Brian Potter's questions to Amdocs Ltd (DOX) leadership • Q4 2024
Question
Brian Potter of Citigroup asked for more detail on the business lines being phased out, the mechanics of the process, and whether selling them was considered. He also inquired about other potential portfolio optimizations and if the M&A strategy has changed, given that some phased-out activities were related to past acquisitions.
Answer
CEO Shuky Sheffer explained the phase-out targets low-margin, non-strategic on-premise activities. CFO Tamar Rapaport-Dagim added that selling these businesses was not a viable option and that while portfolio optimization is ongoing, nothing else is imminent. She clarified the M&A strategy is unchanged, noting the relevant acquisition was from 2018 and that recent M&A has been successful.