“We made tremendous progress in the first quarter identifying opportunities to simplify the Company and to accelerate growth,” said Tom Manning, Chairman and interim CEO of Dun & Bradstreet. “With our unparalleled assets, large market opportunity, and engaged customer and employee base, I’m excited about the prospects for growth and value creation.”
In his prepared remarks Tom Manning stated the following:
The board is acting with urgency to find a permanent CEO. We engaged a top search firm in early March to assist us in the process. We fully spec’d out the job and began identifying candidates with experience accelerating top and bottom-line growth.
The Board is looking beyond incremental operating leverage and seeking a real step change in the earnings and cash flow this company can deliver.
We completed Phase One of our review, having validated our strategy. In that phase, we confirmed that the markets we play in are attractive, and we have strong competitive positions in them.
A key pillar of the strategy we launched back in 2014 was to expand our advantage in data, which is paying off. Thus far, our review has confirmed that our unique data assets continue to have differentiated value and customers are willing to pay for that value. We have twice the data of our nearest competitor, and our data is percent more predictive than that of our competitors.
Furthermore, we have found that an overwhelming majority of our customers expect to stay with Dun & Bradstreet, as they trust us, have familiarity with our brand, and have confidence in the accuracy of our data. In addition, our focus on moving our business to as-a-service aligns closely with growing customer needs in the market.
Q1 2018 GAAP revenue of $418.2 million was up 10% year over year after the effect of foreign exchange (up 8% before the effect of foreign exchange). As previously announced, the Company adopted ASC 606 on January 1, 2018. The impact to first quarter revenue due to the adoption of ASC 606 was $33.5 million or 9% of year over year growth;
As Adjusted revenue of $384.7 million was flat year over year after the effect of foreign exchange (down 1% before the effect of foreign exchange). Organic revenue decreased 1% year over year.