Overview
Tech-driven business process solutions firm's Q4 adjusted revenue missed analyst expectations
Company's adjusted EBITDA margin improved to 6.5% in Q4
Company focusing on enhancing sales strategy and expanding client solutions
Outlook
Company aims to accelerate execution and enforce financial discipline
Conduent plans to reduce cost structure and optimize portfolio
Company focuses on converting sales pipeline into growth
Result Drivers
GOVERNMENT AND TRANSPORTATION - Improved revenue trends and cost efficiency gains in these segments contributed positively to Q4 results
COMMERCIAL STRATEGY - Focus on strengthening go-to-market strategy and expanding client solutions in the Commercial segment
CEO PRIORITIES - Emphasis on accelerating execution, enforcing financial discipline, and simplifying organizational structure
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | $770 mln | ||
Q4 Adjusted Revenue | Miss | $770 mln | $792.33 mln (3 Analysts) |
Q4 Adjusted EPS | Miss | -$0.09 | -$0.06 (2 Analysts) |
Q4 EPS | -$0.23 | ||
Q4 Net Income | -$33 mln | ||
Q4 Adjusted EBITDA | $50 mln | ||
Q4 Adjusted EBITDA Margin | 6.50% |
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy."
Wall Street's median 12-month price target for Conduent Inc is $7.00, about 422.4% above its February 11 closing price of $1.34
Press Release: ID:nGNX5c6BRv
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)