The chart below shows how BR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BR sees a -0.73% change in stock price 10 days leading up to the earnings, and a +0.63% change 10 days following the report. On the earnings day itself, the stock moves by +1.38%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Recurring Revenue Increase: Recurring revenue grew 4% in constant currency, driven by our governance and capital markets franchises.
Strong Adjusted EPS Performance: Adjusted EPS was $1, reflecting strong performance despite lower event-driven revenues for the quarter.
Sales Growth in Q1: Closed sales rose 21% over a very healthy Q1 ‘24, driven by strong demand for our governance solutions.
Recurring Revenue Increase: Recurring revenues rose 5% to $900 million, driven by a strong contribution from new sales.
Strong Sales Growth: Closed sales of $57 million, up 21% from last year, highlight the strong start to fiscal ‘25.
Negative
Recurring Revenue Growth: Recurring revenue grew 4% in constant currency, impacted by a headwind from the E-Trade deconversion.
Operating Income Decline: Adjusted operating income decreased 7%, driven by lower event-driven revenues and the impact of the E-Trade deconversion.
AOI Margins and EPS: AOI margins were 13% and adjusted EPS was $1 per share, reflecting lower event-driven revenues and ongoing reinvestment.
Negative Free Cash Flow: Free cash flow was negative $158 million, a decrease from negative $76 million in Q1 ‘24, driven by increased cash taxes and severance payments.
Flat Revenue Performance: Total revenue was flat at $1.4 billion, as growth from recurring revenue was offset by a decline in event-driven revenue.
Broadridge Financial Solutions, Inc. (BR) Q1 2025 Earnings Call Transcript
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