1、2016 Annual Report Conduent begins as a new Fortune 500-scale company with innovative technologies and decades of experience serving some of the worlds most esteemed companies and government entities.Were also beginning with a bold ambition to become the leading business services partner to organiza
2、tions around the globe,making a difference every day in the lives of those we touch.Financial Highlights(in millions,except EPS)2016 2015 GAAP revenue$6,408$6,662Adjusted revenue1$6,491$6,778Gross margin 14.2%10.3%Adjusted gross margin1 16.5%15.8%SAG$686$699Adjusted operating income1$354$323Adjusted
3、 operating margin1 5.5%4.8%Pre-tax loss$(1,227)$(574)GAAP EPS loss$(4.85)$(1.65)Adjusted net income1$223$174Adjusted EPS1$1.06$0.831 Please refer to page 9 for the reconciliation of this financial measure that is not in compliance with Generally Accepted Accounting Principles(GAAP).2 Letter to Share
4、holders6 Overview8 Overview of Services and Results9 Non-GAAP Measures10 Board of Directors11 Officers and FYI Form 10-KWere building on our strong foundation a loyal client base,business process expertise across multiple industries,leading technology and outstanding talent.And were moving quickly t
5、o aggressively transform our company across many facets of our operation.Conduent 2016 Annual Report 1IntroductionLetter to Shareholders2Ashok Vemuri,Chief Executive OfficerDear ShareholdersIts a privilege to write my first shareholder letter to you as we embark on a new chapter as Conduent Incorpor
6、ated.2016 was a year of great change and transition.It was our last full year as part of Xerox Corporation,where we balanced both our ongoing business operations and the completion of the many activities related to our separation and spin-off as a new,stand-alone company.I joined in July 2016 becaus