Conduent posts Q4 revenue of $770M, trims losses as turnaround priorities take hold
Conduent closed its fiscal 2025 with a steadier top line and signs of margin progress, announcing on Thursday, Feb. 12, 2026 (ET) that fourth-quarter revenue reached $770 million alongside a pre-tax loss of $28 million. For the full year, revenue totaled $3.04 billion with a pre-tax loss of $160 million as management emphasized execution, cost discipline, and a sharpened go-to-market approach heading into 2026.
Q4 by the numbers
The fourth quarter delivered $770 million in revenue and a pre-tax loss of $28 million, with adjusted EBITDA margin at 6.5%. New business signings measured by annual contract value came in at $152 million for the quarter. Conduent ended 2025 with $243 million in cash and $223 million of unused capacity under a recently renewed credit facility, providing additional liquidity as the company advances its operating agenda.
Sequentially, quarterly revenue edged higher from the prior period’s $767 million. While the company did not disclose Q4 net income or EPS in the latest update, the improving adjusted EBITDA margin suggests incremental operational gains in the closing months of the year.
Full-year 2025: revenue base steady, losses persist
For fiscal 2025, Conduent posted $3.04 billion in revenue and a pre-tax loss of $160 million. Management highlighted that the year-over-year comparison in pre-tax income was affected by divestiture-driven gains recognized in the prior year. Adjusted EBITDA for 2025 totaled $164 million, translating to a 5.4% margin and reflecting progress toward the company’s margin ambitions.
Despite advancements in efficiency, the business remains loss-making on a pre-tax basis for the full year, keeping the spotlight on sustained margin expansion and cost structure reduction to restore consistent profitability.
Government and Transportation show traction; Commercial refocuses
Conduent pointed to improving revenue trends in its Government and Transportation segments, citing a larger sales pipeline and additional cost efficiencies as contributors to late-year momentum. In Commercial, leadership is concentrating on strengthening the go-to-market engine, enhancing the sales organization, and expanding penetration within the existing client base to reignite growth.
Chief Executive Officer Harsha V. Agadi framed the path forward around disciplined execution and client-centricity, noting that durable turnarounds rely on focus and consistency. The company also emphasized opportunities to deepen adoption of AI- and generative AI-enabled solutions across its portfolio.
Margin work and cost actions
Adjusted EBITDA margin improved to 6.5% in the fourth quarter from the full-year level of 5.4%, indicating that cost actions and operational changes are beginning to filter through. Management’s priorities include accelerating decision-making, enforcing financial discipline, and simplifying the organization to empower business leaders with clear P&L ownership. Additional levers include portfolio optimization through a fix, sell, or grow framework and converting a larger portion of the pipeline into booked revenue.
While the magnitude of future savings and the timing of any portfolio moves were not detailed, the company characterized its 2025 margin trajectory as aligned with internal expectations and a foundation for further improvement.
What to watch next
Investors will look for evidence that higher-margin work, tighter cost control, and portfolio actions can push adjusted margins higher and narrow statutory losses in 2026. Sequential revenue stability late in 2025, combined with solid quarterly signings and adequate liquidity, offers a base to build on. At the same time, the lingering loss profile underscores the need for consistent execution and pipeline conversion, particularly in Commercial.
Key markers in coming updates will include the pace of ACV growth and conversion to revenue, the trajectory of adjusted EBITDA margins versus the 2025 baseline, and any developments from portfolio optimization designed to streamline operations and reduce debt. With Government and Transportation showing early traction and Commercial in refocus mode, the next few quarters will be critical in demonstrating that the margin work can translate into durable profitability.
