Donnelley Financial Solutions, Inc. (NYSE:DFIN) Q4 2023 Earnings Conference Call February 20, 2024 9:00 AM ET Company Participants Mike Zhao – Head-Investor Relations Dan Leib – Chief Executive Officer Dave Gardella – Chief Financial Officer Eric Johnson – President-Global Investment Companies Craig Clay – President-Global Capital Markets Conference Call Participants Charles Strauzer – CJS Securities Pete Heckmann – D. A. Davidson Raj Sharma – B. Riley Securities Kyle Peterson – Needham Operator Good mornin ...

Donnelley Financial Solutions (DFIN) came out with quarterly earnings of $0.61 per share, missing the Zacks Consensus Estimate of $0.62 per share. This compares to earnings of $0.59 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1.61%. A quarter ago, it was expected that this financial communications and data services provider would post earnings of $0.52 per share when it actually produced earnings of $0.72, delivering a su ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to 35 West Wacker Drive, Chicago, Illinois 60601 (Address of principal executive offices) (ZIP Code) Registrant's telephone number, including area code—(800) 823-5304 Securit ...

CHICAGO, Dec. 20, 2023 /PRNewswire/ -- Donnelley Financial Solutions (NYSE: DFIN), a leading global risk and compliance solutions company, announced today that company management will speak at the CJS Securities 24th Annual New Ideas for the New Year Conference on January 10, 2024 at 2:20 PM EST. The event will be held virtually and a link to the live webcast of the presentation will be available on the Company's Investor Relations home page at investor.dfinsolutions.com. For those unable to listen live, a ...

Donnelley Financial Solutions, Inc. (NYSE:DFIN) Q3 2023 Results Conference Call November 1, 2023 9:00 AM ET Company Participants Mike Zhao - Head-IR Dan Leib - CEO Dave Gardella - CFO Craig Clay - President Eric Johnson - President, Global Investment Companies Conference Call Participants Charlie Strauzer - CJS Securities Pete Heckmann - D. A. Davidson Sam Salvas - Needham & Company Raj Sharma - B. Riley Operator Thanks for standing by, and welcome to the Donnelley Financial Solutions Third Quarter 2023 Ea ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-37728 Donnelley Financial Solutions, Inc. (Exact name of registrant as specified in its charter) Delaware 36-4829638 (State or other jurisdiction of incorporation or organ ...

Donnelley Financial Solutions, Inc. (NYSE:DFIN) Q2 2023 Results Conference Call August 2, 2023 9:00 AM ET Company Participants Michael Zhao - Head, IR Dan Leib - President, CEO and Director Dave Gardella - EVP and CFO Craig Clay - President, Global Investment Companies Conference Call Participants Charles Strauzer - CJS Securities Kyle Peterson - Needham Peter Heckmann - D.A. Davidson Raj Sharma - B. Riley Operator Hello, and thank you for standing by. My name is Regina, and I will be your conference operat ...

Financial Performance - Total net sales for Q2 2023 were $242.1 million, a decrease of 9.8% compared to $266.2 million in Q2 2022[18]. - Net earnings for Q2 2023 were $37.7 million, down 18.3% from $46.0 million in Q2 2022[20]. - The company reported a basic net earnings per share of $1.28 for Q2 2023, compared to $1.46 in Q2 2022, reflecting a decline of 12.3%[18]. - The company reported comprehensive income of $38.8 million for Q2 2023, compared to $46.2 million in Q2 2022, reflecting a decline of 16.0%[20]. - Net earnings for the six months ended June 30, 2023, were $53.5 million, a decrease of 26.5% compared to $72.4 million in 2022[24]. - For the six months ended June 30, 2023, total net sales were $440.7 million, compared to $477.2 million for the same period in 2022, representing a decrease of about 7.6%[46]. - The company reported a total depreciation and amortization expense of $26.8 million for the six months ended June 30, 2023, consistent with the $21.9 million reported for the same period in 2022[86]. - The corporate segment reported a loss of $32.9 million for the six months ended June 30, 2023, compared to a loss of $29.5 million in the same period of 2022[86]. Assets and Liabilities - Total current assets increased to $296.0 million as of June 30, 2023, up from $228.4 million at the end of 2022, representing a growth of 29.6%[22]. - Long-term debt rose to $219.8 million as of June 30, 2023, compared to $169.2 million at the end of 2022, indicating a 30% increase[22]. - The company’s total assets reached $902.2 million as of June 30, 2023, up from $828.3 million at the end of 2022, marking a growth of 8.9%[22]. - Cash and cash equivalents at the end of the period were $19.4 million, an increase from $17.8 million at the end of June 2022[24]. - The balance of treasury stock increased to $(242.3) million as of June 30, 2023, from $(221.8) million at the end of 2022[29]. - The current expected credit loss (CECL) reserve balance was $17.8 million, an increase from $15.9 million at the end of 2022, with provisions charged to expense amounting to $7.7 million for the first half of 2023[36]. Cash Flow and Expenditures - Net cash used in operating activities was $(31.3) million, compared to $(6.4) million in the same period of 2022, indicating a significant increase in cash outflow[24]. - Capital expenditures for the six months ended June 30, 2023, were $(23.8) million, slightly down from $(24.8) million in 2022[24]. - The company reported a net cash provided by financing activities of $30.0 million, a turnaround from $(7.2) million in the prior year[24]. - The company repurchased 76,555 shares for $3.2 million at an average price of $41.50 per share during the six months ended June 30, 2023, with a remaining authorized amount of $121.1 million[76]. Segment Performance - The Company operates through four segments: Capital Markets – Software Solutions, Capital Markets – Compliance and Communications Management, Investment Companies – Software Solutions, and Investment Companies – Compliance and Communications Management[80]. - Capital Markets – Software Solutions segment provides various software solutions, including Venue and ActiveDisclosure, to assist clients with compliance processes[81]. - Capital Markets - Compliance and Communications Management segment generated $122.9 million in sales for Q2 2023, down from $150.0 million in Q2 2022, representing a decline of 18.1%[86]. - The Investment Companies - Software Solutions segment reported net sales of $28.0 million for Q2 2023, an increase from $25.3 million in Q2 2022, representing a growth of about 11%[86]. - The Capital Markets - Compliance and Communications Management segment reported $217.0 million in sales for the six months ended June 30, 2023, down from $253.6 million in 2022, a decline of 14.5%[86]. Expenses and Costs - The cost of sales for tech-enabled services decreased to $37.0 million in Q2 2023 from $40.2 million in Q2 2022, a reduction of 8.0%[18]. - Selling, general and administrative expenses were $76.2 million in Q2 2023, slightly down from $77.4 million in Q2 2022, a decrease of 1.5%[18]. - The company recorded restructuring charges totaling $(2.2) million for the three months ended June 30, 2023, compared to $0.2 million in 2022, indicating a shift towards cost reduction measures[60]. - Share-based compensation expense increased to $11.0 million in 2023 from $9.5 million in 2022, reflecting a rise of 15.8%[24]. Market Outlook and Strategy - The company anticipates continued challenges in the market due to economic volatility and competitive pressures, impacting future performance[13]. - The management highlighted ongoing investments in new technologies and product development to enhance client offerings and market position[13]. - The company continues to invest in technology and software solutions to enhance compliance and communication services for capital markets and investment companies[81][83].

Financial Data and Key Metrics Changes - Total net sales for Q1 2023 were $198.6 million, a decrease of $12.4 million or 5.9% on a reported basis and 4.4% on an organic basis from Q1 2022 [19][28] - Non-GAAP adjusted EBITDA was $42.4 million, a decrease of $8.7 million or 17% from Q1 2022, with an adjusted EBITDA margin of 21.3%, down approximately 290 basis points from the previous year [42][28] - First quarter non-GAAP gross margin was 54.5%, approximately 140 basis points higher than Q1 2022, primarily driven by cost savings initiatives [20] Business Line Data and Key Metrics Changes - Capital Markets Software Solutions segment net sales were $43.7 million, an increase of 2.3% on an organic basis from Q1 2022, led by ActiveDisclosure, which grew approximately 6% [21][28] - Investment Companies Software Solutions segment net sales were $26.4 million, an increase of 6.4% on an organic basis, driven by growth in subscriptions [45][28] - Venue's net sales were down less than 1% despite a nearly 30% decline in the global M&A market, indicating resilience [33][22] Market Data and Key Metrics Changes - The IPO market remained sluggish with only 8 priced IPOs over $100 million in Q1 2023 compared to over 50 in Q1 2022 [63] - The M&A market was down nearly 30% year-over-year in Q1 2023, impacting capital markets transactional revenue [64][63] - Capital Markets transactional sales were down 20.2% compared to Q1 2022, reflecting the ongoing downturn in capital markets activity [19][63] Company Strategy and Development Direction - The company is focused on transforming into a digital-first organization, investing in software offerings and associated business processes to enhance client experience and operational efficiency [10][31] - The strategy includes a shift towards recurring revenue models, aiming for 55% to 60% of total net sales from software solutions by 2026 [31][28] - The company is well-positioned to leverage regulatory changes, such as tailored shareholder reports and the Financial Data Transparency Act, to drive future revenue growth [15][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging operating environment due to macroeconomic headwinds and market volatility, but expressed optimism about the resilience of the business [9][28] - There is cautious optimism regarding a modest pickup in transactional activity in Q2 2023, although the overall macroeconomic environment remains challenging [47][24] - Management expects to see revenue benefits from new regulations starting in 2024, with more substantial benefits in 2025 [16][15] Other Important Information - The company sold its investment in Mediant for $11.8 million, resulting in a pretax gain of $6.7 million [16] - Free cash flow in Q1 2023 was negative $62.1 million, flat compared to Q1 2022, with total debt at $234.8 million [46][28] - The company repurchased approximately 34,000 shares of common stock during the quarter for $1.3 million [46] Q&A Session Summary Question: Can you talk about the drivers behind the strong Q1 results despite headwinds? - Management noted a modest increase in transactional revenue in March and a stronger transactional environment in Q2 compared to the first two months of the year [50] Question: What are the expectations for free cash flow given increased spending on transformation? - Management refrained from providing full-year guidance, citing the unpredictability of transactional volume as a significant variable [75] Question: Can you quantify the potential benefit from tailored shareholder reports for the Investment Management segment? - Management indicated that the impact could be in the range of $10 million to $30 million on a full-year basis, with significant changes in filing requirements expected [53][76]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 For the quarterly period ended March 31, 2023 Delaware 36-4829638 (State or other jurisdiction of incorporation or organization) 35 West Wacker Drive, Chicago, Illinois 60601 (Address of principal executive offices) (Zip code) (I.R.S. Employer Identification No.) OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-37728 FORM 10-Q Donnelley Financial Solutions, Inc. ☒ QUA ...