Core Insights - Unisys will participate as a gold sponsor in the 2026 Cybersecurity Summit, focusing on strategies for operational resilience and risk reduction in cybersecurity [1] - Philip Swarbrick, Unisys's VP of cybersecurity solutions, will discuss the impact of AI on threat detection and risk management during the panel session titled "AI and Emerging Tech at the 2026 Security Frontline" [1] - Research from Unisys indicates that fewer than 15% of organizations are adopting a proactive cybersecurity approach, highlighting the need for stronger defenses against emerging threats [1] Event Details - The Cybersecurity Summit will take place on February 25, 2026, at the Sheraton New York Times Square Hotel, with the panel discussion scheduled for 11:30 a.m. EST [1] - The session will address how AI is reshaping risk mitigation and the challenges posed by generative systems and data integrity [1] Industry Context - The cybersecurity landscape is evolving, with increasing risks such as data privacy breaches and social engineering, necessitating collaboration within the industry to enhance defenses [1] - Unisys emphasizes the importance of adopting robust cybersecurity measures to address sophisticated challenges introduced by AI technologies [1]

Core Insights - Unisys has been recognized on Forbes' list of America's Best Midsize Employers for 2026, highlighting its commitment to employee satisfaction, growth opportunities, and innovation [1] Group 1: Recognition and Rankings - The Forbes ranking includes companies with at least 1,000 employees in the U.S. that demonstrate a commitment to employee satisfaction and innovation [1] - Unisys has previously been recognized on TIME Magazine's World's Best Companies 2025 List and the Financial Times' Best Employers in Asia-Pacific for two consecutive years [1] Group 2: Employee Engagement and Culture - The company fosters a culture built on curiosity, experimentation, and continuous development, enabling employees to enhance their skills and drive innovation [1] - Ruchi Kulhari, senior vice president and chief human resources officer at Unisys, emphasized the importance of collaboration and shared growth within the company [1] Group 3: Evaluation Methodology - The Forbes list was determined through an independent survey of over 217,000 U.S. employees, considering more than 3.5 million employer evaluations [1] - The final score is based on personal evaluations from employees and public evaluations from friends, family, and industry peers, with a higher weighting on personal evaluations [1]

Core Insights - Unisys has been recognized as a Leader in ISG's 2025 Advanced Analytics and AI Services Provider Lens® for the second consecutive year, excelling in two key quadrants: Data Science and AI Services – Midsize, and Data and Analytics Modernization – Midsize, indicating its growing influence in the industry [1] Group 1: Company Strengths - Unisys is positioned to meet the dual demands of large enterprises and mid-market needs by leveraging its expertise in data engineering, hybrid infrastructure, and governance, along with agile technology like the Service Experience Accelerator [2] - The company employs a disciplined, architecture-first approach to Advanced Analytics and AI, focusing on tenant-controlled deployment and operationalized knowledge systems to address complex enterprise requirements [3] - Unisys has achieved a client experience (CX) score of 87.0, surpassing the industry average, with clients highlighting quality delivery, compliance, and a collaborative engagement model [6] Group 2: Technological Innovations - The company enhances decision-making and agent productivity through intelligent knowledge management, utilizing automated topic modeling and adaptive content generation [6] - Unisys modernizes data operations with proprietary frameworks, including the Service Experience Accelerator technology, which automates quality profiling, pipeline execution, and compliance, supported by real-time governance for secure data flows [6]

Core Insights - The rise of AI and remote work presents significant compliance challenges for HR leaders, necessitating effective strategies to manage these issues [1][11] - Experts predict that AI will be at the center of many compliance risks in 2026, emphasizing the need for proactive measures [2][11] Compliance Risks - Key compliance risks identified include AI governance, worker classification, remote jurisdictional risks, data privacy, and employee monitoring [3] - The overuse of AI raises concerns about data leaks and privacy, as highlighted by the Mobley vs. Workday lawsuit [4] Importance of Auditing - Regular audits, both internal and external, are crucial for understanding AI usage and ensuring compliance [5] - Complacency can lead to significant compliance issues, making it essential for HR to scrutinize existing systems and practices [3] Remote Work Challenges - AI complicates remote work by enabling risks such as impersonation and false credentials, which can be exploited by malicious actors [6] - HR professionals can mitigate these risks through diligent practices like reviewing interview records and tracking employee locations [7] AI Overreliance - Overreliance on AI can lead to a lack of human oversight, resulting in potential legal issues and stagnation in employee growth [9][10] - Companies must balance AI utilization with the development of employee skills to avoid future leadership crises [10] Future Outlook - The discussion underscores the importance of diligence and awareness in HR practices to navigate the evolving landscape of compliance driven by AI [11]

Core Insights - Unisys has been recognized as a leader in the 2025 Multi Public Cloud Services Provider Lens® report, marking the sixth consecutive year of such recognition by ISG [1][2] Group 1: Leadership Recognition - The report evaluates providers' capabilities in public cloud services, including migration, consulting, transformation, managed services, and financial operations services [1] - Unisys received seven leader designations across five quadrants in four regions, showcasing its strong market presence and innovative solutions [3][4] Group 2: Client-Centric Approach - The company emphasizes a client-first strategy, focusing on tools and solutions that facilitate cloud transformations for businesses [3] - Unisys integrates AI-driven innovation and automation into its offerings, particularly in regulated sectors, enhancing security and governance [4][7] Group 3: Service Offerings - Unisys provides tailored cybersecurity and compliance solutions for the U.S. Public Sector, ensuring the protection of sensitive data [7] - The company offers comprehensive cloud assessments and customizable FinOps solutions in Brazil, aimed at improving visibility and control over cloud expenditures [7]

Core Insights - Unisys has been recognized as a Leader in the 2025 Advanced Digital Workplace Services report by NelsonHall for the sixth consecutive year, highlighting its strengths in AI capabilities, Microsoft-focused offerings, and scalable digital workplace solutions [1][3]. Group 1: Recognition and Leadership - Unisys has been named a Leader in the overall market by the NelsonHall Vendor Evaluation and Assessment Tool (NEAT), particularly excelling in Build Services Capabilities, Run Services Capabilities, and AI Capabilities [1][2]. - The recognition in the new AI Capabilities category underscores Unisys's vision and execution in delivering advanced digital workplace solutions [3]. Group 2: Investment and Innovation - Unisys continues to invest in its intellectual property and accelerators for digital workplace services, including the Service Experience Accelerator (SEA) technology framework, which facilitates a secure transition to a GenAI-led environment [4]. - The company is also focusing on enhancing frontline worker capabilities across various sectors and field services to support AI-enabled enterprises [4][8]. Group 3: Strategic Partnerships and Capabilities - The partnership between Unisys and Microsoft aims to enhance data governance, security, and digital workplace solutions, leveraging AI for improved client digital adoption and business outcomes [8]. - Unisys offers broad capabilities in experience management, low-code automation, virtual desktop infrastructure, meeting room modernization, collaboration tools, and identity and access management [8]. Group 4: Future Plans - Unisys plans to double the size of its field services business by the end of 2027, indicating a strong growth strategy in this area [8].

Summary of Conference Call Transcript Company Overview - The company discussed is Unisys, focusing on its ECS (Enterprise Computing Solutions) and L&S (Lifecycle Services) segments, particularly the ClearPath product line. Key Points and Arguments Financial Performance - The ECS segment is expected to maintain a margin of around 70%, with annual revenue projected at approximately $400 million, indicating strong cash flow and profitability [2][19]. - The Digital Workplace Solutions (DWS) segment includes five key solutions, with a consistent margin profile expected in the low to mid-20% range [8][10]. - The total addressable market (TAM) for CANI (Cloud Applications and Infrastructure) is estimated at $600 billion, with a compound annual growth rate (CAGR) of 10%-12%, while DWS has a TAM of $150 billion with a CAGR of 5%-8% [10]. AI Integration - AI is viewed as a benefit to the business, enhancing consumption and operational efficiency, particularly through the ClearPath Forward operating system [3][12]. - Real-world applications of AI include the Generative and Agentic AI in the service desk solution, which improves customer service efficiency and knowledge management [12][14]. Competitive Landscape - Unisys claims minimal competition in the ClearPath Forward platform, with IBM's Z Series being the closest alternative, but they do not typically lose clients to competitors [5][17]. - The competitive environment is described as historically competitive, with increased pricing pressure due to AI's impact on revenue [17]. Margin Improvement Strategies - The company has improved its margin profile by approximately 600 basis points over the last few years and sees further opportunities for enhancement through offshore delivery and AI adoption [18][19]. - The current revenue mix is 80% recurring, which stabilizes the business but may limit margin potential compared to a more consultative approach [19]. Growth Outlook - Unisys anticipates a normalized growth rate of 3%-5% CAGR for the overall company, with some segments expected to grow faster [20]. Pension Management - The company has reduced pension liabilities by $2.5 billion over five years and aims for full defeasance of the pension plan within three to five years [22][25]. - Recent transactions have improved cash flow and mitigated pension contribution volatility, which is expected to enhance net leverage [23][24]. Capital Allocation - Future capital allocation priorities include business growth, potential equity buybacks, and debt reduction once pension issues are resolved [26]. Market Perception - The company believes that the market undervalues its ECS and L&S segments, which could be worth more than the current market cap based on discounted cash flows [28][29]. - There is a need for improved communication with investors to clarify the company's value proposition and operational improvements [29]. Additional Important Insights - The company emphasizes the importance of maintaining pricing discipline amidst competitive pressures and the need for transparency in communicating its growth story to investors [17][29].

Group 1 - Unisys will participate in the Needham Growth Conference on January 13, 2026, in New York City, with CEO Mike Thomson presenting and hosting meetings with investors [1][2] - The company's presentation is scheduled for 3:45 p.m. EST, and a live webcast along with a replay will be available on the Unisys investor website [1] - Virtual investor meetings will also be hosted by Unisys management on January 15 and 16, 2026, for interested investors [2] Group 2 - Unisys is a global technology solutions company that provides services in cloud, AI, digital workplace, logistics, and enterprise computing [3] - The company has been assisting clients in pushing boundaries for over 150 years [3]

Core Viewpoint - Unisys Corporation is viewed as an attractive investment opportunity with a compelling risk-reward profile, supported by optimistic EBITDA projections for the coming years [1][3]. Financial Performance - In Q3 2025, Unisys reported a significant net loss of $309 million, which included a one-time, non-cash pension expense of $228 million [3]. - Quarterly revenue declined by 7.4% year-over-year, attributed to light license and support renewals and a broader market pause in IT project spending [3]. - Despite the revenue decline, management remains confident in achieving profitability targets and is on track to meet or exceed the midpoint of its improved non-GAAP operating profit margin guidance of 8% to 9% [4]. Strategic Initiatives - Unisys is undergoing a strategic pivot to reinvent itself as a next-generation IT solutions provider, focusing on higher-value solutions and expanding into the midmarket [2]. - The company aims to improve revenue quality and margin expansion by leveraging its legacy in mission-critical infrastructure alongside new capabilities in AI and advanced cloud services [2]. Revenue Expectations - Unisys has raised its revenue expectations for the License and Support/LNS business to $430 million, which is $40 million above original projections, driven by a 15% year-over-year increase in Total Contract Value (TCV) [4].

Company Overview - Unisys has been recognized as a Leader in the 2025 IDC MarketScape for European Human-First Digital Workplace Services, following a similar recognition in 2023 [1][2] - The company focuses on delivering technology solutions that create personalized and sustainable experiences for employees, emphasizing a data-driven approach [2][3] Industry Insights - The IDC MarketScape report highlights Unisys' ability to extend digital workplace capabilities to frontline and blue-collar employees through tailored device subscriptions and advanced communication tools [2] - Unisys employs a sophisticated XLA 3.0 framework that utilizes real-time data and behavioral analytics to align workplace technology performance with organizational objectives [2][4]