Cerence reports Q1 EPS adjusted 36c, consensus 9c

Reports Q1 revenue $83.7M, consensus $76.55M. Stefan Ortmanns, Chief Executive Officer at Cerence, commented, "We had a strong start to the fiscal year with revenue higher than projected in the core business due to stronger than expected contributions from connected services, professional services, and fixed contracts. The amount of fixed contracts are within the framework of the $40M targeted for the full fiscal year. Consumption of fixed contracts were lower than expected as well. The higher revenue for the quarter resulted in better-than-expected financial results. We had a number of key design wins in the quarter in both the automotive and two-wheeler markets, including two win-backs from competitors," continued Ortmanns. "These wins for Cerence Co-Pilot and Cerence Ride are important indicators of our future growth and our ability to meet the multi-year targets we set forth at our investor day event."