Cerence Inc. CRNC
Cerence builds conversational and agentic AI solutions that make interaction with technology feel effortless. With decades of expertise in voice, AI, and edge-to-cloud engineering, we're trusted by many of the world's leading automakers, transportation OEMs, consumer brands, and technology companies to build voice powered-interfaces that shape the user experiences of today and tomorrow. While the majority of our business is in the automotive market, our solutions can be leveraged across other areas of transportation - two-wheeled vehicles, trucks, and more - as well as outside of automotive - televisions, smart watches, voice-powered kiosks, and more.
Our automotive customers include nearly all major automobile original equipment manufacturers (OEMs) worldwide, including BMW, Mercedes-Benz, the Volkswagen Group (Volkswagen, Audi, Porsche, and other brands), Stellantis, Renault, Toyota, Ford, General Motors, BYD, Great Wall Motor, and NIO. We also partner with leading tier-one suppliers including HARMAN, EcarX, Bosch, Continental, Denso Ten, Aptiv, and others. We deliver our solutions on a white-label basis, enabling our customers to deliver highly customized virtual assistants with unique, branded personalities that strengthen the bond between their brands and end users.
Valuation FY2025 figures against the last close
Annual financial statements
Income statement
| Fiscal year | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | FY2020 | FY2019 | FY2018 | FY2017 |
|---|---|---|---|---|---|---|---|---|---|
| Revenue | $251.8M | $331.5M | $294.5M | $327.9M | $387.2M | $331.0M | $303.3M | $277.0M | — |
| Cost of revenue | $68.6M | $87.2M | $95.2M | $97.2M | $101.1M | $107.9M | $99.3M | $83.0M | — |
| Gross profit | $183.1M | $244.3M | $199.3M | $230.7M | $286.1M | $223.1M | $204.0M | $194.0M | — |
| R&D | $97.8M | $121.6M | $123.3M | $107.1M | $112.1M | $88.9M | $93.1M | $81.0M | — |
| SG&A | $48.8M | $52.5M | $57.9M | $42.7M | $57.0M | $49.4M | $25.9M | $19.9M | — |
| Total operating expenses | $185.4M | $824.2M | $226.5M | $415.1M | $225.5M | $200.7M | $193.1M | $157.2M | — |
| Operating income | -$2.3M | -$579.9M | -$27.2M | -$184.3M | $60.6M | $22.4M | $10.9M | $36.9M | — |
| Interest expense | $10.2M | $12.6M | $14.8M | $14.4M | $14.0M | $22.7M | — | — | — |
| Pre-tax income | -$8.8M | -$584.6M | -$36.4M | -$198.8M | $48.3M | -$23.0M | $11.2M | $36.8M | — |
| Income tax | $9.9M | $3.5M | $19.9M | $112.1M | $2.4M | $4.7M | $89.1M | $30.9M | — |
| Net income | -$18.7M | -$588.1M | -$56.3M | -$310.8M | $45.9M | -$18.3M | $100.3M | $5.9M | — |
| EPS, basic | -0.43 | -14.12 | -1.40 | -7.93 | 1.22 | -0.50 | 2.76 | 0.16 | — |
| EPS, diluted | -0.43 | -14.12 | -1.40 | -7.93 | 1.17 | -0.50 | 2.76 | 0.16 | — |
| Shares, diluted (wtd. avg.) | $43.2M | $41.6M | $40.2M | $39.2M | $39.3M | $36.4M | $36.4M | $36.4M | — |
Balance sheet
| Fiscal year | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | FY2020 | FY2019 | FY2018 | FY2017 |
|---|---|---|---|---|---|---|---|---|---|
| Short-term investments | $3.4M | $5.5M | $9.2M | $20.3M | $30.4M | $11.7M | — | — | — |
| Receivables | $58.9M | $62.8M | $61.3M | $45.1M | $45.6M | $50.9M | $65.8M | — | — |
| Inventory | $1.1M | $1.0M | $500.0K | — | — | — | — | — | — |
| Total current assets | $190.8M | $265.5M | $225.7M | $227.5M | $287.0M | $250.1M | $92.3M | — | — |
| Goodwill | $299.0M | $296.9M | $900.3M | $890.8M | $1.13B | $1.13B | $1.12B | $1.12B | — |
| Other intangibles | $0 | $1.7M | $3.9M | $9.7M | $25.3M | $45.6M | $65.6M | — | — |
| Total assets | $630.6M | $702.4M | $1.30B | $1.32B | $1.71B | $1.69B | $1.48B | — | — |
| Accounts payable | $901.0K | $4.0M | $16.9M | $10.4M | $11.6M | $8.4M | $16.7M | — | — |
| Short-term debt | $0 | $87.1M | — | $10.9M | $6.2M | $6.2M | — | — | — |
| Total current liabilities | $101.2M | $216.8M | $148.1M | $147.0M | $165.3M | $198.6M | $129.1M | — | — |
| Long-term debt | $199.7M | $194.8M | $276.0M | $259.4M | $265.1M | $266.9M | — | — | — |
| Total liabilities | $479.9M | $561.3M | $602.7M | $605.5M | $673.8M | $727.5M | $415.7M | — | — |
| Retained earnings | -$940.5M | -$921.7M | -$333.7M | -$283.2M | $27.6M | -$18.3M | — | — | — |
| Total equity | $150.7M | $141.1M | $694.9M | $713.0M | $1.03B | $960.1M | $1.07B | $993.3M | $997.2M |
Cash flow
| Fiscal year | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | FY2020 | FY2019 | FY2018 | FY2017 |
|---|---|---|---|---|---|---|---|---|---|
| Operating cash flow | $61.2M | $17.2M | $7.5M | -$2.1M | $74.4M | $44.8M | $88.1M | $115.3M | — |
| Depreciation and amortisation | $8.9M | $8.3M | $9.8M | $9.4M | $9.5M | $9.2M | $6.2M | $7.7M | — |
| Stock-based compensation | $27.4M | $23.7M | $40.8M | $28.1M | $60.6M | $47.3M | $29.7M | $22.0M | — |
| Capital expenditure | $14.4M | $5.0M | $5.1M | $17.4M | $12.0M | $19.0M | $4.5M | $6.5M | — |
| Investing cash flow | -$10.6M | $4.4M | $5.8M | -$10.6M | -$41.6M | -$30.7M | -$4.5M | -$86.3M | — |
| Financing cash flow | -$87.0M | $225.0K | -$5.3M | -$19.6M | -$41.5M | $121.6M | -$83.6M | -$28.9M | — |
| Buybacks | $2.4M | $9.9M | $4.9M | $49.0M | $45.8M | $9.4M | — | — | — |
Figures as tagged in each year's own filing, in US dollars. A year restated by a later filing shows the restated figure. Capital expenditure, dividends and buybacks are cash out, shown positive. A line the filer does not report is not listed. Latest from accession 0001628280-25-053372.
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