4Q and Full Year 2016

Business Highlights

TY2016

  • Operating cash flow increased by $217 million year over year to $218 million in 2016​
  • Adjusted free cash flow was $278 million, ahead of guidance of $160-200 million and up $283 million year over year
  • Operating profit margin was 2 percent, up 350 basis points year over year
  • Non-GAAP operating profit margin was in line with guidance at 7.7 percent, up 190 basis points year over year
  • Revenue was in line with guidance at $2.8 billion
  • Diluted loss per share of $ (0.95), a year over year improvement relative to $(2.20) in 2015
  • Total Contract Value (TCV) signed increased by 13 percent versus 2015
  • Revenue for Unisys’ focus industries (which include Justice, Law Enforcement & Border Security; Travel & Transportation; Life Sciences & Healthcare; and Commercial & Retail Banking) comprised 42% of 2016 revenue and saw growth of (0.6)% year over year, or 2.6% on a constant-currency basis
4Q16
  • Operating cash flow increased by 7 percent year over year to $117 million
  • Adjusted free cash flow was flat year over year at $117 million
  • Operating profit margin was 5 percent, up 290 basis points year over year
  • ​Revenue was $722 million relative to $790 million in the prior year quarter


4Q16 Revenue Profile ($M)

2Q16 Profile  


2016 Revenue Profile ($M)

2Q16 Profile  

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2016 Total Adjusted EBITDA was $381M.

  • 2016 Adjusted EBITDA attributed to Unisys Corporation and its guarantor domestic subsidiaries under the company's ABL credit facility was approximately $146 million (including intercompany royalties from foreign and domestic subsidiaries). At December 31, 2016, the total assets for this sub group was $2,781 million (excluding investments in subsidiaries and goodwill, the remaining assets would be $1,189 million). These assets include approximately $394 million of non-guarantor accounts receivables of which approximately $230 million are intercompany loans which mature between 2017 and 2023 and are callable any time.
  • 2016 Adjusted EBITDA attributed to Unisys Corporation's foreign and non-material domestic subsidiaries was approximately $235 million.
  • The Adjusted EBITDA amounts listed above for each group consist of the aggregation of all the subsidiaries that make up that group.
  • Please see our fourth quarter 2016 earnings materials​​ for a reconciliation of GAAP net income to non-GAAP Adjusted EBITDA for Unisys C​orporation and its consolidated subsidiaries.​ 
  • The 2016 cost reduction and other expense is $18.7 million of pretax charges (which includes $1.2 million of asset write-offs which are reflected in Depreciation & Amortization and includes loss on debt extinguishment of $4.0 million reducing the Other (income) expense adjustment) impacting Adjusted EBITDA by $17.5 million for the quarter ended December 31, 2016 and $90.4 million of pretax charges (which includes $1.2 million of asset write-offs which are reflected in Depreciation & Amortization and includes loss on debt extinguishment of $4.0 million reducing the Other (income) expense adjustment) impacting Adjusted EBITDA by $89.2 million for the year ended December 31, 2016.​