Company: CNDT
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001677703-25-000152
Chunk: 62

Company: CONDUENT Inc
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 62
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 (4)(25)%(Gain) loss on divestitures and transaction costs, net1 (188)189 n/mLitigation settlements (recoveries), net— 1 (1)n/mLoss on extinguishment of debt1 1 — — %Other (income) expenses, net3 (2)5 n/mTotal Operating Costs and Expenses805 648 157 Income (Loss) Before Income Taxes(38)159 (197)Income tax expense (benefit)8 36 (28)Net Income (Loss)$(46)$123 $(169)

CNDT Q3 2025 Form 10-Q25

Nine Months Ended September 30,2025 vs. 2024(in millions)20252024$ Change% ChangeRevenue$2,272 $2,556 $(284)(11)%Operating Costs and ExpensesCost of services (excluding depreciation and amortization)1,866 2,068 (202)(10)%Selling, general and administrative (excluding depreciation and amortization)316 346 (30)(9)%Research and development (excluding depreciation and amortization)3 4 (1)(25)%Depreciation and amortization144 157 (13)(8)%Restructuring and related costs24 21 3 14 %Interest expense36 62 (26)(42)%(Gain) loss on divestitures and transaction costs, net8 (696)704 n/mLitigation settlements (recoveries), net2 6 (4)(67)%Loss on extinguishment of debt1 6 (5)(83)%Other (income) expenses, net4 (4)8 n/mTotal Operating Costs and Expenses2,404 1,970 434 Income (Loss) Before Income Taxes(132)586 (718)Income tax expense (benefit)5 148 (143)Net Income (Loss)$(137)$438 $(575)

Revenue

Revenue for the three months ended September 30, 2025 decreased, compared to the prior year period, with roughly 67% of the decrease attributable to the divestiture of the Casualty Claims Solutions business. Excluding the divestiture impact, the decline was driven by lower revenue in Commercial, reflecting lost business and volume decreases with select clients, and anticipated reductions in certain benefit programs in our Government segment, partially offset by new business ramp and higher