Unisys ( (UIS) ) has released its Q1 earnings. Here is a breakdown of the information Unisys presented to its investors.
Unisys Corporation is a global technology solutions company that provides cloud, AI, digital workplace, logistics, and enterprise computing solutions, helping clients unlock their full potential. In its first quarter of 2025 earnings report, Unisys announced improvements in operating and free cash flow, alongside significant momentum in new business signings. The company reported a total revenue of $432.1 million, with a gross profit margin of 24.9%, and an operating profit margin of 1.2%. Notably, the Ex-L&S New Business Total Contract Value increased by 83% year-over-year, driven by new logo signings.
Key financial metrics highlighted a year-over-year revenue decline of 11.4%, attributed to the timing of software license renewals and lower client volumes. Despite this, Unisys improved its cash flow, with cash provided by operations increasing to $33.3 million from $23.8 million in the previous year, and free cash flow rising to $13.2 million from $3.9 million. The company also reported a net loss of $29.5 million, a significant improvement from the $149.5 million loss in the same quarter last year.
Segment-wise, the Digital Workplace Solutions (DWS) and Enterprise Computing Solutions (ECS) segments experienced revenue declines, while Cloud, Applications & Infrastructure Solutions (CA&I) saw a slight improvement in gross profit margin. Unisys continues to see favorable trends in its License & Support solutions, with clients making long-term commitments to its software ecosystem.
Looking forward, Unisys management remains optimistic, reiterating its full-year 2025 guidance for constant currency revenue growth and profitability. The company aims to achieve revenue growth between 0.5% to 2.5% and a non-GAAP operating profit margin of 6.5% to 8.5%, reflecting confidence in its strategic direction and financial objectives.