Company: CNDT
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001677703-25-000126
Chunk: 116

Company: CONDUENT Inc
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 8
Chunk 116
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BITDA$37 $35 $74 $104 Reconciling items:Segment depreciation and amortization(48)(49)(96)(111)Direct response costs - cyber event— — (25)— Segment Profit (Loss)$(11)$(14)$(47)$(7)Reconciling items:Amortization of acquired intangible assets(1)(2)(1)(3)Restructuring and related costs(8)(8)(12)(17)Interest expense(12)(19)(24)(46)Loss on extinguishment of debt— (3)— (5)Gain (loss) on divestitures and transaction costs, net(4)347 (7)508 Litigation (settlements) recoveries, net— (1)(2)(5)Other income (expenses), net(2)— (1)2 Income (Loss) Before Income Taxes$(38)$300 $(94)$427 

Commercial Segment

Revenue

Commercial revenue for the three and six months ended June 30, 2025 declined, compared to the prior year periods, driven by lower volumes, partially offset by new business ramp outpacing lost business. 

Segment Profit and Adjusted EBITDA

Commercial segment profit and adjusted EBITDA for the three and six months ended June 30, 2025 decreased, compared to the prior year periods, 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 prior year write-off of internal use software and fully amortized assets. 

Government Segment

Revenue

Government revenue for the three months ended June 30, 2025 decreased, compared to the prior year period, primarily driven by the impacts associated with completing or extending several implementations. However, new business has now started to outpace lost business in this segment.

Government revenue for the six months ended June 30, 2025 decreased, compared to the prior year period, primarily driven by the impact of lost business in our Government Healthcare business and some discrete negative impacts from the establishment of reserves for service level disputes in the first quarter of 2025, partially offset by new business ramp.

Segment Profit and Adjusted EBITDA

Government segment profit and adjusted EBITDA for the three months ended June 30, 2025 increased, compared to the prior year period, primarily due to cost efficiencies and lower expenses driven in part by our fraud prevention activities in