Overview

A class action lawsuit has been filed against ICON plc (“ICON” or the “Company”) and certain of the Company’s former and current senior executive officers alleging violations of the federal securities laws.  The Company’s ordinary shares are traded on the NASDAQ Global Select Market under the ticker symbol “ICLR.”

The ICON class action lawsuit is brought on behalf of all persons and entities who purchased or otherwise acquired ICON ordinary shares between July 27, 2023, and October 23, 2024, both dates inclusive (the “Class Period”).

ICON is a clinical research organization (“CRO”) that provides pharmaceutical companies with services to facilitate the development and approval of new drugs and medical devices.  The Company conducts all phases of clinical trials, from early-stage research to post-market monitoring, helping clients navigate regulatory requirements and streamline the drug development process.  ICON plays a critical role in bringing medical innovations to market by managing clinical trial operations efficiently.

ICON offers its clinical trial services through two primary operating models: Full-Service Outsourcing (“FSO”) and Functional Service Provision (“FSP”).  Under the FSO model, ICON handles all aspects of a clinical trial, including site selection, data management, and regulatory compliance, offering a comprehensive solution to its clients.  In contrast, the FSP model allows customers to outsource specific trial functions while maintaining control over other aspects internally, enabling better management of research and development (“R&D”) costs.

The Company serves two main customer segments: large pharmaceutical companies and biotechnology firms.  Large pharmaceutical companies, which rank among the top 60 in annual R&D expenditures, typically engage ICON under FSO agreements, relying on the Company for full trial management.  Biotechnology firms, including small to mid-sized companies, tend to have more flexible outsourcing arrangements, choosing FSP models to tailor trial support to their specific needs.

The ICON class action lawsuit alleges that Defendants, throughout the Class Period, made false and/or misleading statements and/or failed to disclose that: (1) ICON was suffering from a material loss of business due to customer cost reduction measures and other widespread funding limitations impacting ICON’s client base; (2) ICON’s purported FSP and hybrid model offerings were insufficient to shield ICON from the adverse effects of a significant market downturn; (3) the requests for proposal ICON received from its biotechnology customers during the Class Period were used in substantial part as price discovery tools, and thus were not indicative of underlying client demand; (4) ICON’s customers had canceled contracts, limited or reduced engagements, delayed clinical trial work, and/or failed to enter into new contracts with ICON for additional clinical trial work at historical rates once existing projects ended (or were scheduled to end) in 2024; (5) ICON’s two largest customers were diversifying their CRO providers away from ICON; (6) as a result of the above, ICON’s reported net new business awards and book-to-bill metrics materially misrepresented client demand for ICON’s services; and (7) consequently, ICON was tracking materially below the 2024 revenue and earnings per share guidance issued during the Class Period and such guidance lacked a reasonable factual basis.

*          *          *

If you purchased or otherwise acquired ICON ordinary shares between July 27, 2023, and October 23, 2024, both dates inclusive, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. 

You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at [email protected]. 

The deadline to apply to the Court to serve as lead plaintiff in the ICON class action lawsuit is April 7, 2025.