FLORHAM PARK, N.J., Nov. 01, 2022 (GLOBE NEWSWIRE) — Conduent (NASDAQ: CNDT), a global technology-led business process solutions company, today announced its third quarter 2022 financial results.
Cliff Skelton, Conduent President & CEO stated, “Q3 2022 was a solid quarter for Conduent, continuing to deliver on our financial and client commitments. Q3 2022 also represented a very strong sales quarter, at just under $200M in new business ACV, and our pipeline continues to expand. We continue to focus on incremental improvements in our sales, operations, technology performance and capabilities to drive sustained success. We are confident about our long-term game plan, especially given recent industry recognition for our solutions and our culture. Regarding the future, clients are focused on reducing spend and vendor costs while at the same time needing partners that can drive efficiency and resilience. Our team of talented associates and technology-led solutions strongly positions us as the partner that can help our clients through these uncertain times.”
Key Financial Q3 2022 Results
|($ in millions, except margin and per share data)||Q3 2022||Q3 2021||Current|
|Adjusted Revenue (1)||$977||$1,019||(4.1)%|
|GAAP Net Income (Loss)||$15||$11||36.4%|
|Adjusted EBITDA (1)||$105||$119||(11.8)%|
|Adjusted EBITDA Margin (1)||10.7%||11.7%||(100) bps|
|GAAP Income (Loss) Before Income Tax||$23||$19||21.1%|
|GAAP Diluted EPS||$0.06||$0.04||50.0%|
|Adjusted Diluted EPS (1)||$0.09||$0.19||(52.6)%|
|Cash Flow from Operating Activities||$98||$55||78.2%|
|Adjusted Free Cash Flow (1)||$78||$23||239.1%|
Q3 2022 Performance Commentary
Conduent’s balance sheet remains strong with an ending cash balance of $587 million, Cash Flow from Operating Activities of $98 million and Adjusted Free Cash Flow of $78 million for the quarter.
Revenue and Adjusted Revenue for Q3 2022 were in line with expectations, however, lower than the prior year period, primarily driven by significant, non-recurring stimulus payments volume in our Government Services business in the prior year, as well as unfavorable foreign exchange impact, particularly from the Euro and British pound.
New Business ACV of $191 million for Q3 2022 increased for the fifth consecutive quarter.
Additional Q3 2022 and Recent Performance Highlights
Industry recognition for technology, solutions, culture and governance, including;
- ISG named Conduent a leader across Digital Operations, AI & Analytics, Work From Home and Social Media quadrants in the 2022 ISG Provider Lens TM Contact Center – Customer Experience Services U.S. Report.
- Newsweek named Conduent to its list of America’s 100 Most Loved Workplaces 2022.
- Brandon Hall Group named Conduent as a Bronze winner in the category of Best Certification Program for Train the Digital Trainer, as part of its 2022 Excellence Awards.
- Everest Group named Conduent as Major Contender in Customer Experience Management.