Unisys Corporation (UIS) SEC Filings & Earnings Calls

Goodwill impairment risk in remaining segments

“Based on the annual impairment analysis performed during the fourth quarter of 2025, the CA&I reporting unit had a 20% excess of fair value over book value, including goodwill.” · word for word

High pension funding requirements

“For the remainder of 2026, the company expects to make cash contributions of approximately $40 million, resulting in total expected 2026 cash contributions of approximately $97 million to the company’s global defined benefit pension plans.” · word for word

Client attrition in DWS segment

“The decrease in gross profit percent was primarily due to known client attrition, a greater proportion of lower-margin hardware revenue, and increased delivery costs incurred during the transition phase of new business implementation.” · word for word

High leverage and interest expense

“Interest expense for the three months ended June 30, 2026 and 2025 was $18.3 million and $8.2 million, respectively.” · word for word

Goodwill impairment in DWS segment signals potential further asset write-downs

“non-cash goodwill impairment charge of $47.2 million related to the DWS reporting unit. The impairment represented the full write-off of the remaining goodwill balance allocated to the DWS reporting unit.” · word for word

ClearPath revenue decline of 20.4% YoY indicates legacy product headwinds

“ClearPath revenue $69.7 million, down 20.4% YoY”

DWS gross margin deterioration of 610 bps YoY due to client attrition and transition costs

“DWS gross profit margin was 10.8%, a decrease of 610 bps YoY, primarily due to known client attrition, a greater proportion of lower-margin hardware revenue, and increased delivery costs incurred during the transition phase of new business implementation.” · word for word

Client attrition in DWS and CA&I

“lower volume due to client attrition” · word for word

High interest expense from new debt

“Interest expense for the three months ended March 31, 2026 and 2025 was $18.5 million and $8.2 million, respectively.” · word for word

Pension funding obligations

“total expected cash contributions for 2026 of approximately $97 million to the company’s global defined benefit pension plans” · word for word

Net loss and negative operating cash flow

“net loss attributable to Unisys Corporation of $35.8 million” · word for word

Constant currency revenue decline of 4.5% indicates underlying demand weakness, partially offset by FX.

“Revenue down 4.5% in constant currency; DWS revenue down 6.5% CC; ECS down 8.4% CC.”

Client attrition impacting DWS and CA&I volumes.

“DWS revenue decline driven by lower volume due to client attrition; CA&I reduced volume due to client attrition.”

Negative free cash flow due to interest payment timing.

“Free cash flow of ($25.5) million vs $13.2 million prior year.”

Goodwill impairment risk

“Goodwill impairment 55.0 39.1” · word for word

Pension and postretirement expense volatility

“Pension and postretirement expense 309.0 182.2” · word for word

Competitive Pressure

“We operate in a highly competitive market that is affected by rapid changes in technology in the information services and technology industries.” · word for word

FY revenue decline of 2.9%; goodwill impairment charges; pension settlement loss; DWS and CA&I segments under pressure

“Revenue decreased 2.9% YoY; non-cash goodwill impairment charges of $55.0 million; pension settlement loss of $227.7 million”

Pension liability and settlement risk

“The company made a discretionary contribution of $250 million to its U.S. defined benefit pension plans and expects total 2025 contributions of approximately $342 million. Future annuity purchases could result in material non-cash settlement losses.”

High leverage and interest expense

“Total debt increased to $734.9M from $493.2M, and interest expense rose 130% YoY due to the $700M 10.625% notes.”

Recurring goodwill impairment

“Goodwill impairment of $55.0M in Q3 2025 and $39.1M in Q3 2024, both related to the DWS segment, indicating sustained underperformance.”

Negative operating cash flow

“Cash used in operations was $244.9M in 9M 2025 vs cash provided of $58.5M in 9M 2024, driven by pension contributions.”

Revenue guidance cut signals demand weakness across segments, particularly ECS.

“Company lowers full-year constant currency revenue guidance.” · word for word

ECS segment gross margin collapse of 1200 bps indicates structural pressure or product mix shift.

“ECS gross profit margin was 46.2%, a decrease of 1,200 bps YoY.” · word for word

Goodwill impairment charges of $55M suggest asset write-downs and potential further impairments.

“non-cash goodwill impairment charges of $55.0 million.” · word for word

Pension settlement loss of $227.7M, though non-cash, impacts reported net income and equity.

“net loss included a non-cash pension settlement loss of $227.7 million net of tax.”