Dun & Bradstreet Reports Fourth Quarter and Full Year 2022 Financial Results
Dun & Bradstreet Holdings, Inc. (NYSE: DNB) reported its financial results for Q4 and the year ended December 31, 2022. Q4 GAAP and Adjusted Revenues stood at $595 million, reflecting a 0.6% decrease year-over-year, though organic revenue grew 2.2% on a constant currency basis to $614.2 million. Net income for Q4 was $22.8 million, up from a loss of $11.6 million last year. For the full year, GAAP Revenue was $2.224 billion, a 2.7% increase, while Adjusted Net Income was stable at $472.4 million. The company forecasts 2023 revenues of $2.26 to $2.30 billion, with organic growth of 3% to 4.5% and adjusted EPS of $0.92 to $1.00.
- Organic revenue grew 2.2% in Q4 on a constant currency basis.
- Adjusted EBITDA increased 3.2% in Q4, reaching $250.4 million.
- Adjusted EPS remained stable at $1.10 for the year.
- 2023 revenue guidance projects growth of 1.6% to 3.4%.
- GAAP Revenue decreased 0.6% in Q4 compared to Q4 2021.
- International revenue fell 5.6% in Q4 compared to Q4 2021.
-
GAAP Revenue and Adjusted Revenue for the fourth quarter of 2022 were both
$595.0 million 0.6% and increased2.8% on a constant currency basis compared to the fourth quarter of 2021.
-
Excluding the impact of acquisitions and divestitures, organic revenue was
$614.2 million 2.2% on a constant currency basis compared to the fourth quarter of 2021.
-
GAAP net income for the fourth quarter of 2022 was
$22.8 million $0.05 $11.6 million $0.03 $139.2 million $0.32 $141.9 million $0.33
-
Adjusted EBITDA for the fourth quarter of 2022 was
$250.4 million 3.2% compared to the fourth quarter of 2021, and adjusted EBITDA margin for the fourth quarter of 2022 was42.1% .
“2022 was another year of solid progress for us financially, operationally and as an organization as a whole. Organic revenues on a constant currency basis accelerated to 3.5 percent growth over the prior year and we delivered just under forty percent EBITDA margins in what was an increasingly challenging macro environment,” said
-
GAAP Revenue and Adjusted Revenue for the year ended
December 31, 2022 were both$2,224.6 million 2.7% and5.8% on a constant currency basis compared to the year endedDecember 31, 2021 . Adjusted Revenue increased2.5% and5.6% on a constant currency basis compared to the year endedDecember 31, 2021 .
-
Excluding the impact of acquisitions and divestitures, organic revenue was
$2,242.6 million 3.5% on a constant currency basis compared to the year endedDecember 31, 2021 .
-
GAAP net loss for the year ended
December 31, 2022 was$2.3 million $0.01 $71.7 million $0.17 $472.4 million $1.10 $471.1 million $1.10
-
Adjusted EBITDA for the year ended
December 31, 2022 was$863.5 million 1.9% compared to the year endedDecember 31, 2021 , and adjusted EBITDA margin for the year endedDecember 31, 2022 was38.8% .
Segment Results
For the fourth quarter of 2022,
-
Finance and Risk revenue for the fourth quarter of 2022 was
$231.1 million $0.6 million 0.3% and0.5% on a constant currency basis compared to the fourth quarter of 2021.
-
Sales and Marketing revenue for the fourth quarter of 2022 was
$203.8 million $5.6 million 2.8% and2.9% on a constant currency basis compared to the fourth quarter of 2021.
For the year ended
-
Finance and Risk revenue for the year ended
December 31, 2022 was$866.9 million $32.2 million 3.9% and4.0% on a constant currency basis compared to the year endedDecember 31, 2021 .
-
Sales and Marketing revenue for the year ended
December 31, 2022 was$720.2 million $55.5 million 8.3% and8.4% on a constant currency basis compared to the year endedDecember 31, 2021 .
International
International revenue for the fourth quarter of 2022 was
-
Finance and Risk revenue for the fourth quarter of 2022 was
$106.0 million $4.2 million 3.8% and an increase of6.7% on a constant currency basis compared to the fourth quarter of 2021.
-
Sales and Marketing revenue for the fourth quarter of 2022 was
$54.1 million $5.3 million 8.9% and an increase of4.4% on a constant currency basis compared to the fourth quarter of 2021.
International adjusted EBITDA for the fourth quarter of 2022 was
International revenue for the year ended
-
Finance and Risk revenue for the year ended
December 31, 2022 was$419.1 million $11.2 million 2.6% and an increase of6.2% on a constant currency basis compared to the year endedDecember 31, 2021 .
-
Sales and Marketing revenue for the year ended
December 31, 2022 was$218.4 million $22.3 million 9.2% and an increase of1.9% on a constant currency basis compared to the year endedDecember 31, 2021 .
International adjusted EBITDA for the year ended
Balance Sheet
As of
Business Outlook
-
Revenues after the impact of foreign exchange are expected to be in the range of
$2,260 million $2,300 million 1.6% to3.4% .
-
Organic revenue growth is expected to be in the range of
3.0% to4.5% .
-
Adjusted EBITDA is expected to be in the range of
$870 million $920 million
-
Adjusted EPS is expected to be in the range of
$0.92 $1.00
| (1) | For 2023, Adjusted diluted earnings per share now excludes the impact of non-operational/non-cash pension income. For comparative purposes, starting with 2023, we have revised the prior year Adjusted diluted earnings per share to exclude the impact of non-operational/non-cash pension income. See page 16 for the revised 2020-2022 results. |
The foregoing forward-looking statements reflect Dun & Bradstreet’s expectations as of today's date and Revenue assumes constant foreign currency rates.
Earnings Conference Call and Audio Webcast
The call will also be webcast live from Dun & Bradstreet’s investor relations website at https://investor.dnb.com. Following the completion of the call, a recorded replay of the webcast will be available on the website.
About
Use of Non-GAAP Financial Measures
In addition to reporting GAAP results, we evaluate performance and report our results on the non-GAAP financial measures discussed below. We believe that the presentation of these non-GAAP measures provides useful information to investors and rating agencies regarding our results, operating trends and performance between periods. These non-GAAP financial measures include adjusted revenue, organic revenue, adjusted earnings before interest, taxes, depreciation and amortization (‘‘adjusted EBITDA’’), adjusted EBITDA margin, adjusted net income and adjusted net earnings per diluted share. Adjusted results are non-GAAP measures that adjust for the impact due to certain acquisition and divestiture related revenue and expenses, such as costs for banker fees, legal fees, due diligence, retention payments and contingent consideration adjustments, restructuring charges, equity-based compensation, and other non-core gains and charges that are not in the normal course of our business, such as costs associated with early debt redemptions, gains and losses on sales of businesses, impairment charges, the effect of significant changes in tax laws and material tax and legal settlements. We exclude amortization of recognized intangible assets resulting from the application of purchase accounting because it is non-cash and not indicative of our ongoing and underlying operating performance. Recognized intangible assets arise from acquisitions, primarily the Take-Private Transaction. We believe that recognized intangible assets by their nature are fundamentally different from other depreciating assets that are replaced on a predictable operating cycle. Unlike other depreciating assets, such as developed and purchased software licenses or property and equipment, there is no replacement cost once these recognized intangible assets expire and the assets are not replaced. Additionally, our costs to operate, maintain and extend the life of acquired intangible assets and purchased intellectual property are reflected in our operating costs as personnel, data fee, facilities, overhead and similar items. Management believes it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Amortization of recognized intangible assets will recur in future periods until such assets have been fully amortized. In addition, we isolate the effects of changes in foreign exchange rates on our revenue growth because we believe it is useful for investors to be able to compare revenue from one period to another, both after and before the effects of foreign exchange rate changes. The change in revenue performance attributable to foreign currency rates is determined by converting both our prior and current periods’ foreign currency revenue by a constant rate. As a result, we monitor our adjusted revenue growth both after and before the effects of foreign exchange rate changes. We believe that these supplemental non-GAAP financial measures provide management and other users with additional meaningful financial information that should be considered when assessing our ongoing performance and comparability of our operating results from period to period. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. These non-GAAP measures are among the factors management uses in planning for and forecasting future periods. Non-GAAP financial measures should be viewed in addition to, and not as an alternative to our reported results prepared in accordance with GAAP.
Our non-GAAP or adjusted financial measures reflect adjustments based on the following items, as well as the related income tax.
Adjusted Revenue
We define adjusted revenue as revenue to include a revenue adjustment due to the timing of the completion of the
Organic Revenue
We define organic revenue as adjusted revenue before the effect of foreign exchange excluding revenue from acquired businesses for the first twelve months. In addition, organic revenue excludes current and prior year revenue associated with divested businesses. We believe the organic measure provides investors and analysts with useful supplemental information regarding the Company’s underlying revenue trends by excluding the impact of acquisitions and divestitures. Revenue from acquired businesses is primarily related to the acquisitions of
Adjusted EBITDA and Adjusted EBITDA Margin
We define adjusted EBITDA as net income (loss) attributable to
- depreciation and amortization;
- interest expense and income;
- income tax benefit or provision;
- other non-operating expenses or income;
- equity in net income of affiliates;
- net income attributable to non-controlling interests;
- equity-based compensation;
- restructuring charges;
- merger, acquisition and divestiture-related operating costs;
- transition costs primarily consisting of non-recurring expenses associated with transformational and integration activities, as well as incentive expenses associated with our synergy program;
-
other adjustments primarily related to non-cash charges and gains, including impairment charges and adjustments as the result of the application of purchase accounting mainly related to the deferred commission cost amortization associated with the Take-Private Transaction and revenue adjustment associated with the
Bisnode acquisition. In addition, other adjustments also include non-recurring charges such as legal expense associated with significant legal and regulatory matters.
We calculate adjusted EBITDA margin by dividing adjusted EBITDA by adjusted revenue.
Adjusted Net Income
We define adjusted net income as net income (loss) attributable to
- incremental amortization resulting from the application of purchase accounting. We exclude amortization of recognized intangible assets resulting from the application of purchase accounting because it is non-cash and is not indicative of our ongoing and underlying operating performance. The Company believes that recognized intangible assets by their nature are fundamentally different from other depreciating assets that are replaced on a predictable operating cycle. Unlike other depreciating assets, such as developed and purchased software licenses or property and equipment, there is no replacement cost once these recognized intangible assets expire and the assets are not replaced. Additionally, the Company’s costs to operate, maintain and extend the life of acquired intangible assets and purchased intellectual property are reflected in the Company’s operating costs as personnel, data fee, facilities, overhead and similar items;
- equity-based compensation;
- restructuring charges;
- merger, acquisition and divestiture-related operating costs;
- transition costs primarily consisting of non-recurring expenses associated with transformational and integration activities, as well as incentive expenses associated with our synergy program;
- merger, acquisition and divestiture-related non-operating costs;
- debt refinancing and extinguishment costs;
- non-recurring pension charges;
-
other adjustments primarily related to non-cash charges and gains, including impairment charges and adjustments as the result of the application of purchase accounting mainly related to the deferred commission cost amortization associated with the Take-Private Transaction and revenue adjustment associated with the
Bisnode acquisition. In addition, other adjustments also include non-recurring charges such as legal expense associated with significant legal and regulatory matters.
- tax effect of the non-GAAP adjustments; and
- other tax effect adjustments related to the tax impact of statutory tax rate changes on deferred taxes, the enactment of the Coronavirus Aid, Relief, and Economic Security Act (the “CARES Act”) and other discrete items.
Adjusted Net Earnings Per Diluted Share
We calculate adjusted net earnings per diluted share by dividing adjusted net income (loss) by the weighted average number of common shares outstanding for the period plus the dilutive effect of common shares potentially issuable in connection with awards outstanding under our stock incentive plan.
Forward-Looking Statements
The statements contained in this release that are not purely historical are forward-looking statements, including statements regarding expectations, hopes, intentions or strategies regarding the future. Forward-looking statements are based on Dun & Bradstreet’s management’s beliefs, as well as assumptions made by, and information currently available to, them. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects” and similar references to future periods, or by the inclusion of forecasts or projections. Examples of forward-looking statements include, but are not limited to, statements we make regarding the outlook for our future business and financial performance. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. It is not possible to predict or identify all risk factors. Consequently, the risks and uncertainties listed below should not be considered a complete discussion of all of our potential trends, risks and uncertainties. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.
The risks and uncertainties that forward-looking statements are subject to include, but are not limited to: (i) our ability to implement and execute our strategic plans to transform the business; (ii) our ability to develop or sell solutions in a timely manner or maintain client relationships; (iii) competition for our solutions; (iv) harm to our brand and reputation; (v) unfavorable global economic conditions including, but not limited to, volatility in interest rates, foreign currency markets, inflation, and supply chain disruptions; (vi) risks associated with operating and expanding internationally; (vii) failure to prevent cybersecurity incidents or the perception that confidential information is not secure; (viii) failure in the integrity of our data or systems; (ix) system failures and personnel disruptions, which could delay the delivery of our solutions to our clients; (x) loss of access to data sources or ability to transfer data across the data sources in markets where we operate; (xi) failure of our software vendors and network and cloud providers to perform as expected or if our relationship is terminated; (xii) loss or diminution of one or more of our key clients, business partners or government contracts; (xiii) dependence on strategic alliances, joint ventures and acquisitions to grow our business; (xiv) our ability to protect our intellectual property adequately or cost-effectively; (xv) claims for intellectual property infringement; (xvi) interruptions, delays or outages to subscription or payment processing platforms; (xvii) risks related to acquiring and integrating businesses and divestitures of existing businesses; (xviii) our ability to retain members of the senior leadership team and attract and retain skilled employees; (xix) compliance with governmental laws and regulations; (xx) risks related to the voting letter agreement among and registration and other rights held by certain of our largest shareholders; (xxi) an outbreak of disease, global or localized health pandemic or epidemic, or the fear of such an event (such as the COVID-19 global pandemic), including the global economic uncertainty and measures taken in response; (xxii) the short- and long-term effects of the COVID-19 global pandemic, including the pace of recovery or any future resurgence; (xxiii) increased economic uncertainty related to the ongoing conflict between
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|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
Revenue |
$ |
595.0 |
|
|
$ |
598.3 |
|
|
$ |
2,224.6 |
|
|
$ |
2,165.6 |
|
Cost of services (exclusive of depreciation and amortization) |
|
188.1 |
|
|
|
176.7 |
|
|
|
721.4 |
|
|
|
664.3 |
|
Selling and administrative expenses |
|
196.7 |
|
|
|
199.1 |
|
|
|
745.6 |
|
|
|
714.7 |
|
Depreciation and amortization |
|
145.7 |
|
|
|
157.2 |
|
|
|
587.2 |
|
|
|
615.9 |
|
Restructuring charges |
|
6.2 |
|
|
|
4.4 |
|
|
|
20.5 |
|
|
|
25.1 |
|
Operating costs |
|
536.7 |
|
|
|
537.4 |
|
|
|
2,074.7 |
|
|
|
2,020.0 |
|
Operating income (loss) |
|
58.3 |
|
|
|
60.9 |
|
|
|
149.9 |
|
|
|
145.6 |
|
Interest income |
|
1.1 |
|
|
|
0.2 |
|
|
|
2.2 |
|
|
|
0.7 |
|
Interest expense |
|
(55.0 |
) |
|
|
(61.2 |
) |
|
|
(193.2 |
) |
|
|
(206.4 |
) |
Other income (expense) - net |
|
3.2 |
|
|
|
(17.6 |
) |
|
|
13.9 |
|
|
|
14.9 |
|
Non-operating income (expense) - net |
|
(50.7 |
) |
|
|
(78.6 |
) |
|
|
(177.1 |
) |
|
|
(190.8 |
) |
Income (loss) before provision (benefit) for income taxes and equity in net income of affiliates |
|
7.6 |
|
|
|
(17.7 |
) |
|
|
(27.2 |
) |
|
|
(45.2 |
) |
Less: provision (benefit) for income taxes |
|
(15.2 |
) |
|
|
(7.0 |
) |
|
|
(28.8 |
) |
|
|
23.4 |
|
Equity in net income of affiliates |
|
0.7 |
|
|
|
0.7 |
|
|
|
2.5 |
|
|
|
2.7 |
|
Net income (loss) |
|
23.5 |
|
|
|
(10.0 |
) |
|
|
4.1 |
|
|
|
(65.9 |
) |
Less: net (income) loss attributable to the non-controlling interest |
|
(0.7 |
) |
|
|
(1.6 |
) |
|
|
(6.4 |
) |
|
|
(5.8 |
) |
Net income (loss) attributable to |
$ |
22.8 |
|
|
$ |
(11.6 |
) |
|
$ |
(2.3 |
) |
|
$ |
(71.7 |
) |
|
|
|
|
|
|
|
|
||||||||
Basic earnings (loss) per share of common stock attributable to |
$ |
0.05 |
|
|
$ |
(0.03 |
) |
|
$ |
(0.01 |
) |
|
$ |
(0.17 |
) |
Diluted earnings (loss) per share of common stock attributable to |
$ |
0.05 |
|
|
$ |
(0.03 |
) |
|
$ |
(0.01 |
) |
|
$ |
(0.17 |
) |
Weighted average number of shares outstanding-basic |
|
429.3 |
|
|
|
428.6 |
|
|
|
429.1 |
|
|
|
428.7 |
|
Weighted average number of shares outstanding-diluted |
|
432.5 |
|
|
|
428.6 |
|
|
|
429.1 |
|
|
|
428.7 |
|
|
|
|
|
|
|
|
|
||||||||
|
|||||||
|
|
|
|
||||
Assets |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
208.4 |
|
|
$ |
177.1 |
|
Accounts receivable, net of allowance of |
|
271.6 |
|
|
|
401.7 |
|
Prepaid taxes |
|
57.7 |
|
|
|
52.2 |
|
Other prepaids |
|
77.2 |
|
|
|
63.9 |
|
Other current assets |
|
89.0 |
|
|
|
23.1 |
|
Total current assets |
|
703.9 |
|
|
|
718.0 |
|
Non-current assets |
|
|
|
||||
Property, plant and equipment, net of accumulated depreciation of |
|
96.9 |
|
|
|
96.8 |
|
Computer software, net of accumulated amortization of |
|
631.8 |
|
|
|
557.4 |
|
|
|
3,431.3 |
|
|
|
3,493.3 |
|
Deferred income tax |
|
16.0 |
|
|
|
18.5 |
|
Other intangibles |
|
4,320.1 |
|
|
|
4,824.5 |
|
Deferred costs |
|
143.7 |
|
|
|
116.1 |
|
Other non-current assets |
|
128.2 |
|
|
|
172.6 |
|
Total non-current assets |
|
8,768.0 |
|
|
|
9,279.2 |
|
Total assets |
$ |
9,471.9 |
|
|
$ |
9,997.2 |
|
Liabilities |
|
|
|
||||
Current liabilities |
|
|
|
||||
Accounts payable |
$ |
80.5 |
|
|
$ |
83.5 |
|
Accrued payroll |
|
109.5 |
|
|
|
125.6 |
|
Short-term debt |
|
32.7 |
|
|
|
28.1 |
|
Deferred revenue |
|
563.1 |
|
|
|
569.4 |
|
Other accrued and current liabilities |
|
316.8 |
|
|
|
198.3 |
|
Total current liabilities |
|
1,102.6 |
|
|
|
1,004.9 |
|
Long-term pension and postretirement benefits |
|
158.2 |
|
|
|
178.4 |
|
Long-term debt |
|
3,552.2 |
|
|
|
3,716.7 |
|
Deferred income tax |
|
1,023.7 |
|
|
|
1,207.2 |
|
Other non-current liabilities |
|
126.8 |
|
|
|
144.7 |
|
Total liabilities |
|
5,963.5 |
|
|
|
6,251.9 |
|
Commitments and contingencies |
|
|
|
||||
|
|
|
|
||||
Equity |
|
|
|
||||
Common Stock, |
|
— |
|
|
|
— |
|
Capital surplus |
|
4,443.7 |
|
|
|
4,500.4 |
|
Accumulated deficit |
|
(764.1 |
) |
|
|
(761.8 |
) |
Treasury Stock, 886,920 shares at |
|
(0.3 |
) |
|
|
(0.3 |
) |
Accumulated other comprehensive loss |
|
(180.0 |
) |
|
|
(57.1 |
) |
Total stockholder equity |
|
3,499.3 |
|
|
|
3,681.2 |
|
Non-controlling interest |
|
9.1 |
|
|
|
64.1 |
|
Total equity |
|
3,508.4 |
|
|
|
3,745.3 |
|
Total liabilities and stockholder equity |
$ |
9,471.9 |
|
|
$ |
9,997.2 |
|
|
|||||||
|
Year ended |
||||||
|
2022 |
|
2021 |
||||
Cash flows provided by (used in) operating activities: |
|
|
|
||||
Net income (loss) |
$ |
4.1 |
|
|
$ |
(65.9 |
) |
Reconciliation of net income (loss) to net cash provided by (used in) operating activities: |
|
|
|
||||
Depreciation and amortization |
|
587.2 |
|
|
|
615.9 |
|
Amortization of unrecognized pension loss (gain) |
|
(0.4 |
) |
|
|
1.9 |
|
Debt early redemption premium expense |
|
16.3 |
|
|
|
29.5 |
|
Amortization and write off of deferred debt issuance costs |
|
23.8 |
|
|
|
31.2 |
|
Pension settlement charge |
|
2.1 |
|
|
|
— |
|
Equity-based compensation expense |
|
66.0 |
|
|
|
33.3 |
|
Restructuring charge |
|
20.5 |
|
|
|
25.1 |
|
Restructuring payments |
|
(16.9 |
) |
|
|
(20.6 |
) |
Changes in deferred income taxes |
|
(151.0 |
) |
|
|
(77.4 |
) |
Changes in operating assets and liabilities: (1) |
|
|
|
||||
(Increase) decrease in accounts receivable |
|
113.3 |
|
|
|
(13.7 |
) |
(Increase) decrease in prepaid taxes, other prepaids and other current assets |
|
(23.2 |
) |
|
|
62.7 |
|
Increase (decrease) in deferred revenue |
|
8.8 |
|
|
|
16.5 |
|
Increase (decrease) in accounts payable |
|
(5.2 |
) |
|
|
(0.1 |
) |
Increase (decrease) in accrued payroll |
|
3.6 |
|
|
|
10.8 |
|
Increase (decrease) in other accrued and current liabilities |
|
(18.1 |
) |
|
|
(31.2 |
) |
(Increase) decrease in other long-term assets |
|
(53.2 |
) |
|
|
(34.2 |
) |
Increase (decrease) in long-term liabilities |
|
(41.2 |
) |
|
|
(84.4 |
) |
Net, other non-cash adjustments |
|
0.6 |
|
|
|
4.3 |
|
Net cash provided by (used in) operating activities |
|
537.1 |
|
|
|
503.7 |
|
Cash flows provided by (used in) investing activities: |
|
|
|
||||
Acquisitions of businesses, net of cash acquired |
|
(0.5 |
) |
|
|
(844.8 |
) |
Cash settlements of foreign currency contracts and net investment hedge |
|
6.0 |
|
|
|
22.3 |
|
Payments for real estate purchase |
|
— |
|
|
|
(76.6 |
) |
Capital expenditures |
|
(12.6 |
) |
|
|
(9.7 |
) |
Additions to computer software and other intangibles |
|
(205.3 |
) |
|
|
(170.7 |
) |
Other investing activities, net |
|
1.9 |
|
|
|
0.8 |
|
Net cash provided by (used in) investing activities |
|
(210.5 |
) |
|
|
(1,078.7 |
) |
Cash flows provided by (used in) financing activities: |
|
|
|
||||
Payment for debt early redemption premiums |
|
(16.3 |
) |
|
|
(29.5 |
) |
Payments of dividends |
|
(42.9 |
) |
|
|
— |
|
Payment of long term debt |
|
(420.0 |
) |
|
|
(450.0 |
) |
Proceeds from borrowings on Credit Facility |
|
315.1 |
|
|
|
314.1 |
|
Proceeds from issuance of Senior Notes |
|
— |
|
|
|
460.0 |
|
Proceeds from borrowings on Term Loan Facility |
|
460.0 |
|
|
|
300.0 |
|
Payments of borrowings on Credit Facility |
|
(424.8 |
) |
|
|
(154.1 |
) |
Payments of borrowing on Term Loan Facility |
|
(106.6 |
) |
|
|
(28.1 |
) |
Payment of debt issuance costs |
|
(7.4 |
) |
|
|
(9.5 |
) |
Payment for purchase of non-controlling interests |
|
(23.6 |
) |
|
|
— |
|
Other financing activities, net |
|
(14.6 |
) |
|
|
(2.8 |
) |
Net cash provided by (used in) financing activities |
|
(281.1 |
) |
|
|
400.1 |
|
Effect of exchange rate changes on cash and cash equivalents |
|
(14.2 |
) |
|
|
(0.3 |
) |
Increase (decrease) in cash and cash equivalents |
|
31.3 |
|
|
|
(175.2 |
) |
Cash and Cash Equivalents, Beginning of Period |
|
177.1 |
|
|
|
352.3 |
|
Cash and Cash Equivalents, End of Period |
$ |
208.4 |
|
|
$ |
177.1 |
|
|
|
|
|
||||
Supplemental Disclosure of Cash Flow Information: |
|
|
|
||||
Cash Paid for: |
|
|
|
||||
Income taxes payment (refund), net |
$ |
139.8 |
|
|
$ |
12.7 |
|
Interest |
$ |
178.5 |
|
|
$ |
191.8 |
|
| (1) | Net of the effect of acquisitions. |
|
|
|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
GAAP Revenue |
$ |
595.0 |
|
|
$ |
598.3 |
|
|
$ |
2,224.6 |
|
|
$ |
2,165.6 |
|
Revenue adjustment due to the |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
4.6 |
|
Adjusted revenue (a) |
$ |
595.0 |
|
|
$ |
598.3 |
|
|
$ |
2,224.6 |
|
|
$ |
2,170.2 |
|
Foreign currency impact |
|
25.1 |
|
|
|
4.6 |
|
|
|
69.5 |
|
|
|
3.1 |
|
Adjusted revenue before the effect of foreign currency (a) |
$ |
620.1 |
|
|
$ |
602.9 |
|
|
$ |
2,294.1 |
|
|
$ |
2,173.3 |
|
Revenue from acquisition and divestiture - before the effect of foreign currency |
|
(5.9 |
) |
|
|
(1.8 |
) |
|
|
(51.5 |
) |
|
|
(6.9 |
) |
Organic revenue - before the effect of foreign currency (a) |
$ |
614.2 |
|
|
$ |
601.1 |
|
|
$ |
2,242.6 |
|
|
$ |
2,166.4 |
|
|
|
|
|
|
|
|
|
||||||||
|
$ |
434.9 |
|
|
$ |
428.7 |
|
|
$ |
1,587.1 |
|
|
$ |
1,499.4 |
|
International |
|
160.1 |
|
|
|
169.6 |
|
|
|
637.5 |
|
|
|
671.0 |
|
Segment revenue |
$ |
595.0 |
|
|
$ |
598.3 |
|
|
$ |
2,224.6 |
|
|
$ |
2,170.4 |
|
Corporate and other (a) |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.2 |
) |
Foreign currency impact |
|
25.1 |
|
|
|
4.6 |
|
|
|
69.5 |
|
|
|
3.1 |
|
Adjusted revenue before the effect of foreign currency (a) |
$ |
620.1 |
|
|
$ |
602.9 |
|
|
$ |
2,294.1 |
|
|
$ |
2,173.3 |
|
Revenue from acquisition and divestiture - before the effect of foreign currency |
|
(5.9 |
) |
|
|
(1.8 |
) |
|
|
(51.5 |
) |
|
|
(6.9 |
) |
Organic revenue - before the effect of foreign currency (a) |
$ |
614.2 |
|
|
$ |
601.1 |
|
|
$ |
2,242.6 |
|
|
$ |
2,166.4 |
|
|
|
|
|
|
|
|
|
||||||||
(a) Including impact of deferred revenue purchase accounting adjustments |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
(0.2 |
) |
|
|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
Net income (loss) attributable to |
$ |
22.8 |
|
|
$ |
(11.6 |
) |
|
$ |
(2.3 |
) |
|
$ |
(71.7 |
) |
Depreciation and amortization |
|
145.7 |
|
|
|
157.2 |
|
|
|
587.2 |
|
|
|
615.9 |
|
Interest expense - net |
|
53.9 |
|
|
|
61.0 |
|
|
|
191.0 |
|
|
|
205.7 |
|
(Benefit) provision for income tax - net |
|
(15.2 |
) |
|
|
(7.0 |
) |
|
|
(28.8 |
) |
|
|
23.4 |
|
EBITDA |
|
207.2 |
|
|
|
199.6 |
|
|
|
747.1 |
|
|
|
773.3 |
|
Other income (expense) - net |
|
(3.2 |
) |
|
|
17.6 |
|
|
|
(13.9 |
) |
|
|
(14.9 |
) |
Equity in net income of affiliates |
|
(0.7 |
) |
|
|
(0.7 |
) |
|
|
(2.5 |
) |
|
|
(2.7 |
) |
Net income (loss) attributable to non-controlling interest |
|
0.7 |
|
|
|
1.6 |
|
|
|
6.4 |
|
|
|
5.8 |
|
Equity-based compensation |
|
22.1 |
|
|
|
9.6 |
|
|
|
66.0 |
|
|
|
33.3 |
|
Restructuring charges |
|
6.2 |
|
|
|
4.4 |
|
|
|
20.5 |
|
|
|
25.1 |
|
Merger and acquisition-related operating costs |
|
6.1 |
|
|
|
6.9 |
|
|
|
23.4 |
|
|
|
14.1 |
|
Transition costs |
|
10.7 |
|
|
|
6.0 |
|
|
|
24.4 |
|
|
|
11.6 |
|
Other adjustments (1) |
|
1.3 |
|
|
|
(2.3 |
) |
|
|
(7.9 |
) |
|
|
1.5 |
|
Adjusted EBITDA |
$ |
250.4 |
|
|
$ |
242.7 |
|
|
$ |
863.5 |
|
|
$ |
847.1 |
|
|
|
|
|
|
|
|
|
||||||||
|
$ |
214.9 |
|
|
$ |
211.3 |
|
|
$ |
718.0 |
|
|
$ |
715.3 |
|
International |
|
49.0 |
|
|
|
46.0 |
|
|
|
202.2 |
|
|
|
194.1 |
|
Corporate and other (a) |
|
(13.5 |
) |
|
|
(14.6 |
) |
|
|
(56.7 |
) |
|
|
(62.3 |
) |
Adjusted EBITDA (a) |
$ |
250.4 |
|
|
$ |
242.7 |
|
|
$ |
863.5 |
|
|
$ |
847.1 |
|
Adjusted EBITDA Margin (a) |
|
42.1 |
% |
|
|
40.6 |
% |
|
|
38.8 |
% |
|
|
39.0 |
% |
|
|
|
|
|
|
|
|
||||||||
(a) Including impact of deferred revenue purchase accounting adjustments |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
(0.2 |
) |
| (1) |
Adjustments for 2022, 2021 and 2020 were primarily related to non-cash purchase accounting adjustments for deferred commission assets associated with the Take-Private Transaction and non-recurring legal reserve adjustments related to the |
|
|
|||||||||||||||
|
Three months ended |
||||||||||||||
|
|
|
International |
|
Corporate and
|
|
Total |
||||||||
Adjusted revenue |
$ |
434.9 |
|
|
$ |
160.1 |
|
|
$ |
— |
|
|
$ |
595.0 |
|
Total operating costs |
|
237.8 |
|
|
|
115.2 |
|
|
|
15.2 |
|
|
|
368.2 |
|
Operating income (loss) |
|
197.1 |
|
|
|
44.9 |
|
|
|
(15.2 |
) |
|
|
226.8 |
|
Depreciation and amortization |
|
17.8 |
|
|
|
4.1 |
|
|
|
1.7 |
|
|
|
23.6 |
|
Adjusted EBITDA |
$ |
214.9 |
|
|
$ |
49.0 |
|
|
$ |
(13.5 |
) |
|
$ |
250.4 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA margin |
|
49.4 |
% |
|
|
30.6 |
% |
|
|
N/A |
|
|
|
42.1 |
% |
|
Year ended |
||||||||||||||
|
|
|
International |
|
Corporate and
|
|
Total |
||||||||
Adjusted revenue |
$ |
1,587.1 |
|
|
$ |
637.5 |
|
|
$ |
— |
|
|
$ |
2,224.6 |
|
Total operating costs |
|
940.5 |
|
|
|
450.3 |
|
|
|
63.4 |
|
|
|
1,454.2 |
|
Operating income (loss) |
|
646.6 |
|
|
|
187.2 |
|
|
|
(63.4 |
) |
|
|
770.4 |
|
Depreciation and amortization |
|
71.4 |
|
|
|
15.0 |
|
|
|
6.7 |
|
|
|
93.1 |
|
Adjusted EBITDA |
$ |
718.0 |
|
|
$ |
202.2 |
|
|
$ |
(56.7 |
) |
|
$ |
863.5 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA margin |
|
45.2 |
% |
|
|
31.7 |
% |
|
|
N/A |
|
|
|
38.8 |
% |
|
Three months ended |
||||||||||||||
|
|
|
International |
|
Corporate and
|
|
Total |
||||||||
Adjusted revenue |
$ |
428.7 |
|
|
$ |
169.6 |
|
|
$ |
— |
|
|
$ |
598.3 |
|
Total operating costs |
|
233.8 |
|
|
|
126.9 |
|
|
|
16.5 |
|
|
|
377.2 |
|
Operating income (loss) |
|
194.9 |
|
|
|
42.7 |
|
|
|
(16.5 |
) |
|
|
221.1 |
|
Depreciation and amortization |
|
16.4 |
|
|
|
3.3 |
|
|
|
1.9 |
|
|
|
21.6 |
|
Adjusted EBITDA |
$ |
211.3 |
|
|
$ |
46.0 |
|
|
$ |
(14.6 |
) |
|
$ |
242.7 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA margin |
|
49.3 |
% |
|
|
27.1 |
% |
|
|
N/A |
|
|
|
40.6 |
% |
|
Year ended |
||||||||||||||
|
|
|
International |
|
Corporate and
|
|
Total |
||||||||
Adjusted revenue |
$ |
1,499.4 |
|
|
$ |
671.0 |
|
|
$ |
(0.2 |
) |
|
$ |
2,170.2 |
|
Total operating costs |
|
844.3 |
|
|
|
489.0 |
|
|
|
70.0 |
|
|
|
1,403.3 |
|
Operating income (loss) |
|
655.1 |
|
|
|
182.0 |
|
|
|
(70.2 |
) |
|
|
766.9 |
|
Depreciation and amortization |
|
60.2 |
|
|
|
12.1 |
|
|
|
7.9 |
|
|
|
80.2 |
|
Adjusted EBITDA |
$ |
715.3 |
|
|
$ |
194.1 |
|
|
$ |
(62.3 |
) |
|
$ |
847.1 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA margin |
|
47.7 |
% |
|
|
28.9 |
% |
|
|
N/A |
|
|
|
39.0 |
% |
|
|||||||||||||||
|
Three months ended |
|
Year ended |
||||||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||||||
Net income (loss) attributable to |
$ |
22.8 |
|
|
$ |
(11.6 |
) |
|
$ |
(2.3 |
) |
|
$ |
(71.7 |
) |
Incremental amortization of intangible assets resulting from the application of purchase accounting |
|
122.0 |
|
|
|
135.6 |
|
|
|
494.0 |
|
|
|
535.7 |
|
Equity-based compensation |
|
22.1 |
|
|
|
9.6 |
|
|
|
66.0 |
|
|
|
33.3 |
|
Restructuring charges |
|
6.2 |
|
|
|
4.4 |
|
|
|
20.5 |
|
|
|
25.1 |
|
Merger and acquisition-related operating costs |
|
6.1 |
|
|
|
6.9 |
|
|
|
23.4 |
|
|
|
14.1 |
|
Transition costs |
|
10.7 |
|
|
|
6.0 |
|
|
|
24.4 |
|
|
|
11.6 |
|
Merger and acquisition-related non-operating costs |
|
1.7 |
|
|
|
(0.1 |
) |
|
|
3.7 |
|
|
|
2.2 |
|
Debt refinancing and extinguishment costs |
|
— |
|
|
|
41.9 |
|
|
|
24.3 |
|
|
|
43.0 |
|
Non-recurring pension charges |
|
2.1 |
|
|
|
— |
|
|
|
2.1 |
|
|
|
— |
|
Other adjustments (1) |
|
1.3 |
|
|
|
(2.3 |
) |
|
|
(7.9 |
) |
|
|
1.5 |
|
Tax effect of non-GAAP adjustments |
|
(40.5 |
) |
|
|
(53.2 |
) |
|
|
(156.1 |
) |
|
|
(165.2 |
) |
Other tax effect adjustments |
|
(15.3 |
) |
|
|
4.7 |
|
|
|
(19.7 |
) |
|
|
41.5 |
|
Adjusted net income (loss) attributable to |
$ |
139.2 |
|
|
$ |
141.9 |
|
|
$ |
472.4 |
|
|
$ |
471.1 |
|
Adjusted diluted earnings (loss) per share of common stock |
$ |
0.32 |
|
|
$ |
0.33 |
|
|
$ |
1.10 |
|
|
$ |
1.10 |
|
Weighted average number of shares outstanding - diluted |
|
432.5 |
|
|
|
429.0 |
|
|
|
430.0 |
|
|
|
429.8 |
|
|
|
|
|
|
|
|
|
||||||||
(a) Including impact of deferred revenue purchase accounting adjustments |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
(0.2 |
) |
| (1) |
Adjustments for 2022, 2021 and 2020 were primarily related to non-cash purchase accounting adjustments for deferred commission assets associated with the Take-Private Transaction and non-recurring legal reserve adjustments related to the |
|
Adjusted Net Earnings Definition Update (Unaudited)
(In millions, except per share data)
For 2023, we will change the definition for Adjusted Net Earnings to exclude the non-operating / non-cash pension income historically included in the calculation. The table below shows the annual impact for 2020 through 2022.
|
Year Ended |
||||||||||||
|
2022 |
|
2021 |
|
2020 |
||||||||
Previously Reported |
$ |
472.4 |
|
|
$ |
471.3 |
|
|
$ |
362.3 |
|
||
Non-operating / non-cash pension income, net of tax |
|
(33.0 |
) |
|
|
(40.0 |
) |
|
|
(34.7 |
) |
||
Revised |
$ |
434.9 |
|
|
$ |
431.3 |
|
|
$ |
327.6 |
|
||
Adjusted diluted earnings per share: |
|||||||||||||
Previously Reported |
$ |
1.10 |
|
|
$ |
1.10 |
|
|
$ |
0.99 |
|
||
Revised |
$ |
1.02 |
|
|
$ |
1.00 |
|
|
$ |
0.89 |
|
||
View source version on businesswire.com: https://www.businesswire.com/news/home/20230216005303/en/
Investor Contact:
904-648-8006
IR@dnb.com
Media Contact:
904-648-6328
Mcabeed@dnb.com
Source:
FAQ
What were the revenue figures for Dun & Bradstreet in Q4 2022?
What was Dun & Bradstreet's net income for the full year 2022?
What is the adjusted EPS forecast for Dun & Bradstreet in 2023?
How did Dun & Bradstreet's organic revenue perform in Q4 2022?
What is the 2023 revenue guidance for Dun & Bradstreet?
