CCC Intelligent Solutions Holdings Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenue for the three months ended September 30, 2026, was $294.1 million, an increase of 10.1% year-over-year from $267.1 million in the third quarter of 2025.
• GAAP gross profit was $218.0 million (74% margin) in Q3 2026, compared to $193.0 million (72% margin) in Q3 2025; adjusted gross profit was $224.6 million (76% margin) versus $199.5 million (78% margin) in the prior year period.
• GAAP operating income was $57.4 million in Q3 2026 compared to $30.0 million in Q3 2025; adjusted operating income was $115.7 million compared to $93.0 million in the prior year period.
• GAAP net income was $30.2 million in Q3 2026, a turnaround from a GAAP net loss of $2.0 million in Q3 2025; adjusted net income was $75.1 million compared to $59.4 million in the prior year period.
• Adjusted EBITDA was $130.5 million in Q3 2026, up 18.5% from $110.1 million in Q3 2025.
• Cash and cash equivalents were $202.9 million as of September 30, 2026, compared to $111.2 million as of December 31, 2025.
• Total debt was $1.28 billion as of September 30, 2026.
• Cash from operating activities was $100.4 million in Q3 2026, compared to $94.8 million in Q3 2025; free cash flow was $82.5 million in Q3 2026 versus $78.6 million in Q3 2025.
• Deferred revenue was $54.9 million as of September 30, 2026, down from $72.8 million as of December 31, 2025.

Guidance and Future Outlook:

• The Company is suspending its practice of providing financial guidance due to the proposed transaction.
• The Company will not host a conference call or webcast to discuss financial results.

Business Segments and Product Lines:

• AI-related revenue reached an annualized run-rate of approximately $130 million in Q3 2026, representing 40% year-over-year growth and an increase from an annualized run-rate of approximately $120 million in Q2 2026.
• A top-five insurer (based on 2025 direct premium written) became the largest insurer to adopt CCC's Medhub for Auto Casualty, marking the largest application of EvolutionIQ's technology within the P&C auto market.
• The deployment of Medhub demonstrates customer willingness to adopt adjacent workflows beyond the traditional APD business.

Market and Competitive Landscape:

• Customer behavior is shifting from AI experimentation to AI deployment at scale.
• CCC connects more than 35,000 businesses, including insurers, repairers, automakers, and parts suppliers.

Risks and Challenges:

• The press release lists numerous risks in the "Forward Looking Statements" section, including the risk that the proposed transaction may not be completed, regulatory approvals may not be obtained, or the transaction may be terminated.
• Risks include potential disruption of management's attention, adverse effects on business relationships, and the risk of competing offers.
• Other risks include customer concentration, ability to retain customers, data security breaches, and changes in laws or regulations.

Management Commentary and Tone:

• Chairman & CEO Githesh Ramamurthy stated that CCC delivered strong results reflecting the durability of the business and the trust customers place in the platform.
• Management expressed confidence that the pending transaction with GTCR and Elliott will accelerate AI and agentic capabilities, expand the network, and support long-term investments in innovation.
• Management believes the transaction positions CCC to deliver greater value to the insurance economy.

Other Key Points:

• On October 15, 2026, CCC announced a definitive agreement to be acquired by a consortium led by GTCR and including Elliott Investment Management in an all-cash transaction.
• Shareholders will receive $7.75 per share, representing an enterprise value of approximately $6.1 billion.
• The proposed transaction is expected to close in the first quarter of 2027, subject to regulatory and stockholder approvals.
• Following the close, CCC will become a privately held company.
• Stockholders will be asked to vote on the proposed transaction via a meeting to be announced.