Donnelley Financial Solutions (DFIN) reported third-quarter results with a decrease in net sales by 4.6% to $180.0 million, but software solutions net sales increased by 5.3% to $73.2 million. Net earnings were $18.1 million, or $0.60 per diluted share, compared to $19.2 million, or $0.62 per diluted share, in the third quarter of 2022. Adjusted EBITDA increased by 9.1% to $49.4 million, and the Adjusted EBITDA margin expanded to 27.4%.
Software solutions net sales increased 5.3% year-over-year, reaching a record $73.2 million.
Net sales of recurring compliance software platform increased by approximately 8% in aggregate, led by approximately 13% growth in Arc Suite net sales.
Adjusted EBITDA increased by 9.1% to $49.4 million, with Adjusted EBITDA margin expanding to 27.4%.
The company repurchased 310,365 shares for $14.8 million during the quarter.
DFIN is focused on investing to drive profitable, recurring revenue growth, including capturing opportunities from recurring compliance use cases such as Tailored Shareholder Reports. The company launched the initial release of their Tailored Shareholder Reports’ SaaS product in mid-October, providing investment company clients an end-to-end financial reporting solution.
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