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Mar 31, 2021

Dayforce Q1 2021 Earnings Report

Ceridian delivered strong first quarter results, executing well across all geographies and exceeding financial expectations.

Key Takeaways

Ceridian reported strong first quarter results with Dayforce recurring revenue of $145.3 million, up 13.4% year-over-year. Total revenue was $234.5 million, an increase of 5.3%. The company expects total revenue in 2021 to exceed $1 billion.

Dayforce recurring revenue was $145.3 million, an increase of 13.4% year-over-year.

Excluding float revenue, Dayforce recurring revenue was $137.6 million, up 20.7% year-over-year.

Total revenue was $234.5 million, an increase of 5.3% year-over-year.

Cash and equivalents were $339.6 million as of March 31, 2021.

Total Revenue
$235M
Previous year: $223M
+5.3%
EPS
$0.09
Previous year: $0.15
-40.0%
Live Dayforce Customers
5.04K
Previous year: 4.48K
+12.5%
Total Cloud Revenue
$166M
Gross Profit
$93.2M
Previous year: $101M
-7.3%
Cash and Equivalents
$340M
Previous year: $255M
+33.0%
Total Assets
$7.8B
Previous year: $6.47B
+20.5%

Dayforce

Dayforce

Dayforce Revenue by Segment

Forward Guidance

Ceridian has issued the following guidance for the second quarter of 2021: Dayforce recurring revenue of $148 million to $149 million. Total revenue of $236 million to $240 million.

Positive Outlook

  • Dayforce recurring revenue is expected to grow approximately 28% to 29%.
  • Dayforce revenue is expected to grow approximately 24% to 25%.
  • Cloud revenue is expected to grow approximately 23% to 25%.
  • Total revenue is expected to grow approximately 25% to 27%.
  • Adjusted EBITDA of $27 million to $31 million.

Challenges Ahead

  • Float revenue of approximately $7 million within Dayforce revenue.
  • Float revenue of approximately $9 million within Cloud revenue.
  • Float revenue of approximately $10 million within total revenue.
  • Ceridian expects a negative impact of approximately $0.10 to EPS.
  • Ceridian expects a negative impact of approximately $0.10 to Adjusted EPS.

Revenue & Expenses

Visualization of income flow from segment revenue to net income