Thank you, Dan, and everyone. good morning,
items in performance, financial our the I'd like discuss housekeeping to recap I quarter. Before few quarter a fourth
during acquired analytics, fourth in approximately the XXXX. we of used quarter, the which eBrevia, $X.X XXXX contract net First, and we software in sale primarily a sales completed of in million solution had
gradually artificial offerings, intelligence implementations. development, technology have learning client our of our part the As eBrevia's into last years, and integrated including several we machine over existing capabilities
received offering Solutions in such, eBrevia sale, the we the segment. had pretax Capital million, Software as forward, Markets Going loss recorded de a a of the sold and to minimis stand-alone resulting $X.X value proceeds which business. limited DFIN, is We within as operating from
a share of January expired commenced Second, XXXX, Board an with December authorization, of replaced program the repurchase which date This which XX, XXXX. fourth million up XXXX. December the quarter, during $XXX of repurchase expiration XX, Directors on authorized prior X, on to new the authorization,
to future view important and reduction. drive We organic capital and share of balanced growth which as also features shareholders to to debt our an part component deployment investments net value continue drive as for repurchases plan,
the been filing information previously is XX had Finally, approximately of a standalone in as enhance part solution filing ActiveDisclosure's which functionality, into beneficial capabilities File SEC XX in offering $X.X ongoing ownership were reported and File of XX integrated million. XXXX used ActiveDisclosure. our mandated our under year software have XX revenue the of Section to Section effort full
updated have to change. details the level reporting We reflect this of revenue product
elevated has a subscription-based as to a a model, transactionally a predictability. be subscription-based this by align a temporarily we than of XX with will historically ActiveDisclosure's associated churn offering, File both we driven more the File-XX of model including been subscription transition which revenue result as and to Given long-term to offset transition, comprised expect component, be with benefits
quarter Now turning our fourth to results.
noted, Dan organic an environment, solid our last aggressively and in managing in our higher quarter. a in consolidated led challenging evolving all Software continuing year's Solutions of including increase sales, flow delivered X.X% We in year-over-year quarterly recurring posted stewards record we and net cash to a cost in fourth net operating invest EBITDA structure Venue, disciplined sales mix, results by to sales being adjusted from As growth, more capital. net while growth sales
X.X% revenue the XXXX and impact X.X% on the million, of sales from driven Communications growth sales $X.X a consolidated than as the net mutual in net modest organic $XXX.X or and year-over-year consolidated as quarter increase an fourth basis a segment basis, event-driven and on of of higher eBrevia The as Investment in Solutions total higher the Management activity which result in well of fund the by decline million quarter markets Compliance for were a an net to capital transactional was quarter reported more special a sales, of sales, in increase basis XXXX. primarily dispositions. fourth total net combined Companies EdgarOnline Software offset proxy On and
expense partially of of quarter Fourth our higher $XX accelerate in gross was basis approximately growth SG&A the offset points cost XX.X%, $XX.X margin the was by million, than non-GAAP XXXX. initiatives, by an transformation sales fourth incremental activities. investments increase non-GAAP impact primarily lower net the and the in from capital driven and million quarter markets Software quarter to Solutions XXXX, quarter control fourth transactional adjusted of Adjusted XXX
last as an non-GAAP fourth XX.X%, percentage a the As driven SG&A approximately quarter basis points adjusted sales, primarily XXXX. XXX by net of was expenses non-GAAP increase to offset SG&A cost remained expense fourth increase year increase of higher result The selling was expense of an compensation to in year's partially from last incentive and compensation in a transformation-related of adjusted volumes, control of investments, year, by the sales initiatives. incentive incremental relative quarter, higher impact though full flat
companies million adjusted $XX.X quarter adjusted compared from EBITDA the to XXXX quarter increase million, EBITDA an offset and the investment fourth flat transactional of was or net XXXX. cost by net lower transactional fourth Our software incremental Fourth fourth the investments margin company's transformation. impact markets initiatives was were of to of control volume X.X% higher the as sales quarter and $X solutions accelerate sales and XX.X%, of quarter capital
pricing. in quarter in segment of achieved year-over-year now which an Capital versus XX.X% quarterly quarter count, consistent, year, been companies as an Turning on driven as across was an fourth last sales. segment deals, performance Markets the was of a inherent market demand within of of from year full our the the results. completed M&A by $X.X basis On in in main Venue's offering, XXXX existing Software basis, recurring Net quarter a and unannounced approximately both net result a room Solutions outstanding million or contributor increase of private increase million, our broader $XXX terms year to by the delivered offerings a in announced were nearly volume as and XX% sales driven from and to growth organic and and well sales million alike, fourth grew XXXX. public volatility our stable data strong some rooms reoccurring higher Venue has Venue's higher growth performance record and deals. virtual in despite in in and room primarily the our XX% is up Venue, full $XX
XX our product, quarter, to lower quarter, compliance we a as down ActiveDisclosure, the fourth of as IPO Section driven XX, was which a nearly result sales beneficial a of In filing by subscription-based Net lower we clients as well primarily declined market as activity, in including File filings the demand X% for churn XX%. weak recurring transition ownership experienced elevated approximately model.
the on in A new In churn higher was activity, fewer the clients in customer expected addition, customer with during AD result the impact ADX count, platform as of we of of transition. decommissioning platform, conjunction the following a the decline in service elevated revenue lower new had resulted SPAC legacy in rate in in liquidations, normal churn increases, quarter. customer price and a modest weakness decline revenue by the the ongoing offset The customer IPO and revenue partially subscription subscription wins. the
expand During the to fourth the quarter, continued adoption of we made ActiveDisclosure. progress
sequential sales net Following client quarter. strong sequential momentum for enhancements XXXX again count with count released, the increase client count during the have realized product the a in a in in The coupled and foundation fourth we increase client third growth create during in beyond. we quarter, growth,
to stronger we XXXX than out continue play in rate the growth of in to ActiveDisclosure's half of the be first some part as XXXX. XXXX headwinds expect half We the the experienced second of first in
Adjusted expectations. quarter transactional our a revenue, the our by higher sales by a initiatives, primarily recorded million XX.X%, approximately of segment Net volumes transactional points higher partially increase XXX compensation $XX X.X% result net of XXXX, net fourth in cost Markets fourth event-driven net due from expense. driven incentive $X.X million, and of quarter for and with EBITDA increased lower the Management of million from selling in to were sales Capital basis $XX.X the sales control an We higher was Compliance or fourth as decrease expenses Communications in segment offset of margin approximately line primarily and quarter or XXXX, sales.
the X in transactions months margin margin in of volumes, we we Similar environment equity XXXX. adjusted demand The the soft the initiatives. points cost fourth XX.X%, in overlap decrease of control as the approximately Adjusted year, remained XXXX. demand weak offset XXX EBITDA due for lower segment for trends sales decrease moderate of partially EBITDA fourth to experienced to of a the primarily transactional the rate the by basis quarter from though to during quarter, of decline first the continued periods was was
Net by sales the of of growth ArcRegulatory and Arc ArcDigital versus Company in $XX.X XXXX, segment our quarter an within Solutions in modules million, were X.X% driven Suite. the fourth Software Investment increase primarily
growth growth quarter within year, $XXX the third revenue this onetime by Based expect Suite expected, in total the second million of quarter revenue Shareholder on and full revenue subscription we the from slower grew was approximately Tailored starting which compared a in XXXX. rate revenue. stronger aided As half delivered the a as continued fourth Suite Arc higher the by support strong and Arc driven result Suite year-over-year, companies. in Reports, growth of X.X% basis, to was incremental adoption services On of investment in of Arc revenue year the
basis the of quarter EBITDA was primarily was compensation expense, in EBITDA investments higher development adjusted Tailored a to offset segment decrease by Adjusted margin margin cost support for higher XXX fourth decrease opportunities points of XX.X%, and growth and the of as product XXXX. technology approximately partially incentive due Reports control such in The initiatives. Shareholder from
points quarter including the consolidation, net continued offset initiatives, from margin higher expense. increase of cost fourth was by partially of approximately compensation Net and due $X.X control from volumes from an an Adjusted segment Compliance primarily EBITDA of synergies sales a segment sales platform Communications revenue XX.X%, primarily or increase XXXX, to adjusted fund for in from were The higher Investment XXXX. EBITDA margin special basis incentive print the XXX driven our million, in event-driven by our the Management fourth increase proxy the and project. higher large XX.X% of was quarter mutual million Companies $XX.X of impact
quarter from quarter by in underlying an by $X.X driven quarter a accelerating of at decline by in an impact EBITDA. decrease XXXX. of expenses flow million Free compensation our $XX.X an was cash was year-over-year the primarily the higher expenditures the them, the adjusted aimed fourth corporate quarter, cost flow of to initiatives. primarily free driven partially control software Non-GAAP to increase $X.X support increase increase technology and in million, incentive fourth and the in offset higher expense, XXXX, million were of in the The partially by $XX our products transformation related investments to million compared cash capital expenses unallocated in of offset
We ended a year-end of of $XX.X no reduction and debt, At outstanding hand. million versus our and cash of total had net year-end the with million, of XXXX. $XXX.X million under quarter debt million non-GAAP $XXX.X million $XX.X XXXX, respectively, borrowings on revolver had and $XX.X we
XXXX, XX, ratio X.Xx. December our net of was As non-GAAP leverage
Regarding capital during shares deployment, $XX.XX $X.X of price XX,XXX the for we quarter share. repurchased per an stock approximately of at fourth average common million
For approximately we price XXXX, the an year of XXX,XXX shares full per $XX.XX million $XX.X repurchased average share. for at
continue take approach will a balanced capital we Going deployment. forward, to towards
We transformation, as area. disciplined continue drive strategy to our and we'll in and capital share of to remain net view repurchases deployment key debt organic this investments each components reduction our
relates near overall In headwinds of term, quarter deal the though geopolitical activity quarter, to will in the priced level. of historical more a remains XXXX, activity below on normalized by improving expect the and transactional return especially we first level filed we activity the the are factors publicly weigh encouraged and in macroeconomic As to so to IPOs, continue well average. far it first outlook for our transactional the of number
in quarter the revenue quarter million, of midpoint the first margin and approximately last range net adjusted consolidated to X%. year, $XXX our first million $XXX the to consolidated implies guidance, the of range. $XXX in Compared sales of of expect We mid-XX% EBITDA growth million
XX.X%. margin also higher XXXX, a of from which EBITDA quarter first was Our margin the guidance implies adjusted
million and a Management the an color of Compliance midpoint quarter reflecting assumptions segment. sales I'll of bit approximately Communications first also $XX assumed first the our increase on XXXX. Capital provide for from At transactional the the we of sales in quarter, our million approximately of more $X Markets range,
the As accelerating aimed reflects it year, execution associated our transformation. operating relates the plan XXXX strategy and our to full our toward of continued investments
is technology related single to road we of between predominantly development solution from map. products be $XX is in in at which future part XXXX. the development our to and as spending, software to continued toward $XX.X million, aimed projected and our Tailored compliance platform supporting support the that is The underlying capital them, CapEx spent increase Report million Shareholder million vision advancing of $XX Our product an additional our and our the
development to Tailored year From and a adjusted margin to impact XXXX Reports with investment XXXX. in initiatives given have to becoming accretive EBITDA levels solution expect EBITDA a Shareholder and sales the dilutive consolidated adjusted half slightly XXXX increased to in perspective, marketing and DFIN's Reports, to product in due we Shareholder support impact associated Tailored in XXXX, its software consolidated
investments to accelerate continued continue Additionally, our support growth. in XXXX, processes in modernization, will investments development make transformation. software associated both innovation we will to our business and These and
impact shift combined Shareholder higher of software mix Tailored the ramp-up continued efficiencies. of are expected The Reports operating and revenue, investments by offset further be offerings into to transformation-related and higher-margin
our expect margin which in As level full achieved we EBITDA we year to approximate the XXXX XX%. result, XXXX, adjusted was a
me from share key updated our few let a projections. Finally, long-term takeaways
investor guidance a our Investor the Relations website. reminder, on in found As presentation posted can be our detailed
revenue X. our shifts prioritized to growth driving protecting and historically having in focus stability Chapter sustained expansion our while First, margin business margins,
Our profitable projections updated X-year growth. deliver sustainable revenue and
offset the starting us in in Specifically, more sales, in consolidated XXXX. annually Tech-enabled Services and net growth the than single-digit enabling deliver Software to sales to growth expect declines and Print Distribution we Solutions low consistent
of our efforts Next, sales net XX% revenue end represent Solutions net based Software total With sales focused to targeted of by mix in expect net we project Solutions we net toward investments, the XXXX, profile, approximately up from XXXX. total a sales on approximately XX% X-year and heavier our the sales evolve to growth at will of continue Software of plan.
shift where serve software we In expect to our traditional this from EBITDA. favorable shift are of has which addition other to adjusted clients via produces growth entails organic revenue Based we slightly with but a increasingly targeting services services on revenue higher for time. to software to the offerings, traditional occurred, our areas our experience economics, lower software, in from software the over
We net sales are to forward trend, continue will written sales to expect our approximately expected XX% net due to to be decline, secular moving impacted shift Tech-enabled to XXXX, of by Consistent with the and moderately distribution represent software decline net our Services solutions. sales. by the long-term
importantly, recurring More XX% use capital Solutions, cases, stable in will with will growth revenue. our markets the event-driven, and Software composition from more predictable. and comprised XXXX, become expect XX% also reoccurring be being of our By we transactional derived of revenue revenue with the remaining primarily
growth exceed basis free a adjusted to the By to CapEx For to expected margin specifically Solutions revenue XX%, in be mix, XXXX recorded within modeling adjusted XXXX, assume across projections, growing our purposes, XXXX. with ramp-up in with are in EBITDA shifting expect portions pricing revenue creates we EBITDA, result margin of in The our expansion Tech-enabled to levels in a margin Software we revenue for level the projection historically software declining expansion. opportunities transactions period. total strong improvements beginning EBITDA flow and The along period. of an combination Services and transactional flat X-year high-margin the interest efficiencies cash expense projection a of over adjusted offerings, evolving generation with to long-term our operating in moderate
in cash free period. free to EBITDA over adjusted cumulative this more and flow and $XXX a million expect approximately generate flow of conversion XXXX expect XX% XXXX cash than between to We
Finally, same. our priorities remain the long-term allocation capital
growth in allocating the strategy remains to use opportunities use maximize advance organic shareholder investing disciplined thoughtful, will capital our and and value Our of long-term plan, in and on DFIN. dollars areas remain cash best that our embedded the significant Based the highest creation value. of the to approach for best
CapEx average annual we near scale which gain term increased the million are of approximately $XX XXXX to will then with as require over XXXX, and moderate time more through We efficiencies. targeting from investment, expected
continue will occupy repurchases the share net of cash. use and for Next, debt to each priority next highest reduction
Regarding transactions in have M&A, we our do any plans. assumed not
dividends accelerate dividend time, lowest we at same we any cash anticipate opportunities such, exhibited we our and strategy, for payments. as evaluate not that use And continue priority have we will could to the the will this of view While historically. maintain that lastly, do discipline as
to create against our committed forward and to find With are our projections to all Dan. stakeholders. sharing for We plan pass our back We it going look value updated that, continue executing opportunities to our I'll long-term to now against forward. progress
