Conduent (CNDT) Investor Day 2026 summary

Strategy and portfolio

• ASCEND 2026–28 standardizes operations and infrastructure, specializes in core solutions, and scales industry-aligned go-to-market to improve efficiency, differentiation and growth.

• Transit and Tolling divestitures generated $234M gross proceeds plus a 7% Quarterhill equity interest valued at ~$20M as of Sept. 23, 2026; proceeds exceeded the $200M portfolio-action commitment and supported deleveraging.

• The streamlined portfolio centers on healthcare, financial and enterprise operations for government and commercial clients; 6,000+ headcount reductions since January drove >$100M annualized wage and benefit impact.

• Standardized commercial and government models emphasize disciplined pipeline management, high-value specialization, scalable solutions and outcome-based pricing, with willingness to exit unprofitable contracts.

• Leadership and board refresh, regulated-market expansion, and partnerships support accountability and capture of state and federal growth opportunities.

Financial framework

• Revenue outlook is $2.15B–$2.25B in 2026 and 2027, rising to $2.25B–$2.35B in 2028; Adjusted EBITDA outlook is $140M–$170M, $170M–$200M and $210M–$250M, respectively.

• Adjusted EBITDA margin outlook is 6.5%–7.6% in 2026, 7.9%–8.9% in 2027 and 9.3%–10.6% in 2028; the long-term model targets 15%.

• $120M annual cost-efficiency target spans reorganization, vendor rationalization and AI-enabled operations; $30M is expected in 2026 and the 2028 EBITDA bridge includes $90M of cost improvements.

• Free cash flow is expected to be negative in 2026, flat-to-positive in 2027 and positive in 2028, with a 2028 target above 20% of Adjusted EBITDA.

Commercial growth engine

• Commercial sales is adopting one operating cadence across market focus, demand creation, pursuit conversion and account expansion, supported by a Demand Center, solution architects and Deal Desk.

• Coverage rose 60% over 10 months; YTD new-business pipeline grew 12% and new-logo pipeline 106%. 2028 ambitions include 3x pipeline coverage to budget, $1.0B qualified pipeline and 30% new-logo pipeline.

• Commercial Adjusted EBITDA margin reached 9.9% in H1 2026 versus 8.7% in H1 2025; structural savings were $12M YTD through June, with an $80M annualized opportunity in 2027.

• Conni resolved 86% of inquiries without a human agent, achieved 9x legacy-channel usage during open enrollment and reduced live-agent interactions 21%.