Conduent, Inc. (NASDAQ:CNDT) Q1 2022 Earnings Conference Call May 3, 2022 5:00 PM ET

Company Participants

Giles Goodburn - VP, Corporate FP&A and IR

Clifford Skelton - President, CEO & Director

Stephen Wood - EVP, CFO & Principal Accounting Officer

Conference Call Participants

Puneet Jain - JPMorgan Chase & Co.

Zachary Ajzenman - Cowen and Company

Operator

Greetings, and welcome to the Conduent First Quarter 2022 Earnings Announcement. [Operator Instructions].

It is now my pleasure to introduce your host, Giles Goodburn, Vice President of Investor Relations. Thank you. Giles, you may begin.

Giles Goodburn

Thank you, operator, and thanks, everyone, for joining us today to discuss Conduent's First Quarter 2022 Earnings. We hope you had a chance to review our press release issued earlier this afternoon.

Joining me today is Cliff Skelton, our President and CEO; and Steve Wood, our CFO. Today's agenda is as follows: Cliff will provide an overview of our results and a business update. Steve will then walk you through the financials for the quarter as well as providing a financial outlook. After that, we will take your questions.

This call is being webcast. A copy of the slides used during this call as well as the press release were filed with the SEC this afternoon on Form 8-K. This information as well as the detailed financial metrics package are available on the Investor Relations section of the Conduent website.

During this call, we may make statements that are forward-looking. These forward-looking statements reflect management's current beliefs, assumptions and expectations and are subject to a number of factors that may cause actual results to differ materially from those statements. Information concerning these factors is included in Conduent's annual report on Form 10-K filed with the SEC. We do not intend to update these forward-looking statements as a result of new information or future events or developments, except as required by law.

The information presented today includes non-GAAP financial measures. Because these measures are not calculated in accordance with U.S. GAAP, they should be viewed in addition to and not as a substitute for the company's reported results. For more information regarding definitions of our non-GAAP measures and how we use them as well as the limitations to their usefulness for comparative purposes, please see our press release.

And now I'd like to turn the call over to Cliff.

Clifford Skelton

Thanks, Giles. Good afternoon, everyone, and welcome to Conduent's Q1 earnings review. We appreciate everyone joining us today. Turning to Slide 4. You're going to hear several important things from us today, starting with the fact that we had a solid quarter. Steve Wood is going to take you through the details, but we earned $960 million in revenue, $107 million in EBITDA and achieved an 11.1% EBITDA margin. Importantly, it was one of the best, in fact, the best first quarter since spin for total contract value sales at $464 million, up 32% year-over-year and 58% sequentially. We also had an improvement in annual contract value, which we'll see when we get into the details in a minute.