Conduent Incorporated Reports Q2 2024 Financial Results
Intellectia.AI Updated: 2024-08-08
Conduent Incorporated Reports Q2 2024 Financial Results
Conduent Incorporated (CNDT) has released its financial results for the second quarter ending June 30, 2024.
Key Financial Metrics
| Metric | Q2 2024 | Q2 2023 | YoY Change | Consensus Estimate | Quarter-over-Quarter |
|---|---|---|---|---|---|
| Total Revenue | $877 million | $1,040 million | -15.7% | $803.33 million | -19.7% |
| Earnings Per Share (EPS) | $(0.47) | $(0.27) | N/A | $(0.27) | N/A |
Interpretation : Conduent’s revenue for Q2 2024 stands at $877 million, which is a 15.7% decrease compared to Q2 2023. The company reported an EPS of $(0.47), falling short of the consensus estimate of $(0.27). The quarter-over-quarter comparison reveals a revenue decline of 19.7%, highlighting significant challenges faced in this quarter.
Revenue Performance by Segments
| Segment | Q2 2024 Revenue | Q2 2023 Revenue | YoY Change |
|---|---|---|---|
| Commercial | $432 million | $523 million | -7.6% |
| Government | $250 million | $265 million | -5.7% |
| Transportation | $187 million | $252 million | -5.2% |
| Divestitures | $8 million | N/A | N/A |
Interpretation : Revenue from the Commercial segment decreased to $432 million, a 7.6% drop from the previous year. Government and Transportation segments also faced declines, reporting revenues of $250 million and $187 million respectively. The Divestitures segment, newly reported, showed a revenue of $8 million. The overall performance showcases struggles across major segments, although Transportation saw some stabilization efforts.
Comments from Company Officers
During the earnings call and in commentary, Conduent’s leadership emphasized their focus on portfolio rationalization and their intention to streamline operations to improve financial performance moving forward.
Dividends and Share Repurchase Programs
During Q2 2024, Conduent repurchased 43.3 million shares of its common stock, including approximately 38 million shares from Icahn Parties for around $132 million. No dividends were declared.
Forward Guidance
Conduent did not provide specific forward guidance in the earnings release.
Stock Price Movement
There has been no significant change in the stock price after the earnings release, with the post-event percentage change recorded at 0.0%.
In summary, Conduent reported lower-than-expected revenues and a widening net loss for Q2 2024. The company's ongoing restructuring and divestiture efforts appear to be steps towards financial stabilization, although they are yet to realize consistent positive outcomes.
