Cerence reported Q3 FY2024 revenue of $70.5M, with GAAP gross margin of 71.5% and positive operating cash flow of $12.9M. The company recorded a GAAP net loss of $313.5M, including a goodwill impairment charge of $357.1M. Five generative AI customer programs have been released to production, with eight wins year-to-date.The company announced a significant restructuring plan aimed at reducing operating expenses, estimating net annualized cost savings of $35-40M. The plan will be implemented mainly in Q4 FY2024, with benefits expected to materialize in FY2025. Implementation costs are projected at $18-22M, primarily for severance and related expenses.For Q4 FY2024, Cerence expects revenue between $44-50M and adjusted EBITDA of ($19M) to ($13M). The full-year FY2024 guidance projects revenue of $321-327M, including $30M from fixed contracts, and adjusted EBITDA of $64-70M.

Cerence reported Q3 FY2024 revenue of $70.5M, with GAAP gross margin of 71.5% and positive operating cash flow of $12.9M. The company recorded a GAAP net loss of $313.5M, including a goodwill impairment charge of $357.1M. Five generative AI customer programs have been released to production, with eight wins year-to-date.The company announced a significant restructuring plan aimed at reducing operating expenses, estimating net annualized cost savings of $35-40M. The plan will be implemented mainly in Q4 FY2024, with benefits expected to materialize in FY2025. Implementation costs are projected at $18-22M, primarily for severance and related expenses.For Q4 FY2024, Cerence expects revenue between $44-50M and adjusted EBITDA of ($19M) to ($13M). The full-year FY2024 guidance projects revenue of $321-327M, including $30M from fixed contracts, and adjusted EBITDA of $64-70M.