Loading...
•
Sep 30, 2020
Dayforce Q3 2020 Earnings Report
Delivered strong results, exceeding guidance for Dayforce recurring revenue, total revenue, and Adjusted EBITDA.
Key Takeaways
Ceridian reported a slight increase in total revenue, driven by Dayforce recurring services revenue and cloud revenue growth. Net loss was $0.8 million, impacted by a one-time tax benefit in Q3 2019. Adjusted EBITDA declined due to float revenue impact.
Dayforce recurring services revenue increased by 12.2% year-over-year.
Excluding float revenue, Dayforce recurring services revenue increased by 17.9% year-over-year.
Cloud revenue increased by 6.8% year-over-year.
Net loss was $0.8 million, down $63.5 million, primarily due to a one-time tax benefit in the third quarter of 2019.
Dayforce
Dayforce
Dayforce Revenue by Segment
Revenue by Segment
Dayforce recurring Revenue
CapyFin.comPowerpay recurring Revenue
CapyFin.comOther recurring Revenue
CapyFin.comProfessional services Revenue
CapyFin.com Forward Guidance
Ceridian provided guidance for the fourth quarter of 2020, including Dayforce recurring services revenue of $128 million to $129 million and total revenue of $215 million to $219 million.
Positive Outlook
- Dayforce recurring services revenue is expected to increase by approximately 12% to 13%.
- Excluding float revenue, Dayforce recurring services revenue is expected to grow approximately 18% to 19%.
- Dayforce revenue is expected to increase by approximately 5% to 6%.
- Excluding float revenue, Dayforce revenue is expected to grow approximately 9% to 10%.
- Adjusted EBITDA of $30 million to $34 million.
Challenges Ahead
- Total revenue is expected to decline by approximately 3% to 1%.
- Float revenue is expected to be approximately $6 million within Dayforce revenue.
- Float revenue is expected to be approximately $8 million within Cloud revenue.
- Float revenue is expected to be approximately $9 million within total revenue.
- Cloud revenue is expected to grow approximately 3% to 4%.
Revenue & Expenses
Visualization of income flow from segment revenue to net income