Unisys' Q2 revenue beats expectations

Unisys

30/07/2025 21:28

Overview

Unisys Q2 revenue of $483.3 mln beats analyst expectations, per LSEG data

Adjusted EPS for Q2 beats estimates, reflecting improved operational efficiency

Co made a $250 mln discretionary contribution to U.S. pension plans

Outlook

Unisys raises full-year non-GAAP operating profit margin to 8.0%-9.0%

Company expects constant currency revenue growth of -1.0% to 1.0%

Unisys anticipates L&S revenue of approximately $430 mln for 2025

Result Drivers

SEQUENTIAL IMPROVEMENT - Unisys reports 11.8% QoQ revenue growth, driven by strong performance in License and Support solutions

COST REDUCTION - Operating profit margin improved by 140 bps YoY due to cost reduction actions and reduced professional services expenses

PENSION STRATEGY - Co significantly reduced future cash contribution volatility in U.S. pension plans with a $250 mln discretionary contribution

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$483.30 mln
$444.60 mln (2 Analysts)
Q2 Adjusted EPS
Beat
$13.8
-$0.28 (2 Analysts)
Q2 Net Income
-$20.10 mln
Q2 Adjusted Operating Income
Beat
$36.80 mln
$7.20 mln (1 Analyst)
Q2 Adjusted Operating Margin
7.6%
Q2 Gross Profit
$130 mln
Q2 Operating Income
$30.30 mln
Q2 Operating Margin
6.3%


Analyst Coverage

The one available analyst rating on the shares is "hold"

The average consensus recommendation for the it services & consulting peer group is "buy."

Wall Street's median 12-month price target for Unisys Corp is $8.00, about 48.1% above its July 29 closing price of $4.15

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nPn5bTg6Va

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)