Conduent Earnings Call Transcripts
Fiscal Year 2026
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Q1 2026 saw improved margins and strong sales wins, with Government and Transportation segments growing while Commercial declined. AI initiatives and cost reductions are driving efficiency, and over $200 million in divestitures are targeted for 2026.
Fiscal Year 2025
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Q4 and full-year 2025 saw improved EBITDA margins and strong new business wins, despite revenue declines. The new CEO is driving a turnaround with accelerated portfolio rationalization, cost discipline, and a focus on free cash flow, with positive momentum in government and transportation segments.
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Q3 2025 saw adjusted revenue of $767M and EBITDA of $40M, with margin expansion and strong transportation growth offsetting declines in commercial and government segments. AI initiatives are driving efficiency and fraud reduction, while government shutdowns delay deal flow and cash collection.
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Q2 2025 saw revenue of $754M and adjusted EBITDA of $37M, with margin and new business metrics improving year-over-year. Full-year EBITDA margin guidance was raised, while revenue guidance was slightly lowered. AI initiatives, portfolio rationalization, and a strong sales pipeline support an optimistic outlook.
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Q1 2025 saw strong new business growth and margin improvement despite an 8.5% revenue decline, driven by government segment headwinds. Portfolio rationalization and cost efficiencies are progressing, with further divestitures and margin expansion expected in the second half of 2025.
Fiscal Year 2024
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2024 saw revenue and EBITDA margin at the high end of expectations, driven by divestitures, debt reduction, and operational efficiency. 2025 guidance is for flat to modest growth, with margin expansion and strong AI-driven initiatives across segments.
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Q3 2024 results met or slightly exceeded expectations, with $781M adjusted revenue and $32M adjusted EBITDA. Divestitures strengthened the balance sheet, and sequential margin improvement is expected through 2025. Commercial segment outperformed, while government and transportation faced headwinds.
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Q2 2024 adjusted revenue and EBITDA exceeded expectations despite year-over-year declines, with strong commercial sales and ongoing cost efficiency programs. Divestitures and share repurchases have reduced leverage, and sequential margin improvement is expected through 2025.