Press release
Consensus Cloud Solutions, Inc. Reports Third Quarter 2022 Results
Reaffirms 2022 Guidance Veterans Administration Approval to Operate LOS ANGELES--(BUSINESS WIRE)-- Consensus Cloud Solutions, Inc. (NASDAQ: CCSI) today
About this update from Consensus Cloud Solutions, Inc.
[{"type":"text","content":"\nReaffirms 2022 Guidance\n\nVeterans Administration Approval to Operate\n\n LOS ANGELES--(BUSINESS WIRE)--\nConsensus Cloud Solutions, Inc. (NASDAQ: CCSI) today reported preliminary financial results for the third quarter of 2022.\n\n“Our Q3 financial results demonstrated continued revenue growth and strong EBITDA margins despite the volatile economic conditions. In addition, we celebrated the first anniversary of the Spin, devoting significant resources to separate from our former parent and fill out the roles as a separate public company. We achieved a significant milestone receiving the Authority to Operate from the Veterans Administration in late Q3. This combined with our pipeline of new customer opportunities bodes well for the remainder of the year and into 2023.” said Scott Turicchi, CEO of Consensus.\n\nTHIRD QUARTER UNAUDITED 2022 HIGHLIGHTS\n\nQ3 2022 GAAP quarterly revenues increased by $6.7 million or 7.5% to $95.9 million compared with $89.2 million for Q3 2021. Our growth was primarily due to an increase of $8.0 million or 18.6% in our Corporate business (inclusive of $1.9 million due to the Summit acquisition); partially offset by a decline of $1.2 million or 2.7% in our SoHo business. On a constant dollar basis, revenues grew by $8.1 million or 9.2% compared to the prior year.\n\nGAAP net income from continuing operations decreased to $17.1 million in Q3 2022 compared to $41.1 million for Q3 2021. The decrease is primarily related to the interest expense associated with the 2026 and 2028 notes, additional costs as a standalone publicly traded company, including increased headcount and sales tax related expenses; partially offset by higher revenues.\n\nGAAP earnings per diluted share from continuing operations (1) decreased to $0.86 in Q3 2022 compared to $2.07 for Q3 2021. The decrease is related to the items discussed above.\n\nAdjusted EBITDA (3) for Q3 2022 of $51.3 million is favorable compared to Q3 2021 pro forma adjusted EBITDA (5) of $50.9 million. Adjusted non-GAAP earnings per diluted share (1)(2)(3) for the quarter increased to $1.52 or 5.6% compared to pro forma Adjusted non-GAAP earnings per diluted share (4) of $1.44 for Q3 2021.\n\nConsensus ended the quarter with $103.7 million in cash and cash equivalents after cash outlays related to capital expenditures of $7.3 million and payments to the For...