Conduent Reports $3.04 Billion Revenue for Fiscal Year 2025, 9% Decrease from Previous Year

Conduent Incorporated reported a revenue of $3.04 billion for the fiscal year ending December 31, 2025, marking a 9% decrease from the previous year's revenue of $3.36 billion. The decline was attributed primarily to the impact of divestitures, including the BenefitWallet Portfolio and the Casualty Claims Solutions business, which accounted for approximately 57% of the revenue drop. Additionally, lost business and lower volumes contributed to the decrease, although these were partially offset by new business ramp-ups and higher equipment sales.

The company's operating costs for 2025 totaled $3.20 billion, an increase of 12% from $2.85 billion in 2024. This rise was driven by various factors, including a $25 million charge related to the January 2025 Cyber Event, which impacted the company's operational expenses. Despite the overall increase in costs, Conduent managed to reduce its cost of services by 9% to $2.49 billion, reflecting ongoing cost optimization initiatives. The net loss for the year was $170 million, a significant decline from the net income of $426 million reported in 2024.

In terms of strategic developments, Conduent launched an AI Experience Center in 2025 to enhance client engagement and showcase its AI capabilities. The company also executed a share repurchase program, buying back 9.2 million shares for $25 million under a $50 million authorization. Furthermore, Conduent completed the refinancing of its revolving credit facility and paid off the remaining balance of its Senior Secured Term Loan A, which contributed to a more favorable capital structure.

Operationally, Conduent employed approximately 51,000 associates globally, with 34% based in North America. The company processed over 454 million Medicaid claims and managed approximately 2 billion customer service interactions in 2025. The transportation segment saw revenue growth, driven by contract amendments and increased volumes, while the government segment reported improved profitability due to cost efficiencies. However, the commercial segment faced challenges with contract losses and lower volumes.

Looking ahead, Conduent aims to enhance its operational efficiency and profitability through continued investment in technology and process improvements. The company anticipates that its focus on growth, efficiency, and quality will position it favorably in the competitive landscape of business process services. Despite the challenges faced in 2025, Conduent remains committed to leveraging its technology-led solutions to drive future growth and improve client outcomes.