NASDAQ$CNDT
Conduent Inc · Q4 2020 earnings
Q4 2020 earnings · · Investor relations
Briefing
Conduent's Q4 2020 financial results were announced, showcasing resilience amidst a challenging macro environment.
Conduent reported Q4 2020 revenue of $1,055 million, a 4.0% decrease year-over-year, but demonstrated strong sales performance with $519M in new business signings, a 148% increase over Q4 2019. The company's Adjusted EBITDA margin improved year-over-year, driven by business mix and efficient execution.
- Revenue and Adjusted EBITDA margin were at the top-end of the initial 2020 outlook, despite COVID headwinds.
- Adjusted EBITDA margin improved year-over-year due to business mix and efficient execution.
- Adjusted Free Cash Flow conversion was above the top-end of initial guidance.
- New business signings reached $519M, a 148% increase over Q4 2019.
Headline financials
Revenue & EPS history
Conduent · Revenue · Quarterly
$1.06B
Forward guidance
Conduent provided its FY 2021 outlook, anticipating revenue between $4,000M - $4,150M and an Adjusted EBITDA margin between 11.0% - 11.5%. Adjusted Free Cash Flow is expected to be approximately 20% of Adjusted EBITDA.
Tailwinds
- The guidance contemplates incremental benefit from anticipated legislation.
- Continued focus on growth, quality, and efficiency.
- Efficiency improvements positively impacting margins.
- Strong balance sheet at the end of 2020.
- Confidence in the 2021 game plan and progress in positioning the company for top line growth.
Headwinds
- The guidance contemplates continued COVID pressure in the Commercial and Government businesses.
- Revenue is expected to be between $4,000M - $4,150M, which is lower than the FY 2020 actuals of $4,163M.
- Adjusted Free Cash Flow as a percentage of Adjusted EBITDA is expected to decrease from 30% to approximately 20%.
- Challenging macro environment.
- Prior lost business impacting revenue.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 19 quarterly earnings reports · overlaid with Q4 2020
-1.0%
Avg return
Earnings day
-1.9%
Avg return
5 days after
-0.7%
Avg return
30 days after
53%
21 / 40 earnings
Positive
+84.8%
Q2 2020
Best reaction
-40.0%
Q1 2019
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.6% | -21.0% | -23.9% | |
| Q4 2025 | +0.4% | +3.0% | -3.7% | |
| Q3 2025 | -20.1% | -14.0% | -12.2% | |
| Q1 2025 | -3.0% | +12.2% | +29.8% | |
| Q4 2024 | -6.2% | -4.3% | -28.7% | |
| Q3 2024 | +10.0% | +15.6% | +8.6% | |
| Q2 2024 | -14.0% | -15.1% | +1.1% | |
| Q1 2024 | +16.8% | +22.5% | +11.1% | |
| Q4 2023 | +8.8% | +7.4% | -3.5% | |
| Q3 2023 | -18.2% | -22.6% | -0.6% | |
| Q2 2023 | +5.0% | -3.2% | -7.6% | |
| Q1 2023 | -17.2% | -13.3% | -1.8% | |
| Q4 2022 | -3.7% | -3.2% | -23.3% | |
| Q3 2022 | -7.0% | -9.0% | +1.0% | |
| Q2 2022 | -10.3% | -6.9% | -13.7% | |
| Q1 2022 | -15.5% | -16.9% | -2.2% | |
| Q4 2021 | +0.0% | +2.1% | +0.9% | |
| Q3 2021 | -12.7% | -14.8% | -26.6% | |
| Q2 2021 | +10.5% | +9.5% | +18.4% | |
| Q1 2021 | +2.8% | +2.7% | +8.4% | |
| Q4 2020 | -10.1% | -10.6% | +25.3% | |
| Q3 2020 | +7.8% | +8.0% | +21.1% | |
| Q2 2020 | +84.8% | +80.8% | +65.3% | |
| Q1 2020 | +2.3% | -11.6% | +32.7% | |
| Q4 2019 | -16.8% | -26.9% | -58.0% | |
| Q3 2019 | +10.6% | -1.3% | -1.8% | |
| Q2 2019 | -23.5% | -20.9% | -21.9% | |
| Q1 2019 | -40.0% | -33.2% | -29.5% | |
| Q4 2018 | +5.6% | +3.9% | -6.3% | |
| Q3 2018 | -31.2% | -27.9% | -37.8% | |
| Q2 2018 | +6.5% | +6.1% | +21.9% | |
| Q1 2018 | -2.1% | -1.1% | +4.1% | |
| Q4 2017 | +14.3% | +19.0% | +19.3% | |
| Q3 2017 | +1.3% | +1.7% | -3.8% | |
| Q2 2017 | +8.4% | +7.9% | +1.3% | |
| Q1 2016 | +1.2% | -1.5% | -1.7% | |
| Q1 2017 | -3.8% | -2.6% | -5.4% | |
| Q4 2014 | +1.7% | +2.8% | +4.9% | |
| Q2 2016 | +1.7% | +2.8% | +4.9% | |
| Q4 2016 | +14.3% | -0.2% | +4.1% | |
| Q4 2015 | — | — | — | |
| Q3 2016 | — | — | — | |
| Q3 2015 | — | — | — | |
| Q2 2015 | — | — | — | |
| Q1 2015 | — | — | — |
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