Unisys(US:UIS)2026-02-24 21:35Revenue Performance - Revenue for Q4 2025 was $574.5 million, representing a 5.3% year-over-year increase and a 2.7% increase in constant currency[4]. - Full-year 2025 revenue decreased to $1.95 billion, down 2.9% year-over-year and 3.3% in constant currency[6]. - Revenue for Q4 2025 was $574.5 million, an increase from $545.4 million in Q4 2024, while full-year revenue decreased to $1,950.1 million from $2,008.4 million in 2024[39]. - Total revenue for the year ended December 31, 2025, was $1,950.1 million, a decrease of 2.9% from $2,008.4 million in 2024[42]. - The company achieved revenue of $574.5 million in Q4 2025, an increase from $545.4 million in Q4 2024, but a decline from $2,008.4 million in the year ended 2024 to $1,950.1 million in 2025[55]. Profitability Metrics - Non-GAAP operating profit margin for Q4 2025 was 18.0%, an increase of 640 basis points year-over-year[4]. - Operating income for Q4 2025 was $76.6 million, compared to $48.6 million in Q4 2024, with a full-year operating income of $78.5 million down from $97.4 million in 2024[39]. - Consolidated net earnings for Q4 2025 were $19.8 million, a decrease from $30.5 million in Q4 2024, leading to a full-year net loss of $340.0 million compared to a loss of $193.2 million in 2024[39]. - Basic earnings per share for Q4 2025 was $0.26, down from $0.43 in Q4 2024, with a full-year loss per share of $(4.79) compared to $(2.79) in 2024[39]. - Non-GAAP net income attributable to Unisys Corporation was $63.4 million for Q4 2025, significantly higher than $26.6 million in Q4 2024, with a yearly increase from $44.0 million in 2024 to $68.3 million in 2025[51]. Cash Flow and Financial Position - Cash provided by operations in Q4 2025 was $104.9 million, up from $76.6 million in Q4 2024[19]. - Free cash flow for Q4 2025 increased by $30.1 million year-over-year, primarily due to lower net interest payments and increased license renewals collections[19]. - Cash and cash equivalents increased to $421.7 million as of December 31, 2025, from $390.6 million at the end of 2024[48]. - Long-term debt rose to $729.0 million as of December 31, 2025, compared to $488.2 million in 2024[46]. - Free cash flow for Q4 2025 was $85.8 million, up from $55.7 million in Q4 2024, while the yearly free cash flow showed a decline from $(217.6) million in 2025 compared to $55.3 million in 2024[53]. Contract Value and Backlog - Total Contract Value (TCV) for Q4 2025 was $1.149 billion, a 53% increase year-over-year[22]. - Backlog increased to $3.16 billion in Q4 2025, compared to $2.84 billion in Q4 2024, driven by Ex-L&S renewal signings[23]. - New Business TCV for FY25 was $491 million, a 38% decrease year-over-year[22]. - The company reported a backlog of contracted work, which is a key indicator of future revenue, although specific figures were not disclosed[28]. - Total Contract Value (TCV) is a significant metric for assessing future revenue potential, with new business TCV representing expansion and new contracts[28]. Future Guidance and Strategic Focus - The company provided 2026 revenue growth guidance of (6.5)% to (4.5)% in constant currency[23]. - The company anticipates revenue growth and margin expansion in 2026, with guidance provided during the conference call[30]. - Free cash flow generation is a focus area, with adjusted free cash flow metrics being highlighted for investor transparency[32]. - The company continues to invest in technology solutions, including cloud and AI, to drive future growth and operational efficiencies[35]. Pension and Other Expenses - The defined benefit pension plans funding deficit improved to $448.5 million, a reduction of $301.7 million year-over-year[18]. - The company reported a pension and postretirement expense of $22.2 million for Q4 2025, up from $11.1 million in Q4 2024, with a yearly expense of $309.0 million in 2025 compared to $182.2 million in 2024[55].