If you’ve seen Conduent (CNDT) trending on your feed this week, it’s not just for boring quarterly earnings. The business services giant is currently navigating a PR nightmare and a massive corporate turnaround simultaneously. On one side, headlines are blazing about a catastrophic data breach exposing millions of Americans’ sensitive government data. On the other, a brand-new CEO has just stepped in with a ruthless “fix, sell, or grow” mandate to save the company’s sinking stock. It’s a high-stakes corporate drama that affects everything from your SNAP benefits to your investment portfolio.
Deep Dive: From Xerox Spinoff to Crisis Mode
To understand the chaos, you have to look back. Conduent was born in 2017 as a spinoff from Xerox, inheriting a massive portfolio of unglamorous but critical back-office operations—processing toll payments, Medicaid claims, and customer service calls.
The Breach That Broke the News
Reports exploded in February 2026 confirming that a ransomware attack on Conduent had compromised the personal data of over 25 million Americans. The breach hit the company where it hurts most: its government contracts. Sensitive information from state agencies—including Social Security numbers and health data linked to Medicaid and SNAP programs—was exposed. The sheer scale of the leak has triggered investigations in states like Texas and Oregon, putting the company under intense regulatory fire.
The New Captain Steering the Ship
Amidst this turmoil, the company announced a major leadership shakeup. In January 2026, the board appointed Harsha V. Agadi as the new CEO, replacing Cliff Skelton. Agadi, a veteran executive known for turnarounds, wasted no time. During the Q4 2025 earnings call on February 12, he laid out a stark reality: revenue is down 4.2% year-over-year to $3.04 billion, but profitability is actually up due to aggressive cost-cutting. His plan? A strict capital allocation strategy that involves selling off underperforming assets to pay down debt.
The Impact: Your Data and Their Dollars
For the average consumer, this story is a wake-up call about the invisible third-party contractors holding your most private data. The breach has forced millions to scramble for identity theft protection, shaking trust in the digital infrastructure of government services.
For investors, Conduent is a battleground. The stock is volatile, trading near historic lows, but Agadi’s plan to slim down the company has sparked a flicker of optimism on Wall Street. If he can execute the turnaround and settle the data breach fallout without bankrupting the firm, Conduent could be the comeback story of the decade. If not, it might be the cautionary tale of 2026.
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