NYSE$DAY
Dayforce Inc · Q1 2023 earnings
Q1 2023 earnings · · Investor relations
Briefing
Ceridian's Q1 2023 results were reported, demonstrating strong growth in Dayforce recurring revenue and exceeding profitability objectives.
Ceridian reported a strong first quarter in 2023, with total revenue of $370.6 million, representing a 26.4% increase year-over-year. Dayforce recurring revenue increased by 43.8% year-over-year, reaching $271.2 million. The company's operating profit was $38.4 million, and net income was $9.9 million.
- Total revenue increased by 26.4% year-over-year, reaching $370.6 million.
- Dayforce recurring revenue grew by 43.8% year-over-year, amounting to $271.2 million.
- Operating profit reached $38.4 million, a significant improvement from the previous year's operating loss.
- 6,179 Dayforce customers were live on the platform as of March 31, 2023.
Headline financials
Revenue & EPS history
Dayforce · Revenue · Quarterly
$371M
Revenue by segment
Dayforce · $371M total across 4 segments · Q1 2023
- Dayforce recurring$271M+43.8%73.2%
- Professional services$52.7M+16.1%14.2%
- Powerpay recurring$24.1M+11.6%6.5%
- Other recurring$22.6M-40.1%6.1%
Forward guidance
Ceridian issued guidance for the second quarter and full year of 2023. Second quarter total revenue is expected to be $356 million to $360 million, an increase of 18% to 20%. Full year total revenue is expected to be $1,480 million to $1,500 million, an increase of 19% to 20%.
Tailwinds
- Total revenue is expected to increase by 18% to 20% in the second quarter.
- Dayforce recurring revenue, excluding float, is expected to increase by 22% to 23% in the second quarter.
- Tax migration from legacy infrastructure is expected to contribute approximately 400 basis points of growth in the second quarter.
- Total revenue is expected to increase by 19% to 20% for the full year.
- Dayforce recurring revenue, excluding float, is expected to increase by 25% to 26% for the full year.
Headwinds
- Other recurring revenue is expected to decline approximately 36% to 38% in the second quarter.
- PowerPay recurring revenue is expected to decline low single digits in the second quarter.
- Tax migration from legacy infrastructure is expected to contribute approximately 460 basis points of growth in fiscal year 2023.
- Other recurring revenue is expected to decline approximately 35% to 38% for the full year.
- PowerPay recurring revenue is expected to decline low single digits for the full year.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 15 quarterly earnings reports · overlaid with Q1 2023
-1.1%
Avg return
Earnings day
-0.3%
Avg return
5 days after
+0.4%
Avg return
30 days after
42%
14 / 33 earnings
Positive
+17.4%
Q2 2022
Best reaction
-15.4%
Q4 2019
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2025 | — | — | — | |
| Q3 2025 | +0.0% | +0.2% | +1.1% | |
| Q2 2025 | +0.5% | -6.0% | +29.9% | |
| Q1 2025 | -5.9% | +2.7% | +4.1% | |
| Q4 2024 | -8.0% | -8.4% | -22.8% | |
| Q3 2024 | +8.9% | +15.6% | +22.4% | |
| Q2 2024 | +5.4% | -1.4% | +6.4% | |
| Q1 2024 | -5.9% | -5.3% | -19.4% | |
| Q4 2023 | -1.8% | +2.1% | -6.2% | |
| Q3 2023 | +4.8% | +2.0% | +7.7% | |
| Q2 2023 | +1.5% | +4.0% | +3.7% | |
| Q1 2023 | -9.9% | -7.6% | +2.3% | |
| Q4 2022 | +3.6% | +3.4% | -9.5% | |
| Q3 2022 | -3.1% | -12.3% | +6.4% | |
| Q2 2022 | +17.4% | +19.3% | +5.0% | |
| Q1 2022 | -1.2% | -4.0% | -3.6% | |
| Q4 2021 | -0.6% | -9.5% | -20.6% | |
| Q3 2021 | -6.7% | — | — | |
| Q2 2021 | +1.2% | — | — | |
| Q1 2021 | -1.1% | — | — | |
| Q4 2020 | -10.8% | — | — | |
| Q3 2020 | +2.3% | — | — | |
| Q2 2020 | -9.6% | — | — | |
| Q1 2020 | +7.4% | — | — | |
| Q4 2019 | -15.4% | — | — | |
| Q3 2019 | +9.6% | — | — | |
| Q2 2019 | +2.3% | — | — | |
| Q1 2019 | -6.9% | — | — | |
| Q4 2018 | -0.3% | — | — | |
| Q3 2018 | +0.2% | — | — | |
| Q3 2017 | +0.2% | — | — | |
| Q2 2018 | -10.0% | — | — | |
| Q4 2017 | -1.1% | — | — | |
| Q1 2018 | -3.4% | — | — | |
| Q2 2017 | — | — | — | |
| Q1 2017 | — | — | — |
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