realfast95
2 년 전
Alight Reports Second Quarter 2022 Results
August 03 2022 - 06:30AM
– Achieved 6.4% Revenue Growth and 7.9% Employer Solutions Revenue Growth –
– Delivered Strong BPaaS Revenue Growth of 36.2% to $128 Million –
–BPaaS Bookings of $356 Million in First Half Ahead of $680 to $700 Million 2022 Target –
– Over 90% of Anticipated 2022 Revenue Under Contract –
– Reiterating Outlook for 2022 and Providing Quarterly Expectation for Second Half of the Year –
– Authorized a $100 Million Stock Repurchase Program –
Alight (NYSE: ALIT), a leading cloud-based human capital technology and services provider, today reported results for the second quarter ended June 30, 2022.
"Over the past 5 years we have grown our estimated total addressable market by 121% from $33 billion to $73 billion by adding key content and leveraging the buildout of the Alight Worklife® platform that enables us to help people make better decisions around their health, wealth and wellbeing. It also drives ROI for our clients through higher engagement and cost savings. In the second quarter, we rolled out the second major update of Alight Worklife in just 12 weeks moving over 500 clients from a custom to a standardized platform with a focus on deepening employee engagement. In addition, we launched our Alight Digital Wallet solution, went live with our largest client ever and secured new client wins which is translating to higher BPaaS revenue and bookings," said Chief Executive Officer Stephan Scholl.
Second Quarter 2022 Highlights and Subsequent Events * (all comparisons are relative to second quarter 2021)
Grew revenue 6.4% to $715 million and net income to $52 million from prior year net loss of $(4) million
Gross profit rose 0.9% to $219 million led by 4.7% growth in Employer Solutions gross profit
Adjusted EBITDA was $142 million compared to $145 million due to 6.5% growth in Employer Solutions offset by a reduction in Professional Services
Business Process as a Service (BPaaS) revenue grew 36.2%, represents 17.9% of total revenue
BPaaS bookings on a total contract value basis of $234 million in second quarter and $356 million in first half more than halfway to 2022 target of $680 to 700 million
Over 90% of anticipated 2022 revenue under contract
Secured new wins and expanded relationships with AutoZone, Siemens Energy, Unilever, The Home Depot and Geodis
Authorized a $100 million stock repurchase program
* The Company’s discussion of the results of operations compares the results of the Successor three months ended June 30, 2022 ("Successor") to the results of the Predecessor three months ended June 30, 2021 ("Predecessor").
Second Quarter 2022 Consolidated Results
Revenue for the Successor three months ended June 30, 2022 grew 6.4% to $715 million, as compared to $672 million for the Predecessor prior year period. The growth was driven by a 7.9% increase in Employer Solutions revenue due to net commercial activity, increased volumes and acquisitions. This was partially offset by revenue reductions of 1.1% in Professional Services and 9.1% in Hosted Business.
Gross profit for the Successor three months ended June 30, 2022 increased 0.9% to $219 million or 30.6% of revenue, from $217 million, or 32.3% of revenue for the Predecessor prior year period. The improvement in gross profit was primarily driven by revenue growth, partially offset by higher costs associated with compensation expenses related to awards issued beginning in the second half of 2021, recent acquisitions in the fourth quarter of 2021 and higher costs related to growth in revenue, including investments in key resources.
Selling, general and administrative expenses for the Successor three months ended June 30, 2022 were $157 million, compared to $105 million for the Predecessor prior year period. The increase was primarily due to compensation expenses related to non-cash equity awards issued beginning in the second half of 2021.
Interest expense for the Successor three months ended June 30, 2022 improved to $29 million as compared to $61 million for the Predecessor prior year period. The reduction was primarily due to the redemption of our Unsecured Senior Notes and the partial paydown of a Term Loan in conjunction with the Business Combination completed during the third quarter of 2021.
Income before income tax benefit for the Successor three months ended June 30, 2022 was $43 million compared to a loss before income tax benefit of ($6) million for the Predecessor prior year period.
Second Quarter 2022 Segment Results
Employer Solutions
Employer Solutions is driven by Alight’s digital, software and AI-led capabilities and spans total employee wellbeing and engagement, including integrated benefits administration, healthcare navigation, financial health, employee wellness and payroll.
Employer Solutions revenues for the Successor three months ended June 30, 2022 grew 7.9% to $614 million, as compared to $569 million for the Predecessor prior year period, as a result of net commercial activity, increased volumes, acquisitions and project revenue. Recurring revenue grew 8.3% to $559 million, while project revenue was up 3.8% to $55 million.
Employer Solutions gross profit for the Successor three months ended June 30, 2022 was $200 million, as compared to $191 million for the Predecessor prior year period. The increase was primarily due to revenue growth partially offset by costs associated with growth of current and forecasted future revenues and increases in compensation expenses related to awards issued beginning in the second half of 2021.
Employer Solutions Adjusted EBITDA for the Successor three months ended June 30, 2022 was up 6.5% to $147 million, as compared to $138 million for the Predecessor prior year period. The increase was primarily due to revenue growth partially offset by increases in costs associated with growth of current and forecasted future revenues, including investments in our commercial functions and technology.
Professional Services
Professional Services revenues for the Successor three months ended June 30, 2022 were $91 million as compared to $92 million for the Predecessor prior year period as a result of lower project revenue. Recurring revenue grew by $1 million, while project revenue declined by $2 million.
Professional Services gross profit for the Successor three months ended June 30, 2022 was $20 million as compared to $26 million for the Predecessor prior year period. The decrease was primarily due to increases in costs associated with growth of forecasted future revenues, including investments in key resources and lower revenue in the current period.
Professional Services Adjusted EBITDA for the Successor three months ended June 30, 2022 was a loss of ($3) million as compared to $7 million for the Predecessor prior year period. The decrease was primarily due to increases in costs associated with growth of forecasted future revenues, including investments in our commercial functions.
Hosted Business
Hosted Business revenues for the Successor three months ended June 30, 2022 were $10 million as compared to $11 million for the Predecessor prior year period. The reduction of $1 million was due to lower volumes.
Hosted Business gross profit (loss) for the Successor three months ended June 30, 2022 was a loss of ($1) million as compared to an immaterial amount for the Predecessor prior year period. The decrease was due to lower revenue.
Hosted Business Adjusted EBITDA for the Successor three months ended June 30, 2022 was a loss of ($2) million compared to an immaterial amount for the Predecessor prior year period. The change was primarily due to lower revenue.
Balance Sheet Highlights
As of June 30, 2022, the Company’s cash and cash equivalents balance was $272 million, total debt was $2,840 million and total debt net of cash and cash equivalents was $2,568 million.
The Company’s debt portfolio, due to swaps, is 70% fixed rate for 2022 and 2023 and has no significant debt maturity until 2025.
Stock Repurchase Program
The Company’s Board of Directors authorized the purchase of up to $100 million of the Company’s Class A shares. Repurchases of shares of the Company’s Class A common stock may be conducted through open market purchases or privately negotiated transactions in compliance with Rule 10b-18 under the Exchange Act, including through Rule 10b5-1 trading plans. The actual timing and amount of future repurchases are subject to business and market conditions, corporate and regulatory requirements, stock price, acquisition opportunities and other factors. The stock repurchase program does not obligate Alight to acquire any particular amount of common stock, and the program may be suspended or terminated at any time by Alight at its discretion without prior notice.
Business Outlook
The Company is affirming its full-year 2022 outlook:
Revenue of $3.09 to $3.12 billion (growth of 6% to 7%).
Adjusted EBITDA in the range of $650 to $662 million.
Adjusted diluted EPS of $0.54 to $0.60.
BPaaS total contract value bookings of $680 to $700 million.
The Company is also providing an outlook for the second half of 2022 to provide better insight into the seasonality of the business:
For the third quarter of 2022, revenue of $735 to $750 million and Adjusted EBITDA of $115 to $125 million.
For the fourth quarter of 2022, revenue of $915 to $930 million and Adjusted EBITDA of $245 to $255 million.
realfast95
3 년 전
Press Release: Alight Reports First Quarter 2022 Results
6:30 am ET May 9, 2022 (Dow Jones) Print
Alight Reports First Quarter 2022 Results
-- Achieved 5.2% Total Revenue Growth and 6.1% Employer Solutions Revenue Growth --
-- Delivered Strong BPaaS Revenue Growth of 22.6% to $114 Million --
-- BPaaS Bookings More Than Tripled to $122 Million --
-- Reiterating 2022 Revenue and Adjusted EBITDA Outlook and 2023 10% Revenue Growth Target --
LINCOLNSHIRE, Ill.--(BUSINESS WIRE)--May 09, 2022--
Alight (NYSE: ALIT), a leading cloud-based provider of integrated digital human capital and business solutions, today reported results for the first quarter ended March 31, 2022.
"Coming out of the pandemic, companies continue to struggle with attracting and retaining a more discerning workforce. When we combine the simple and seamless technology experience of the Alight Worklife(R) platform with the data and analytics of our content cloud solutions, and global delivery capabilities, we can power more confident decisions for employees and provide companies with the information they need to make smarter decisions around their people. This powerful combination is the Alight BPaaS model," said Chief Executive Officer Stephan Scholl. "Our first quarter results illustrate the traction we are getting with new and expanded client relationships in the marketplace with BPaaS revenue and bookings all showing strong growth."
First Quarter 2022 and Subsequent Highlights* (all comparisons are relative to first quarter 2021)
-- Increased revenue 5.2% to $725 million and improved net loss to $(13)
million from $(21) million
-- Adjusted EBITDA grew 6.8% to $142 million
-- Business Process as a Service (BPaaS) revenue grew 22.6%, represents
15.7% of total revenue
-- BPaaS bookings on a total contract value basis more than tripled to $122
million
-- Have over 85% of anticipated 2022 revenue under contract
-- Secured new wins and expanded relationships with NEC, Genuine Parts
Company, Adevinta and Rituals
* The Company's discussion of the results of operations compares the results of the Successor three months ended March 31, 2022 ("Successor") to the results of the Predecessor three months ended March 31, 2021 ("Predecessor").
First Quarter 2022 Consolidated Results
For the first quarter, total revenue for the Successor three months ended March 31, 2022 increased 5.2% to $725 million, as compared to $689 million for the Predecessor prior year period. The growth was driven by a 6.1% increase in Employer Solutions revenue due to acquisitions, increased volumes and net commercial activity along with growth in the legacy Hosted Business segment. This growth was partially offset by a 2.2% reduction in Professional Services revenue.
Gross profit for the Successor three months ended March 31, 2022 increased 2.3% to $223 million or 30.8% of revenue, from $218 million, or 31.6% of revenue for the Predecessor prior year period. The improvement in gross profit was primarily driven by revenue growth, partially offset by higher costs associated with investments in the business and key resources.
Selling, general and administrative expenses for the Successor three months ended March 31, 2022 were $140 million, compared to $117 million for the Predecessor prior year period. The increase was primarily due to the issuance of equity compensation related incentive awards.
Interest expense for the Successor three months ended March 31, 2022 improved to $29 million as compared to $62 million for the Predecessor prior year period. The reduction was primarily due to the redemption of our Unsecured Senior Notes and the partial paydown of a Term Loan in conjunction with the Business Combination completed during the third quarter of 2021.
Loss before income tax expense for the Successor three months ended March 31, 2022 was $12 million compared to a loss before income tax benefit of $24 million for the Predecessor prior year period.
First Quarter 2022 Segment Results
Employer Solutions
Employer Solutions is driven by Alight's digital, software and AI-led capabilities and spans total employee wellbeing and engagement, including integrated benefits administration, healthcare navigation, financial health, employee wellness and payroll.
Employer Solutions total revenues for the Successor three months ended March 31, 2022 increased 6.1% to $623 million, as compared to $587 million for the Predecessor prior year period, as a result of acquisitions, and increases in volumes and net commercial activity. Recurring revenue grew 6.9% to $570 million, while project revenue declined 1.9% to $53 million.
Employer Solutions gross profit for the Successor three months ended March 31, 2022 was $204 million, as compared to $201 million for the Predecessor prior year period.
Employer Solutions Adjusted EBITDA for the Successor three months ended March 31, 2022 was up 4.4% to $142 million, as compared to $136 million for the Predecessor prior year period.
Professional Services
Professional Services total revenues for the Successor three months ended March 31, 2022 were $90 million as compared to $92 million for the Predecessor prior year period down 2.2% or $2 million due to a decrease in project revenues of $3 million partially offset by an increase in recurring revenue of $1 million due to net commercial activity.
Professional Services gross profit for the Successor three months ended March 31, 2022 was $19 million as compared to $20 million for the Predecessor prior year period.
Professional Services Adjusted EBITDA for the Successor three months ended March 31, 2022 was an immaterial amount as compared to an immaterial amount for the Predecessor prior year period.
Hosted Business
Hosted Business revenues for the Successor three months ended March 31, 2022 were $12 million as compared to $10 million for the Predecessor prior year period. The increase of $2 million was due to higher volumes.
Hosted Business gross profit (loss) for the Successor three months ended March 31, 2022 was an immaterial amount as compared to a loss of ($3) million for the Predecessor prior year period.
Hosted Business Adjusted EBITDA for the Successor three months ended March 31, 2022 was an immaterial amount compared to a loss of ($3) million for the Predecessor prior year period. The increase of $3 million was driven by revenue growth.
Balance Sheet Highlights
As of March 31, 2022, the Company's cash and cash equivalents balance was $326 million, total debt was $2,858 million and total debt net of cash and cash equivalents was $2,532 million.
In the first quarter 2022, the Company updated the benchmark reference rate on $2.5 billion of term loans to Term secured overnight financing rate (SOFR) from LIBOR. It also extended the maturity date and reduced the Term SOFR borrowing margin by 25 basis points on $2.0 billion of those term loans.
Business Outlook
The Company is affirming its full-year 2022 outlook:
-- Revenue of $3.09 to $3.12 billion (growth of 6% to 7%).
-- Adjusted EBITDA in the range of $650 million to $662 million.
-- Adjusted diluted EPS of $0.54 to $0.60.
-- BPaaS total contract value bookings of $680 to $700 million.
Earnings Conference Call and Webcast Information
A conference call to discuss the Company's first-quarter 2022 financial results is scheduled for today, May 9, 2022 at 7:30 a.m. Central Time (8:30 a.m. Eastern Time). Interested parties can listen to the conference call by dialing 1-877-407-0792 or 1-201-689-8263, or by accessing the live webcast and accompanying presentation materials by logging on to the Investor Relations section on the Company's website at http://investor.alight.com. A replay of the conference call and the accompanying presentation materials will be available on the investor relations website for approximately 90 days.
realfast95
3 년 전
Alight reports Q4 adjusted EPS 31c, consensus 17c
Alight sees 2022 adjusted EPS 54c-60c, consensus 52c
Alight revenue $864 million, consensus $803.31
--- Full year BPaaS bookings grew 52.4% to $602 million well ahead of original target of $395 million -
--- Delivered strong full-year BPaaS revenue growth of 16.8% -
--- Providing 2022 revenue outlook of $3.09 to $3.12 billion (growth of 6% to 7%) and EBITDA outlook of $650 to $662 million, ahead of initial 2022 guidance of $640 million; on track to 2023 revenue growth target of 10% -
Alight (NYSE: ALIT), a leading cloud-based provider of integrated digital human capital and business solutions, today reported results for the fourth quarter and full year ended December 31, 2021.
"In January 2021, we outlined a three-year plan to fundamentally change the siloed approach to benefits and human capital management by bringing together all aspects of employee health, wealth, wellbeing and payroll into one, seamless, integrated technology experience. The Alight Worklife platform which enables our business process as a service (BPaaS) model is an enterprise-wide employee engagement platform that brings together content, AI and analytics to help keep employees financially secure and healthy," said Chief Executive Officer Stephan Scholl. "Our results demonstrate the traction we achieved in 2021. BPaaS revenue and bookings ended the year well ahead of original goals as we concurrently grew our Employer Solutions business and improved gross margins. This positive momentum allows us to raise our 2022 guidance from our initial estimates that we outlined when we went public."
Fourth Quarter 2021 and Subsequent Highlights (all comparisons are relative to fourth quarter 2020)
Increased revenue 20.0% to $864 million and adjusted EBITDA 28.4% to $190 million Improved net (loss) income to $72 million from $(18) million in the prior year period Business Process as a Service (BPaaS) revenue grew 14.0% to $106 million, representing 12.3% of total revenue BPaaS bookings on a total contract value basis increased 131% to $143 million Ended 2021 with over 80% of projected 2022 revenue under contract ahead of historical levels of 75% New wins and expanded relationships with companies include Ingka Group, the largest IKEA retailer; Mercado Libre; Prym; CM.com; Kalera; and Walgreens Completed acquisitions of the Retiree Health Exchange business and ConsumerMedical Completed a largely cashless redemption of 60 million warrants for approximately 15.3 million shares of Class A common stock Subsequent to quarter-end, refinanced $2.5 billion in term loans reducing the Term SOFR borrowing margin by 25 basis points, achieved a maturity extension and effected a pricing benchmark conversion
Full Year 2021 Highlights (all comparisons are relative to full year 2020)
Grew full year revenue 6.9% to $2,915 million and adjusted EBITDA 10.1% to $621 million well ahead of the initial 1% revenue growth and $600 million adjusted EBITDA outlook Reduced net (loss) income by 29.1% to $(73) million from $(103) million in the prior year BPaaS full year revenue growth of 16.8% to $390 million, representing 13.4% of total revenue, ahead of our initial 12% 2021 outlook BPaaS full year bookings on a total contract value basis increased 128% to $602 million well ahead of original January full-year forecast of $395 million Made significant investments in our go-to market workforce and technology which includes the release of 11 new products, most prominently our Alight Worklife platform Gross profit growth for the full year of 15.9% to $967 million, with gross profit margin improving 260 basis points to 33.2% and operating income of $167 million 9.4% increase in full year Employer Solutions revenue to $2,503 million and Employer Solutions gross margin expansion of 350 basis points to 35.2% On July 2, 2021, Foley Trasimene Acquisition Corp. (FTAC) completed the Business Combination with Alight Holding Company, LLC
Fourth Quarter Results
We prepared our discussion of the results of operations by comparing the results of the combined Successor six months ended December 31, 2021 and Predecessor six months ended June 30, 2021 to the Predecessor year ended December 31, 2020 to provide enhanced comparability to the reader about the current year's results. We believe this approach provides a more meaningful comparison for the reader.
Consolidated Results
For the fourth quarter, total revenue for the Successor three months ended December 31, 2021, increased 20.0% to $864 million, as compared to $720 million for the Predecessor prior year period driven by 24.6% growth in Employer Solutions revenue due to acquisition and net commercial activity partially offset by a 3.1% decrease in Professional Services revenue and previously anticipated 21.4% decline in the legacy Hosted Business segment.
Gross profit for the Successor three months ended December 31, 2021, increased 45.5% to $294 million or 34.0% of revenue, from $202 million, for the Predecessor prior year period, or 28.1% of revenue. The increase in gross profit was primarily driven by revenue growth as noted above, partially offset by increases in costs associated with the growth in current and future revenues.
Selling, general and administrative expenses for the Successor three months ended December 31, 2021 increased by $72 million to $169 million as compared to $97 million for the Predecessor prior year period. The increase was primarily due to a full quarter of non-cash share-based compensation from grants awarded at the end of September 2021 and higher expense associated with two completed acquisitions.
Interest expense for the Successor three months ended December 31, 2021 improved to $29 million as compared to $62 million for the Predecessor prior year period. The change was primarily a result of a total debt reduction of $1.2 billion in conjunction with the Business Combination (as defined below) completed during the third quarter of 2021.
Profit before income tax expense for the Successor three months ended December 31, 2021 was $97 million compared to a loss before income tax benefit of $21 million for the Predecessor prior year period.
Fourth Quarter 2021 Segment Results
Employer Solutions
Employer Solutions is driven by Alight's digital, software and AI-led capabilities and spans total employee wellbeing and engagement, including integrated benefits administration, healthcare navigation, financial health, employee wellness and payroll.
Employer Solutions total revenues for the Successor three months ended December 31, 2021 were $760 million, as compared to $610 million for the Predecessor prior year period, up 24.6% or $150 million primarily due to the acquisition of the retiree health exchange, which is predominately a fourth quarter business and positive net commercial activity. Recurring revenue increased 29.2% to $691 million, while project revenue declined 8.0% to $69 million driven by softer demand for one-time services.
Employer Solutions gross profit for the Successor three months ended December 31, 2021 was $274 million, as compared to $175 million for the Predecessor prior year period, up 56.6% driven by the revenue growth as discussed above and lower expenses related to productivity initiatives, including the impact of lower restructuring and integration related costs partially offset by increases in costs associated with growth of current and future revenues.
Employer Solutions Adjusted EBITDA for the Successor three months ended December 31, 2021 was $193 million, as compared to $144 million for the Predecessor prior year period, up 34.0% or $49 million primarily due to revenue growth as discussed above.
Professional Services
Professional Services total revenues for the Successor three months ended December 31, 2021 were $93 million, as compared to $96 million for the Predecessor prior year period, down 3.1% or $3 million due to a decrease in project revenue of $6 million partially offset by an increase in recurring revenue of $3 million. Project revenue has been impacted by weaker client demand for one-time implementation work due to COVID-19 related cost-cutting, while recurring revenue has benefited from ongoing client demand to optimize existing systems.
Professional Services gross profit for the Successor three months ended December 31, 2021 was $20 million as compared to $29 million for the Predecessor prior year period. The decrease of $9 million, or 31.0%, was primarily due to lower revenue and the Company's continued investment in retaining a specialized workforce.
Professional Services Adjusted EBITDA for the Successor three months ended December 31, 2021 was a loss of ($3) million as compared to $8 million for the Predecessor prior year period. The decrease of $11 million was primarily due to lower revenue and investments in key resources and workforce.
Hosted Business
Hosted Business revenues for the Successor three months ended December 31, 2021 were $11 million as compared to $14 million for the Predecessor prior year period. The decrease of $3 million was due to expected transitions from our Hosted Business to cloud-based services.
Hosted Business Gross Profit (Loss) for the Successor three months ended December 31, 2021 was an immaterial amount as compared to a loss of ($2) million for the Predecessor prior year period.
Hosted Business Adjusted EBITDA for the Successor three months ended December 31, 2021 was an immaterial amount compared to a loss of ($4) million for the Predecessor prior year period. The increase of $4 million was driven by a decrease in costs in the period which outpaced a decrease in revenue during the period.
Full Year 2021 Results
Consolidated Results
Revenues were $1,554 million for the Successor six months ended December 31, 2021, $1,361 million for the Predecessor six months ended June 30, 2021 and $2,728 million for the Predecessor year ended December 31, 2020. Revenues, for the combined year ended December 31, 2021, increased 6.9% to $2,915 million underpinned by 9.4% growth in Employer Solutions revenue due to the two completed acquisitions and net commercial activity partially offset by flat Professional services revenue and a previously anticipated reduction in the legacy Hosted Business segment.
Gross profit grew 15.9% to $967 million or 33.2% of revenue for the Successor six months ended December 31, 2021, from $834 million, or 30.6% of revenue for the Predecessor prior year period. The increase was primarily driven by revenue growth, partially offset by higher costs associated with the growth in current and future revenues including investments in key resources and recent acquisitions. This was partially offset by lower expenses related to productivity initiatives, including lower restructuring related costs and $21 million of lower costs in the Hosted Business as clients transition to cloud-based services.
Selling, general and administrative expenses were $304 million for the Successor six months ended December 31, 2021, $222 million for the Predecessor six months ended June 30, 2021 and $461 million for the Predecessor year ended December 31, 2020. Selling, general and administrative expenses, for the combined year ended December 31, 2021, increased by $65 million, or 14.1%, to $526 million primarily due to a rise in compensation expenses related to non-cash stock awards issued in the third quarter of 2021 and non-recurring professional expenses related to costs incurred in relation to the Business Combination completed in the third quarter of 2021, partially offset by lower restructuring expenses related to productivity initiatives.
Interest expenses were $57 million for the Successor six months ended December 31, 2021, $123 million for the Predecessor six months ended June 30, 2021 and $234 million for the Predecessor year ended December 31, 2020. Interest expenses, for the combined year ended December 31, 2021, improved to $180 million as compared to $234 million for the Predecessor prior year period. The $54 million, or 23.0%, reduction was primarily due to the redemption of Unsecured Senior Notes and partial paydown of the Term Loan in conjunction with the Business Combination completed during the third quarter of 2021, partially offset by incremental interest associated with the term loan issued in the third quarter of 2021.
Loss before income tax expense (benefit) was $23 million for the Successor six months ended December 31, 2021, $30 million for the Predecessor six months ended June 30, 2021 and $94 million for the Predecessor year ended December 31, 2020. Loss before income tax expense (benefit) was $53 million for the combined year ended December 31, 2021, a decrease of $41 million compared to $94 million for the Predecessor year ended December 31, 2020, due to the drivers identified above and the fair value remeasurement associated with certain liabilities.
Balance Sheet Highlights and Subsequent Events
As of December 31, 2021, the Company's cash and cash equivalents balance was $372 million, total debt was $2,868 million and total debt net of cash and cash equivalents was $2,496 million. During the quarter, the Company announced the redemption of all of the Company's 45 million public warrants and 15 million Class C units. In connection with the redemption, the vast majority of holders elected to exercise on a cashless basis. This resulted in the issuance of approximately 15.3 million shares of the Company's Class A common stock. This transaction further simplified the Company's capital structure and reduced potential future dilution.
In January 2022, the Company updated the Benchmark reference rate on $2.5 billion of term loans to Term SOFR from LIBOR. It also extended the maturity date and reduced the Term SOFR borrowing margin by 25 basis points on $2.0 billion of those term loans.
Business Outlook
Given the strong results in 2021 and recent momentum, the Company is introducing its full-year 2022 outlook:
Revenue of $3.09 to $3.12 billion (growth of 6% to 7%) on a higher 2021 revenue base than the Company's original guidance. Current full year 2022 outlook exceeds original outlook of $2.95 billion. Adjusted EBITDA in the range of $650 million to $662 million. This compares to the Company's original guidance of $640 million for 2022. Adjusted diluted EPS of $0.54 to $0.60, a new metric. BPaaS total contract value bookings of $680 to $700 million driven by strong client reception
realfast95
3 년 전
Alight Announces Redemption of All Outstanding Class C Units
December 02 2021 - 06:00AM
Alight (NYSE: ALIT) (“Alight” or the “Managing Member”), a leading cloud-based provider of integrated digital human capital and business solutions, today announced that Alight Holding Company, LLC (the “Company”) will redeem all of its 15,133,333 outstanding Class C Units (the “Units”) to purchase shares of the Managing Member’s Class A common stock, par value $0.0001 per share (the “Class A Common Stock”), for a redemption price of $0.10 per Unit (the “Redemption Price”), that remain outstanding at 5:00 p.m. New York City time on December 27, 2021 (the “Redemption Date”). This redemption follows the redemption of the 44,499,941 outstanding Public Warrants (which include the Forward Purchase Warrants) which were called for redemption on November 26, 2021 pursuant to a notice of redemption delivered on the same date.
These Units were issued under the Second Amended and Restated Limited Liability Company Agreement of the Company, dated as of July 2, 2021, by and between the Managing Member, Bilcar FT, LP, a Delaware limited partnership (“Bilcar”), Trasimene Capital FT, LP, a Delaware limited partnership (“Trasimene”), the Company and the other parties from time to time party thereto, as amended by the First Amendment to Second Amended and Restated Limited Liability Company Agreement of the Company, dated as of December 1, 2021 (together, the “LLC Agreement”), by and between the Managing Member, Bilcar, Trasimene and the Company and are subject to the Warrant Agreement, dated as of May 29, 2020, by and between Foley Trasimene Acquisition Corp. (n/k/a Alight Group, Inc.) (“FTAC”) and Continental Stock Transfer & Trust Company (the “Warrant Agent”), as amended by the Warrant Assumption Agreement, dated as of July 2, 2021 (together, the “Warrant Agreement”), by and between the Managing Member, FTAC and the Warrant Agent.
Redemption Details
Under the terms of the LLC Agreement, the Company is entitled to redeem all of the outstanding Units if the Reference Value (as defined below) equals or exceeds $10.00 per share. “Reference Value” means the last reported sales price of the shares of the Class A Common Stock for any twenty (20) trading days within the thirty (30) trading-day period ending on the third trading day prior to the date on which notice of the redemption is given. This share price performance target has been met.
In accordance with the Warrant Agreement, upon delivery of the notice of redemption, the Units may be exchanged either for cash or on a “cashless basis.” Accordingly, holders may continue to exchange Units and receive Class A Common Stock in exchange for payment in cash of the $11.50 per Unit exchange price. Alternatively, a holder may surrender Units for a certain number of shares of Class A Common Stock (such fraction determined by reference to the Warrant Agreement and described in the notice of redemption) that such holder would have been entitled to receive upon a cash exchange of Units. Holders of Units that elect a “make-whole” cashless exchange of the Units will receive a number of shares of Class A Common Stock for each Unit surrendered for exchange to be provided to the holders of Units no later than December 13, 2021. The exchange procedures are described in the notice of redemption and the election to purchase included therein. Any Units that remain unexchanged at 5:00 p.m. New York City time on the Redemption Date will be void and no longer exercisable, and the holders will have no rights with respect to those Units, except to receive the $0.10 per Unit.
The number of shares of Class A Common Stock that each exercising Unit holder will receive by virtue of the make-whole cashless exchange (instead of paying the $11.50 per Unit cash exchange price) will be calculated in accordance with the terms of the Warrant Agreement with reference to the table set forth in Section 6.2 of the Warrant Agreement based on the fair market value of the shares of Class A Common Stock and length of time to the applicable expiration of the Units. If any holder of Units would, after taking into account all of such holder’s Units exchanged at one time, be entitled to receive a fractional interest in a share of Class A Common Stock, the number of shares the holder will be entitled to receive will be rounded down to the nearest whole number of shares.
None of Alight, its board of directors or employees has made or is making any representation or recommendation to any holder of the Units as to whether to exchange, whether on a cash or cashless basis, or refrain from exchanging any Units.
Issuance of the shares of Class A Common Stock underlying the Units has been registered by Alight under the Securities Act of 1933, as amended, and is covered by a registration statement filed on Form S-1 with, and declared effective by, the Securities and Exchange Commission (Registration No. 333-258350). In addition to the broker of any Unit holder, questions may also be directed to Continental Stock Transfer & Trust Company, 1 State Street, 30th Floor, New York, New York 10004, Attention: Compliance Department, Telephone Number (212) 509-4000.
realfast95
3 년 전
Alight Announces Redemption of All Outstanding Warrants
November 29 2021 - 06:00AM
Alight (NYSE: ALIT) (“Alight or the “Company”), a leading cloud-based provider of integrated digital human capital and business solutions, today announced that the Company will redeem all of its outstanding warrants (the “Warrants”) to purchase shares of the Company’s Class A common stock, par value $0.0001 per share (the “Class A Common Stock”), that were issued under the Warrant Agreement, dated as of May 29, 2020, by and between Foley Trasimene Acquisition Corp. (n/k/a Alight Group, Inc.) (“FTAC”) and Continental Stock Transfer & Trust Company (the “Warrant Agent”), as amended by the Warrant Assumption Agreement, dated as of July 2, 2021 (together, the “Warrant Agreement”), by and between the Company, FTAC and the Warrant Agent, for a redemption price of $0.10 per Warrant (the “Redemption Price”), that remain outstanding at 5:00 p.m. New York City time on December 27, 2021 (the “Redemption Date”).
Redemption Details
Under the terms of the Warrant Agreement, the Company is entitled to redeem all of the outstanding Warrants if the Reference Value (as defined below) equals or exceeds $10.00 per share and, if the Reference Value is less than $18.00 per share, any Private Placement Warrants and Forward Purchase Warrants are also concurrently called for redemption on the same terms as the outstanding Public Warrants (each as defined in the Warrant Agreement). “Reference Value” means the last reported sales price of the shares of Class A Common Stock for any twenty (20) trading days within the thirty (30) trading-day period ending on the third trading day prior to the date on which notice of the redemption is given. This share price performance target has been met. No Private Placement Warrants are outstanding, and the Forward Purchase Warrants are being concurrently called for redemption on the same terms as the outstanding Public Warrants. At the direction of the Company, the Warrant Agent delivered a notice of redemption to each of the registered holders of the outstanding Warrants on November 26, 2021.
In accordance with the Warrant Agreement, upon delivery of the notice of redemption, the Warrants may be exercised either for cash or on a “cashless basis.” Accordingly, holders may continue to exercise Warrants and receive Class A Common Stock in exchange for payment in cash of the $11.50 per warrant exercise price. Alternatively, a holder may surrender Warrants for a certain number of shares of Class A Common Stock (such fraction determined by reference to the Warrant Agreement and described in the notice of redemption) that such holder would have been entitled to receive upon a cash exercise of a Warrant. Holders of Warrants that elect a “make-whole” cashless exercise of the Warrants will receive a number of shares of Class A Common Stock for each Warrant surrendered for exercise to be provided to the holders of Warrants no later than December 13, 2021. The exercise procedures are described in the notice of redemption and the election to purchase included therein. Any Warrants that remain unexercised at 5:00 p.m. New York City time on the Redemption Date will be delisted, void and no longer exercisable, and the holders will have no rights with respect to those Warrants, except to receive the $0.10 per Warrant.
The number of shares of Class A Common Stock that each exercising Warrant holder will receive by virtue of the make-whole cashless exercise (instead of paying the $11.50 per Warrant cash exercise price) will be calculated in accordance with the terms of the Warrant Agreements with reference to the table set forth in Section 6.2 of the Warrant Agreements based on the fair market value of the shares of Class A Common Stock and length of time to the applicable expiration of the Warrants. If any holder of Warrants would, after taking into account all of such holder’s Warrants exercised at one time, be entitled to receive a fractional interest in a share of Class A Common Stock, the number of shares the holder will be entitled to receive will be rounded down to the nearest whole number of shares.
Alight understands from the New York Stock Exchange that December 23, 2021, the trading day prior to the Redemption Date, will be the last day on which the Warrants will be traded on the New York Stock Exchange.
None of Alight, its board of directors or employees has made or is making any representation or recommendation to any holder of the Warrants as to whether to exercise, whether on a cash or cashless basis, or refrain from exercising any Warrants.
Issuance of the shares of Class A Common Stock underlying the Warrants has been registered by Alight under the Securities Act of 1933, as amended, and is covered by a registration statement filed on Form S-1 with, and declared effective by, the Securities and Exchange Commission (Registration No. 333-258350). Exercise of Warrants held in “street name” should be directed through the broker of the Warrant holder. In addition to the broker, questions may also be directed to Continental Stock Transfer & Trust Company, 1 State Street, 30th Floor, New York, New York 10004, Attention: Compliance Department, Telephone Number (212) 509-4000.
realfast95
3 년 전
Alight Reports Third Quarter 2021 Results
November 09 2021 - 07:00AM
– Achieved $690M of revenue driven by 5% growth in Employer Solutions –
– Delivered strong BPaaS revenue growth of 20% –
– BPaaS bookings growth through nine months already exceeds original full-year plan –
– Significant new customer wins and expanded relationships underscore emerging demand –
– Strategic use of technology driving margin expansion –
– Again raising full-year outlook –
Alight (NYSE: ALIT), a leading cloud-based provider of integrated digital human capital and business solutions, today reported results for the third quarter ended September 30, 2021.
“We delivered strong quarterly results, including new customer wins and the expansion of existing customer relationships, as powerful secular forces continue to move in Alight’s favor,” said Chief Executive Officer Stephan Scholl. “Accelerated by the pandemic, companies are facing tightening labor markets, while also undertaking complex return to workplace strategies and facing ongoing workforce disruptions, all of which have shined a bright light on the need to place the wellbeing of their employees front and center to effectively navigate these challenges. Through its BPaaS solutions, which leverage the Alight Worklife platform, we believe Alight is uniquely positioned to deliver a comprehensive view of health, wealth, wellbeing and pay, giving companies the ability to leverage data, AI and analytics to rethink their employee experience. With our continued momentum, we are pleased to raise our full-year outlook for the second time.”
Third Quarter 2021 and Subsequent Highlights (all comparisons relative to third quarter 2020)
On July 2, 2021, Foley Trasimene Acquisition Corp. (FTAC) completed the Business Combination with Alight Holding Company, LLC
5.0% increase in Employer Solutions revenue, driving total revenue growth of 3.3% to $690 million
Business Process as a Service (BPaaS) revenue growth of 19.8% to $97 million, representing 14.1% of total revenue, up from 12.1%
BPaaS bookings on total contract value basis increased 42.1% to $179 million with year-to-date BPaaS bookings of $459 million ahead of original January full-year forecast
With strong year-to-date bookings, ended the quarter with more than 95% of projected 2021 revenue and more than 65% of projected 2022 revenue under contract
New wins and expanded relationships with companies including Genworth, Shell, Aptar, Randstad, Arconic and Camping World
Gross profit growth of 4.8% to $238 million, with employer solutions gross profit margin improving 140 basis points to 36.6%, and operating income of $25 million
Net loss of $120 million, mainly due to non-cash expenses related to the FTAC merger, including seller earnouts, warrants, and tax receivable agreement revaluations
Adjusted EBITDA increased by 15.9% to $153 million
Subsequent to quarter end completed acquisitions of Aon’s Retiree Health Exchange business and ConsumerMedical
Raising full-year outlook for a second time based on strong results and acquisitions to revenue growth of 5% to 6%, up from 3% to 5%, and Adjusted EBITDA of $615 million to $625 million, up from $610 million to $620 million.
Third Quarter 2021 Results
Consolidated Results
Total revenue increased 3.3% to $690 million for the Successor three months ended September 30, 2021 from $668 million for the Predecessor prior year period. The increase was driven by a 5.0% increase in Employer Solutions revenue while Professional Services revenue was flat.
Gross profit, inclusive of depreciation and amortization, increased 4.8% to $238 million for the Successor three months ended September 30, 2021, or 34.5% of revenue, from $227 million, or 34.0% of revenue, for the Predecessor prior year period. The increase in gross profit was primarily driven by revenue growth as noted above, partially offset by increases in costs associated with the growth in current and future revenues.
Selling, general and administrative expenses increased $7 million, or 5.5% for the Successor three months ended September 30, 2021 compared to the Predecessor prior year period. The increase was primarily driven by non-recurring professional expenses in relation to the merger with FTAC completed in the third quarter of 2021, partially offset by lower expenses related to productivity initiatives, including the impact of lower restructuring and integration related costs.
Interest expense decreased to $28 million for the for the Successor three months ended September 30, 2021 as compared to $61 million for the Predecessor prior year period. The decrease was primarily a result of a total debt reduction of $1.2 billion in conjunction with the Business Combination completed during the third quarter of 2021.
Loss before income tax benefit was $120 million for the Successor three months ended September 30, 2021 compared to $22 million for the Predecessor prior year period.
Segment Results
Employer Solutions
Employer Solutions are driven by Alight’s digital, software and AI-led capabilities and spans total employee wellbeing and engagement, including integrated benefits administration, healthcare navigation, financial health, employee wellness and payroll.
Employer Solutions total revenues were $587 million for the Successor three months ended September 30, 2021 as compared to $559 million for the Predecessor prior year period. The overall increase of $28 million was due to an increase of recurring revenues of $24 million, or 5%, from $498 million to $522 million as a result of Net Commercial Activity and transitions from our Hosted Business to cloud-based services, and an increase in project revenues of $4 million, or 7%, from $61 million to $65 million.
Employer Solutions gross profit was $215 million for the Successor three months ended September 30, 2021, as compared to $197 million for the Predecessor prior year period. The increase of $18 million, or 9%, was primarily due to revenue growth as discussed above and increases in costs associated with growth of current and future revenues, partially offset by lower expenses related to productivity initiatives, including the impact of lower restructuring and integration related costs.
Employer Solutions Adjusted EBITDA was $151 million for the Successor three months ended September 30, 2021, as compared to $120 million for the Predecessor prior year period. The increase of $31 million was primarily due to revenue growth as discussed above.
Professional Services
Professional Services total revenues were $93 million for both the Successor three months ended September 30, 2021 and the Predecessor prior year period, which was due to an increase of recurring revenues of $4 million, or 14%, from $28 million to $32 million as a result of increases in Net Commercial Activity, offset by a decrease in project revenues of $4 million, or 6%, from $65 million to $61 million.
Professional Services gross profit was $24 million for the Successor three months ended September 30, 2021, as compared to $30 million for the Predecessor prior year period. The decrease of $6 million, or 20%, was primarily due to increases in costs associated with growth of future revenues, including investments in key resources.
Professional Services Adjusted EBITDA was $4 million for the Successor three months ended September 30, 2021, as compared to $12 million for the Predecessor prior year period. The decrease of $8 million was primarily due to increases in costs associated with growth of future revenues, including investments in our commercial functions.
Hosted Business
Hosted Business revenues were $10 million for the Successor three months ended September 30, 2021 as compared to $16 million for the Predecessor prior year period. The decrease of $6 million was due to transitions from our Hosted Business to cloud-based services.
Hosted Business Gross Profit (Loss) was ($1) million for the Successor three months ended September 30, 2021, as compared to immaterial million for the Predecessor prior year period. The decrease of $1 million was primarily due to transitions from our Hosted Business to cloud-based services.
Hosted Business Adjusted EBITDA was a loss of ($2) million for the Successor three months ended September 30, 2021 as compared to immaterial for the Predecessor prior year period. The decrease of $2 million was driven by a decrease in revenue during the period from the continued transition from our Hosted Business to cloud-based services, which outpaced a decrease in costs during the period.
Balance Sheet Highlights and Subsequent Events
As of September 30, 2021, the Company’s cash and cash equivalents balance was $769 million, total debt was $2,882 million and total debt net of cash and cash equivalents was $2,113 million. In connection with the closing of the Business Combination, the Company repaid $1,786 million of debt, consisting of $556 million of term loan debt and $1,230 million of unsecured notes. During the quarter, the Company added a new $525 million 7-year term to be used for both acquisitions and general corporate purposes, taking advantage of the lower interest rate environment.
In October, the Company completed the acquisition of ConsumerMedical, a leading clinical advocacy and expert medical opinion company. ConsumerMedical will enhance Alight’s ability to help employers around the world build a healthier workforce through its data-driven, personalized solutions. ConsumerMedical has a 25-year history of helping employers simplify and improve the way employees make medical decisions.
In October, the Company completed the acquisition of Aon’s Retiree Health Exchange business which will provide additional scale, expertise and capabilities in Medicare enrollment to further expand the Company’s ability to serve employees from hiring to retirement.
Business Outlook
Given the strong momentum over the last three quarters and recent acquisitions, the Company is raising its full-year 2021 revenue and Adjusted EBITDA outlook as follows:
Revenue growth to a range of 5% to 6% as recent acquisitions and positive momentum with existing businesses lead to more opportunities. This compares to the Company’s previous full-year 2021 revenue growth outlook of 3% to 5% and original guidance of 1% growth.
Adjusted EBITDA growth to a range of $615 million to $625 million. This compares to the previous range of $610 million to $620 million and original guidance of $600 million.
Earnings Conference Call and Webcast Information
A conference call to discuss the Company’s third-quarter 2021 financial results is scheduled for today, November 9, 2021 at 7:30 a.m. Central Time (8:30 a.m. Eastern Time). Interested parties can listen to the conference call by dialing 1-877-407-0792 or 1-201-689-8263, or by accessing the live webcast and accompanying presentation materials by logging on to the Investor Relations section on the Company’s website at http://investor.alight.com. A replay of the conference call and the accompanying presentation materials will be available on the investor relations website for approximately 90 days.
realfast95
3 년 전
Alight to help Camping World reach new levels of employee engagement and drive better outcomes
Lincolnshire, Ill. September 23, 2021 | 4 minute read
https://alight.com/about/newsroom/alight-to-help-camping-world-reach-new-levels?utm_source=twitter&utm_medium=social
Alight Solutions (NYSE: ALIT), a leading cloud-based provider of integrated digital human capital and business solutions, has expanded its relationship with Camping World Holdings, Inc. (NYSE: CWH) (“Camping World”), America’s largest retailer of RVs and related products and services, to provide Alight Total Health, a holistic solution that drives measurable value through highly personalized interactions with employees.
Since 2018, Alight has been working with Camping World to enhance the company’s approach to health benefits administration. Seeking one front door for all benefits administration and navigation, Camping World will now be able to deliver a powerful, connected benefits experience with Alight Total Health, where employees can more easily gain access to and make the most of the options available to them. Alight’s expansive healthcare capabilities pair data and analytics, personalized support and consumer-centered tools to help employees make smarter, more cost-effective health decisions for themselves and their families.
“At Alight, we believe that in order to be successful, companies must put their people at the center,” said Cathinka Wahlstrom, president and chief commercial officer at Alight. “With our data-driven, personalized solutions, we’re thrilled to be able to support Camping World’s most important asset – their people – and have meaningful impact on their health and total wellbeing.”
Alight Total Health for Camping World has four key components that will work together to drive engagement, create personalized experiences and improve wellbeing for employees:
Healthcare navigation: Alight provides high-touch concierge support to employees, including helping them understand their benefit plans; choose highly rated providers; find lower costs for medications; and assist with billing and claim disputes.
Clinical support: Alight gives access to multi-disciplinary clinicians and registered nurses who can help employees prepare for their provider visits and improve adherence to treatment plans.
Hyper-personalization: Alight’s AI-powered personalization engages employees with targeted, multi-channel messages that continuously adapt based on their actions (or inactions) to help them make more informed decisions around their benefits.
Benefit card: Alight equips employees with individual ID cards and phone numbers to simplify their path to support across all health benefits.
Alight Total Health will be fully integrated with the Alight platform where Camping World’s 14,000 employees regularly access and engage with their benefits applications. Implementation is currently underway with an expected go-live date of January 1, 2022.
realfast95
3 년 전
Alight signs definitive agreement to acquire ConsumerMedical
August 26 2021 - 09:00AM
Addition of clinical advocacy and expert medical opinions helps employees navigate the complex healthcare system
Alight Solutions, a leading cloud-based provider of integrated digital human capital and business solutions, today announced it has signed a definitive agreement to acquire ConsumerMedical, a leading clinical advocacy and expert medical opinion company. ConsumerMedical will enhance Alight’s ability to help employers around the world build a healthier workforce through its data-driven, personalized solutions.
ConsumerMedical has a 25-year history of helping employers simplify and improve the way employees make medical decisions. With its comprehensive clinical support model and expansive network of multi-disciplinary experts and clinicians, ConsumerMedical delivers targeted information to guide employees to the right treatment options and highest-quality providers. In addition, ConsumerMedical’s AI-based predictive tools use a range of data – such as medical and prescription claims, social determinants and demographics – to help alert employees before major health issues may arise.
“Alight’s robust healthcare solutions help employees navigate the confusing and complex healthcare system to improve outcomes, lower costs and maximize their healthcare benefits,” said Stephan Scholl, CEO of Alight. “Adding ConsumerMedical to Alight’s existing solutions will further enhance our ability to bring differentiated solutions to our clients that drive a meaningful return on the investment they spend on their benefits programs, improve outcomes and provide an engaging benefits experience for their employees.”
The combination of ConsumerMedical’s clinical depth, research and experience delivered via the Alight Worklife platform provides unparalleled opportunities for Alight’s 30 million users to drive better health decisions before, during and after treatment. Alight will provide a full, end-to-end healthcare navigation solution to help employees make more informed decisions, including finding the right healthcare provider, managing complex health conditions, providing multi-channel access to doctors and nurses, and assisting with billing and claim disputes. Alight will also continue to invest in the strong relationships with health plans and carriers ConsumerMedical has built. Leveraging data analytics and personalization, Alight Worklife delivers the engagement needed to ensure people leverage all their employer plans have to offer through multiple experiences and across health, wealth and payroll needs.
“Healthcare navigation plays a pivotal role in addressing every facet of an individual’s healthcare journey,” said Kevin Kickhaefer, CEO of ConsumerMedical. “Combining the respective strengths of ConsumerMedical and Alight will enable the company to provide a comprehensive and integrated experience for employees while improving outcomes, quality of care and lowering healthcare cost.”
The proposed transaction is anticipated to close in the third quarter and is subject to customary closing conditions. TripleTree, LLC acted as the exclusive financial advisor to ConsumerMedical for this transaction.
About ConsumerMedical
ConsumerMedical is a leading clinical advocacy, decision support and expert medical opinion company serving over six million individuals through some of the nation’s largest employers, health plans and private exchanges. The company has been serving patients and payers for 25 years. ConsumerMedical offers a fully integrated suite of solutions, including Medical Decision Support®, Surgery Decision Support®, Expert Medical Opinion, Claims Advocacy and more, helping individuals and families navigate the healthcare system while improving outcomes and reducing costs. ConsumerMedical’s results have been validated continuously by independent actuaries. www.consumermedical.com
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