Cerence (CRNC) Earnings Dates, Call Summary & Reports

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Earnings Data

Report Date

Aug 11, 2026

Before Open (Confirmed)

Period Ending

2026 (Q3)

Consensus EPS Forecast

0.2

Last Year’s EPS

0.12

Same Quarter Last Year

Analyst Consensus

Moderate Buy

Based on 3 Analysts Ratings

Earnings Call Summary

Q2 2026

Earnings Call Date:May 07, 2026|

% Change Since:

Earnings Call Sentiment|Positive

The call presented clear operational and commercial momentum — revenue and adjusted EBITDA beats, strong cash flow, growing recurring connected services (+21% YoY), PPU improvement (+5% YoY), and significant XUI and GenAI customer wins including BYD entering production. Management raised full-year revenue, adjusted EBITDA, and free cash flow guidance. Headwinds were largely timing-related (notably a sharp YoY decline in fixed license revenue) along with higher near-term OpEx due to lower capitalization of R&D and increased legal/IP expenses. Given the breadth of wins, cash generation, and upgraded guidance outweighing the timing-driven negatives, the tone is constructive.

Company Guidance

Cerence guided Q3 revenue of $68–72M (including about $10M of expected fixed license deals), gross margin of 75–76%, adjusted EBITDA of $8–12M, net income of $(1)–$3M and EPS of $(0.02)–$0.07. For fiscal 2026 they raised and narrowed full‑year guidance to revenue $305–320M (midpoint $312.5M), adjusted EBITDA $60–70M (midpoint up ~8%), reaffirmed gross margin of 79–80%, projected net income $(3)–$7M and EPS $(0.07)–$0.15, and raised free cash flow by $10M to $66–76M (a ~16% increase at the midpoint); they also expect full‑year income tax expense of roughly $18–22M. Management noted Q2 results of $64.2M revenue, $7.2M adjusted EBITDA and $13.6M free cash flow as the basis for the outlook and highlighted supporting metrics including five‑year backlog of ~$971M, adjusted total billings of $239M (up 7% YoY), pro forma royalties of $40.3M, PPU of $5.09 TTM (up 5% YoY) and connected cars shipped +12% TTM.

Revenue and Profitability Beat

Q2 revenue of $64.2M exceeded the high end of guidance ($58–62M). Adjusted EBITDA was $7.2M, also above the guidance range of $2–6M, demonstrating outperformance versus expectations.

Strong Cash Generation and Free Cash Flow

Generated $14.1M cash from operations and $13.6M free cash flow in Q2. Company ended the quarter with $108.3M cash and cash equivalents and raised full-year free cash flow guidance by $10M (a 16% increase at the midpoint) to $66–76M.

Recurring Revenue Momentum — Connected Services

Connected services revenue grew to $15.3M, up 21% year-over-year, reflecting higher attach rates and expansion of the connected installed base, improving revenue visibility and recurring mix.

Variable License and Billings Growth

Variable license revenue was $31.8M, up 6% year-over-year. Adjusted total billings were $239M, up 7% year-over-year, indicating strengthening top-of-funnel and billing momentum ahead of revenue recognition.

PPU Growth and Installed Penetration

PPU increased to $5.09 on a trailing twelve-month basis, up 5% year-over-year. Approximately 50% of worldwide auto production included Cerence technology, consistent with historical penetration (~50%). Connected cars shipped increased 12% on a trailing twelve-month basis.

Product Wins and Production Starts — XUI & GenAI

Multiple strategic wins across XUI and GenAI: BYD began production with XUI; other named wins include JLR, a VW Group brand, Geely, BMW, Ferrari, Suzuki India, Toyota Europe (adding generative AI), and a multiyear, multiplatform win with a major Japanese automaker (win-back from a hyperscaler). Billings for XUI are ramping with revenue expected to flow in FY2027 and beyond.

Raised Full-Year Guidance

Full-year revenue range raised and narrowed to $305–320M (new midpoint $312.5M). Adjusted EBITDA range narrowed to $60–70M (midpoint increased by 8%). Gross margin guidance reaffirmed (79–80% full year) and net income/EPS ranges narrowed.

Cerence (CRNC) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

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CRNC Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Aug 11, 2026	2026 (Q3)	0.20 / -	0.116	―	―	―
May 07, 2026	2026 (Q2)	0.14 / 0.19	0.557	-66.43% (-0.37)
Feb 04, 2026	2026 (Q1)	0.32 / 0.17	-0.03	673.33% (+0.20)
Nov 19, 2025	2025 (Q4)	-0.27 / -0.04	-0.07	42.86% (+0.03)
Aug 06, 2025	2025 (Q3)	-0.15 / 0.12	0.19	-38.95% (-0.07)
May 07, 2025	2025 (Q2)	0.30 / 0.56	-0.09	718.89% (+0.65)
Feb 06, 2025	2025 (Q1)	-0.26 / -0.03	1.12	-102.68% (-1.15)
Nov 21, 2024	2024 (Q4)	-0.36 / -0.07	0.09	-177.78% (-0.16)
Aug 08, 2024	2024 (Q3)	0.03 / 0.19	-0.04	575.00% (+0.23)
May 09, 2024	2024 (Q2)	-0.22 / -0.09	-0.04	-125.00% (-0.05)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

CRNC Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
May 07, 2026	$10.54	$9.87	-6.36%
Feb 04, 2026	$10.78	$7.65	-29.04%
Nov 19, 2025	$7.92	$10.10	+27.53%
Aug 06, 2025	$8.58	$9.12	+6.29%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.