Welcome to our dedicated page for Cerence news (Ticker: CRNC), a resource for investors and traders seeking the latest updates and insights on Cerence stock.
Cerence Inc. (NASDAQ: CRNC) is a leading software company based in the United States, specializing in creating advanced, AI-driven solutions for the mobility world. As an innovation partner to the world's leading automakers and mobility OEMs, Cerence is pioneering the future of connected mobility. The company's cutting-edge technology facilitates seamless, intuitive interaction between humans and their vehicles, integrating consumers' digital lives with their daily journeys.
Cerence boasts over 20 years of expertise and has shipped its technology in more than 475 million cars globally. The company's solutions span connected cars, autonomous driving, e-vehicles, and other domains, ensuring a smarter, safer, and more enjoyable driving experience.
Recent milestones include the appointment of Daniel Tempesta as Chief Financial Officer, who brings over 30 years of financial and operational expertise. Cerence also introduced CaLLM™, its automotive-specific large language model, which is already gaining traction with three major global automakers. Furthermore, the company is collaborating with Foxtron to bring voice-powered interaction to electric vehicles in Taiwan, and BMW Group is leveraging Cerence's Emergency Vehicle Detection technology to enhance safety features in its vehicles.
Financially, Cerence generates revenue primarily through software licenses and cloud-connected services, with a significant portion derived from the United States and a growing presence in regions like Europe, the Middle East, Africa, and Asia-Pacific. Despite facing challenges such as production delays and economic uncertainties, the company remains committed to advancing its generative AI and large language model product roadmap, aiming to drive sustainable, long-term value.
To stay updated on Cerence's latest developments, visit their website at www.cerence.com and follow the company on LinkedIn and Twitter.
Cerence Inc. (CRNC) reported Q4 FY2024 results with revenue of $54.8 million, exceeding guidance but down from $80.8 million in Q4 FY2023. The company posted a GAAP net loss of $20.4 million in Q4. For FY2024, revenue reached $331.5 million, including an $86.6M non-cash revenue from Toyota. The company achieved 22 platform launches in FY2024, including 6 for generative AI solutions. Looking ahead, FY2025 revenue guidance is set at $236-247 million. The transformation plan targets net annualized cost savings of $35-40 million.
Cerence has launched CaLLM™ Edge, an automotive-grade embedded small language model developed in collaboration with Microsoft. Built on Microsoft's Phi-3 family and fine-tuned with Cerence's automotive dataset, the model features 3.8 billion parameters and 4k context size. It enables car control commands, POI search, and conversational interaction without requiring internet connectivity.
The system operates in embedded-only or hybrid deployments, ensuring constant availability of generative AI features while maintaining data privacy by keeping information within the vehicle. This solution offers automakers improved assistant performance and cost efficiency while delivering cloud-like experiences regardless of connectivity.
Cerence (NASDAQ: CRNC) has announced it will release its fourth quarter financial results for the period ended September 30, 2024, on Thursday, November 21, 2024, at 7:00 a.m. Eastern Time. The company will host a conference call and webcast with accompanying slides at 8:30 a.m. Eastern Time the same day. Investors and analysts can participate in the audio conference call by registering through the provided link, while the webcast will be accessible through the Investor section of Cerence's website.
Cerence Inc. (NASDAQ: CRNC) has announced a new partnership with Kawasaki Motors to enhance the user experience across its motorcycle lineup. The collaboration integrates Cerence Ride, a platform specifically designed for two-wheelers, enabling riders to access navigation, vehicle controls, and cloud applications through a voice-powered AI assistant.
The system, compatible with both Android and iOS, can be embedded on smartphones and vehicle dashboards, allowing riders to control features like radio stations, diagnostics, and navigation tools through voice commands. This integration aims to address the growing demand for on-demand information access among two-wheeler users, particularly amid rising fuel prices and increased urban traffic.
Cerence Inc. (NASDAQ: CRNC) has expanded its partnership with Renault to enhance Reno, Renault's next-generation in-car companion, with generative AI capabilities. The collaboration integrates Cerence Chat Pro, an automotive-grade large language model, enabling conversational interactions powered by ChatGPT. Reno features neural text-to-speech technology capable of conveying different emotions and leverages car data to proactively suggest driving improvements. The system debuted in the Renault 5 E-Tech electric in September 2024 and will be available in the Renault 4 E-Tech electric in 2025.
Cerence Inc. (NASDAQ: CRNC) has announced an equity grant to its newly appointed Chief Executive Officer and President, Brian Krzanich, effective October 7, 2024. The initial equity award has a target aggregate value of $6 million, based on the average closing price of the Company's common stock over the trailing 20 trading days ending on the date of grant.
The award consists of 1,038,062 time-based restricted stock units and a target of 1,038,062 performance-based restricted stock units. The time-based units will vest in three equal installments on October 7, 2025, 2026, and 2027, subject to Krzanich's continued service. The performance-based units will be earned based on Company performance metrics during the three fiscal-year period ending September 30, 2027, subject to Krzanich's continued service through the fiscal year 2027 earnings release date.
These awards were granted as an inducement for Krzanich to join Cerence, in accordance with Nasdaq Listing Rule 5635(c)(4).
Cerence Inc. (NASDAQ: CRNC) has appointed Brian Krzanich as Chief Executive Officer and a member of the Board of Directors, effective immediately. Krzanich succeeds Stefan Ortmanns, who is departing as CEO and resigning from the Board. Krzanich, a seasoned executive, previously served as CEO of CDK Global Inc. and spent 36 years at Intel, including as CEO from 2013 to 2018.
The company reaffirmed its fourth quarter fiscal 2024 guidance, expecting revenue between $44 million to $50 million, GAAP net loss between ($32) million to ($28) million, and Adjusted EBITDA between ($19) million to ($13) million. Cerence aims to capitalize on opportunities in the fast-changing automotive industry and the potential of generative AI under Krzanich's leadership.
Cerence Inc. (NASDAQ: CRNC) has announced a partnership with Tuya Smart (NYSE: Tuya, HKEX: 2391) to provide multi-lingual text-to-speech (TTS) for Tuya's cloud developer platform designed for two-wheeled vehicles. This integration will enable riders to hear real-time information such as speed, riding time, battery status, and messages via voice, enhancing safety and enjoyment.
Tuya's platform serves over 100 two-wheeler manufacturers using the "Works with Smart Life" app. The partnership aims to expand in the future, bringing additional Cerence solutions to Tuya's platform. This collaboration aligns with the growing relevance of voice-powered interaction in consumer products and presents an opportunity for Cerence to extend its innovation in transportation.
Cerence (NASDAQ: CRNC) has announced the deployment of Cerence Chat Pro, a generative AI technology, in Škoda vehicles. This integration enhances the in-car voice assistant, Laura, providing more intelligent and entertaining interactions. The system, available in multiple languages including English, Spanish, Czech, and German, simplifies in-car navigation and access to vehicle features, improving driver safety. Available in Škoda Enyaq, Superb, Kodiaq, and Octavia models, the AI-driven assistant ensures data privacy by deleting interactions after processing. Christian Mentz, Cerence's CRO, highlighted this advancement as a benchmark for intelligent automotive technology. Cerence has also partnered with the Volkswagen Group to extend Cerence Chat Pro to Volkswagen and Audi models.
Cerence reported its Q3 FY2024 results, showing GAAP revenue of $70.5 million, up from $61.7 million YoY. The GAAP net loss was $313.5 million, primarily due to a $357 million goodwill impairment charge. Non-GAAP net income was $8.4 million, contrasting with a $1.7 million loss last year.
The company generated a positive cash flow of $12.9 million and announced five generative AI programs in production.
Transformation plans aim for $35-40 million in annualized cost savings by FY25. Key performance indicators include 53% of worldwide auto production incorporating Cerence technology and a 33% YoY increase in adjusted total billings.
Q4 FY2024 revenue is projected between $44 million to $50 million, with a GAAP net loss of $28-$32 million. FY2024 revenue guidance is set at $321-$327 million with a GAAP net loss of $596-$600 million.
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