Nuance Communications Sees Q1 Results Above Estimates - Quick Facts

(RTTNews) - Nuance Communications, Inc. (NUAN) forecast fiscal 2018 first-quarter results above analysts' estimates and also provided updates on executive leadership. The company confirmed that Paul Ricci will retire as CEO on or before March 31, 2018.

Based on preliminary financial data, Nuance said it expects fiscal first-quarter reported revenues between $500.0 million and $503.0 million, and adjusted revenues between $507.0 million and $510.0 million.

The company expects fiscal first-quarter reported earnings per share between $0.15 and $0.18 and adjusted earnings per share between $0.26 and $0.27, which includes benefit of about $0.27 and $0.02 per share to reported and adjusted earnings, respectively, for the estimated impact from new U.S. federal tax legislation.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $0.22 per share for the quarter on revenues of $492.72 million. Analysts' estimates typically exclude special items.

Nuance also said it is reorganizing its Mobile division to improve efficiency and better serve customers. Nuance's Mobile Communications Service Provider or CSP business will be merged into the Enterprise division, reporting to Robert Weideman, EVP and GM, and forming a consolidated focus on the company's business in the telecommunications market.

As previously announced, the company is moving forward with establishing its Automotive business as a separate, reportable segment and business line. In addition, Bob Schassler, Executive Vice President and General Manager, Mobile division, has resigned from the Company.

Nuance board of directors confirmed that Paul Ricci will retire as CEO on or before March 31, 2018. The Search Committee has advanced its selection process and intends to appoint a new CEO on or before that date.

In light of Ricci's expected retirement as CEO, the Board will not nominate him for election as a director at the 2018 annual meeting of shareholders.