Revenue Growth and Market Position - Revenue from Cloud solutions has grown substantially, with a significant portion of market capitalization depending on sustaining this growth trajectory [60]. - The company has experienced significant growth in user numbers, transactions, and data transmission volume, necessitating the maintenance of sufficient operational infrastructure capacity [79]. - The company has experienced substantial revenue growth from its Cloud solutions, which is critical for sustaining its market capitalization [60]. - The company’s ability to grow revenue from existing customers and penetrate new markets is uncertain, which could adversely affect its financial performance [62]. Risks and Challenges - The company faces risks related to disruptions in payroll-related transactions, which could lead to significant losses and reputational harm [63]. - The aging software infrastructure and technology may lead to increased costs and vulnerabilities to cyber-attacks, impacting financial condition and operations [65]. - International expansion poses risks, including costs of establishing market presence and compliance with local laws, which could adversely affect operations [73]. - The company is exposed to risks from reliance on third-party vendors for payroll processing, which could disrupt fund movement and lead to financial consequences [63]. - The company faces risks related to the inability to maintain software licenses from third parties, which could lead to increased costs or reduced service levels [81]. - The company is exposed to credit risk from option counterparties related to its hedging activities, which could impact stock value [132]. - The company faces significant cybersecurity risks, including potential breaches that could adversely affect its business and financial condition [95]. - The company is subject to audits and tax proceedings in multiple jurisdictions, which could materially affect its financial condition [158]. Strategic Growth Initiatives - The company is focused on an aggressive growth strategy, which requires consistent enhancements to systems and operational procedures to meet global demands [66]. - The company may pursue growth through acquisitions, which requires effective integration of acquired technologies and customer transition to new platforms [75]. - The company may pursue acquisitions to enhance growth, but such activities could divert management attention and lead to increased debt or dilution of stockholder equity [91]. - The company is focused on developing new products and enhancing existing functionalities, particularly incorporating AI and machine learning technologies [61]. Financial Management and Capital Structure - The company does not intend to pay cash dividends in the foreseeable future, focusing instead on reinvestment for growth [64]. - The company has authorized a share repurchase program of up to $500 million for its common stock, which may increase stock price volatility and affect liquidity [138]. - The company’s outstanding indebtedness may limit its operational flexibility and increase vulnerability to economic changes, potentially affecting its financial condition [126]. - A downgrade in the company's debt ratings could negatively impact its access to capital markets and increase borrowing costs, adversely affecting its financial condition [129]. - The company may face challenges in generating sufficient cash flows to meet its debt service obligations, which could adversely impact its business [126]. Compliance and Regulatory Environment - The company faces increasing regulatory scrutiny regarding privacy and data protection laws, which could lead to significant costs and operational burdens [109]. - Compliance with evolving laws and regulations is critical, as failure to do so could adversely affect the company's financial condition and customer relationships [114]. - The company is subject to evolving legal frameworks around AI, which could adversely affect its business and financial condition if compliance is not met [123]. - The company has implemented policies to monitor compliance with anti-corruption and anti-money laundering laws, which may impact sales processes due to the need for additional information gathering [118]. Operational Risks - The company relies on third-party service providers for critical operations, and any disruption or decline in service quality from these providers could adversely affect business performance [80]. - High-quality support services are essential for customer retention, and any failure in this area could result in lost recurring revenue and damage to the company's reputation [82]. - Customer dissatisfaction with implementation services could lead to revenue loss and negative publicity, impacting future business opportunities [83]. - The company faces risks related to the performance of its applications, with potential material defects or errors that could harm its reputation and financial condition [77]. Cybersecurity and Data Protection - Cybersecurity risks pose a threat to the integrity and availability of the company's IT systems, potentially impacting business operations and financial reporting [95]. - The company operates under a shared responsibility model for data security, which may expose it to cybersecurity risks if customers do not implement sufficient security controls [97]. - The company has acquired firms with cybersecurity vulnerabilities, increasing operational and financial risks, and requiring significant resources for mitigation [98]. - The evolving landscape of privacy laws, including the EU General Data Protection Regulation and California Consumer Protection Act, imposes additional compliance costs and operational burdens [109]. Economic and Market Conditions - Economic conditions, including potential recessions and increased interest rates, could adversely affect the company's business and revenue [149]. - Disruptions in financial markets could affect credit availability and liquidity, making it difficult for the company to execute its business strategy [130]. - Catastrophic events, such as pandemics or natural disasters, could disrupt operations and adversely affect financial results [155]. - Tariffs and export controls may impact the company's ability to operate and monetize products like Dayforce [151].

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $465.2 million, up 16.4% on a GAAP basis and 17% on a constant currency basis [28] - Full-year total revenue was $1.76 billion, up 16.3% on a GAAP basis and 16.7% on a constant currency basis [30] - Adjusted EBITDA margin for Q4 was 27.8%, expanding 300 basis points, while full-year adjusted EBITDA margin was 28.5%, expanding 140 basis points [29][32] - Free cash flow for the full year was $171.5 million, up 63.2%, representing 9.7% of revenue, expanding 280 basis points [33] Business Line Data and Key Metrics Changes - Dayforce recurring revenue excluding float for Q4 was $307.6 million, up 20% on a GAAP basis [28] - Professional services and other revenue for Q4 was $71.5 million, up 18% on a GAAP basis [29] - Adjusted cloud recurring gross margin was 80.4%, expanding 230 basis points [29] Market Data and Key Metrics Changes - Dayforce recurring revenue per customer increased by 11% [22] - Gross retention rate improved from 97.1% to 98% [22] - The company secured several key new business wins, including a 60,000 employee grocery chain and an 18,000 employee space exploration company [13] Company Strategy and Development Direction - The company is focusing on higher margin areas while phasing out legacy segments, expecting recurring revenue growth of 15% to 17% in 2025 [10] - The product roadmap emphasizes compliance, IT simplification, data, and experience, with significant innovations in AI and automation [15][20] - The company aims for sustained revenue growth at levels similar to 2025 while targeting a free cash flow margin above 20% [26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sales momentum, with Q4 and January sales both showing strong growth [50] - The company anticipates total revenue growth in 2025 of 14% to 15% excluding float and on a constant currency basis [40] - Management noted that the impacts from contract amendments and lower employee volumes in Q4 were one-time items and do not affect future performance [53] Other Important Information - The company plans to repurchase more than a million shares in 2025, effectively doubling its 2024 purchases [46] - The company is launching a repricing deal for its existing $650 million term loan B to reduce interest rates [47] Q&A Session Summary Question: Could you elaborate on the points that impacted the miss in Dayforce recurring revenue? - Management noted three main factors: lower employee volumes, reduced printing and tax filing fees, and contract amendments that shifted revenue to professional services [55] Question: What factors are assumed in the confidence for sustained revenue growth? - Management highlighted strong sales momentum and a record month in December, with continued strength into January [60] Question: How do you view the impact of recent M&A activity in the industry? - Management stated that they do not compete with Paychex or Paycor, and expect consolidation in the down market, but do not foresee any impact on Dayforce [70] Question: Can you discuss the assumptions for 2025 regarding employment and rate cuts? - Management expects low single-digit growth in employment levels and anticipates several rate cuts in Canada and the US throughout the year [128] Question: What are the expectations for professional services revenue growth? - Management expects professional services revenue to grow slightly faster than Dayforce recurring revenue excluding float in 2025 [41]

Revenue Performance - Dayforce's recurring revenue for Q4 2024 reached $347.9 million, a 19% increase year-over-year[1] - Total revenue for Q4 2024 was $465.2 million, up 16% year-over-year, with a constant currency increase of 17%[4] - For the full year 2024, Dayforce's total revenue was $1,760.0 million, reflecting a 16.3% increase year-over-year[8] - Total revenue for the year ended December 31, 2024, was $1,760.0 million, representing a 16.3% increase from $1,513.7 million in 2023[39] - Dayforce recurring revenue, excluding float, increased by 20.4% to $1,159.7 million in 2024 from $962.9 million in 2023[39] - Total revenue, excluding float, is projected to be between $421 million and $427 million, representing an increase of approximately 13.5% to 15% on a GAAP basis[22] - Dayforce recurring revenue, excluding float, is expected to be between $1,315 million and $1,340 million, reflecting an increase of approximately 13.4% to 15.5% on a GAAP basis[22] Profitability Metrics - Adjusted EBITDA for Q4 2024 was $129.2 million, with an adjusted EBITDA margin of 27.8%, up 3 percentage points year-over-year[4] - The EBITDA for Q4 2024 was reported at $66.6 million, reflecting a margin of 27.8%[46] - The EBITDA for the year ended December 31, 2024, was $288.0 million, with a margin of 28.5%[53] - The net income for Q4 2024 is reported at $10.8 million, down from $45.6 million in Q4 2023[31] - The net income for the year ended December 31, 2024, was $18.1 million, a decrease of 67.0% compared to $54.8 million in 2023[33] - The company reported a diluted net income per share of $0.07 for Q4 2024, compared to $0.29 for Q4 2023[49] Cash Flow and Liquidity - Dayforce's net cash provided by operating activities for the full year 2024 was $281.1 million, a 28% increase from the previous year[8] - Total cash provided by operating activities for the year ended December 31, 2024, was $281.1 million, up from $219.5 million in 2023[33] - For Q4 2024, Dayforce reported net cash provided by operating activities of $81.0 million, down from $89.9 million in Q4 2023[59] - Dayforce's free cash flow margin for Q4 2024 was 11.7%, down from 16.0% in the same quarter last year, reflecting reduced cash generation relative to revenue[59] - For the year ended December 31, 2024, Dayforce's free cash flow was $171.5 million, significantly higher than $105.1 million in 2023, showing a strong improvement in cash generation[59] - The company projects free cash flow for the year ending December 31, 2025, to be between $229 million and $234 million, indicating expected growth in cash generation[59] Operational Efficiency - The operating cash flow margin for Q4 2024 was 17.4%, compared to 22.5% in Q4 2023, indicating a decline in operational efficiency[59] - The operating profit was $28.5 million for Q4 2024, representing a margin of 6.1%[46] - For the year ended December 31, 2024, the operating profit was $104.1 million, with a margin of 5.9%[53] - The cost of Cloud recurring revenue for Q4 2024 was $75.2 million, resulting in a gross margin of 80.0%[46] - The cost of Cloud recurring revenue for the year 2024 was $303.7 million, leading to a gross margin of 78.9%[53] Strategic Initiatives - Dayforce launched its first mass advertising campaign and established the Dayforce Partner Network to enhance customer experience[13] - Dayforce introduced several new AI capabilities and product enhancements to improve operational efficiency and customer experience[15] - The company continues to focus on strategic opportunities and investments to enhance its business operations and market position[62] - Dayforce anticipates maintaining its high Cloud solutions growth rate and expanding its market presence despite potential risks and uncertainties[24] Assets and Liabilities - The company has a total of $9,117 million in assets as of December 31, 2024, compared to $9,010.9 million in 2023[29] - Total liabilities amount to $6,570.7 million, a slight decrease from $6,612.7 million in the previous year[29] - The company’s goodwill increased to $2,336.7 million from $2,293.9 million year-over-year[29] Employee Metrics - The number of global employees on the Dayforce platform increased by 11.4% to 7.62 million as of December 31, 2024[8] Shareholder Returns - Share-based compensation expense for the year ended December 31, 2024, was $156.6 million, compared to $137.1 million in 2023, reflecting a 14.5% increase[44] - Cash paid for interest in 2024 was $45.3 million, down from $52.4 million in 2023[33] - Capital expenditures for Q4 2024 were $26.8 million, slightly up from $26.1 million in Q4 2023, indicating ongoing investment in growth[59] Non-GAAP Measures - The company emphasizes the importance of non-GAAP financial measures, such as free cash flow, to assess liquidity and operational performance[62] - Dayforce's annualized retention rate and recurring revenue per customer metrics are critical for understanding customer loyalty and revenue stability, although specific figures were not provided[63]

Core Insights - Dayforce, Inc. reported a total revenue of $465.2 million for Q4 2024, reflecting a 16% year-over-year increase, while recurring revenue reached $347.9 million, up 19% year-over-year [1][6][11] - The company achieved a full-year net cash provided by operating activities of $281.1 million, marking a 28% increase compared to the previous year [1][11] - Dayforce maintained a strong annual gross revenue retention rate of 98% for 2024, indicating robust customer loyalty and satisfaction [1][11] Financial Highlights for Q4 2024 - Total revenue was $465.2 million, an increase of 16.4% year-over-year, or 17.0% on a constant currency basis [6] - Dayforce recurring revenue was $347.9 million, up 19.1% year-over-year, or 19.5% on a constant currency basis [6] - Operating profit for the quarter was $28.5 million, down from $38.8 million in the previous year, while adjusted operating profit rose to $103.3 million from $78.9 million [6][11] - Net income for Q4 was $10.8 million, compared to $45.6 million in the same quarter last year [6][11] Financial Highlights for Full Year 2024 - Total revenue for the year was $1,760.0 million, a 16.3% increase year-over-year [11] - Dayforce recurring revenue reached $1,339.9 million, up 20.6% year-over-year [11] - Adjusted EBITDA for the year was $501.5 million, with an adjusted EBITDA margin of 28.5%, an increase from 27.1% [11] - Free cash flow for the year was $171.5 million, compared to $105.1 million in the previous year [11] Business Highlights - Dayforce launched its first mass advertising campaign in the U.S. and introduced the Dayforce Partner Network to enhance customer experience [12] - The company received multiple accolades, including being named a Leader in various HCM technology assessments and recognized as one of the Top 100 Most Loved Workplaces in America [12] - Dayforce achieved record attendance at its annual customer conference, Dayforce Discover 2024, showcasing its commitment to customer engagement [13] Product and Innovation Highlights - Dayforce introduced several new product capabilities, including AI-enhanced features to streamline workflows and improve decision-making [23] - The company launched Dayforce Wallet updates, providing new functionalities for direct-to-bank payments and on-demand pay access [23] - New intelligence capabilities were added to the Dayforce suite, enhancing customer experience and operational efficiency [23] Customer and Sales Highlights - Dayforce reported a significant increase in the number of global employees using its platform, reaching 7.62 million, up 11.4% year-over-year [11] - The company expanded its customer base, with 6,876 customers live on the Dayforce platform, an increase of 7.6% year-over-year [11] - Notable new partnerships included large organizations across various sectors, such as retail, manufacturing, and public services, adopting the full Dayforce suite [17]

Dayforce (DAY) is set to report its fourth-quarter 2024 results on Feb. 5.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.DAY expects fourth-quarter 2024 revenues between $452 million and $457 million, indicating growth between 13% and 14% on a GAAP basis and between 13% and 15% on a constant-currency basis.The Zacks Consensus Estimate for DAY’s fourth-quarter earnings is currently pegged at 46 cents per share, unchanged over the past 90 days, and indicating a year-over-year decline o ...

Financial Data and Key Metrics Changes - Dayforce recurring revenue reached $333 million, up 19% year-over-year, with total revenue of $440 million increasing by 17% [6][10] - Cloud recurring gross margin improved to 79%, up 200 basis points, while adjusted cloud recurring gross margin was 79.9%, up 160 basis points [6][11] - Adjusted EBITDA was $126 million, reflecting an 18% increase, with an adjusted EBITDA margin of 28.7%, up 30 basis points [6][11] - Year-to-date operating cash flow was $200 million, up 54%, and free cash flow was $117 million, up 184% [7][11] Business Line Data and Key Metrics Changes - Powerpay recurring revenue, excluding float, was $20.2 million, up 3.1% on a GAAP basis [11] - Professional services and other revenue increased to $64.1 million, up 23% [11] - Add-on sales comprised approximately 37% of total bookings in the quarter, with solid growth across the Talent Intelligence suite [8][46] Market Data and Key Metrics Changes - The company ended the third quarter with 6,730 customers live on the Dayforce platform, with average recurring revenue per customer up 15% [7] - The float balances increased by 12% year-over-year, despite a slight decrease in yield rate [25] Company Strategy and Development Direction - The company is focused on healthy growth combined with profitability metrics and cash flow generation, emphasizing the competitive advantage of the Dayforce platform [6][7] - The strategy includes expanding the Dayforce platform to include a broad set of HCM offerings and targeting larger customers [8] - The company aims for long-term ambitions of $5 billion in revenue and $1 billion in free cash flow as a leader in the HCM space [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the fourth quarter guidance, supported by strong go-live plans and a robust sales pipeline [8][15] - The company anticipates a normalization of deal timelines as macroeconomic conditions stabilize [25] - Initial guidance for 2025 indicates total revenue growth, excluding float, between 14% and 15% on a constant currency basis, with adjusted EBITDA margin above 31% [15][66] Other Important Information - The company executed a receivables securitization facility, selling $30.1 million of Wallet receivables to optimize cash movements [14] - A new brand campaign was launched to position the company more as an HR technology provider, focusing on the Dayforce product [36] Q&A Session Summary Question: What gave the confidence to offer the initial 2025 guidance? - Management highlighted the high degree of certainty based on recurring revenue and go-live forecasts [18] Question: Can you discuss major wins from the past quarter? - Management noted competitive processes for major deals, emphasizing the value proposition of simplifying HR stacks [24] Question: How do you see the partner channel evolving? - Management reported positive engagement with partners, leveraging them for sales and implementation [53] Question: What are the expectations for float revenue in 2025? - Management indicated a potential headwind of $25 million to $30 million for float revenue next year [48] Question: Can you elaborate on the Wallet's growth potential? - Management projected Wallet revenue to exceed $30 million this year, with expectations for continued growth [62]

r UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each classTrading Symbol(s) Name of each exchange on which registered Common stock, $0.01 par value DAY New York Stock Exchange FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly reporting period ended September 30, 2024 ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file ...

Exhibit 99.1 Dayforce Reports Third Quarter 2024 Results 1 Dayforce® recurring revenue of $333.2 million, up 19% Total revenue of $440.0 million, up 17% Year-to-date net cash provided by operating activities of $200.1 million, up 54% Minneapolis, MN and Toronto, ON, October 30, 2024 - Dayforce, Inc. ("Dayforce" or the "Company") (NYSE:DAY) (TSX:DAY), a global leader in human capital management ("HCM") technology, today announced its financial results for the third quarter ended September 30, 2024. "Our dedi ...

Dayforce (DAY) is set to report its third-quarter 2024 results on Oct. 30. DAY expects third-quarter 2024 revenues between $425 million and $430 million, indicating growth between 13% and 14% on a GAAP and constant-currency basis. The Zacks Consensus Estimate for third-quarter earnings has been unchanged at 45 cents per share over the past 60 days, suggesting 21.62% growth from the figure reported in the year-ago quarter. The Zacks Consensus Estimate for third-quarter revenues is pegged at $428.43 million, ...

On 24 September, Sigma Lithium hosted its 2024 Investor Day, marking the first year of production and its record-setting ramp-up of its industrial Greentech Plant. The Company outlined its capital-efficient construction plans to reach approximately 125,000 t/y LCE of industrial capacity by 2026, cementing Sigma as a lasting industry leader. Projections are underpinned by higher production from two new industrial lines, a first production expansion with capacity of 34,000t LCE /250,000t of lithium concentrat ...