Business
Cerence Announces First Quarter 2020 Results
Cerence First Quarter Highlights GAAP revenue increased approximately 7% year over yearDelivered strong financial performance first quarter as an independent
About this update from Cerence Inc.
[{"type":"text","content":"Cerence First Quarter Highlights\n GAAP revenue increased approximately 7% year over yearDelivered strong financial performance first quarter as an independent companyWon 7 new OEM design wins including a next generation platform decision for a major European OEMAchieved 30 Vehicle Model SOPs (Start of Production) with 10 different OEMs Introduced Cerence Car Life, a SaaS product suite for enhancing car ownership, and Cerence ARK, a turnkey automotive assistant solution BURLINGTON, Mass., Feb. 11, 2020 (GLOBE NEWSWIRE) -- Cerence Inc. (NASDAQ: CRNC), AI for a world in motion, today reported its first fiscal quarter 2020 results for the quarter ended December 31, 2019. Results Summary (1)(in millions, except per share data) Q1FY20 Q1FY19 GAAP Revenue$77.5 $72.5 GAAP Gross Margin% 66.5% 66.6%Non-GAAP Gross Margin% 70.8% 70.1%GAAP Operating Margin% -2.7% 3.9%Non-GAAP Operating Margin% 25.4% 24.9%Adjusted EBITDA$21.8 $20.1 GAAP net (loss) income$(11.8) $2.3 Non-GAAP net income$10.3 $13.5 GAAP net (loss) income per share - diluted$(0.33) $0.06 Non-GAAP net income per share - diluted$0.29 $0.37 Cash Flow From Operations$9.5 $16.7 (1) Please refer to the “Discussion of Non-GAAP Financial Measures,” and “GAAP to Non-GAAP Reconciliations,” included elsewhere in this release, for more information regarding our use of non-GAAP financial measures. Sanjay Dhawan, Chief Executive Officer of Cerence, stated, “Our first quarter as an independent company delivered excellent financial results. Our year over year revenue growth reflects solid expansion of our variable edge license sales and acceleration of our connected services business as the adoption of this technology expands into more and more cars.” Dhawan continued, “We won a next generation platform decision with a major European based OEM reflecting our position as the leading supplier of voice assistant and connected services to the automotive market. Our competitive position remains strong and we continue to see a steady pipeline of opportunities setting the company up for continued growth well above the seasonally adjusted annual rate (SaaR) of automobile sales.” Second Quarter Fiscal 2020 and Full Year OutlookFor the fiscal quarter ending March 31, 2020, GAAP revenue is expected to be in the range of $80M to $82M representing a 15% increase at the midpoint compared to the same period ...