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Jun 30, 2023

CSG Systems Q2 2023 Earnings Report

Reported strong financial results driven by organic revenue growth and raised revenue and non-GAAP adjusted operating margin guidance for 2023.

Key Takeaways

CSG Systems International reported a strong second quarter in 2023, with total revenue of $286.3 million, a 9.2% increase compared to the previous year. GAAP EPS was $0.45 and non-GAAP EPS was $0.80. The company raised its full-year revenue and non-GAAP adjusted operating margin guidance and instituted a $100 million share repurchase plan.

Total revenue was $286.3 million, a 9.2% increase year-over-year.

GAAP operating income was $28.2 million, with a 9.9% operating margin.

GAAP earnings per diluted share (EPS) was $0.45 and non-GAAP EPS was $0.80.

The company raised its revenue and non-GAAP adjusted operating income margin targets for the full year.

Total Revenue
$286M
Previous year: $262M
+9.2%
EPS
$0.8
Previous year: $0.84
-4.8%
Gross Profit
$135M
Previous year: $124M
+9.0%
Cash and Equivalents
$146M
Previous year: $134M
+9.3%
Free Cash Flow
$4.7M
Previous year: -$17M
-127.7%
Total Assets
$1.29B
Previous year: $1.29B
+0.2%

CSG Systems

CSG Systems

CSG Systems Revenue by Geographic Location

Forward Guidance

CSG revised its financial guidance for the full year 2023.

Positive Outlook

  • Revenue is now expected to be between $1.15 billion and $1.175 billion.
  • Adjusted Operating Margin Percentage is expected to be between 16.75% and 17.1%.
  • EPS is expected to be between $3.42 and $3.58.
  • Adjusted EBITDA is expected to be between $238 million and $245 million.
  • Free Cash Flow is expected to be between $80 million and $120 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income