Loading...
01/11 11:29
Loading...
Access earnings results, analyst expectations, report, slides, earnings call, and transcript.
The earnings call summary shows strong shareholder return plans, positive revenue growth in AFC Bournemouth, and optimistic guidance for JANA and Black Knight Football investments. Despite some declines in revenue and sales in specific segments, the overall sentiment is positive due to strategic capital deployment and an optimistic outlook on future investments. The Q&A section reinforced this with management's confidence in share buybacks and investment opportunities, suggesting a positive stock price movement over the next two weeks.
Dun & Bradstreet sale proceeds Expected to receive approximately $630 million in cash proceeds from the sale, consisting of $90 million from pre-closing share sales and $540 million in cash at closing.
Share buybacks Since May, Cannae has repurchased 7.6 million shares or approximately 12% of Cannae's outstanding shares, returning $150 million to shareholders at an average purchase price of $19.71 per share, which is an average 30% discount to NAV.
Quarterly dividend Increased by 25% to $0.15 per share per quarter. Total dividend payments have amounted to $15 million year-to-date.
Total capital returned to shareholders Since February 2024, Cannae has returned approximately $414 million in total share buybacks and dividends.
BKFC capital raise Completed a $130 million capital raise with Cannae committing $50 million. BKFC has capitalization of approximately $563 million, of which Cannae holds 44% ownership.
AFC Bournemouth revenue growth Achieved double-digit revenue growth this fiscal year, following similar growth in the previous fiscal year. Match day and commercial revenue is up 81% since initial acquisition.
AFC Bournemouth player sales Generated nearly $200 million in combined transfer fees this summer, representing nearly $130 million in profit from initial purchases.
Alight revenue Reported total revenue of $528 million for Q2 2025, a 2% decrease from Q2 2024. Adjusted EBITDA was $127 million, a $22 million increase or 21% compared to the prior year quarter.
Alight free cash flow Generated $102 million of free cash flow in the first half of 2025, a strong improvement over $26 million in the first half of 2024.
Watkins net sales and EBITDA Delivered mid-single-digit growth in net sales and high single-digit growth in EBITDA in the first half of 2025 compared to the first half of 2024.
Cannae total operating revenue First quarter total operating revenue of $110 million, 6.6% lower than the prior year due to reduced restaurant revenue and diminished lot sales at Brasada Resort.
Ninety Nine Restaurant & Pub same-store sales Same-store sales were down less than 1%, with guest counts down 2.5%, offset by a 1.7% increase in average checks.
O'Charley's performance Faced headwinds with a year-over-year decline in guest counts and a double-digit decline in same-store sales.
BKFC's AFC Bournemouth: Achieved record financial and on-field success, including a 9th place finish in the Premier League and double-digit revenue growth. Player sales generated nearly $200 million in transfer fees, with significant profits.
BKFC's Other Teams: FC Lorient secured promotion to Ligue 1, Hibernian FC qualified for Europa League, and Moreirense FC was acquired to expand BKFC's multi-club strategy.
Alight: Reported $528 million in Q2 revenue, a 2% decrease YoY, but achieved a 21% increase in adjusted EBITDA to $127 million. Free cash flow improved significantly.
Watkins: Delivered mid-single-digit growth in net sales and high single-digit growth in EBITDA for the first half of 2025. Expected to achieve $20 million in adjusted EBITDA for 2025.
BKFC Expansion: Acquired Moreirense FC in Portugal and formed a strategic affiliation with Orlando City SC in the U.S., enhancing global presence.
Dun & Bradstreet Sale: Expected to generate $630 million in cash proceeds, with $500 million allocated for shareholder returns and debt repayment.
Portfolio Rebalancing: Reduced public company investments from 63% to 22% of assets, generating $1.1 billion in proceeds since February 2024.
Capital Returns: Repurchased 7.6 million shares, returning $150 million to shareholders, and increased quarterly dividend by 25%.
Strategic Plan Execution: Focused on closing the stock price to NAV gap, delivering long-term NAV growth, and driving shareholder returns through targeted investments and capital returns.
BKFC Strategy: Invested in technology, data, and processes to integrate and improve football clubs, aiming to grow the value of the group.
Regulatory Approval Delays: The sale of Dun & Bradstreet (D&B) is pending regulatory approval, which could delay the transaction and the expected $630 million in cash proceeds.
Revenue Decline in Alight: Alight reported a 2% decrease in total revenue for Q2 2025 compared to Q2 2024, and management lowered revenue guidance for the full year 2025, citing a lengthening sales cycle and flat participation count.
Goodwill Impairment in Alight: Alight recorded a $983 million noncash impairment of goodwill, contributing to a net loss of $1 billion for Q2 2025.
Declining Performance in O'Charley's: O'Charley's faced year-over-year declines in guest counts and double-digit declines in same-store sales, leading to the closure of six low-performing locations.
Increased Operating Expenses: Cannae's operating expenses increased by $30 million in Q2 2025 compared to the prior year, driven by management transition costs.
Dependence on Player Sales for AFC Bournemouth: AFC Bournemouth relies heavily on player sales for financial success, which could be unsustainable or risky if player valuations or market demand decline.
Debt Levels and Repayment Plans: Cannae has $188 million in debt, including $141 million under a margin loan, which it plans to repay upon the D&B transaction closing. Any delays in the transaction could impact debt repayment timelines.
Economic Uncertainty Impacting Watkins: Watkins' growth is tied to improving consumer confidence and stable inventory levels, which are subject to broader economic uncertainties.
Revenue Guidance for Alight: Management lowered their previous revenue guidance for the full year 2025 with the midpoint for revenue of $2.3 billion, noting a lengthening sales cycle and flat participation count, but reaffirmed its guidance for adjusted EBITDA with a midpoint of $633 million.
Watkins Financial Projections: Watkins expects sales to further improve through the latter half of the year, driven by new distribution at key accounts, improving consumer confidence and more stable inventory levels. Watkins expects 2025 adjusted EBITDA in the range of $20 million, representing high single-digit growth over 2024.
BKFC Capital Raise and Investments: BKFC completed a $130 million capital raise, with Cannae committing $50 million. The new capital will fund operating expenses, stadium acquisition and renovation, and strategic team investments. Renovation of AFC Bournemouth's stadium is expected to deliver mid-teen unlevered returns on invested capital when completed by the '26/'27 season.
JANA Stake Acquisition: In the third quarter, Cannae expects to close the transaction to acquire an additional 30% stake in JANA for $67.5 million, bringing total ownership to 50%. Additionally, $30 million will be invested in JANA funds as part of the closing.
Quarterly Dividend Increase: Cannae's Board increased the quarterly dividend by 25% to $0.15 per share per quarter.
Year-to-Date Dividend Payments: Cannae's dividend payments have totaled $15 million year-to-date.
Future Dividend Allocation: $60 million of the proceeds from the D&B sale will be retained for future quarterly dividends to shareholders.
Share Buyback Program: Cannae has repurchased 7.6 million shares, approximately 12% of its outstanding shares, returning $150 million to shareholders at an average purchase price of $19.71 per share.
Future Share Buyback Commitment: Cannae plans to repurchase at least $300 million of its common shares using proceeds from the D&B sale.
Capital Returned Since Strategic Plan Announcement: Since February 2024, Cannae has returned approximately $414 million to shareholders through share buybacks and dividends.
The earnings call reveals several negative factors: reduced revenue guidance, declining operating revenue, and outstanding debt risks. Despite some positive elements like share repurchases and improved EBITDA, these are outweighed by concerns over sports investments and financial risks. The Q&A section did not provide reassuring insights, and the market cap indicates a small-cap stock, likely to react more strongly to negative news. Overall, the negative aspects, particularly the lowered revenue guidance and financial risks, suggest a negative stock price movement.
The earnings call summary shows strong shareholder return plans, positive revenue growth in AFC Bournemouth, and optimistic guidance for JANA and Black Knight Football investments. Despite some declines in revenue and sales in specific segments, the overall sentiment is positive due to strategic capital deployment and an optimistic outlook on future investments. The Q&A section reinforced this with management's confidence in share buybacks and investment opportunities, suggesting a positive stock price movement over the next two weeks.
The earnings call reflects a positive outlook with strategic plans for shareholder returns, including significant share repurchases and dividends. Despite some revenue declines, the company has improved EBITDA margins and reduced expenses. The Q&A highlighted management's confidence in strategic investments and asset management, although some responses lacked detail. Overall, the market cap suggests a moderate reaction, leading to a positive stock price movement prediction.
Despite strong shareholder returns through dividends and buybacks, the EPS miss, revenue decline, and market perception issues weigh heavily. The Q&A revealed concerns about financial stability and vague management responses. The market cap suggests a moderate reaction, but overall sentiment remains negative.
All transcripts are sourced directly from the official live webcast or the company’s official investor relations website. We use the exact words spoken during the call with no paraphrasing of the core discussion.
Full verbatim transcripts are typically published within 4–12 hours after the call ends. Same-day availability is guaranteed for all S&P 500 and most mid-cap companies.
No material content is ever changed or summarized in the “Full Transcript” section. We only correct obvious spoken typos (e.g., “um”, “ah”, repeated 10 times”, or clear misspoken ticker symbols) and add speaker names/titles for readability. Every substantive sentence remains 100% as spoken.
When audio quality is poor or multiple speakers talk over each other, we mark the section instead of guessing. This ensures complete accuracy rather than introducing potential errors.
They are generated by a specialized financial-language model trained exclusively on 15+ years of earnings transcripts. The model extracts financial figures, guidance, and tone with 97%+ accuracy and is regularly validated against human analysts. The full raw transcript always remains available for verification.
