Company: CNDT
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001677703-25-000126
Chunk: 53

Company: CONDUENT Inc
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 53
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 and $120 million of outstanding letters of credit issued to secure the Company's performance of contractual obligations to its clients as well as other corporate obligations. In general, the Company would only be liable for these guarantees in the event of default in the Company's performance of its obligations under each contract. The Company believes it has sufficient capacity in the surety markets and liquidity from its cash flow and its various credit arrangements to allow it to respond to future requests for proposals that require such credit support.

Note 13 – Preferred Stock

Series A Preferred StockIn December 2016, the Company issued 120,000 shares of Series A convertible perpetual preferred stock with an aggregate liquidation preference of $120 million and an initial fair value of $142 million. The convertible preferred stock earns quarterly cash dividends at a rate of 8% per year ($9.6 million per year). Each share of convertible preferred stock is convertible at any time, at the option of the holder, into 44.9438 shares of common stock for a total of 5,393,000 shares (reflecting an initial conversion price of approximately $22.25 per share of common stock), subject to customary anti-dilution adjustments.

CNDT Q2 2025 Form 10-Q19

Note 14 – Earnings (Loss) per Share

The Company did not declare any common stock dividends in the periods presented.The following table sets forth the computation of basic and diluted earnings (loss) per share of common stock: Three Months Ended June 30,Six Months Ended June 30,(in millions, except per share data in whole dollars and shares in thousands)2025202420252024Basic Net Earnings (Loss) per Share:Net Income (Loss)$(40)$216 $(91)$315 Dividend - Preferred Stock(3)(3)(5)(5)Adjusted Net Income (Loss) Available to Common Shareholders - Basic$(43)$213 $(96)$310 Diluted Net Earnings (Loss) per Share:Net Income (Loss)$(40)$216 $(91)$315 Dividend - Preferred Stock(3)— (5)— Adjusted Net Income (Loss) Available to Common Shareholders - Diluted$(43)$216 $(96)$315 Weighted Average Common Shares Outstanding - Basic161,162 194,539 161,448 201,159 Common Shares Issuable With Respect To:Restricted Stock and Performance Units / Shares— 2,149