CCCS CCC Intelligent Solutions Holdings Inc

CCC Intelligent Solutions Holdings Inc. (“CCC” or the “Company”) (NASDAQ: CCCS), a leading cloud platform provider for the P&C insurance economy, today announced its financial results for the three months and year ended December 31, 2024.

“CCC delivered another year of solid financial performance, with year-over-year revenue growth in 2024 of 9% and adjusted EBITDA margin of 42%. We made significant investments in 2024 to deliver AI-based innovation and operational performance to our customers, introducing the largest number of new solutions in CCC’s history while continuing to expand our multi-sided network,” said Githesh Ramamurthy, Chairman & CEO of CCC.

“In addition to our investments in artificial intelligence and the CCC IX Cloud™ platform, our acquisition of EvolutionIQ helps to accelerate our vision of deploying intelligent experiences across the insurance economy,” continued Ramamurthy. “Positive customer feedback regarding these investments reinforces our confidence in our durable business model and long-term growth outlook.”

Fourth Quarter 2024 Financial Highlights

Revenue

• Total revenue was $246.5 million for the fourth quarter of 2024, an increase of 8% from $228.6 million for the fourth quarter of 2023.

Profitability

• GAAP gross profit was $185.2 million, representing a gross margin of 75%, for the fourth quarter of 2024, compared with $172.7 million, representing a gross margin of 76%, for the fourth quarter of 2023. Adjusted gross profit was $187.7 million, representing an adjusted gross profit margin of 76%, for the fourth quarter of 2024, compared with $181.5 million, representing an adjusted gross profit margin of 79%, for the fourth quarter of 2023.
• GAAP operating income was $21.1 million for the fourth quarter of 2024, compared with GAAP operating income of $19.4 million for the fourth quarter of 2023. Adjusted operating income was $92.9 million for the fourth quarter of 2024, compared with adjusted operating income of $90.6 million for the fourth quarter of 2023.
• GAAP net income was $6.3 million for the fourth quarter of 2024, compared with GAAP net income of $26.3 million for the fourth quarter of 2023. Adjusted net income was $64.5 million for the fourth quarter of 2024, compared with adjusted net income of $59.0 million for the fourth quarter of 2023.
• Adjusted EBITDA was $106.3 million for the fourth quarter of 2024, compared with adjusted EBITDA of $100.1 million for the fourth quarter of 2023. Adjusted EBITDA grew 6% in the fourth quarter of 2024 compared with the fourth quarter of 2023.

Full Year 2024 Financial Highlights

Revenue

• Total revenue was $944.8 million for the full year of 2024, an increase of 9% from $866.4 million for the full year of 2023.

Profitability

• GAAP gross profit was $713.8 million, representing a gross margin of 76% for the full year of 2024, compared with $636.2 million, representing a gross margin of 73% for the full year of 2023. Adjusted gross profit was $732.7 million, representing an adjusted gross profit margin of 78% for the full year of 2024, compared with $672.2 million, representing an adjusted gross profit margin of 78% for the full year of 2023.
• GAAP operating income was $80.1 million for the full year of 2024, compared with GAAP operating loss of $23.9 million for the full year of 2023. Adjusted operating income was $354.2 million for the full year of 2024, compared with adjusted operating income of $315.4 million for the full year of 2023.
• GAAP net income was $31.2 million for the full year of 2024, compared with GAAP net loss of $90.1 million for the full year of 2023. Adjusted net income was $238.1 million for the full year of 2024, compared with adjusted net income of $210.5 million for the full year of 2023.
• Adjusted EBITDA was $397.4 million for the full year of 2024, compared with adjusted EBITDA of $353.4 million for the full year of 2023. Adjusted EBITDA grew 12% in the full year of 2024 compared with the full year of 2023.

Liquidity

• CCC had $399.0 million in cash and cash equivalents and $776.0 million of total debt on December 31, 2024. The Company generated $283.9 million in cash from operating activities and had free cash flow of $230.9 million for the full year of 2024, compared with $250.0 million in cash generated from operating activities and $195.0 million in free cash flow for the full year of 2023.

The information presented above includes non-GAAP financial measures such as “adjusted EBITDA,” “adjusted net income,” “adjusted EBITDA margin,” “adjusted operating income,” “adjusted gross profit,” “adjusted gross profit margin,” and “free cash flow.” Refer to “Non-GAAP Financial Measures” for a discussion of these measures and reconciliations of each non-GAAP financial measure to the most directly comparable GAAP financial measure.

4th Quarter and Recent Business Highlights

• CCC completed the previously announced acquisition of EvolutionIQ, Inc. (“EvolutionIQ”), the leading platform for AI-powered guidance for disability and injury claims management. The acquisition expands CCC’s market reach into strategic adjacencies – disability and workers’ compensation – while strengthening CCC’s industry-leading AI-powered SaaS platform through the addition of transformative AI capabilities, including Medical Summarization and Next Best Action, that we believe will revolutionize how insurance claims are resolved.
• CCC strengthened its automotive collision repair facility customer group, growing revenue through a combination of new logos, cross-selling, and upselling. In 2024, CCC added over 1,000 new rooftops and now has over 30,500 repair facilities on the CCC ONE® network. More than 10,000 of these collision repairers are actively using AI-powered solutions in production environments.
• CCC recently renewed a top 20 auto insurer (based on direct premium written) for a 5-year extension, and had numerous cross-selling successes, including several insurance clients who expanded their suite of Casualty solutions. In addition, we expanded the use of intelligent solutions, including Estimate-STP, which is now live at over 40 insurers, and Subrogation, which is now live at over 20 insurers.
• The board of directors authorized a share repurchase program of up to $300 million. Under the repurchase authorization, CCC is authorized to repurchase shares through open market purchases, privately negotiated transactions, or accelerated share repurchases. The repurchase authorization does not obligate the Company to repurchase shares and the specific timing and amount of repurchases may vary based on available capital resources, market conditions, management’s discretion, securities law limitations, and other factors. Repurchases, if any, will be funded out of available liquidity and free cash flow.

Business Outlook

Based on information as of today, February 25, 2025, the Company is issuing the following financial guidance:

 

 

First Quarter Fiscal 2025

 

 

Full Year Fiscal 2025

 

Revenue

 

$

249.0 million to $250.5 million

 

 

$

1.055 billion to $1.065 billion

 

Adjusted EBITDA

 

$

92.5 million to $94.0 million

 

 

$

417.0 million to $427.0 million

 

Conference Call Information

CCC will host a conference call today, February 25, 2025, at 5:00 p.m. (Eastern Time) to discuss the Company’s financial results and financial guidance. A live webcast of this conference call will be available on the “Investor Relations” page of the Company’s website at https://ir.cccis.com, and a replay will be archived on the website as well.

About CCC Intelligent Solutions

CCC Intelligent Solutions Inc. (CCC), a subsidiary of CCC Intelligent Solutions Holdings Inc. (NASDAQ: CCCS), is a leading cloud platform provider for the multi-trillion-dollar P&C insurance economy, creating intelligent experiences for insurers, repairers, automakers, part suppliers, and more. The CCC Intelligent Experience (IX) Cloud™ platform, powered by proven AI and an innovative event-based architecture, connects more than 35,000 businesses to power customized applications and platforms for optimal outcomes and personalized experiences that just work. Through purposeful innovation and the strength of its connections, CCC technologies empower the people and industry relied upon to keep lives moving forward when it matters most. Learn more about CCC at www.cccis.com.

Forward Looking Statements

This press release contains forward-looking statements that are based on beliefs and assumptions and on information currently available. In some cases, you can identify forward-looking statements by the following words: “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. These statements involve risks, uncertainties and other factors that may cause actual results, levels of activity, performance or achievements to be materially different from the information expressed or implied by these forward-looking statements. Forward-looking statements in this press release include, but are not limited to, future events, goals, plans and projections regarding the Company’s financial position, results of operations, market position, product development and business strategy. Such differences may be material. We cannot assure you that the forward-looking statements in this press release will prove to be accurate. These forward looking statements are subject to a number of risks and uncertainties, including, among others, our revenues, the concentration of our customers and the ability to retain our current customers; our ability to negotiate with our customers on favorable terms; our ability to maintain and grow our brand and reputation cost-effectively; the execution of our growth strategy; the impact of public health outbreaks, epidemics or pandemics on our business and results of operations; our projected financial information, growth rate and market opportunity; the health of our industry, claim volumes, and market conditions; changes in the insurance and automotive collision industries, including the adoption of new technologies; global economic conditions and geopolitical events; competition in our market and our ability to retain and grow market share; our ability to develop, introduce and market new enhanced versions of our solutions; our sales and implementation cycles; the ability of our research and development efforts to create significant new revenue streams; changes in applicable laws or regulations; changes in international economic, political, social and governmental conditions and policies, including corruption risks in China and other countries; our reliance on third-party data, technology and intellectual property; changes in our customers’ or the public’s perceptions regarding the use of artificial intelligence; our ability to protect our intellectual property; our ability to keep our data and information systems secure from data security breaches; our ability to acquire or invest in companies or pursue business partnerships; our ability to raise financing in the future and improve our capital structure; our success in retaining or recruiting, or changes required in, our officers, key employees or directors; our estimates regarding expenses, future revenue, capital requirements and needs for additional financing; our ability to expand or maintain our existing customer base; our ability to service our indebtedness; and other risks and uncertainties, including those included under the header “Risk Factors” in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed with the Securities and Exchange Commission (“SEC”), which can be obtained, without charge, at the SEC’s website (www.sec.gov), and in our other filings with the SEC. The forward-looking statements in this press release represent our views as of the date of this press release. We anticipate that subsequent events and developments will cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we have no current intention of doing so except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing our views as of any date subsequent to the date of this press release.

Non-GAAP Financial Measures

This press release includes certain financial measures not presented in accordance with generally accepted accounting principles in the U.S. (“GAAP”), including, but not limited to, “adjusted EBITDA,” “adjusted net income,” “adjusted operating income,” “adjusted EBITDA margin,” “adjusted gross profit,” “adjusted gross profit margin,” “adjusted operating expenses,” and “free cash flow” in each case presented on a non-GAAP basis, and certain ratios and other metrics derived therefrom. These non-GAAP financial measures are not measures of financial performance in accordance with GAAP and may exclude items that are significant in understanding and assessing the Company’s financial results. Therefore, these measures should not be considered in isolation or as an alternative to other measures of profitability, liquidity or performance under GAAP. You should be aware that the Company’s calculation of these non-GAAP measures may not be comparable to similarly-titled measures used by other companies.

The Company believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to the Company’s financial condition and results of operations. The Company believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends in and in comparing the Company’s financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. These non-GAAP financial measures are subject to inherent limitations as they reflect the exercise of judgments by management about which expense and income are excluded or included in determining these non-GAAP financial measures. Please refer to the reconciliations of these measures below to what the Company believes are the most directly comparable measures evaluated in accordance with GAAP.

This press release also includes certain projections of non-GAAP financial measures. Due to the high variability and difficulty in making accurate forecasts and projections of some of the information excluded from these projected measures, together with some of the excluded information not being ascertainable or accessible, the Company is unable to quantify certain amounts that would be required to be included in the most directly comparable GAAP financial measures without unreasonable effort. Consequently, no disclosure of estimated comparable GAAP measures is included and no reconciliation of the forward-looking non-GAAP financial measures is included for these projections.

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

AS OF DECEMBER 31, 2024 AND 2023

(In thousands, except share data)

 

December 31,

December 31,

 

2024

 

 

2023

 

ASSETS

CURRENT ASSETS:

Cash and cash equivalents

$

398,983

 

$

195,572

 

Accounts receivable—Net of allowances of $4,692 and $5,574 as of December 31, 2024 and 2023, respectively

 

106,578

 

 

102,365

 

Income taxes receivable

 

7,743

 

 

1,798

 

Deferred contract costs

 

22,373

 

 

17,900

 

Other current assets

 

28,973

 

 

32,364

 

Total current assets

 

564,650

 

 

349,999

 

SOFTWARE, EQUIPMENT, AND PROPERTY—Net

 

172,079

 

 

160,416

 

OPERATING LEASE ASSETS

 

29,762

 

 

30,456

 

INTANGIBLE ASSETS—Net

 

934,278

 

 

1,015,046

 

GOODWILL

 

1,417,724

 

 

1,417,724

 

DEFERRED FINANCING FEES, REVOLVER—Net

 

1,743

 

 

1,672

 

DEFERRED CONTRACT COSTS

 

18,692

 

 

22,302

 

EQUITY METHOD INVESTMENT

 

10,228

 

 

10,228

 

OTHER ASSETS

 

34,062

 

 

43,197

 

TOTAL

$

3,183,218

 

$

3,051,040

 

LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS’ EQUITY

CURRENT LIABILITIES:

Accounts payable

$

18,393

 

$

16,324

 

Accrued expenses

 

72,543

 

 

71,478

 

Income taxes payable

 

80

 

 

3,689

 

Current portion of long-term debt

 

8,000

 

 

8,000

 

Current portion of long-term licensing agreement—Net

 

3,257

 

 

3,061

 

Operating lease liabilities

 

7,658

 

 

6,788

 

Deferred revenues

 

44,915

 

 

43,567

 

Total current liabilities

 

154,846

 

 

152,907

 

LONG-TERM DEBT—Net

 

761,053

 

 

767,504

 

DEFERRED INCOME TAXES—Net

 

164,844

 

 

195,365

 

LONG-TERM LICENSING AGREEMENT—Net

 

24,435

 

 

27,692

 

OPERATING LEASE LIABILITIES

 

47,235

 

 

50,796

 

WARRANT LIABILITIES

 

—

 

 

51,501

 

OTHER LIABILITIES

 

11,303

 

 

6,414

 

Total liabilities

 

1,163,716

 

 

1,252,179

 

COMMITMENTS AND CONTINGENCIES (Notes 22 and 23)

MEZZANINE EQUITY:

Redeemable non-controlling interest

 

21,679

 

 

16,584

 

STOCKHOLDERS’ EQUITY:

Preferred stock—$0.0001 par; 100,000,000 shares authorized; no shares issued or outstanding

 

—

 

 

—

 

Common stock—$0.0001 par; 5,000,000,000 shares authorized; 629,207,115 and 603,128,781 shares issued and outstanding at December 31, 2024 and 2023, respectively

 

63

 

 

60

 

Additional paid-in capital

 

3,094,182

 

 

2,909,757

 

Accumulated deficit

 

(1,095,227

)

 

(1,126,467

)

Accumulated other comprehensive loss

 

(1,195

)

 

(1,073

)

Total stockholders’ equity

 

1,997,823

 

 

1,782,277

 

TOTAL

$

3,183,218

 

$

3,051,040

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)

(In thousands, except share and per share data)

(Unaudited)

Three months ended December 31,

Year ended December 31,

 

2024

 

 

2023

 

 

2024

 

 

2023

 

REVENUES

$

246,464

 

$

228,601

 

$

944,800

 

$

866,378

 

COST OF REVENUES

 

Cost of revenues, exclusive of amortization and impairment of acquired technologies

 

61,068

 

 

49,370

 

 

221,997

 

 

203,324

 

Amortization of acquired technologies

 

172

 

 

6,567

 

 

9,000

 

 

26,464

 

Impairment of acquired technologies

 

—

 

 

—

 

 

—

 

 

431

 

Total cost of revenues (1)

 

61,240

 

 

55,937

 

 

230,997

 

 

230,219

 

GROSS PROFIT

 

185,224

 

 

172,664

 

 

713,803

 

 

636,159

 

OPERATING EXPENSES:

Research and development (1)

 

53,238

 

 

45,215

 

 

201,493

 

 

173,106

 

Selling and marketing (1)

 

35,963

 

 

35,779

 

 

142,217

 

 

140,851

 

General and administrative (1)

 

56,973

 

 

54,367

 

 

218,220

 

 

191,844

 

Amortization of intangible assets

 

17,942

 

 

17,942

 

 

71,768

 

 

71,972

 

Impairment of goodwill

 

—

 

 

—

 

 

—

 

 

77,405

 

Impairment of intangible assets

 

—

 

 

—

 

 

—

 

 

4,906

 

Total operating expenses

 

164,116

 

 

153,303

 

 

633,698

 

 

660,084

 

OPERATING INCOME (LOSS)

 

21,108

 

 

19,361

 

 

80,105

 

 

(23,925

)

INTEREST EXPENSE

 

(15,174

)

 

(16,652

)

 

(64,608

)

 

(63,577

)

INTEREST INCOME

 

3,768

 

 

3,806

 

 

12,203

 

 

16,252

 

CHANGE IN FAIR VALUE OF WARRANT LIABILITIES

 

—

 

 

30,308

 

 

14,378

 

 

(15,096

)

OTHER INCOME (EXPENSE)—Net

 

630

 

 

(3,761

)

 

2,236

 

 

1,799

 

PRETAX INCOME (LOSS)

 

10,332

 

 

33,062

 

 

44,314

 

 

(84,547

)

INCOME TAX PROVISION

 

(4,072

)

 

(6,770

)

 

(13,074

)

 

(5,524

)

NET INCOME (LOSS) INCLUDING NON-CONTROLLING INTEREST

 

6,260

 

 

26,292

 

 

31,240

 

 

(90,071

)

LESS: ACCRETION OF REDEEMABLE NON-CONTROLLING INTEREST

 

(1,412

)

 

(1,080

)

 

(5,095

)

 

(2,405

)

NET INCOME (LOSS) ATTRIBUTABLE TO CCC INTELLIGENT SOLUTIONS HOLDINGS INC.'S COMMON STOCKHOLDERS

 

4,848

 

 

25,212

 

 

26,145

 

 

(92,476

)

 

Net income (loss) per share attributable to common stockholders:

Basic

$

0.01

 

$

0.04

 

$

0.04

 

$

(0.15

)

Diluted (2)

$

0.01

 

$

(0.01

)

$

0.04

 

$

(0.15

)

Weighted-average shares used in computing net income (loss) per share attributable to common stockholders:

Basic

 

618,767,992

 

 

609,128,048

 

 

610,761,424

 

 

617,889,384

 

Diluted

 

648,544,705

 

 

609,387,346

 

 

641,875,525

 

 

617,889,384

 

COMPREHENSIVE INCOME (LOSS):

Net income (loss) including non-controlling interest

 

6,260

 

 

26,292

 

 

31,240

 

 

(90,071

)

Other comprehensive income (loss)—Foreign currency translation adjustment

 

(148

)

 

85

 

 

(122

)

 

(189

)

COMPREHENSIVE INCOME (LOSS) INCLUDING NON-CONTROLLING INTEREST

 

6,112

 

 

26,377

 

 

31,118

 

 

(90,260

)

Less: accretion of redeemable non-controlling interest

 

(1,412

)

 

(1,080

)

 

(5,095

)

 

(2,405

)

COMPREHENSIVE INCOME (LOSS) INCLUDING NON-CONTROLLING INTEREST

$

4,700

 

$

25,297

 

$

26,023

 

$

(92,665

)

 

(1) Includes stock-based compensation expense as follows (in thousands):

Three months ended December 31,

Year Ended December 31,

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Cost of revenues

$

2,291

 

$

2,207

 

$

9,342

 

$

8,802

 

Research and development

 

12,441

 

 

6,634

 

 

47,191

 

 

25,467

 

Sales and marketing

 

8,933

 

 

7,940

 

 

28,083

 

 

33,204

 

General and administrative

 

20,152

 

 

23,266

 

 

86,422

 

 

77,045

 

Total stock-based compensation expense

$

43,817

 

$

40,047

 

$

171,038

 

$

144,518

 

   

(2) The following table sets forth a reconciliation of the numerator and denominator used to compute diluted earnings per share of common stock (in thousands, except for share data):

Three months ended December 31,

Year Ended December 31,

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Numerator

Net income (loss)

$

6,260

 

$

26,292

 

$

31,240

 

$

(90,071

)

Accretion of redeemable non-controlling interest

 

(1,412

)

 

(1,080

)

 

(5,095

)

 

(2,405

)

Change in fair value of in-the-money warrant liabilities

 

—

 

 

(30,308

)

 

—

 

 

—

 

Net income (loss) attributable to common stockholders

$

4,848

 

$

(5,096

)

$

26,145

 

$

(92,476

)

 

Denominator

Weighted average shares of common stock - basic

 

618,767,992

 

 

609,128,048

 

 

610,761,424

 

 

617,889,384

 

Dilutive effect of stock-based awards

 

29,776,713

 

 

—

 

 

31,114,101

 

 

—

 

Dilutive effect of assumed conversion of warrants

 

—

 

 

259,298

 

 

—

 

 

—

 

Weighted average shares of common stock - diluted

 

648,544,705

 

 

609,387,346

 

 

641,875,525

 

 

617,889,384

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE YEARS ENDED DECEMBER 31, 2024 AND 2023

(In thousands)

Year ended December 31,

 

2024

 

 

2023

 

 

CASH FLOWS FROM OPERATING ACTIVITIES:

Net income (loss)

$

31,240

 

$

(90,071

)

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation and amortization of software, equipment, and property

 

42,908

 

 

36,902

 

Amortization of intangible assets

 

80,768

 

 

98,436

 

Impairment of goodwill and intangible assets

 

—

 

 

82,742

 

Deferred income taxes

 

(30,521

)

 

(46,333

)

Stock-based compensation

 

171,038

 

 

144,518

 

Amortization of deferred financing fees

 

1,871

 

 

1,753

 

Amortization of discount on debt

 

261

 

 

233

 

Change in fair value of derivative instruments

 

5,233

 

 

5,743

 

Change in fair value of warrant liabilities

 

(14,378

)

 

15,096

 

Change in fair value of estimated contingent consideration

 

(100

)

 

—

 

Non-cash lease expense

 

—

 

 

1,232

 

Loss on disposal of software, equipment and property

 

302

 

 

79

 

Other

 

221

 

 

620

 

Changes in:

Accounts receivable—Net

 

(4,196

)

 

(4,001

)

Deferred contract costs

 

(4,473

)

 

(1,344

)

Other current assets

 

4,319

 

 

4,046

 

Deferred contract costs—Non-current

 

3,610

 

 

(2,141

)

Other assets

 

2,771

 

 

(3,649

)

Operating lease assets

 

2,301

 

 

1,186

 

Income taxes

 

(7,147

)

 

4,984

 

Accounts payable

 

2,070

 

 

(11,270

)

Accrued expenses

 

797

 

 

1,041

 

Operating lease liabilities

 

(4,298

)

 

(2,145

)

Deferred revenues

 

1,355

 

 

8,321

 

Other liabilities

 

(2,066

)

 

4,055

 

Net cash provided by operating activities

 

283,886

 

 

250,033

 

CASH FLOWS FROM INVESTING ACTIVITIES:

Purchases of software, equipment, and property

 

(53,012

)

 

(55,032

)

Net cash used in investing activities

 

(53,012

)

 

(55,032

)

CASH FLOWS FROM FINANCING ACTIVITIES:

Proceeds from exercise of stock options

 

33,506

 

 

25,381

 

Proceeds from employee stock purchase plan

 

5,745

 

 

4,761

 

Principal payments on long-term debt

 

(8,000

)

 

(8,000

)

Payments for employee taxes withheld upon vesting of equity awards

 

(57,826

)

 

(16,715

)

Payment of fees associated with the revolver debt modification

 

(719

)

 

—

 

Repurchase of common stock

 

—

 

 

(328,453

)

Net cash used in financing activities

 

(27,294

)

 

(323,026

)

NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS

 

(169

)

 

(191

)

NET CHANGE IN CASH AND CASH EQUIVALENTS

 

203,411

 

 

(128,216

)

CASH AND CASH EQUIVALENTS:

Beginning of period

 

195,572

 

 

323,788

 

End of period

$

398,983

 

$

195,572

 

NONCASH INVESTING AND FINANCING ACTIVITIES:

Noncash purchases of software, equipment, and property

$

7,154

 

$

2,044

 

Fair value of redemmed private warrants

$

37,122

 

$

—

 

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:

Cash paid for interest

$

62,898

 

$

61,367

 

Cash paid for income taxes—Net

$

50,742

 

$

42,948

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF GROSS PROFIT TO ADJUSTED GROSS PROFIT

(In thousands, except profit margin percentage data)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Gross Profit

$

185,224

 

$

172,664

 

$

713,803

 

$

636,159

 

Amortization of acquired technologies

 

172

 

 

6,567

 

 

9,000

 

 

26,464

 

Stock-based compensation and related employer payroll tax

 

2,326

 

 

2,223

 

 

9,943

 

 

9,129

 

Impairment of acquired technologies

 

—

 

 

—

 

 

—

 

 

431

 

Adjusted Gross Profit

$

187,722

 

$

181,454

 

$

732,746

 

$

672,183

 

Gross Profit Margin

 

75

%

 

76

%

 

76

%

 

73

%

Adjusted Gross Profit Margin

 

76

%

 

79

%

 

78

%

 

78

%

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP OPERATING EXPENSES TO ADJUSTED OPERATING EXPENSES

(In thousands)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Operating expenses

$

164,116

 

$

153,303

 

$

633,698

 

$

660,084

 

Amortization of intangible assets

 

(17,942

)

 

(17,942

)

 

(71,768

)

 

(71,972

)

Stock-based compensation expense and related employer payroll tax

 

(42,038

)

 

(38,001

)

 

(167,865

)

 

(138,578

)

M&A and integration costs

 

(7,317

)

 

(3,372

)

 

(9,193

)

 

(3,372

)

Litigation costs

 

(642

)

 

(1,150

)

 

(4,455

)

 

(5,068

)

Equity transaction costs, including secondary offerings

 

(1,461

)

 

(2,031

)

 

(1,938

)

 

(2,031

)

Change in fair value of contingent consideration

 

100

 

 

—

 

 

100

 

 

—

 

Goodwill and intangible asset impairment charges

 

—

 

 

—

 

 

—

 

 

(82,311

)

Adjusted operating expenses

$

94,816

 

$

90,807

 

$

378,579

 

$

356,752

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP OPERATING INCOME (LOSS) TO ADJUSTED OPERATING INCOME

(In thousands)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

2023

 

2024

 

 

2023

 

Operating income (loss)

$

21,108

 

$

19,361

$

80,105

 

$

(23,925

)

Amortization of intangible assets

 

17,942

 

 

17,942

 

71,768

 

 

71,972

 

Amortization of acquired technologies—Cost of revenue

 

172

 

 

6,567

 

9,000

 

 

26,464

 

Stock-based compensation expense and related employer payroll tax

 

44,364

 

 

40,224

 

177,808

 

 

147,707

 

M&A and integration costs

 

8,716

 

 

3,372

 

9,193

 

 

3,372

 

Litigation costs

 

642

 

 

1,150

 

4,455

 

 

5,068

 

Equity transaction costs, including secondary offerings

 

62

 

 

2,031

 

1,938

 

 

2,031

 

Change in fair value of contingent consideration

 

(100

)

 

—

 

(100

)

 

—

 

Goodwill and intangible asset impairment charges

 

—

 

 

—

 

—

 

 

82,742

 

Adjusted operating income

$

92,906

 

$

90,647

$

354,167

 

$

315,431

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP NET INCOME (LOSS) TO ADJUSTED EBITDA

(In thousands, except for EBITDA margin percentage data)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net income (loss)

$

6,260

 

$

26,292

 

$

31,240

 

$

(90,071

)

Interest expense

 

15,174

 

 

16,652

 

 

64,608

 

 

63,577

 

Interest income

 

(3,768

)

 

(3,806

)

 

(12,203

)

 

(16,252

)

Income tax provision

 

4,072

 

 

6,770

 

 

13,074

 

 

5,524

 

Amortization of intangible assets

 

17,942

 

 

17,942

 

 

71,768

 

 

71,972

 

Amortization of acquired technologies—Cost of revenue

 

172

 

 

6,567

 

 

9,000

 

 

26,464

 

Depreciation and amortization related to software, equipment and property

 

2,319

 

 

2,046

 

 

8,774

 

 

8,577

 

Depreciation and amortization related to software, equipment and property—Cost of revenue

 

11,069

 

 

6,831

 

 

34,134

 

 

28,325

 

Stock-based compensation expense and related employer payroll tax

 

44,364

 

 

40,224

 

 

177,808

 

 

147,707

 

M&A and integration costs

 

8,716

 

 

3,372

 

 

9,193

 

 

3,372

 

Litigation costs

 

642

 

 

1,150

 

 

4,455

 

 

5,068

 

Equity transaction costs, including secondary offering costs

 

62

 

 

2,031

 

 

1,938

 

 

2,031

 

Change in fair value of contingent consideration

 

(100

)

 

—

 

 

(100

)

 

—

 

Change in fair value of warrant liabilities

 

—

 

 

(30,308

)

 

(14,378

)

 

15,096

 

Change in fair value of derivative instruments

 

458

 

 

6,306

 

 

5,233

 

 

5,743

 

Income from derivative instruments

 

(1,073

)

 

(2,016

)

 

(7,167

)

 

(6,460

)

Goodwill and intangible asset impairment charges

 

—

 

 

—

 

 

—

 

 

82,742

 

Adjusted EBITDA

$

106,309

 

$

100,053

 

$

397,377

 

$

353,415

 

Adjusted EBITDA Margin

 

43

%

 

44

%

 

42

%

 

41

%

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF GAAP NET INCOME (LOSS) TO ADJUSTED NET INCOME

(In thousands, except share and per share data)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net income (loss)

$

6,260

 

$

26,292

 

$

31,240

 

$

(90,071

)

Amortization of intangible assets

 

17,942

 

 

17,942

 

 

71,768

 

 

71,972

 

Amortization of acquired technologies—Cost of revenue

 

172

 

 

6,567

 

 

9,000

 

 

26,464

 

Stock-based compensation expense and related employer payroll tax

 

44,364

 

 

40,224

 

 

177,808

 

 

147,707

 

M&A and integration costs

 

8,716

 

 

3,372

 

 

9,193

 

 

3,372

 

Litigation costs

 

642

 

 

1,150

 

 

4,455

 

 

5,068

 

Equity transaction costs, including secondary offering costs

 

62

 

 

2,031

 

 

1,938

 

 

2,031

 

Change in fair value of contingent consideration

 

(100

)

 

—

 

 

(100

)

 

—

 

Change in fair value of warrant liabilities

 

—

 

 

(30,308

)

 

(14,378

)

 

15,096

 

Change in fair value of derivative instruments

 

458

 

 

6,306

 

 

5,233

 

 

5,743

 

Goodwill and intangible asset impairment charges

 

—

 

 

—

 

 

—

 

 

82,742

 

Tax effect of adjustments

 

(14,002

)

 

(14,584

)

 

(58,086

)

 

(59,638

)

Adjusted net income

$

64,514

 

$

58,992

 

$

238,071

 

$

210,486

 

 

Adjusted net income per share attributable to common stockholders:

Basic

$

0.10

 

$

0.10

 

$

0.39

 

$

0.34

 

Diluted

$

0.10

 

$

0.09

 

$

0.37

 

$

0.32

 

 

Weighted average shares outstanding:

Basic

 

618,767,992

 

 

609,128,048

 

 

610,761,424

 

 

617,889,384

 

Diluted

 

648,544,705

 

 

649,260,826

 

 

641,875,525

 

 

651,587,360

 

CCC INTELLIGENT SOLUTIONS HOLDINGS INC. AND SUBSIDIARIES

RECONCILIATION OF NET CASH FLOW FROM OPERATING ACTIVITIES TO FREE CASH FLOW

(In thousands)

(Unaudited)

Three months ended December 31,

Year ended December 31,

(dollar amounts in thousands)

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net cash provided by operating activities

$

113,645

 

$

86,895

 

$

283,886

 

$

250,033

 

Less: Purchases of software, equipment and property

 

(7,939

)

 

(11,845

)

 

(53,012

)

 

(55,032

)

Free Cash Flow

$

105,706

 

$

75,050

 

$

230,874

 

$

195,001

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250224727217/en/

Investor Contact: Bill Warmington VP, Investor Relations, CCC Intelligent Solutions Inc. 312-229-2355 IR@cccis.com

Media Contact: Michelle Hellyar Senior Director, Public Relations, CCC Intelligent Solutions Inc. mhellyar@cccis.com