CCC Intelligent Solutions Holdings Inc. (CCCS) came out with quarterly earnings of $0.08 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.09 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this company would post earnings of $0.10 per share when it actually produced earnings of $0.10, delivering no surprise.Over the last four quarters, the company has surpassed consensus EPS estimates two times.CCC Intelligent ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 OR (800) 621-8070 Registrant's telephone number, including area code Not Applicable (Former name or former address, if changed since last report) Securities registered pursuant to Section 12(b) of the Act: | | Trading | | | --- | --- | --- | | Title of each class | Symbol(s) | Name of each exc ...

CCC Intelligent Solutions Holdings (CCCS) Q1 2025 Earnings Call May 06, 2025 08:00 AM ET Speaker0 Good day, and thank you for standing by. Welcome to the CCC Intelligent Solutions First Quarter Fiscal twenty twenty five Earnings Call. At this time, all participants are in listen only mode. After the speakers' presentation, there will be a question and answer session. To ask a question during the session, you will need to press 11 on your telephone. You will then hear an automated message advising your hand ...

Financial Performance - Total revenue for Q1 2025 was $251.6 million, an 11% increase from $227.2 million in Q1 2024[3] - Adjusted EBITDA for Q1 2025 was $99.1 million, a 6% increase from $93.7 million in Q1 2024[7] - GAAP net loss for Q1 2025 was $17.4 million, compared to a GAAP net loss of $0.6 million in Q1 2024[7] - Free cash flow for Q1 2025 was $43.6 million, up from $39.6 million in Q1 2024[5] - Revenues for Q1 2025 increased to $251,565, up 10.7% from $227,237 in Q1 2024[21] - Gross profit for Q1 2025 was $184,992, representing a gross profit margin of 74%[25] - The net loss for Q1 2025 was $17,421,000, a significant increase from a net loss of $597,000 in Q1 2024[29] - Adjusted EBITDA for the first quarter of 2025 was $99,077,000, compared to $93,715,000 in the same quarter of 2024, with an adjusted EBITDA margin of 39%[29] - The adjusted net income for Q1 2025 was $54,481,000, with adjusted net income per share of $0.09 for basic shares, unchanged from Q1 2024[31] Guidance and Projections - The company expects Q2 2025 revenue to be between $255.5 million and $257.5 million[10] - Full year 2025 revenue guidance is set between $1.046 billion and $1.056 billion[10] - Adjusted EBITDA guidance for full year 2025 is projected between $420.0 million and $428.0 million[10] Assets and Liabilities - Total current assets decreased to $297,913 from $564,650 as of December 31, 2024[20] - Total liabilities increased to $1,434,352 from $1,163,716 as of December 31, 2024[20] - Cash and cash equivalents decreased to $130,323 from $398,983 as of December 31, 2024[20] Operating Expenses and Losses - Operating expenses for Q1 2025 were $195,691, up from $160,065 in Q1 2024[26] - For the three months ended March 31, 2025, CCC Intelligent Solutions reported an operating loss of $10,699,000, compared to an operating income of $7,797,000 in the same period of 2024[27] - The adjusted operating income for Q1 2025 was $85,335,000, slightly up from $84,083,000 in Q1 2024[27] Stock-Based Compensation and Costs - Stock-based compensation increased to $61,048 in Q1 2025 from $44,971 in Q1 2024[23] - Stock-based compensation expense increased to $65,919,000 in Q1 2025 from $50,033,000 in Q1 2024[29] - M&A and integration costs rose to $7,619,000 in Q1 2025, compared to $477,000 in Q1 2024[29] Integration and Market Expansion - The integration of EvolutionIQ is on track, with the launch of Medhub for Casualty ahead of schedule[2] - CCC has signed a large OEM with a captive insurance business, indicating continued market expansion[9]

I am positive about CCC Intelligent Solutions Holdings Inc. (NASDAQ: CCCS ). My summarized thesis is that CCCS offers a mission-critical platform that is deeply embedded in the insurance ecosystem with strong network effects. AsI'm a passionate investor with a strong foundation in fundamental analysis and a keen eye for identifying undervalued companies with long-term growth potential. My investment approach is a blend of value investing principles and a focus on long-term growth. I believe in buying qualit ...

Core Investment Criteria - An ideal investment operates in a sector expected to experience structural growth exceeding GDP growth over the next 5-10 years [1] - It benefits from sustainable competitive advantages that lead to attractive unit economics [1] - The investment should be managed by competent, ethical, and long-term thinkers [1] - A fair valuation is essential for the investment [1]

CCC Intelligent Solutions Holdings Inc. (NASDAQ:CCCS) Q4 2024 Earnings Conference Call February 25, 2025 5:00 PM ET Company Participants Bill Warmington - Vice President, Investor Relations Githesh Ramamurthy - Chairman & Chief Executive Officer Brian Herb - Chief Financial Officer Conference Call Participants Alexei Gogolev - JPMorgan Josh Baer - Morgan Stanley Dylan Becker - William Blair Samad Samana - Jefferies Maura Hager - Goldman Sachs Shlomo Rosenbaum - Stifel Chris Moore - CJS Securities Peter Grif ...

Customer Concentration and Revenue Risks - A significant portion of the company's revenue is derived from a small number of customers in the P&C insurance and automotive collision industries, with no individual customer accounting for more than 10% of total revenue in 2024[70]. - The company faces risks from large customers who have negotiating leverage, potentially leading to increased costs, decreased revenue, and lower gross margins[71]. - The company's revenue growth is dependent on existing customers renewing and upgrading their SaaS subscriptions, with fluctuations in renewal rates posing a risk to future revenue[74]. Growth Strategy and Market Conditions - The growth strategy focuses on continued investment in innovative SaaS solutions, which requires substantial technical, financial, and sales resources[78]. - Public health outbreaks, such as the COVID-19 pandemic, could materially impact the company's business and financial results, leading to decreased technology spending by customers[80]. - Economic downturns or rising unemployment rates may reduce customer demand for the company's solutions, adversely affecting revenue[81]. - The company is exposed to risks from natural catastrophes, war, and terrorism, which could prevent the expansion of its customer base and revenue growth[83]. - Changes in the insurance and automotive collision industries, including the adoption of new technologies like AI, may significantly impact the company's results of operations[86]. - Global economic uncertainties, including trade tariffs and inflationary pressures, could delay customer purchases and negatively affect the company's financial results[88]. Research and Development - Research and development expenses amounted to $201.5 million, representing 21% of total revenue for the year ended December 31, 2024[107]. - Total spend on research and development, including capitalized internal use software, was 26% of total revenue for the year ended December 31, 2024[107]. - The company anticipates that macroeconomic factors could adversely affect adoption and average selling prices of its solutions, particularly in the P&C insurance and automotive collision industries[89]. Competition and Market Dynamics - The company faces intense competition, with increased capital investment in competitors potentially leading to improved product capabilities and pricing pressure[95]. - The market for cloud-based solutions is expected to become increasingly competitive, necessitating higher investments in research and development to maintain competitiveness[96]. - The company’s ability to develop new markets and increase sales from existing customers is critical for revenue growth, with potential delays due to various external factors[106]. Regulatory and Compliance Risks - Compliance with government regulations is crucial, as violations could reduce demand for solutions and services, impacting revenue[110]. - International sales efforts may expose the company to regulatory, economic, and political risks, which could hinder expansion success[111]. - The company faces significant risks in China due to government control over capital investments and potential changes in tax regulations, impacting financial condition and operations[115]. - Compliance with anti-bribery and anti-corruption laws, including the FCPA, is critical, as violations could lead to fines and damage to reputation[116]. - The company is subject to increasing global trade laws and regulations, which could impact international sales efforts and expose the company to penalties[118]. - The company may face significant penalties for non-compliance with data privacy regulations, including fines up to 4% of total annual worldwide turnover under GDPR[167]. Intellectual Property and Data Security - The company relies on third-party data, technology, and intellectual property, and any interruption in access could materially harm operating results[120]. - The company may face significant costs and challenges in enforcing intellectual property rights, which could impact competitive position[124]. - Data security breaches could adversely impact the company's reputation and ongoing operations, with risks including cyber-attacks and unauthorized access to sensitive information[135]. - Significant violations of data privacy could lead to loss of business, litigation, regulatory fines, and damage to the company's reputation[138]. Financial and Debt Management - As of December 31, 2024, the total debt outstanding under the 2021 Credit Agreement was $776.0 million, with an additional unused borrowing capacity of $249.3 million[197]. - By January 23, 2025, total debt under the 2021 Credit Agreement increased to $1,001.0 million, maintaining the same unused borrowing capacity of $249.3 million[197]. - The company faces risks related to interest rate increases, which could lead to higher debt service obligations and decreased net income and cash flows[201]. - The 2021 Credit Agreement includes covenants that restrict the company's ability to incur additional indebtedness, pay dividends, and engage in acquisitions, potentially limiting growth opportunities[203]. Market and Stock Price Risks - The share price of the company's common stock may be volatile due to various market factors, including changes in operating performance and competitor performance[217]. - A significant portion of the company's total outstanding shares may be sold into the market in the near future, potentially causing a drop in share price[220]. - The company's governing documents contain provisions that could delay or prevent hostile takeovers, potentially affecting the trading price of its common stock[223]. Operational Challenges - The company must continuously adapt its IT systems to meet growth and technological advancements, with failure to do so potentially leading to customer loss and operational challenges[195]. - The company incurs increased costs associated with operating as a public company, including legal and accounting expenses, which may impact financial performance[211]. - The implementation of a new billing system poses risks of disruptions and increased costs, which could adversely affect financial operations[164].

Revenue Performance - Total revenue for Q4 2024 was $246.5 million, an increase of 8% from $228.6 million in Q4 2023[3] - Full year 2024 revenue reached $944.8 million, reflecting a 9% increase from $866.4 million in 2023[5] - Total revenues for the year ended December 31, 2024, increased to $944.8 million, up 9% from $866.4 million in 2023[22] - The company issued financial guidance for Q1 2025 revenue between $249.0 million and $250.5 million[11] - Full year 2025 revenue guidance is set between $1.055 billion and $1.065 billion[11] Profitability Metrics - Adjusted EBITDA for Q4 2024 was $106.3 million, a 6% growth compared to $100.1 million in Q4 2023[7] - GAAP net income for Q4 2024 was $6.3 million, down from $26.3 million in Q4 2023[7] - Operating income for the year ended December 31, 2024, was $80.1 million, compared to an operating loss of $23.9 million in 2023[22] - Net income attributable to common stockholders for the year ended December 31, 2024, was $26.1 million, compared to a net loss of $92.5 million in 2023[23] - Net income for the year ended December 31, 2024, was $31,240, compared to a net loss of $90,071 in 2023, representing a significant turnaround[25] Cash Flow and Liquidity - The company generated $283.9 million in cash from operating activities for the full year 2024, compared to $250.0 million in 2023[9] - Cash flows from operating activities for the year ended December 31, 2024, were $283,886, up from $250,033 in 2023, marking an increase of approximately 13.6%[25] - The company reported net cash provided by operating activities of $113,645 thousand for Q4 2024, compared to $86,895 thousand in Q4 2023, indicating a year-over-year increase of approximately 30.7%[32] - Cash and cash equivalents increased significantly to $399.0 million as of December 31, 2024, compared to $195.6 million in 2023[21] - Cash and cash equivalents at the end of the period increased to $398,983, up from $195,572 at the end of 2023, representing a growth of over 103%[25] Expenses and Investments - Research and development expenses for the year ended December 31, 2024, rose to $201.5 million, a 16.5% increase from $173.1 million in 2023[22] - Operating expenses for the year ended December 31, 2024, decreased to $633,698 from $660,084 in 2023, a reduction of about 4%[28] - Stock-based compensation expense for the year ended December 31, 2024, totaled $171.0 million, an increase from $144.5 million in 2023[23] - The company reported a significant increase in stock-based compensation, totaling $171,038 for the year ended December 31, 2024, compared to $144,518 in 2023, reflecting a rise of approximately 18.3%[25] - Purchases of software, equipment, and property for the year ended December 31, 2024, totaled $53,012 thousand, down from $55,032 thousand in 2023[32] Shareholder Returns - A share repurchase program of up to $300 million was authorized by the board of directors[14] - Basic adjusted net income per share for the year ended December 31, 2024, was $0.39, up from $0.34 in 2023, marking an increase of approximately 14.7%[31] - Diluted adjusted net income per share for the year ended December 31, 2024, was $0.37, compared to $0.32 in 2023, reflecting a growth of approximately 15.6%[31] Acquisitions and Growth - CCC completed the acquisition of EvolutionIQ, enhancing its AI capabilities in claims management[14] - The company added over 1,000 new automotive collision repair facilities, totaling over 30,500 on the CCC ONE® network[14] Amortization and Integration Costs - Total amortization of intangible assets for the year ended December 31, 2024, was $71,768 thousand, slightly down from $71,972 thousand in 2023[31] - The company incurred M&A and integration costs of $9,193 thousand for the year ended December 31, 2024, compared to $3,372 thousand in 2023, indicating a significant increase[31] - The company incurred $8,716 in M&A and integration costs during the three months ended December 31, 2024, compared to $3,372 in the same period of 2023, reflecting a rise of approximately 158%[29]

Core Viewpoint - CCC Intelligent Solutions Holdings Inc. (CCCS) is showing bullish potential as it has reached a significant support level, indicated by a "golden cross" in its moving averages [1][2]. Technical Analysis - CCCS's 50-day simple moving average has recently crossed above its 200-day moving average, signaling a bullish breakout [1]. - The golden cross pattern consists of three stages: a downtrend that bottoms out, a crossover of the shorter moving average above the longer one, and continued upward momentum [1]. - CCCS has experienced a price increase of 21.1% over the last four weeks, suggesting a potential breakout [2]. Earnings Outlook - The earnings outlook for CCCS is positive, with no earnings estimates decreasing in the past two months and five revisions higher [2]. - The Zacks Consensus Estimate for CCCS has also increased, reinforcing the bullish sentiment [2]. Current Rankings - CCCS is currently rated as a 3 (Hold) on the Zacks Rank, indicating a neutral stance from analysts [2].