NYSE$DAY

Dayforce Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Dayforce reported a strong first quarter with growth in revenue and operating profit, exceeding guidance across key metrics. The company rebranded from Ceridian HCM Holding Inc. to Dayforce, Inc.

Dayforce reported strong Q1 2024 results, with total revenue of $431.5 million, up 16.4%, and Dayforce recurring revenue of $337.2 million, up 24.3%. Operating profit increased to $40.7 million, and the company raised its guidance across all key metrics.

  • Total revenue increased by 16.4% to $431.5 million.
  • Dayforce recurring revenue grew by 24.3% to $337.2 million.
  • Operating profit was $40.7 million, representing 9.4% of total revenue.
  • Net income was $7.1 million, with adjusted net income reaching $68.0 million.

Headline financials

Total Revenue

$432M

Previous: $371M+16.4%
EPS

$0.04

Previous: $0.31-87.1%
Live Dayforce customers

6.6K

Previous: 6.2K+6.4%
Dayforce revenue/customer

$150K

No prior period
Capital Expenditures

-$3.5M

Previous: -$6.5M+46.2%
Free Cash Flow

$5.6M

Previous: $4.8M+16.7%
Net Income

$7.1M

Previous: $9.9M-28.3%
Operating Income

$40.7M

Previous: $38.4M+6.0%
Gross Profit

$205M

Previous: $160M+28.1%
Cash & Equivalents

$393M

Previous: $429M-8.4%
Total Assets

$10.8B

Previous: $10.1B+7.1%
R&D Expense

$53.1M

No prior period
Stock-Based Comp

$38M

Previous: $40.2M-5.5%

Revenue & EPS history

Dayforce · Revenue · Quarterly

$432M

Q1 2024+16.4%vs Q1 2023
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Dayforce · $378M total across 4 segments · Q3 2023

  • Dayforce recurring
    $280M+34.6%
  • Professional services
    $52.1M+0.6%
  • Powerpay recurring
    $24M+6.2%
  • Other recurring
    $21.8M-34.7%

Forward guidance

Dayforce provided guidance for the second quarter and full year of 2024. Total revenue is expected to be $414 million to $419 million for Q2 and $1.73 billion to $1.74 billion for the full year. Dayforce recurring revenue, excluding float, is projected to be $276 million to $279 million for Q2 and $1.163 billion to $1.168 billion for the full year.

Tailwinds

  • Total revenue is expected to increase by 13% to 15% in Q2 2024.
  • Total revenue is expected to increase by 14% to 15% for the full year 2024.
  • Dayforce recurring revenue, excluding float, is expected to increase by 19% to 21% in Q2 2024.
  • Dayforce recurring revenue, excluding float, is expected to increase by 21% for the full year 2024.
  • Adjusted EBITDA is projected to be $108 million to $113 million for Q2 2024.

Headwinds

  • Guidance assumes an average U.S. dollar to Canadian dollar foreign exchange rate of $1.37 for Q2 2024, compared to $1.34 in Q2 2023.
  • Guidance assumes an average U.S. dollar to Canadian dollar foreign exchange rate of $1.35 for the full year 2024, consistent with 2023.
  • The company has not reconciled the Adjusted EBITDA ranges for the second quarter or full year of 2024 to the directly comparable GAAP financial measures.
  • Uncertainty regarding depreciation and amortization could impact future periods.
  • Share-based compensation expense and related employer taxes could impact future periods.

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 2024

Historical avgQ1 2024

-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

Earnings price reactions
QuarterReport dateReaction (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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