Gaucher's questions to Conduent Inc (CNDT) leadership • Q4 2024
Question
Gaucher from Singular Research questioned if projected EBITDA margin improvement is driven by cost cuts, asked about future debt reduction plans, inquired about new business signing expectations for FY25, and asked about potential project delays in the Government segment.
Answer
CFO Stephen Wood confirmed margin improvement is driven by removing stranded costs from divestitures and other efficiencies, adding the company is comfortable with its current debt level and will remain balanced in capital allocation. Wood also noted strong pipelines for 2025 sales and that improved retention is boosting the net ARR metric. President and CEO Clifford Skelton clarified the Government segment's 2025 outlook is impacted by lapping prior contract events, not new delays.