7.7 billion as of December 31, 2025, represents future revenue to be realized.
2. Enhanced Commercial Strategy and Market Expansion: Fortrea is actively implementing a multi-pillar strategy, with a strong focus on commercial excellence to expand its market reach and improve win rates. This includes restructuring its sales force to sharpen new business acquisition capabilities, refining its biotech selling model to offer deeper drug development expertise, and enhancing its inside sales function with improved analytical tools. These efforts are designed to increase client engagement and diversify revenue streams by acquiring new customers and expanding into new therapeutic areas.
3. Strategic Investments in Technology and AI: The company is making focused investments in artificial intelligence (AI), machine learning, and other advanced technologies to enhance productivity, drive speed, reduce costs, and improve the quality of clinical research. A key initiative is the adoption of its Xcellerate platform and the global rollout of an AI-enabled CRA Mobile App. These technological advancements are expected to improve operational efficiency, strengthen Fortrea's competitive position, and attract clients seeking more streamlined and effective clinical development solutions.
4. Growth in Clinical Pharmacology Services: Fortrea's Clinical Pharmacology business demonstrated growth in 2025 and is identified as a significant area for continued revenue generation. A notable Q4 2025 win included a long-term clinical pharmacology partnership award with a top 5 large pharmaceutical company. The appointment of Dr. Scott Dove to lead the Clinical Pharmacology business, alongside a dedicated Chief Medical Officer role, further underscores the company's commitment to deepening scientific engagement and client partnerships in this area.

Capital Allocation Decisions (Last 3-5 Years)

Share Repurchases

• Fortrea has reported no share repurchases since its spin-off in July 2023.

Share Issuance

• As part of its spin-off from Labcorp on July 3, 2023, Fortrea issued shares to Labcorp stockholders, with each receiving one share of Fortrea common stock for every Labcorp share held.
• Fortrea has granted restricted stock units (RSUs) to newly hired employees as inducement awards, including 245,000 RSUs on December 10, 2025, and 130,000 RSUs on March 10, 2026.
• In June 2025, Fortrea amended its 2023 Omnibus Incentive Plan, increasing the share count by 6.5 million shares.

Outbound Investments

• Upon the completion of the spin-off, Fortrea made a cash distribution of approximately $1.6 billion to Labcorp as partial consideration for the assets contributed.
• In March 2024, Fortrea agreed to divest its Endpoint Clinical and Fortrea Patient Access businesses to Arsenal Capital Partners for a purchase price of $345 million.
• Fortrea completed a tender offer on November 21, 2025, repurchasing $75.7 million of its 7.500% Senior Secured Notes due 2030, funded with cash on hand.

Capital Expenditures

• Capital expenditures for the full year 2023 totaled $40.3 million.
• In the full year 2025, capital expenditures were $25.2 million.
• Fortrea plans to continue managing cash flow to fund operational growth, including capital expenditures.