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Dun & Bradstreet Holdings Inc (DNB) Q4 2024 Earnings Call Highlights: Navigating Strategic ...

In This Article:

  • Fourth Quarter Revenue: $632 million, less than 1% growth compared to the prior year quarter.

  • Fourth Quarter Net Income: $8 million, or diluted earnings per share of $0.02.

  • Full Year Revenue: $2,382 million, an increase of 3% both after and before the effect of foreign exchange.

  • Full Year Net Loss: $29 million, or a diluted loss per share of $0.07.

  • Fourth Quarter Adjusted EBITDA: $260 million, a decrease of less than 1%.

  • Fourth Quarter Adjusted EBITDA Margin: 41%, a decrease of 10 basis points.

  • Full Year Adjusted EBITDA: $927 million, an increase of 4%.

  • Full Year Adjusted EBITDA Margin: 39%, an increase of 30 basis points.

  • North America Fourth Quarter Revenue: $449 million, a decrease of 1.8% from the prior year quarter.

  • International Fourth Quarter Revenue: $183 million, an increase of 6%.

  • Debt and Cash Position: Cash and cash equivalents of $206 million; total principal amount of debt $3,550 million.

  • Leverage Ratio: 3.6 times on a net basis.

  • 2025 Revenue Outlook: Expected to be in the range of $2,440 million to $2,500 million, an increase of approximately 2.5% to 5%.

  • 2025 Adjusted EBITDA Outlook: Expected to be in the range of $955 to $985 million.

  • 2025 Adjusted EPS Outlook: Expected to be in the range of $1.01 to $1.07.

Release Date: February 20, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

  • Dun & Bradstreet Holdings Inc (NYSE:DNB) achieved 3% organic revenue growth in 2024, demonstrating meaningful improvement.

  • The company expanded its EBITDA margins by 30 basis points, indicating enhanced operational efficiency.

  • DNB successfully completed client migrations to modern cloud-based solutions, enhancing client flexibility and scalability.

  • The company reduced its net leverage to 3.6 times by year-end, improving its capital structure.

  • DNB introduced new localized offerings and vertical-specific solutions, strengthening its market position and client relationships.

Negative Points

  • DNB experienced a delay in closing certain deals in Q4 2024, impacting revenues by $9 million due to distractions from ongoing strategic processes.

  • The company exited two partnerships that were not mutually advantageous, resulting in a $6 million revenue impact in Q4 2024 and a $14 million impact in 2025.

  • Timing-related delays in expected usage and deliveries affected revenues by $3 million and $4 million, respectively, with most revenues expected to flow into early 2025.

  • North America revenues decreased by 1.8% in Q4 2024, primarily due to decreased revenue from finance and risk solutions.

  • The ongoing strategic review process has caused client hesitation and internal distractions, potentially impacting future revenue growth.