Cerence Inc Stock Price, News & Analysis

Cerence Inc. (NASDAQ: CRNC) has announced a multi-year partnership with JLR to develop the luxury automaker's next-generation in-car experience. The collaboration will focus on implementing Cerence's AI-enabled technologies to enhance intelligence and capabilities for JLR customers worldwide.

The partnership aims to continuously expand and improve JLR's in-car experience, focusing on enhancing enjoyment, safety, and productivity through advanced technological solutions. Christine Kemp, JLR's Chief Data and AI Officer, emphasized that voice and AI technology are central to advancing their infotainment system to provide customers with expanded features and an improved in-vehicle journey.

Cerence AI (NASDAQ: CRNC) has announced the repurchase of approximately $27 million of its 3.00% Convertible Senior Notes Due 2025 at 98.5% of their principal amount. The company plans to pay the remaining $60.5 million of Notes upon maturity in June 2025 using cash on hand.

The strategic decision aims to reduce interest expense, eliminate potential dilution from refinancing, and lower leverage. Additionally, Cerence will terminate its undrawn $50 million senior secured first-lien revolving credit facility to save on commitment fees.

The company has reaffirmed its first quarter fiscal year 2025 and full fiscal year 2025 guidance previously disclosed on November 21, 2024.

Cerence AI (NASDAQ: CRNC) has granted equity compensation to its new Executive Vice President and CFO, Tony Rodriquez, who joined on November 29, 2024. The package includes 313,283 time-based restricted stock units and 313,283 performance-based restricted stock units.

The time-based units will vest in three equal installments on October 1 of 2025, 2026, and 2027, contingent on Rodriquez's continued employment. The performance-based units will be earned based on company performance metrics for fiscal years 2025-2027, with one-third eligible each year. These awards were granted as employment inducement under Nasdaq Listing Rule 5635(c)(4).

Cerence AI (NASDAQ: CRNC) has appointed Tony Rodriquez as permanent Chief Financial Officer, effective November 29, 2024. Rodriquez, who served as interim CFO since June 2024, brings over 25 years of financial leadership experience across various industries. In his role, he will lead the company's finance organization, focusing on accelerating growth, improving operating results, and driving sustainable value. Prior to joining Cerence AI, Rodriquez was a partner at CSuite Financial Partners and served as CFO of The Bouqs Company from 2019 to 2023.

Cerence Inc. (CRNC) reported Q4 FY2024 results with revenue of $54.8 million, exceeding guidance but down from $80.8 million in Q4 FY2023. The company posted a GAAP net loss of $20.4 million in Q4. For FY2024, revenue reached $331.5 million, including an $86.6M non-cash revenue from Toyota. The company achieved 22 platform launches in FY2024, including 6 for generative AI solutions. Looking ahead, FY2025 revenue guidance is set at $236-247 million. The transformation plan targets net annualized cost savings of $35-40 million.

Cerence has launched CaLLM™ Edge, an automotive-grade embedded small language model developed in collaboration with Microsoft. Built on Microsoft's Phi-3 family and fine-tuned with Cerence's automotive dataset, the model features 3.8 billion parameters and 4k context size. It enables car control commands, POI search, and conversational interaction without requiring internet connectivity.

The system operates in embedded-only or hybrid deployments, ensuring constant availability of generative AI features while maintaining data privacy by keeping information within the vehicle. This solution offers automakers improved assistant performance and cost efficiency while delivering cloud-like experiences regardless of connectivity.

Cerence (NASDAQ: CRNC) has announced it will release its fourth quarter financial results for the period ended September 30, 2024, on Thursday, November 21, 2024, at 7:00 a.m. Eastern Time. The company will host a conference call and webcast with accompanying slides at 8:30 a.m. Eastern Time the same day. Investors and analysts can participate in the audio conference call by registering through the provided link, while the webcast will be accessible through the Investor section of Cerence's website.

Cerence Inc. (NASDAQ: CRNC) has announced a new partnership with Kawasaki Motors to enhance the user experience across its motorcycle lineup. The collaboration integrates Cerence Ride, a platform specifically designed for two-wheelers, enabling riders to access navigation, vehicle controls, and cloud applications through a voice-powered AI assistant.

The system, compatible with both Android and iOS, can be embedded on smartphones and vehicle dashboards, allowing riders to control features like radio stations, diagnostics, and navigation tools through voice commands. This integration aims to address the growing demand for on-demand information access among two-wheeler users, particularly amid rising fuel prices and increased urban traffic.

Cerence Inc. (NASDAQ: CRNC) has expanded its partnership with Renault to enhance Reno, Renault's next-generation in-car companion, with generative AI capabilities. The collaboration integrates Cerence Chat Pro, an automotive-grade large language model, enabling conversational interactions powered by ChatGPT. Reno features neural text-to-speech technology capable of conveying different emotions and leverages car data to proactively suggest driving improvements. The system debuted in the Renault 5 E-Tech electric in September 2024 and will be available in the Renault 4 E-Tech electric in 2025.