Cannae Holdings 2025 Q3 Earnings Wider Loss Amid Revenue Decline

Cannae Holdings reported its fiscal 2025 Q3 earnings on Nov 10th, 2025, revealing a widening net loss and a revenue decline. The results missed expectations, with no forward guidance provided.

Revenue

Cannae Holdings’ total revenue fell 6.1% to $106.90 million in Q3 2025, down from $113.90 million in the same period last year. Restaurant operations accounted for $94.60 million of the total, with real estate and resort revenue contributing $12.30 million. The decline reflects ongoing challenges in the restaurant segment, including inflationary pressures, despite menu pricing adjustments.

Earnings/Net Income

The company’s losses deepened to $1.25 per share in Q3 2025, a 331% negative surprise compared to the forecasted $-0.29. The net loss widened to $70.80 million, a 304.6% increase from $17.50 million in 2024 Q3. The significant EPS miss underscores operational and equity-related challenges, particularly in unconsolidated affiliates.

Price Action

Cannae Holdings’ stock has seen a 6.76% drop month-to-date, with declines of 2.10% over the past week and 1.26% in the latest trading day.

Post-Earnings Price Action Review

The strategy of buying CNNE shares on revenue beats and holding for 30 days yielded mixed results. While CNNE exceeded revenue estimates in two of the last four quarters, short-term gains were limited. For instance, the Q3 2025 revenue beat led to a 0.23% stock decline. Over three years, the stock trended downward, with significant quarterly losses—such as the Q3 2025 EPS miss—eroding potential gains. The approach remains high-risk due to volatility and inconsistent profitability.

CEO Commentary

CEO Ryan Caswell emphasized Cannae’s focus on sports and sports-related assets, citing recent investments in JANA Partners and Black Knight Football. The company aims to rebalance its portfolio by divesting public company holdings and prioritizing proprietary opportunities with positive cash flows.

Guidance

The filing omitted explicit forward-looking guidance, with no projections for revenue or earnings beyond Q3 2025.

Additional News

Cannae completed the $630 million sale of Dun & Bradstreet to Clearlake Capital, using $424 million for share repurchases and debt repayment. The company also acquired a 30% stake in JANA Partners, increasing its ownership to 50%, and invested $25 million in Black Knight Football. Shareholders received $500 million in returns through buybacks and dividends, representing 35% of shares outstanding. The Zacks Rank #4 (Sell) reflects pessimistic near-term sentiment, driven by unfavorable earnings estimate revisions.