Key Takeaways DXC is gaining traction with a 1.2 book-to-bill ratio and 20% bookings growth in 4Q25.UIS saw a more than 80% y/y surge in total contract value, led by DSS and cybersecurity demand.DXC ended fiscal 2025 with $1.8B in cash and plans share repurchases amid strategic execution progress.Unisys Corporation (UIS) and DXC Technology Company (DXC) are two legacy players in the global IT services space, both undergoing significant transformations to stay relevant in an era driven by digital modernizati ...

Unisys (UIS) Conference Call Summary - July 24, 2025 Company Overview - **Company**: Unisys Corporation (UIS) - **Event**: Capital Structure and Pension Strategy Discussion Conference Call Key Points Industry and Company Context - The call focused on Unisys's capital structure and pension strategy, particularly the management of its U.S. Qualified defined benefit pension plans [2][7][20]. Core Insights and Arguments 1. **Pension Volatility Management**: Unisys has taken significant steps to reduce pension volatility, aiming to remove the pension from its balance sheet entirely [7][20]. 2. **Debt Issuance**: The company issued $700 million of debt maturing in January 2031, primarily to refinance existing notes and contribute $250 million to its pension plans [13][14]. 3. **Pension Liability Reduction**: Since the inception of its pension strategy, Unisys has reduced pension liabilities by approximately $1.5 billion through various risk transfer transactions [11][40]. 4. **Future Contributions**: The recent changes are expected to stabilize future cash contributions to the pension plans, reducing volatility to about 3% [9][41]. 5. **Annuity Purchases**: Unisys plans to remove an additional $600 million in liabilities through annuity purchases by 2026, which will eliminate about one-third of the remaining U.S. plan liabilities [17][20]. 6. **Financial Flexibility**: The company aims to maintain a solid liquidity profile and reduce net leverage to improve credit ratings and access to capital [12][20]. 7. **Capital Return Program**: Following the resolution of pension obligations, Unisys plans to implement a capital return program, potentially through stock buybacks or dividends [52][53]. Important but Overlooked Details 1. **Investment Strategy Changes**: Unisys has shifted its pension plan investment strategy to reduce volatility, moving from a 65% allocation to growth assets to a more stable asset allocation that hedges liability movements [25][26]. 2. **Cash Flow Projections**: The company anticipates generating approximately $100 million in free cash flow this year, with growth expected in subsequent years [81]. 3. **Market Conditions**: The timing of the debt issuance and pension contributions was strategically aligned with favorable market conditions to minimize costs [62][89]. 4. **Risk Factors**: While the company is confident in its ability to execute its pension strategy, there are inherent risks related to business performance and market conditions that could affect the timeline for full pension removal [78][80]. Conclusion Unisys is actively working to simplify its financial profile by managing pension liabilities and enhancing cash flow stability. The strategic steps taken are expected to position the company favorably for future growth and investor interest while maintaining financial flexibility.

Capital Structure and Pension Strategy July 2025 Disclaimer Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Unisys cautions readers that the assumptions forming the basis for forward-looking statements include many factors that are beyond Unisys' ability to control or estimate pr ...

Key Takeaways UIS launched its first Post-Quantum Cryptography solution in Q1 to assess encryption vulnerabilities.New business TCV rose 80% despite an 11.4% revenue drop, with full-year guidance left unchanged.UIS faces competition from DXC and LDOS but sees a niche in focused quantum security innovation.As the specter of quantum computing edges closer to reality, cybersecurity has entered a new era—one where legacy encryption may soon be obsolete. Unisys Corporation (UIS) is betting on that future. In its ...

BLUE BELL, Pa., July 23, 2025 /PRNewswire/ -- Unisys (NYSE: UIS) announced it will release its second-quarter 2025 financial results on Wednesday, July 30, 2025, after the close of trading on the New York Stock Exchange.Unisys will host a conference call with the financial community on Thursday, July 31, 2025, at 8 a.m. EDT to discuss the results.The company will offer a live, listen-only conference call webcast on the Unisys Investor Website at www.unisys.com/investor-relations. In addition, domestic calle ...

Management invites investors to webcast to discuss benefits of recent capitalstructure transformationBLUE BELL, Pa., July 18, 2025 /PRNewswire/ -- Unisys (NYSE: UIS) today announced it will host a conference call on Thursday, July 24, 2025, at 2 p.m. EDT to provide an update on its recent debt transaction, $250M discretionary pension contribution, and subsequent changes made to its asset allocations within its U.S. Qualified Defined Benefit Plans. Management will discuss how these actions support the accele ...

Core Insights - Unisys Corporation (UIS) is experiencing strong bookings in its Digital Workplace Solutions (DWS) segment, driven by a market shift towards AI-driven solutions [1] - The company is focusing on innovations that meet client needs in cost optimization, data integration, security, productivity, and AI enablement [1] Group 1: Digital Workplace Solutions (DWS) - Since 2024, UIS has been developing a significant pipeline for its Device Subscription Service (DSS), which is expected to create value by reducing costs and enhancing efficiency [2] - In Q1 2025, UIS secured scalable DSS signings, including a major deal with a global tech supplier for 380,000 devices across 14 countries, enhancing long-term revenue visibility [3] - Despite a 7.5% year-over-year revenue decline in the DWS segment due to weak discretionary spending, UIS anticipates recovery in the second half of 2025 as DSS signings increase [4] Group 2: Market Performance and Valuation - UIS shares have increased by 6.5% over the past three months, underperforming compared to the Zacks Computers - IT Services industry and the S&P 500 index [5] - UIS is trading at a forward price-to-sales (P/S) ratio of 0.14, indicating a discounted valuation compared to peers, which may present an attractive entry point for investors [10] - Competitors Wipro and DXC Technology have forward P/S ratios of 2.86 and 0.22, respectively, highlighting UIS's relative valuation advantage [11] Group 3: Earnings Estimates - Earnings estimates for UIS for 2025 and 2026 suggest year-over-year growth of 28.9% and 120.7%, respectively, indicating strong long-term growth potential [12] - The current earnings estimates for 2025 and 2026 remain unchanged, reflecting stability in the company's growth trajectory [12]

Core Insights - Unisys Corporation (UIS) shares have decreased by 12.1% over the past month, underperforming the industry and the S&P 500 [1][6] - The stock closed at $4.27, below its 52-week high of $8.93 and above its 52-week low of $3.32 [1] - The decline is attributed to lower discretionary project work and declines in third-party volume, alongside concerns over revenue from cloud applications and infrastructure solutions [4][5] Financial Performance - UIS has a forward price-to-sales (P/S) ratio of 0.15, significantly lower than peers like C3.ai (7.39X), SoundHound (26.25X), and Genpact (1.55X) [6][16] - The Zacks Consensus Estimate for UIS' earnings per share (EPS) for 2025 and 2026 remains unchanged, with projections indicating growth of 28.9% and 120.7% respectively [6] Business Development - Unisys is experiencing strong momentum in new business signings and client engagement, particularly in Device Subscription Services, application modernization, and cybersecurity [9] - The company is focusing on innovation in generative AI, cybersecurity, and quantum-resistant technologies, which are gaining traction among clients [12][13] Operational Execution - Field service activity is showing signs of recovery, supported by improving trends in infrastructure-related work and anticipation of a broader PC refresh cycle [10] - The company expects clients to accelerate technology upgrades, which will likely boost demand for high-margin services [11] Strategic Positioning - Unisys maintains a healthy financial foundation with disciplined cost management, leading to lower operating expenses and improved cash generation [14] - Recognition from industry analysts and strengthened partnerships enhance brand credibility and access to new opportunities [15]

Core Insights - Unisys Corporation (UIS) is enhancing its focus on AI solutions to meet the increasing market demand for efficient business operations, particularly in agentic AI capabilities, which provides a competitive advantage over peers [1][3][5] Group 1: Product Development and Strategy - On May 5, 2025, Unisys launched three cloud AI solutions: Cloud AI Foundation, Cloud AI Enablement, and Cloud AI Customer Experience, aimed at improving operational efficiency and integrating AI into core business processes [2][10] - The solutions are built on the Unisys Intelligence Accelerator, a modular framework designed to facilitate the design, training, scaling, and governance of AI systems [2] Group 2: Market Position and Competition - Unisys is actively investing in agentic AI solutions to capture market share and enhance revenue visibility, with logistics optimization offerings that leverage client data [3][10] - The company faces competition from major players like Microsoft, which offers Azure AI Foundry and Palantir Technologies, which launched the Artificial Intelligence Platform (AIP) in 2023 [5][6][7] Group 3: Financial Performance and Growth Estimates - Unisys' earnings estimates for 2025 and 2026 indicate year-over-year growth of 28.9% and 120.7%, respectively, reflecting strong long-term growth potential [8][10] - The stock is currently trading at a low forward price-to-sales (P/S) ratio of 0.15x, suggesting an attractive entry point for investors [12]

Core Insights - Unisys Corporation is strategically repositioning itself in the AI-driven IT services sector through its ClearPath Forward 2050 strategy, focusing on AI, automation, and data-driven intelligence across its offerings [1][11] - The company is addressing enterprise challenges such as data fragmentation and low productivity by leveraging AI technologies, exemplified by its Service Experience Accelerator [2][11] - Unisys is developing agentic-AI frameworks to enhance decision-making and service delivery, creating new revenue opportunities in endpoint management and AI-enabled infrastructure [3][11] AI Innovations - The Service Experience Accelerator utilizes generative AI and workflow automation to improve service desk operations, gaining traction among clients [2] - The intelligence accelerator connects siloed datasets, providing secure and real-time insights, which enhances service delivery [3] Industry Positioning - Unisys is recognized as a "disruptor" in the AI Services sector and is investing in post-quantum cryptography and threat detection solutions [4] - The company competes with major players like C3.ai, Palantir Technologies, and IBM, each with unique AI strategies [6] Financial Performance - Unisys shares have increased by 12% over the past three months, while the industry has grown by 20.1% [9] - The stock has risen by 22.4% in three months, with projected earnings per share (EPS) growth of over 120% for 2026 [11] - The current valuation shows a forward price-to-earnings ratio of 4.73X, indicating a discount compared to industry peers [12] Earnings Estimates - The Zacks Consensus Estimate predicts a year-over-year earnings increase of 28.9% for 2025 and 120.7% for 2026 [14] - Current estimates for EPS in 2025 and 2026 are 0.58 and 1.28, respectively, reflecting significant growth potential [16]