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Dun & Bradstreet Holdings, Inc. (DNB)·Q1 2025 Earnings Summary

Executive Summary

  • Q1 2025 revenue was $579.8M (+2.7% YoY; +3.6% cc), organic revenue +3.6% cc; adjusted EBITDA $210.9M (+4.8% YoY) with margin 36.4% (up 70 bps) .
  • GAAP diluted EPS was a loss of $0.04 vs $0.05 loss last year; adjusted EPS $0.21 (+$0.01 YoY), while net leverage fell to 3.5x, aided by strong cash flow conversion .
  • The Clearlake take-private at $9.15/share led DNB to suspend guidance and cancel the earnings call, a major near-term stock catalyst overshadowing quarterly details .
  • Segment mix: North America grew 2.9% with stronger Finance & Risk (+4.1%); International grew 2.2% but EBITDA margin fell 280 bps on FX and higher data costs .

What Went Well and What Went Wrong

What Went Well

  • Organic revenue growth accelerated to 3.6% cc, and adjusted EBITDA margin expanded 70 bps YoY to 36.4% .
  • North America delivered 9.3% adjusted EBITDA growth and +250 bps margin expansion (41.8%), driven by Finance solutions and Third-Party Risk/Supply Chain offerings and lower net personnel, S&M, and cloud costs .
  • CEO tone emphasized resilient demand across Finance & Risk and Sales & Marketing solutions globally and improved leverage: “We delivered 3.6% organic revenue growth… and reduced our net leverage ratio to 3.5 times” .

What Went Wrong

  • International adjusted EBITDA declined 5.8% with margin down 280 bps to 33.3%, pressured by FX and higher data acquisition and personnel costs despite revenue growth .
  • Sequentially, total revenue and adjusted EBITDA fell vs Q4 (seasonal), with margin down from 41.2% to 36.4% as the quarter reset after year-end strength .
  • Guidance suspended and no call held due to the pending Clearlake transaction, reducing visibility and limiting estimate anchors for investors .

Financial Results

MetricQ3 2024Q4 2024Q1 2025
Revenue ($USD Millions)$609.1 $631.9 $579.8
GAAP Diluted EPS ($USD)$0.01 $0.02 $(0.04)
Adjusted EPS ($USD)$0.27 $0.30 $0.21
Adjusted EBITDA ($USD Millions)$247.4 $260.0 $210.9
Adjusted EBITDA Margin (%)40.6% 41.2% 36.4%
Organic Revenue Growth (% cc)+3.4% +0.3% +3.6%

Segment revenue breakdown:

Segment Revenue ($USD Millions)Q3 2024Q4 2024Q1 2025
North America Total$432.5 $448.6 $398.0
NA Finance & Risk$237.7 $229.2 $216.6
NA Sales & Marketing$194.8 $219.4 $181.4
International Total$176.6 $183.3 $181.8
International Finance & Risk$121.6 $126.4 $122.8
International Sales & Marketing$55.0 $56.9 $59.0

Segment profitability:

Segment ProfitabilityQ3 2024Q4 2024Q1 2025
NA Adjusted EBITDA ($M)$207.7 $207.8 $166.2
NA Adjusted EBITDA Margin (%)48.0% 46.3% 41.8%
International Adjusted EBITDA ($M)$59.1 $58.1 $60.5
International Adjusted EBITDA Margin (%)33.5% 31.7% 33.3%

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Revenue (after FX)FY 2025$2,440–$2,500M Guidance suspended Lowered visibility
Organic Revenue GrowthFY 20253.0%–5.0% Guidance suspended Lowered visibility
Adjusted EBITDAFY 2025$955–$985M Guidance suspended Lowered visibility
Adjusted EPSFY 2025$1.01–$1.07 Guidance suspended Lowered visibility
Dividend PolicyOngoingDeclared $0.05 for Q1 (paid Mar 20, 2025) Agreed not to declare or pay any dividend under Clearlake agreement Suspended

Earnings Call Themes & Trends

TopicPrevious Mentions (Q3 2024 and Q4 2024)Current Period (Q1 2025)Trend
AI/technology initiativesHighlighted launch of Chat D&B; focus on generative AI-enabled insights . 2024 wrap-up emphasized innovation and generative AI .Continued demand for data & analytics across F&R and S&M; no new product specifics due to transaction .Innovation remains core; disclosure muted amid deal.
Segment demand (F&R, S&M)NA and International demand strong; MDM and Risk Solutions cited .NA: F&R +4.1% YoY; S&M +1.6% YoY. International: F&R +2.3% YoY; S&M +1.9% YoY; organic growth stronger ex-FX .Steady demand; modest acceleration in organic growth.
Macro/FXSteady growth despite macro; International aided by modest FX tailwinds in Q3/Q4 .International revenue growth constrained by $4.4M FX headwind; margin down on data and personnel costs .FX turned from tailwind to headwind; cost pressures noted.
Capital structure/leverageNet leverage ~3.6x; reduced YoY .Net leverage down to 3.5x; 72% of debt fixed/hedged; detailed swap profile .Continued balance sheet strengthening with hedging.
Investor communicationsFull calls and guidance in Q3/Q4 .No call; guidance suspended due to Clearlake deal .Reduced visibility pending transaction.

Management Commentary

  • “We are pleased with our solid start to the year as we delivered 3.6% organic revenue growth, expanded our Adjusted EBITDA margin by 70 basis points, grew adjusted Net Earnings by 6.9%, generated strong cash flow conversion and reduced our net leverage ratio to 3.5 times” — Anthony Jabbour, CEO .
  • “We continued to see strong demand for both our Finance & Risk and Sales & Marketing solutions in both North America and International” .
  • Business outlook: Guidance suspended and no Q1 2025 conference call due to the proposed Clearlake transaction .

Q&A Highlights

  • No Q1 2025 earnings call was hosted; management canceled the call and suspended guidance due to the proposed Clearlake acquisition .
  • As a result, there were no Q&A clarifications or additional commentary beyond the press release and 8-K exhibits .

Estimates Context

  • We attempted to retrieve S&P Global consensus for Q1 2025 revenue and EPS, but data was unavailable due to a missing Capital IQ mapping for DNB at the time of query (SPGI mapping error). Accordingly, we cannot provide beat/miss analysis versus Wall Street consensus for Q1 2025. We will update if S&P Global restores mapping [GetEstimates error].
  • Given suspended guidance and no call, we expect analysts to reassess FY 2025 models for visibility, FX impacts in International, and margin trajectory post-Q1 reset .

Key Takeaways for Investors

  • Organic growth re-accelerated to 3.6% cc and margin expanded YoY; sequentially, Q1 reset from seasonally strong Q4, with adjusted EBITDA margin normalizing to 36.4% .
  • North America profitability improved materially YoY, while International faced FX and data cost headwinds; watch cost discipline and FX trajectory into H1 .
  • Balance sheet resilience continues: net leverage at 3.5x and 72% of debt fixed/hedged with swaps through 2026–2028; reduces interest-rate sensitivity .
  • Dividend program effectively suspended under Clearlake agreement despite Q1 payout; income investors should recalibrate expectations .
  • The $9.15/share take-private proposal is the dominant stock driver; quarterly prints are secondary until transaction clarity and timing firm up .
  • Visibility is curtailed near term (no call, suspended guidance); focus on segment demand indicators and deal timeline for positioning .
  • Monitor International margin recovery and FX; sustained NA margin gains suggest underlying efficiency improvements that could re-emerge post-transaction .

Appendix: Additional Data Points

  • Cash and cash equivalents were $241.3M at March 31, 2025; deferred revenue $660.7M; total principal debt $3,547.6M .
  • Operating cash flow in Q1 2025 was $136.9M; capitalized software additions were $44.9M .