NYSE$DAY
Dayforce Inc · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Dayforce demonstrated strong financial performance with significant revenue growth and profitability improvements.
Dayforce reported a strong fourth quarter and full year 2023, marked by a 18.9% increase in total revenue to $399.7 million and a notable rise in Dayforce recurring revenue, which grew by 30.1% to $292.1 million. The company also saw improvements in profitability, with operating profit reaching $38.8 million, and net income at $45.6 million. The company's performance was driven by record enterprise go-lives and operating cash flows.
- Total revenue increased by 18.9% year-over-year to $399.7 million.
- Dayforce recurring revenue grew by 30.1% year-over-year to $292.1 million.
- Operating profit significantly improved to $38.8 million, compared to $3.3 million in the previous year.
- Net income reached $45.6 million, a substantial turnaround from a net loss of $5.2 million in the prior year.
Headline financials
Revenue & EPS history
Dayforce · Revenue · Quarterly
$400M
Revenue by segment
Dayforce · $378M total across 4 segments · Q3 2023
- Dayforce recurring$280M+34.6%74.1%
- Professional services$52.1M+0.6%13.8%
- Powerpay recurring$24M+6.2%6.4%
- Other recurring$21.8M-34.7%5.8%
Forward guidance
Dayforce provided guidance for the first quarter and full fiscal year 2024, anticipating continued growth and strategic investments.
Tailwinds
- Total Revenue is expected to increase by 14% to 15% in Q1 2024.
- Dayforce recurring revenue, excluding float, is projected to increase by 20% to 22% in Q1 2024.
- Adjusted EBITDA is forecasted to be $123 million to $126 million in Q1 2024.
- Total Revenue is projected to increase by 14% for FY 2024.
- Dayforce recurring revenue, excluding float, is expected to increase by 20% to 21% for FY 2024.
Headwinds
- Other recurring revenue is expected to decline mid-single digits in Q1 2024 due to the sunsetting of certain legacy solutions.
- PowerPay® recurring revenue is expected to increase high-single digits in Q1 2024.
- Other recurring revenue is expected to decline mid-single digits for FY 2024 due to the sunsetting of certain legacy solutions.
- PowerPay recurring revenue is expected to increase high-single digits for FY 2024.
- Float guidance reflects the near-term rate environment and the rolling maturity of the laddered core portfolio.
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 Q4 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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