Conduent Cuts 2025 Revenue Forecast, But CEO Says Capital Plan On Track With Cash Cushion

Conduent Inc. (NASDAQ: CNDT) shares fell on Friday morning following the release of its third-quarter 2025 financial results, which revealed weaker revenue and earnings than expected.

Financial Performance

Reported revenue: $767 million, a 5% decline year-over-year and below analysts’ expectations of $794.33 million.
Adjusted revenue: $767 million, down 1.8% from the previous year.
GAAP diluted EPS: loss of $0.30 compared to earnings of $0.72 per share in the same quarter of 2024.
Adjusted EPS: loss of $0.09, which was slightly worse than the expected $0.07 loss, yet improved from the $0.14 loss in the previous year.
Adjusted EBITDA: $40 million, with margins improving to 5.2% from 4.1% last year, indicating some efficiency gains despite revenue pressure.

Operational Highlights

New business signings in Annual Contract Value (ACV) reached $111 million.
Net ARR Activity Metric (TTM) stood at $25 million, showing progress in recurring revenue initiatives.
Operating cash flow: negative $39 million.
Adjusted free cash flow: negative $54 million.

Balance Sheet Overview

Quarter-end cash balance: $264 million.
Unused credit facility: $198 million.
Total debt: $713 million.

“Despite the revenue decline, the improvement in EBITDA margin shows that our cost discipline and operational strategies are working,” said the company’s leadership.

Stock Reaction

Following the report, Conduent’s shares traded lower as investors reacted to the disappointing revenue and continued cash flow challenges.

Author’s Summary: Conduent’s Q3 2025 results show weaker revenue but operational efficiency gains, while strong liquidity supports its ongoing capital plan.

Benzinga — 2025-11-07