Ceridian(US:CDAY) ZACKSยท2025-10-30 18:16Core Insights - Dayforce (DAY) reported Q3 2025 earnings of $0.37 per share, missing the Zacks Consensus Estimate by 33.93% and decreasing 21.3% year over year [1][6] - Revenues reached $481.6 million, aligning with the Zacks Consensus Estimate, and increased 9.5% year over year, with a 9.6% increase on a constant currency basis [1][6] - Excluding float, total revenues were $439.4 million, reflecting an 11.4% year-over-year increase [1] Revenue Breakdown - Recurring revenues, which constitute 83.7% of total revenues, increased 7.2% year over year to $403.1 million [2] - Excluding float revenues, recurring revenues totaled $333.0 million, showing robust growth of 14% year over year [2] - Powerpay's recurring revenues reached $19.7 million, reflecting a decrease of 2.5% year over year [3] - Professional Services and Other, making up 16.3% of total revenues, increased 22.5% year over year to $78.5 million [3] Operating Performance - Selling and marketing expenses were $86.8 million, up 1.2% year over year [4] - General and Administrative expenses totaled $81.2 million, up 28.1% year over year [4] - Adjusted EBITDA was $147.3 million, up 16.8% year over year, with an adjusted EBITDA margin of 30.6%, an increase of 190 basis points [4] - Adjusted operating profit amounted to $119.1 million, up 15.4% year over year, with an operating margin expansion of 130 basis points to 24.7% [4] Balance Sheet & Cash Flow - As of September 30, 2025, cash and cash equivalents were $627.6 million, slightly up from $625.2 million as of June 30, 2025 [5] - Cash provided by operating activities in Q3 2025 was $31.2 million, down from $112.7 million in the prior quarter [5] - Free cash flow was $5 million compared to $87.1 million in the previous quarter [5]