Business
Cerence Announces Second Quarter 2020 Results
Second Quarter Highlights First-half of fiscal year bookings reach a record of $533M exceeding FY2019 full year bookings Record quarterly GAAP revenue at
About this update from Cerence Inc.
[{"type":"text","content":"Second Quarter Highlights\n First-half of fiscal year bookings reach a record of $533M exceeding FY2019 full year bookings Record quarterly GAAP revenue at $86.5M increased approximately 23% year over yearStrong financial performance with GAAP EPS of $0.33 and non-GAAP EPS of $0.43Adjusted EBITDA of $29.0M increased 55%, and adjusted EBITDA margin of 33.6% increased 26% compared to Q2FY19 Several strategic wins including Geely, FCA and Bean Tech BURLINGTON, Mass., May 07, 2020 (GLOBE NEWSWIRE) -- Cerence Inc. (NASDAQ: CRNC), AI for a world in motion, today reported its second fiscal quarter 2020 results for the quarter ended March 31, 2020. Results Summary (1)(in millions, except per share data) Three Months Three Months Six Months Six Months Ended Ended Ended Ended March 31, 2020 March 31, 2019 March 31, 2020 March 31, 2019 GAAP Revenue $86.5 $70.3 $164.0 $142.8 GAAP Gross Margin% 66.8% 65.2% 66.7% 65.9%Non-GAAP Gross Margin% 70.1% 69.2% 70.4% 69.7%GAAP Operating Margin% 13.9% 0.2% 6.0% 2.1%Non-GAAP Operating Margin% 31.0% 23.6% 28.3% 24.3%Adjusted EBITDA $29.0 $18.7 $50.8 $38.8 GAAP net income margin 14.4% 0.6% 0.4% 1.9%Adjusted EBITDA margin 33.6% 26.6% 31.0% 27.2%GAAP net income $12.5 $0.5 $0.7 $2.7 Non-GAAP net income $16.1 $11.3 $26.5 $24.8 GAAP net income per share - diluted $0.33 $0.01 $0.02 $0.07 Non-GAAP net income per share - diluted $0.43 $0.31 $0.72 $0.68 (1) Please refer to the “Discussion of Non-GAAP Financial Measures” and “Reconciliations of GAAP Financial Measures to Non-GAAP Financial Measures” included elsewhere in this release for more information regarding our use of non-GAAP financial measures. Sanjay Dhawan, Chief Executive Officer of Cerence, stated, “We delivered excellent financial results for our second fiscal quarter, exceeding most of our guidance metrics despite the initial impact of COVID-19 on the global economy in general, and the automotive market specifically. We had several significant wins in the quarter, including a major European OEM that represented the two largest contracts in the company’s history, one for license and one for cloud-connected services; Geely’s selection of Cerence ARK across all their auto brands; FCA’s adoption of Cerence technology for the all new Uconnect 5 global infotainment platform; and, Bean Tech’s adoption of Cerence ARK for Great Wall Motors.” Dhawan added, “Ou...