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CCC Intelligent Solutions approves $300 million buyback

Published 20/12/2024, 12:06
CCCS
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CHICAGO - CCC (WA:CCCP) Intelligent Solutions Holdings Inc. (NASDAQ: CCCS), a key cloud platform provider for the property and casualty (P&C) insurance sector, disclosed on Friday that its board of directors has sanctioned a new share repurchase program. The authorization permits the company to buy back up to $300 million of its outstanding common stock.

The repurchase program allows for the acquisition of shares via open market transactions, private deals, or accelerated share repurchase agreements. However, the initiative does not compel CCC to repurchase any specific number of shares. The timing and volume of repurchases are subject to change, influenced by factors such as capital availability, market conditions, management decisions, legal restrictions, and other considerations. With a strong current ratio of 3.19 and operating with moderate debt levels, the company appears well-positioned to execute these repurchases using its available liquidity and free cash flow.

CCC Intelligent Solutions Inc., a subsidiary of the holding company, operates as a leading cloud platform for the expansive P&C insurance economy. The company's IX Cloud platform, underpinned by artificial intelligence (AI) and innovative event-based architecture, connects over 35,000 businesses. This network facilitates the creation of tailored applications and platforms aimed at delivering optimal outcomes and personalized experiences.

The press release also includes forward-looking statements regarding the potential future performance of CCC's digital solutions. These statements are based on current beliefs, assumptions, and information but are subject to various risks and uncertainties that could cause actual results to differ materially.

Investors are reminded that forward-looking statements should not be seen as guarantees of future performance, and the company's views may change over time. CCC has stated that it does not currently plan to update these statements except as required by law. The company's filings with the Securities and Exchange Commission, including the Form 10-K filed on February 28, 2024, contain further information on risks and uncertainties that could affect CCC's business and financial results.

The announcement is based on a press release statement from CCC Intelligent Solutions Holdings Inc.

In other recent news, CCC Intelligent Solutions announced a year-over-year increase of 8% in total revenue, reaching $238 million, and a 9% rise in adjusted EBITDA to $102 million. The company's new product, CCC Payroll, has been adopted by over 2,000 repair facilities since its launch. For the fourth quarter, CCC Intelligent Solutions expects revenue between $242.5 million and $246.5 million, and adjusted EBITDA of $103 million to $105 million.

In addition, Mary Jo Prigge, the company's Executive Vice President and Chief Service Delivery Officer, will postpone her retirement until May 31, 2025. This extension aims to ensure leadership stability within the service delivery division during a period of solid company performance.

Meanwhile, Morgan Stanley (NYSE:MS) upgraded CCC Intelligent Solutions from Equal-weight to Overweight, reflecting confidence in the company's market position and growth potential. This upgrade is based on the strong demand for CCC's artificial intelligence solutions and the significant return on investment generated by the company's Estimate Straight-through-processing. These recent developments highlight the company's steady growth and the positive market response to its new product offerings.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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