Although the revenue and EPS for Dayforce (DAY) give a sense of how its business performed in the quarter ended December 2024, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Dayforce (DAY) came out with quarterly earnings of $0.60 per share, beating the Zacks Consensus Estimate of $0.46 per share. This compares to earnings of $0.50 per share a year ago.
Dayforce forecast first-quarter revenue below estimates on Wednesday due to waning demand for its payroll and human resources services, as small- and medium-sized businesses curtail spending due to macroeconomic uncertainty.
Shares of Dayforce have rallied after a strong Q3 earnings print, featuring an acceleration in revenue growth to 17% y/y. As a result of stronger growth trends that are now coming in ahead of larger-cap cloud peers, I'm upgrading Dayforce to a neutral rating. The company also continues to expand profitability and free cash flow, with adjusted EBITDA margins hitting just shy of 30%.
Dayforce Inc. (NYSE:DAY ) Q3 2024 Earnings Conference Call October 30, 2024 8:00 AM ET Company Participants David Ossip - CEO Jeremy Johnson - CFO Joe Korngiebel - Chief Strategy, Product, and Technology Officer Steve Holdridge - President & COO David Niederman - VP, IR Conference Call Participants Kevin Mcveigh - UBS Mark Marcon - Robert W. Baird Samad Samana - Jefferies Siti Panigrahi - Mizuho Securities Scott Berg - Needham & Company Bhavin Shah - Deutsche Bank Steve Enders - Citi Brad Reback - Stifel Daniel Jester - BMO Capital Markets Jason Celino - KeyBanc Capital Markets Raimo Lenschow - Barclays Alex Zukin - Wolfe Research Mark Murphy - J.P.
While the top- and bottom-line numbers for Dayforce (DAY) give a sense of how the business performed in the quarter ended September 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Dayforce (DAY) came out with quarterly earnings of $0.47 per share, beating the Zacks Consensus Estimate of $0.45 per share. This compares to earnings of $0.37 per share a year ago.
Dayforce (DAY) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.