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Dec 31, 2019
Cannae Holdings Q4 2019 Earnings Report
Cannae Holdings reported results for Q4 2019.
Key Takeaways
Cannae Holdings reported Q4 2019 results, highlighting strategic initiatives and financial performance across its portfolio companies. D&B's adjusted revenue increased by 6.0%, while Ceridian's total revenue rose by 13.9%. The Restaurant Group faced challenges, with a pretax loss of $48.0 million, but Cannae's liquidity remained strong due to share sales and stock offerings.
Cannae received $265.4 million from selling Ceridian shares, recording a gain of $188.8 million.
The company completed a public offering of common stock, generating net proceeds of $236.0 million.
Cannae entered into an equity commitment to fund up to $125.0 million in equity for the acquisition of AmeriLife Group, LLC.
Cannae contributed its T-System business to a healthcare joint venture, receiving $75.4 million in cash and a 23% equity interest.
Cannae Holdings
Cannae Holdings
Cannae Holdings Revenue by Segment
Revenue by Segment
Restaurant Revenue
CapyFin.comOther operating Revenue
CapyFin.com Forward Guidance
Cannae anticipates a year full of activity in 2020, with a robust pipeline of potential deals.
Positive Outlook
- Cannae's liquidity remains strong due to the sale of Ceridian shares and stock offerings.
- The company is well-positioned to fund future transactions.
- D&B achieved significant cost savings and improved adjusted EBITDA margins.
- Ceridian reported strong cloud revenue growth and an increase in Dayforce global active users.
- The Blue Ribbon Reorganization aims to maximize the value of restaurant assets.
Challenges Ahead
- Restaurant Group reported a pretax loss of $48.0 million for the fourth quarter.
- D&B generated a total GAAP net loss of $263.4 million, a decrease of 439.8% compared to the previous year.
- The Restaurant Group's EBITDA was $(36.2) million for the fourth quarter.
- Cannae's operating loss was $(63.6) million.
- The company's earnings from equity investees decreased by $64.3 million.
Revenue & Expenses
Visualization of income flow from segment revenue to net income