Conduent(US:CNDT)2026-02-12 13:01Financial Performance - Q4 2025 revenue was $770 million, a decrease of 3.8% year-over-year, while full-year revenue totaled $3,042 million, down 9.4% from the previous year[3]. - Adjusted EBITDA for Q4 2025 was $50 million, representing a 56.3% increase year-over-year, with an adjusted EBITDA margin of 6.5%, up 250 basis points from Q4 2024[4]. - Full-year 2025 adjusted EBITDA was $164 million, reflecting a 32.3% increase compared to the prior year, aligning with the company's guidance[7]. - The company reported a GAAP net loss for FY 2025 of $(170) million, a significant decline from a net income of $426 million in FY 2024[4]. - Revenue for Q4 2025 was $770 million, a decrease of 3.75% from $800 million in Q4 2024[19]. - Net loss for Q4 2025 was $33 million, compared to a net loss of $12 million in Q4 2024[20]. - Total operating costs and expenses for Q4 2025 were $798 million, down from $882 million in Q4 2024, reflecting a 9.5% reduction[19]. - Comprehensive loss for the year ended December 31, 2025, was $135 million, compared to a comprehensive income of $389 million in 2024[20]. Cash Flow and Liquidity - Conduent's cash balance at the end of 2025 was $243 million, with an additional $223 million in unused capacity under its credit facility[6]. - The company reported a net cash used in operating activities of $73 million for the year ended December 31, 2025[24]. - Cash and cash equivalents decreased to $233 million as of December 31, 2025, from $366 million a year earlier[22]. - Free Cash Flow for Q4 2025 was $17 million, down from $47 million in Q4 2024, while Adjusted Free Cash Flow was $28 million compared to $62 million in the previous year[49]. - Operating Cash Flow for the year ended December 31, 2025, was $(73) million, a decline from $(50) million in 2024[49]. Business Operations - New business signings for Q4 2025 amounted to $152 million, contributing to a total of $517 million for the full year[3]. - The company processed over 14 million tolling transactions daily and disbursed approximately $80 billion in government payments annually[12]. - The company aims to enhance its go-to-market strategy and optimize its portfolio to drive revenue growth and margin expansion[9]. - Conduent's focus includes accelerating execution, enforcing financial discipline, and reducing its cost structure to improve operational efficiency[9]. Adjusted Metrics - Adjusted Revenue for Q4 2025 was $770 million, down from $800 million in Q4 2024, with a total for the year of $3,042 million compared to $3,356 million in 2024[46]. - Adjusted Net Income for Q4 2025 was a loss of $12 million, compared to a loss of $21 million in Q4 2024, with a total loss of $59 million for the year versus a profit of $118 million in 2024[46]. - Adjusted Operating Income for Q4 2025 was a loss of $1 million, compared to a loss of $15 million in Q4 2024, with a total loss of $31 million for the year compared to a loss of $65 million in 2024[47]. - Adjusted EBITDA for Q4 2025 was $50 million, up from $32 million in Q4 2024, with a total of $164 million for the year compared to $124 million in 2024[47]. - Adjusted Diluted EPS for Q4 2025 was $(0.09), compared to $(0.15) in Q4 2024, with a total non-GAAP adjustment of $0.10 for the quarter[48]. - Adjusted Effective Tax Rate for Q4 2025 was 7.3%, significantly improved from 25.0% in Q4 2024, with total non-GAAP adjustments contributing 26.0%[48]. - Adjusted Operating Margin for Q4 2025 was (0.1)%, compared to (1.9)% in Q4 2024, with total non-GAAP adjustments of 1.9% for the quarter[48]. Assets and Liabilities - Total assets decreased to $2,397 million as of December 31, 2025, down from $2,599 million in 2024[22]. - Long-term debt increased to $665 million as of December 31, 2025, compared to $615 million in 2024[22]. - Total liabilities decreased slightly to $1,570 million as of December 31, 2025, from $1,614 million in 2024[22].