Company: CNDT
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001677703-25-000152
Chunk: 68

Company: CONDUENT Inc
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 68
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 $48 $(192)$140 % of Total Revenue46.6 %29.7 %16.7 %7.0 %— %100.0 %Adjusted EBITDA Margin9.7 %21.6 %0.9 %20.4 %— %5.5 %

CNDT Q3 2025 Form 10-Q29

(in millions)Three Months Ended September 30,Nine Months Ended September 30,Adjusted EBITDA and Segment Profit (Loss) Reconciliation to Income (Loss) Before Income Taxes2025202420252024Adjusted EBITDA$40 $36 $114 $140 Reconciling items:Segment depreciation and amortization(48)(44)(144)(155)Direct response costs - cyber event— — (25)— Segment Profit (Loss)$(8)$(8)$(55)$(15)Reconciling items:Amortization of acquired intangible assets(1)(1)(2)(4)Restructuring and related costs(12)(4)(24)(21)Interest expense(12)(16)(36)(62)Loss on extinguishment of debt(1)(1)(1)(6)Gain (loss) on divestitures and transaction costs, net(1)188 (8)696 Litigation (settlements) recoveries, net— (1)(2)(6)Other income (expenses), net(3)2 (4)4 Income (Loss) Before Income Taxes$(38)$159 $(132)$586 

Commercial Segment

Revenue

Commercial revenue for the three and nine months ended September 30, 2025 declined, compared to the prior year periods, primarily due to lower volumes, partially offset by new business ramp that outpaced lost business and a multi-year licensing agreement with an existing customer. 

Segment Profit and Adjusted EBITDA

Commercial segment profit and adjusted EBITDA for the three months ended September 30, 2025 increased, compared to the prior year period, primarily due to a multi-year licensing agreement with an existing customer, partially offset by higher fixed technology overhead.

Commercial segment profit and adjusted EBITDA for the nine months ended September 30, 2025 decreased, compared to the prior year period, primarily due to the revenue drivers noted above and higher fixed technology overhead, partially offset by cost efficiencies and the impact of lower depreciation due to the