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), also known as Cerence AI, stands as a global leader at the forefront of artificial intelligence for the transportation industry. The company specializes in creating intuitive and seamless AI-powered experiences, primarily for the automotive sector and beyond. With decades of expertise in voice recognition, generative AI, and large language models, Cerence is dedicated to making journeys safer, more connected, and more enjoyable for drivers and passengers worldwide.
Cerence's core business revolves around its CaLLM™ (Cerence Automotive Large Language Model) family of language models, powering advanced in-car assistants. These solutions enable natural and intelligent conversations within vehicles, enhancing user experience through voice-activated controls, information access, and personalized interactions. The company's technology is deployed in over 500 million cars globally, demonstrating its significant market reach and the trust placed in its innovations by leading automakers and transportation OEMs.
Recent announcements highlight Cerence AI's ongoing growth and strategic initiatives. The company has solidified a multi-year agreement with JLR to co-develop the next generation of luxury in-car experiences, further cementing its position in the premium automotive segment. Furthermore, an expanded collaboration with NVIDIA leverages the NVIDIA AI Enterprise platform to optimize the performance and scalability of Cerence's CaLLM models, ensuring cutting-edge AI capabilities for its automotive partners. Financially, Cerence AI has demonstrated proactive cash management, as evidenced by the strategic repurchase of convertible senior notes, aimed at reducing debt and optimizing its balance sheet for long-term financial health.
The appointment of Tony Rodriquez as the permanent Chief Financial Officer underscores Cerence AI's commitment to strong financial leadership and strategic growth. Mr. Rodriquez brings extensive experience and a proven track record in financial management, strengthening the company's executive team. Cerence AI continues to focus on innovation, expanding its product offerings, and delivering value to its automaker customers through advanced AI solutions that redefine the in-car experience.
Headquartered in Burlington, Massachusetts, with a global presence, Cerence AI is committed to pushing the boundaries of AI innovation in transportation, shaping the future of connected and intelligent mobility.
Cerence Inc. (NASDAQ: CRNC) reported its Q1 FY2025 results with revenue of $50.9 million, down from $138.3 million in Q1 FY2024. The company experienced significant declines across key metrics, with GAAP gross margin falling to 65.0% from 81.0% and operating margin dropping to -33.3% from 42.3%. The quarter resulted in a GAAP net loss of $24.3 million, compared to a profit of $23.9 million in the prior year.
Despite the declining numbers, the company reported positive developments including six design wins, two wins for generative AI solutions, and six major customer SOPs. Cerence maintains a 51% share of worldwide auto production with its technology, and showed a 5% increase in connected cars shipped.
For Q2 FY2025, Cerence projects revenue between $74-77 million, including $20 million in Fixed License revenue, with adjusted EBITDA expected between $18-22 million. The company maintained its full-year fiscal 2025 guidance unchanged.
Cerence Inc. (NASDAQ: CRNC), an AI transportation technology leader, has scheduled its fiscal first quarter financial results announcement for February 6, 2025, at 4:05 PM ET. The results will cover the quarter ended December 31, 2024. The company will host a conference call and webcast with supplementary slides at 5:00 PM ET on the same day to discuss the results. Investors and analysts can participate in the audio conference call by registering through the provided link, while the webcast will be accessible via the Investor section of Cerence's website.
Cerence Inc. (NASDAQ: CRNC), a global leader in AI for transportation, has announced its participation in the 27th Annual Needham Growth Conference. The presentation will take place on Tuesday, January 14, 2025, at 12:45 p.m. Eastern Time. CEO Brian Krzanich and CFO Tony Rodriquez will participate in a fireside chat format discussion. The presentation will be accessible via webcast through the company's investor relations website, with a replay available afterward at www.cerence.ai.
Cerence Inc. (NASDAQ: CRNC) has expanded its collaboration with NVIDIA to enhance its CaLLM™ family of language models. The partnership leverages NVIDIA AI Enterprise software platform, including TensorRT-LLM and NeMo framework, to optimize performance for both cloud-based and embedded automotive language models.
The collaboration aims to improve in-vehicle assistant performance through NVIDIA's accelerated computing and SoCs, implement automotive-optimized NVIDIA NeMo Guardrails, and optimize agentic architecture via NVIDIA DRIVE AGX Orin. This partnership enables Cerence to deliver enhanced driver experiences with advanced performance, reduced latency, improved privacy, and robust security measures.
The integration focuses on meeting production timelines and productizing generative AI innovation for automotive applications, helping automakers deploy AI-powered solutions more efficiently while delivering cost savings and improved performance.
Cerence Inc. (NASDAQ: CRNC) has announced a multi-year partnership with JLR to develop the luxury automaker's next-generation in-car experience. The collaboration will focus on implementing Cerence's AI-enabled technologies to enhance intelligence and capabilities for JLR customers worldwide.
The partnership aims to continuously expand and improve JLR's in-car experience, focusing on enhancing enjoyment, safety, and productivity through advanced technological solutions. Christine Kemp, JLR's Chief Data and AI Officer, emphasized that voice and AI technology are central to advancing their infotainment system to provide customers with expanded features and an improved in-vehicle journey.
Cerence AI (NASDAQ: CRNC) has announced the repurchase of approximately $27 million of its 3.00% Convertible Senior Notes Due 2025 at 98.5% of their principal amount. The company plans to pay the remaining $60.5 million of Notes upon maturity in June 2025 using cash on hand.
The strategic decision aims to reduce interest expense, eliminate potential dilution from refinancing, and lower leverage. Additionally, Cerence will terminate its undrawn $50 million senior secured first-lien revolving credit facility to save on commitment fees.
The company has reaffirmed its first quarter fiscal year 2025 and full fiscal year 2025 guidance previously disclosed on November 21, 2024.
Cerence AI (NASDAQ: CRNC) has granted equity compensation to its new Executive Vice President and CFO, Tony Rodriquez, who joined on November 29, 2024. The package includes 313,283 time-based restricted stock units and 313,283 performance-based restricted stock units.
The time-based units will vest in three equal installments on October 1 of 2025, 2026, and 2027, contingent on Rodriquez's continued employment. The performance-based units will be earned based on company performance metrics for fiscal years 2025-2027, with one-third eligible each year. These awards were granted as employment inducement under Nasdaq Listing Rule 5635(c)(4).
Cerence AI (NASDAQ: CRNC) has appointed Tony Rodriquez as permanent Chief Financial Officer, effective November 29, 2024. Rodriquez, who served as interim CFO since June 2024, brings over 25 years of financial leadership experience across various industries. In his role, he will lead the company's finance organization, focusing on accelerating growth, improving operating results, and driving sustainable value. Prior to joining Cerence AI, Rodriquez was a partner at CSuite Financial Partners and served as CFO of The Bouqs Company from 2019 to 2023.
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.
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