•
Dec 31, 2019

CSG Systems Q4 2019 Earnings Report

Reported record revenues, increased operating income, and earnings per share.

Key Takeaways

CSG Systems International reported a solid fourth quarter and full year with record revenue, driven by growth in cloud solutions and managed services. The company also extended its contract with Comcast and acquired certain assets of Tekzenit, Inc.

Total revenues were $254.7 million, a 3% increase compared to Q4 2018.

GAAP operating income was $30.3 million, representing 11.9% of total revenues.

GAAP earnings per diluted share (EPS) was $0.70.

Cash flows from operations were $43.5 million, with non-GAAP free cash flow of $33.9 million.

Total Revenue
$255M
Previous year: $247M
+3.0%
EPS
$0.98
Previous year: $0.95
+3.2%
Operating Margin %
11.9%
Adjusted Operating Margin %
17.5%
Free Cash Flow
$33.9M
Gross Profit
$123M
Previous year: $117M
+4.9%
Cash and Equivalents
$157M
Previous year: $139M
+12.4%
Free Cash Flow
$33.9M
Previous year: $57M
-40.5%
Total Assets
$1.28B
Previous year: $1.11B
+15.1%

CSG Systems

CSG Systems

CSG Systems Revenue by Segment

CSG Systems Revenue by Geographic Location

Forward Guidance

CSG updated its initial financial guidance for the full year 2020 following the announcement of its contract extension with Comcast.

Positive Outlook

  • Revenue guidance: $990 - $1,030 million
  • Adjusted Revenue guidance: $917 - $950 million
  • Operating Margin Percentage: 11.5% - 12.5%
  • Adjusted Operating Margin Percentage: 16.0% - 17.0%
  • EPS guidance: $2.13 - $2.46

Revenue & Expenses

Visualization of income flow from segment revenue to net income