CCC Intelligent Solutions Holdings Inc. (CCCS, Financial), a leading SaaS platform for the P&C insurance economy, announced its financial results for the third quarter ended September 30, 2023, on November 6, 2023. The company reported strong third-quarter results, with an 11% year-over-year revenue growth and a 19% year-over-year adjusted EBITDA growth.
Financial Highlights
The company's total revenue for Q3 2023 was $221.1 million, marking an 11% increase from $198.7 million in Q3 2022. The GAAP gross profit was $163.1 million, representing a gross margin of 74%, compared to $145.6 million (73% gross margin) in Q3 2022. The adjusted gross profit was $172.1 million, with an adjusted gross profit margin of 78%, compared to $154.1 million (78% adjusted gross profit margin) in Q3 2022.
CCC's GAAP operating income was $16.6 million for Q3 2023, compared to $17.1 million for Q3 2022. The adjusted operating income was $82.7 million for Q3 2023, compared to $71.1 million for Q3 2022. The GAAP net loss was $21.2 million for Q3 2023, compared to a GAAP net income of $9.8 million for Q3 2022. The adjusted net income was $57.2 million for Q3 2023, compared to $46.6 million for Q3 2022.
The company's adjusted EBITDA was $92.9 million for Q3 2023, compared to $78.1 million for Q3 2022, marking a 19% growth. CCC had $448.7 million in cash and cash equivalents and $786.0 million of total debt on September 30, 2023. The company generated $60.5 million in cash from operating activities and had free cash flow of $46.4 million during Q3 2023.
Business Highlights and Outlook
CCC introduced AI-driven solutions, Repair Cost Predictor and Mobile Jumpstart, to address labor challenges in repair facilities. The company also integrated CCC® Engage into Google Business Profiles, Search, and Maps to facilitate direct consumer scheduling of repair appointments. CCC launched CCC® Impact Dynamics, a new computer vision AI technology for Casualty claims that can predict potential physical injuries based on photos of damaged vehicles.
For the fourth quarter of fiscal 2023, the company expects revenue to be between $221.5 million and $223.5 million, and adjusted EBITDA to be between $92 million and $94 million. For the full year of fiscal 2023, the company expects revenue to be between $859 million and $861 million, and adjusted EBITDA to be between $345 million and $347 million.
CCC Intelligent Solutions Holdings Inc. continues to innovate and digitize the automobile accident supply chain, integrating artificial intelligence, connected networks, and digital engagement to improve the operating efficiency and consumer experience of its customers.
Explore the complete 8-K earnings release (here) from CCC Intelligent Solutions Holdings Inc for further details.
