Blucora Announces Departure of CEO John Clendening
Company anticipates naming a new CEO by end of January
Company has established the
“I’m proud of all that our team has accomplished and the significant value it has delivered for customers, advisors and shareholders during the past four years,” Clendening said. “Our results speak for themselves, with significant improvement in our financial performance. The markets have recognized this progress, with the stock increasing in value by nearly 400% from less than
To ensure a smooth transition for the Company and its employees, advisors and customers,
The departure resulted from differences in views on the scope of Mr. Clendening’s authority as CEO. Blucora’s financial position and cash flows are strong, and the decision was unrelated to Blucora’s business performance, strategic vision, goals, financial reporting or internal controls.
“Blucora remains poised for its next phase of growth and success. We are committed to our incredibly talented executive leadership team and employees during this brief transition period, as we continue to provide the best products, solutions and support to our advisors and customers,” said
“We have a strong executive leadership team in place,” said Proctor. “The Office of the CEO will provide a steady helm during this interim period.
“Finally, once the new CEO is in place, we expect the Company to be well positioned to complete the selection of a new Chief Financial Officer in the near term,” Proctor continued. “The Company has a talented team and strong market and financial positioning. I am confident that
Over the past four years,
The company anticipates reporting fourth quarter and full-year 2019 earnings results in mid-February. At that time the company will also provide its typical tax season update. The company’s current tax preparation outlook for first half 2020 remains unchanged from its prior outlook of segment margin in the range of 56.7% to 57.7% on revenue growth in the 3%-5% range vs. the comparable prior-year period.
The company will hold a conference call for stockholders and analysts today,
Blucora Investor Relations
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. When used in this release, terms such as “believes,” “estimates,” “should,” “could,” “would,” “plans,” “expects,” “intends,” “anticipates,” “may,” “forecasts,” “projects” and similar expressions and variations as they relate to the Company or its management are intended to identify forward-looking statements. Actual results may differ significantly from management’s expectations due to various risks and uncertainties including, but not limited to: our ability to effectively implement our future business plans and growth strategy; our ability to effectively compete within our industry; our ability to attract and retain customers; our ability to realize all of the anticipated benefits of acquisitions; the availability of financing and our ability to meet our current and future debt service obligations and comply with our debt covenants; our ability to generate strong investment performance for our customers and the impact of the financial markets on our customers’ portfolios; political and economic conditions and events that directly or indirectly impact the wealth management and tax preparation industries; our ability to attract and retain productive financial advisors; our ability to successfully make technology enhancements and introduce new and improve on existing products and services; our expectations concerning the revenues we generate from fees associated with the financial products that we distribute; our ability to manage leadership and employee transitions; risks related to goodwill and other intangible asset impairment; our ability to comply with regulations (or interpretations thereof) applicable to the wealth management and tax preparation industries, including increased costs associated with or reductions in revenue resulting from new or changing regulations or interpretations of existing regulations; risks associated with our business being subject to enhanced regulatory scrutiny; our ability to comply with laws and regulations regarding privacy and protection of data; our expectations concerning the benefits that may be derived from our clearing platform and our investment advisory platform; cybersecurity risks; our ability to maintain our relationships with third party partners; the seasonality of our business; litigation risks; our ability to attract and retain qualified employees; our assessments and estimates that determine our effective tax rate; the impact of new or changing tax legislation; our ability to develop, establish and maintain strong brands; our ability to protect our intellectual property; and our ability to effectively integrate other companies or assets that we may acquire.
A more detailed description of these and certain other factors that could affect actual results is included in the Company’s filings with the
Source: Blucora, Inc.