ACI Worldwide, Inc. Reports Financial Results for the Quarter Ended September 30, 2024
ACI Worldwide (ACIW) reported strong Q3 2024 financial results with significant growth across key metrics. Revenue increased 24% to $452 million, while net income surged 115% to $81 million compared to Q3 2023. Adjusted EBITDA rose 61% to $167 million, and cash flow from operations grew 114% to $54 million.
The company's Bank segment revenue grew 43% and Merchant segment revenue increased 38%. The company ended Q3 with $178 million in cash and $1 billion in debt, maintaining a net debt leverage ratio of 1.6x. Based on strong performance, ACI raised its full-year 2024 guidance, now expecting revenue between $1.567-1.601 billion and adjusted EBITDA of $433-448 million.
ACI Worldwide (ACIW) ha registrato risultati finanziari solidi per il terzo trimestre del 2024, con una crescita significativa in tutte le metriche chiave. Le entrate sono aumentate del 24% arrivando a 452 milioni di dollari, mentre l'utile netto è schizzato del 115% a 81 milioni di dollari rispetto al terzo trimestre del 2023. L'EBITDA rettificato è aumentato del 61% a 167 milioni di dollari e il flusso di cassa dalle operazioni è cresciuto del 114% a 54 milioni di dollari.
I ricavi del segmento bancario dell'azienda sono aumentati del 43% e quelli del segmento merchant sono cresciuti del 38%. L'azienda ha chiuso il terzo trimestre con 178 milioni di dollari in contanti e 1 miliardo di dollari in debito, mantenendo un rapporto di leva finanziaria netta di 1,6x. Sulla base delle buone performance, ACI ha innalzato le previsioni per l'intero anno 2024, ora prevedendo un fatturato tra 1,567 e 1,601 miliardi di dollari e un EBITDA rettificato di 433-448 milioni di dollari.
ACI Worldwide (ACIW) reportó resultados financieros sólidos para el tercer trimestre de 2024, con un crecimiento significativo en métricas clave. Los ingresos aumentaron un 24% a 452 millones de dólares, mientras que el ingreso neto se disparó un 115% a 81 millones de dólares en comparación con el tercer trimestre de 2023. El EBITDA ajustado subió un 61% a 167 millones de dólares, y el flujo de caja de las operaciones creció un 114% a 54 millones de dólares.
Los ingresos del segmento bancario de la empresa crecieron un 43% y los ingresos del segmento de comerciantes aumentaron un 38%. La empresa terminó el tercer trimestre con 178 millones de dólares en efectivo y 1 mil millones de dólares en deuda, manteniendo una relación de apalancamiento neto de 1.6x. Basándose en un rendimiento sólido, ACI elevó su guía para todo el año 2024, ahora esperando ingresos entre 1,567 y 1,601 mil millones de dólares y un EBITDA ajustado de 433-448 millones de dólares.
ACI Worldwide (ACIW)는 2024년 3분기 재무 성과가 뛰어나며 주요 지표에서 상당한 성장을 보고했습니다. 수익은 24% 증가하여 4억 5천 2백만 달러에 도달했으며, 순이익은 115% 급증하여 8천 1백만 달러에 달했습니다. 조정된 EBITDA는 61% 상승하여 1억 6천 7백만 달러에 이르렀으며, 운영으로부터의 현금 흐름은 114% 증가하여 5천 4백만 달러에 도달했습니다.
회사의 은행 부문 수익은 43% 증가했으며 상인 부문 수익은 38% 증가했습니다. 회사는 3분기를 1억 7천 8백만 달러의 현금과 10억 달러의 부채로 마감하였으며, 순부채 레버리지 비율은 1.6배를 유지했습니다. 강력한 성과를 바탕으로 ACI는 2024년 전체 가이드를 상향 조정하여, 이제 15억 6천 7십만 달러에서 16억 1천만 달러 사이의 수익과 4억 3천 3백만 달러에서 4억 4천 8백만 달러 사이의 조정 EBITDA를 예상하고 있습니다.
ACI Worldwide (ACIW) a rapporté de solides résultats financiers pour le troisième trimestre 2024, avec une croissance significative dans toutes les métriques clés. Le chiffre d'affaires a augmenté de 24% pour atteindre 452 millions de dollars, tandis que le bénéfice net a explosé de 115% à 81 millions de dollars par rapport au troisième trimestre 2023. Le EBITDA ajusté a grimpé de 61% à 167 millions de dollars, et le flux de trésorerie provenant des opérations a crû de 114% à 54 millions de dollars.
Les revenus du segment bancaire de l'entreprise ont augmenté de 43% et ceux du segment commerçant ont progressé de 38%. L'entreprise a clôturé le troisième trimestre avec 178 millions de dollars en liquidités et 1 milliard de dollars de dettes, maintenant un ratio de levier de dette nette de 1,6x. Sur la base de ses fortes performances, ACI a revu à la hausse ses prévisions pour l'année 2024, anticipant désormais un chiffre d'affaires compris entre 1,567 et 1,601 milliard de dollars et un EBITDA ajusté de 433-448 millions de dollars.
ACI Worldwide (ACIW) hat für das dritte Quartal 2024 starke finanzielle Ergebnisse gemeldet, mit einer signifikanten Wachstumssteigerung in allen wichtigen Kennzahlen. Der Umsatz stieg um 24% auf 452 Millionen Dollar, während der Nettogewinn um 115% auf 81 Millionen Dollar im Vergleich zum dritten Quartal 2023 anstieg. Das angepasste EBITDA stieg um 61% auf 167 Millionen Dollar, und der operative Cashflow wuchs um 114% auf 54 Millionen Dollar.
Der Umsatz im Bankensegment des Unternehmens wuchs um 43%, während der Umsatz im Händlersegment um 38% anstieg. Das Unternehmen beendete das dritte Quartal mit 178 Millionen Dollar in bar und 1 Milliarde Dollar an Schulden und hielt ein Verhältnis der Nettoverschuldung von 1,6x aufrecht. Auf Basis der starken Leistung erhöhte ACI die Prognose für das Gesamtjahr 2024 und erwartet nun einen Umsatz zwischen 1,567 und 1,601 Milliarden Dollar sowie ein angepasstes EBITDA von 433-448 Millionen Dollar.
- Revenue increased 24% to $452 million in Q3 2024
- Net income grew 115% to $81 million
- Adjusted EBITDA rose 61% to $167 million
- Operating cash flow increased 114% to $54 million
- Bank segment revenue up 43% with 69% EBITDA growth
- Merchant segment revenue up 38% with 159% EBITDA growth
- Raised full-year 2024 guidance for revenue and adjusted EBITDA
- Reduced long-term leverage target from 2.5x to 2.0x
- Biller segment adjusted EBITDA decreased 21% in Q3 2024
Insights
The Q3 2024 results showcase exceptional performance across key metrics.
The company's financial health is particularly strong, with a net debt leverage ratio of 1.6x adjusted EBITDA and
The raised guidance for 2024, with revenue now expected between
The strategic shift to earlier contract renewals is transforming ACI's business model, creating a more stable revenue base and freeing up resources for new business development. This operational improvement, combined with strong performance across segments, positions ACI favorably in the competitive payments technology landscape.
The company's disciplined capital allocation strategy, balancing growth investments with shareholder returns through share repurchases (
Q3 2024 HIGHLIGHTS
-
Revenue up
24% versus Q3 2023 -
Net income up
115% versus Q3 2023 -
Adjusted EBITDA up
61% versus Q3 2023 -
Cash flow from operating activities up
114% versus Q3 2023 - Raising guidance range for full-year 2024
“We are very pleased with our third quarter results and the continued positive momentum in the business. We saw particular strength within our Bank and Merchant segments and are once again raising our full-year outlook,” said Thomas Warsop, president and CEO of ACI Worldwide. “This year the team has done a tremendous job signing renewal contracts earlier in the year. This initiative is enabling our commercial team to spend more time on prospects and winning new business, which has allowed us to outperform our forecasts. Further, signing these new contracts earlier in the year helps reduce the heavy seasonality we have historically seen and simply reduces the risk of attaining our full-year financial guidance.
“Our pipelines remain strong across our segments, and we are well-positioned for future growth as we continue to invest in innovation, execute on our strategy, and deliver value to our customers and shareholders.”
“Our cash flow from operating activities increased
FINANCIAL SUMMARY
In Q3 2024, revenue was
-
Bank segment revenue increased
43% in Q3 2024 and Bank segment adjusted EBITDA increased69% versus Q3 2023.
-
Merchant segment revenue increased
38% in Q3 2024 and Merchant segment adjusted EBITDA increased159% versus Q3 2023.
-
Biller segment revenue increased
5% in Q3 2024 and Biller segment adjusted EBITDA decreased21% . Q3 2023 included certain one-time non-recurring margin benefits that did not recur in Q3 2024.
ACI ended Q3 2024 with
During the quarter the company repurchased approximately 200,000 shares for
RAISING 2024 GUIDANCE
For the full year of 2024, we are raising our guidance for both revenue and adjusted EBITDA. We now expect revenue to be in the range of
CONFERENCE CALL TO DISCUSS FINANCIAL RESULTS
Today, management will host a conference call at 8:30 a.m. ET to discuss these results. Interested persons may access a real-time audio broadcast of the teleconference at http://investor.aciworldwide.com/ or use the following number for dial-in participation: toll-free 1 (888) 660-6377 and conference code 3153574.
About ACI Worldwide
ACI Worldwide, an original innovator in global payments technology, delivers transformative software solutions that power intelligent payments orchestration in real time so banks, billers, and merchants can drive growth, while continuously modernizing their payment infrastructures, simply and securely. With nearly 50 years of trusted payments expertise, we combine our global footprint with a local presence to offer enhanced payment experiences to stay ahead of constantly changing payment challenges and opportunities.
© Copyright ACI Worldwide, Inc. 2024.
ACI, ACI Worldwide, ACI Payments, Inc., ACI Pay, Speedpay and all ACI product/solution names are trademarks or registered trademarks of ACI Worldwide, Inc., or one of its subsidiaries, in
To supplement our financial results presented on a GAAP basis, we use the non-GAAP measures indicated in the tables, which exclude significant transaction-related expenses, as well as other significant non-cash expenses such as depreciation, amortization, and stock-based compensation, that we believe are helpful in understanding our past financial performance and our future results. The presentation of these non-GAAP financial measures should be considered in addition to our GAAP results and are not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management generally compensates for limitations in the use of non-GAAP financial measures by relying on comparable GAAP financial measures and providing investors with a reconciliation of non-GAAP financial measures only in addition to and in conjunction with results presented in accordance with GAAP.
We believe that these non-GAAP financial measures reflect an additional way to view aspects of our operations that, when viewed with our GAAP results, provide a more complete understanding of factors and trends affecting our business. Certain non-GAAP measures include:
- Adjusted EBITDA: net income (loss) plus income tax expense (benefit), net interest income (expense), net other income (expense), depreciation, amortization and stock-based compensation, as well as significant transaction-related expenses. Adjusted EBITDA should be considered in addition to, rather than as a substitute for, net income (loss).
- Net Adjusted EBITDA Margin: Adjusted EBITDA divided by revenue net of pass-through interchange revenue. Net Adjusted EBITDA Margin should be considered in addition to, rather than as a substitute for, net income (loss).
- Diluted EPS adjusted for non-cash and significant transaction related items: diluted EPS plus tax effected significant transaction related items, amortization of acquired intangibles and software, and non-cash stock-based compensation. Diluted EPS adjusted for non-cash and significant transaction related items should be considered in addition to, rather than as a substitute for, diluted EPS.
- Recurring Revenue: revenue from software as a service and platform as a service fees and maintenance fees. Recurring revenue should be considered in addition to, rather than as a substitute for, total revenue.
- ARR: New annual recurring revenue expected to be generated from new accounts, new applications, and add-on sales bookings contracts signed in the period.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. Generally, forward-looking statements do not relate strictly to historical or current facts and may include words or phrases such as “believes,” “will,” “expects,” “anticipates,” “intends,” and words and phrases of similar impact. The forward-looking statements are made pursuant to safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements in this press release include, but are not limited to: (i) the continued positive momentum in the business, (ii) our pipelines remain strong across our segments, and we are well-positioned for future growth as we continue to invest in innovation, execute on our strategy, and deliver value to our customers and shareholders, (iii) we will continue to maintain a disciplined, long-term focused capital allocation strategy that balances re-investment in the business, accretive M&A and share repurchases, while maintaining a strong balance sheet with ample liquidity and financial flexibility (iv) target leverage and full-year 2024 revenue and adjusted EBITDA financial guidance.
All of the foregoing forward-looking statements are expressly qualified by the risk factors discussed in our filings with the Securities and Exchange Commission. Such factors include, but are not limited to, increased competition, business interruptions or failure of our information technology and communication systems, security breaches or viruses, our ability to attract and retain senior management personnel and skilled technical employees, future acquisitions, strategic partnerships and investments, divestitures and other restructuring activities, implementation and success of our strategy, impact if we convert some or all on-premise licenses from fixed-term to subscription model, anti-takeover provisions, exposure to credit or operating risks arising from certain payment funding methods, customer reluctance to switch to a new vendor, our ability to adequately defend our intellectual property, litigation, consent orders and other compliance agreements, our offshore software development activities, risks from operating internationally, including fluctuations in currency exchange rates, events in eastern
ACI WORLDWIDE, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited and in thousands) |
|||||||
|
September 30,
|
|
December 31,
|
||||
ASSETS |
|
|
|
||||
Current assets |
|
|
|
||||
Cash and cash equivalents |
$ |
177,860 |
|
|
$ |
164,239 |
|
Receivables, net of allowances |
|
424,518 |
|
|
|
452,337 |
|
Settlement assets |
|
428,479 |
|
|
|
723,039 |
|
Prepaid expenses |
|
31,878 |
|
|
|
31,479 |
|
Other current assets |
|
22,865 |
|
|
|
35,551 |
|
Total current assets |
|
1,085,600 |
|
|
|
1,406,645 |
|
Noncurrent assets |
|
|
|
||||
Accrued receivables, net |
|
338,977 |
|
|
|
313,983 |
|
Property and equipment, net |
|
31,441 |
|
|
|
37,856 |
|
Operating lease right-of-use assets |
|
29,181 |
|
|
|
34,338 |
|
Software, net |
|
90,313 |
|
|
|
108,418 |
|
Goodwill |
|
1,226,026 |
|
|
|
1,226,026 |
|
Intangible assets, net |
|
172,310 |
|
|
|
195,646 |
|
Deferred income taxes, net |
|
64,674 |
|
|
|
58,499 |
|
Other noncurrent assets |
|
54,463 |
|
|
|
63,328 |
|
TOTAL ASSETS |
$ |
3,092,985 |
|
|
$ |
3,444,739 |
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
||||
Current liabilities |
|
|
|
||||
Accounts payable |
$ |
47,912 |
|
|
$ |
45,964 |
|
Settlement liabilities |
|
428,080 |
|
|
|
721,164 |
|
Employee compensation |
|
42,806 |
|
|
|
53,892 |
|
Current portion of long-term debt |
|
34,910 |
|
|
|
74,405 |
|
Deferred revenue |
|
68,550 |
|
|
|
59,580 |
|
Other current liabilities |
|
75,036 |
|
|
|
82,244 |
|
Total current liabilities |
|
697,294 |
|
|
|
1,037,249 |
|
Noncurrent liabilities |
|
|
|
||||
Deferred revenue |
|
19,315 |
|
|
|
24,780 |
|
Long-term debt |
|
959,387 |
|
|
|
963,599 |
|
Deferred income taxes, net |
|
38,439 |
|
|
|
40,735 |
|
Operating lease liabilities |
|
23,601 |
|
|
|
29,074 |
|
Other noncurrent liabilities |
|
25,319 |
|
|
|
25,005 |
|
Total liabilities |
|
1,763,355 |
|
|
|
2,120,442 |
|
Commitments and contingencies |
|
|
|
||||
Stockholders’ equity |
|
|
|
||||
Preferred stock |
|
— |
|
|
|
— |
|
Common stock |
|
702 |
|
|
|
702 |
|
Additional paid-in capital |
|
725,724 |
|
|
|
712,994 |
|
Retained earnings |
|
1,499,530 |
|
|
|
1,394,967 |
|
Treasury stock |
|
(791,353 |
) |
|
|
(674,896 |
) |
Accumulated other comprehensive loss |
|
(104,973 |
) |
|
|
(109,470 |
) |
Total stockholders’ equity |
|
1,329,630 |
|
|
|
1,324,297 |
|
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY |
$ |
3,092,985 |
|
|
$ |
3,444,739 |
|
ACI WORLDWIDE, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited and in thousands, except per share amounts) |
|||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Revenues |
|
|
|
|
|
|
|
||||||||
Software as a service and platform as a service |
$ |
223,367 |
|
|
$ |
211,369 |
|
|
$ |
674,498 |
|
|
$ |
625,975 |
|
License |
|
157,429 |
|
|
|
79,679 |
|
|
|
252,984 |
|
|
|
142,681 |
|
Maintenance |
|
47,559 |
|
|
|
51,942 |
|
|
|
144,046 |
|
|
|
153,436 |
|
Services |
|
23,397 |
|
|
|
20,025 |
|
|
|
69,722 |
|
|
|
53,924 |
|
Total revenues |
|
451,752 |
|
|
|
363,015 |
|
|
|
1,141,250 |
|
|
|
976,016 |
|
Operating expenses |
|
|
|
|
|
|
|
||||||||
Cost of revenue (1) |
|
197,351 |
|
|
|
177,625 |
|
|
|
591,696 |
|
|
|
537,522 |
|
Research and development |
|
37,660 |
|
|
|
33,739 |
|
|
|
108,063 |
|
|
|
106,122 |
|
Selling and marketing |
|
28,691 |
|
|
|
29,442 |
|
|
|
83,992 |
|
|
|
98,166 |
|
General and administrative |
|
33,949 |
|
|
|
29,821 |
|
|
|
84,942 |
|
|
|
92,675 |
|
Depreciation and amortization |
|
31,515 |
|
|
|
30,464 |
|
|
|
86,710 |
|
|
|
93,439 |
|
Total operating expenses |
|
329,166 |
|
|
|
301,091 |
|
|
|
955,403 |
|
|
|
927,924 |
|
Operating income |
|
122,586 |
|
|
|
61,924 |
|
|
|
185,847 |
|
|
|
48,092 |
|
Other income (expense) |
|
|
|
|
|
|
|
||||||||
Interest expense |
|
(18,356 |
) |
|
|
(19,840 |
) |
|
|
(55,837 |
) |
|
|
(58,641 |
) |
Interest income |
|
3,871 |
|
|
|
3,495 |
|
|
|
11,833 |
|
|
|
10,458 |
|
Other, net |
|
(823 |
) |
|
|
1,084 |
|
|
|
(1,692 |
) |
|
|
(6,403 |
) |
Total other income (expense) |
|
(15,308 |
) |
|
|
(15,261 |
) |
|
|
(45,696 |
) |
|
|
(54,586 |
) |
Income (loss) before income taxes |
|
107,278 |
|
|
|
46,663 |
|
|
|
140,151 |
|
|
|
(6,494 |
) |
Income tax expense (benefit) |
|
25,851 |
|
|
|
8,752 |
|
|
|
35,588 |
|
|
|
(5,387 |
) |
Net income (loss) |
$ |
81,427 |
|
|
$ |
37,911 |
|
|
$ |
104,563 |
|
|
$ |
(1,107 |
) |
Income (loss) per common share |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
0.78 |
|
|
$ |
0.35 |
|
|
$ |
0.99 |
|
|
$ |
(0.01 |
) |
Diluted |
$ |
0.77 |
|
|
$ |
0.35 |
|
|
$ |
0.98 |
|
|
$ |
(0.01 |
) |
Weighted average common shares outstanding |
|
|
|
|
|
|
|
||||||||
Basic |
|
104,770 |
|
|
|
108,667 |
|
|
|
105,651 |
|
|
|
108,428 |
|
Diluted |
|
106,018 |
|
|
|
108,933 |
|
|
|
106,552 |
|
|
|
108,428 |
|
(1) The cost of revenue excludes charges for depreciation and amortization. |
|||||||||||||||
ACI WORLDWIDE, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited and in thousands) |
|||||||||||||||
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Net income (loss) |
$ |
81,427 |
|
|
$ |
37,911 |
|
|
$ |
104,563 |
|
|
$ |
(1,107 |
) |
Adjustments to reconcile net income (loss) to net cash flows from operating activities: |
|
|
|
|
|
|
|
||||||||
Depreciation |
|
7,804 |
|
|
|
5,631 |
|
|
|
14,999 |
|
|
|
18,722 |
|
Amortization |
|
23,711 |
|
|
|
24,832 |
|
|
|
71,711 |
|
|
|
74,716 |
|
Amortization of operating lease right-of-use assets |
|
2,338 |
|
|
|
2,699 |
|
|
|
7,337 |
|
|
|
9,190 |
|
Amortization of deferred debt issuance costs |
|
659 |
|
|
|
923 |
|
|
|
2,257 |
|
|
|
3,415 |
|
Deferred income taxes |
|
(3,745 |
) |
|
|
(2,566 |
) |
|
|
(2,229 |
) |
|
|
(25,207 |
) |
Stock-based compensation expense |
|
11,346 |
|
|
|
6,822 |
|
|
|
30,165 |
|
|
|
17,537 |
|
Other |
|
2,247 |
|
|
|
1,857 |
|
|
|
180 |
|
|
|
2,168 |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
||||||||
Receivables |
|
(95,899 |
) |
|
|
(39,844 |
) |
|
|
3,699 |
|
|
|
42,012 |
|
Accounts payable |
|
(4,091 |
) |
|
|
(5,244 |
) |
|
|
758 |
|
|
|
(7,198 |
) |
Accrued employee compensation |
|
8,759 |
|
|
|
1,749 |
|
|
|
(11,125 |
) |
|
|
(2,879 |
) |
Deferred revenue |
|
(6,433 |
) |
|
|
(8,296 |
) |
|
|
1,884 |
|
|
|
4,404 |
|
Other current and noncurrent assets and liabilities |
|
25,885 |
|
|
|
(1,208 |
) |
|
|
8,067 |
|
|
|
(52,999 |
) |
Net cash flows from operating activities |
|
54,008 |
|
|
|
25,266 |
|
|
|
232,266 |
|
|
|
82,774 |
|
Cash flows from investing activities: |
|
|
|
|
|
|
|
||||||||
Purchases of property and equipment |
|
(3,509 |
) |
|
|
(3,380 |
) |
|
|
(8,463 |
) |
|
|
(7,956 |
) |
Purchases of software and distribution rights |
|
(4,154 |
) |
|
|
(7,550 |
) |
|
|
(23,178 |
) |
|
|
(22,571 |
) |
Net cash flows from investing activities |
|
(7,663 |
) |
|
|
(10,930 |
) |
|
|
(31,641 |
) |
|
|
(30,527 |
) |
Cash flows from financing activities: |
|
|
|
|
|
|
|
||||||||
Proceeds from issuance of common stock |
|
732 |
|
|
|
696 |
|
|
|
2,129 |
|
|
|
2,122 |
|
Proceeds from exercises of stock options |
|
1,202 |
|
|
|
263 |
|
|
|
1,954 |
|
|
|
3,132 |
|
Repurchase of stock-based compensation awards for tax withholdings |
|
(2,960 |
) |
|
|
(883 |
) |
|
|
(9,299 |
) |
|
|
(4,203 |
) |
Repurchases of common stock |
|
(7,996 |
) |
|
|
— |
|
|
|
(127,670 |
) |
|
|
— |
|
Proceeds from revolving credit facility |
|
20,000 |
|
|
|
20,000 |
|
|
|
184,000 |
|
|
|
75,000 |
|
Repayment of revolving credit facility |
|
(25,000 |
) |
|
|
(6,000 |
) |
|
|
(177,000 |
) |
|
|
(51,000 |
) |
Proceeds from term portion of credit agreement |
|
— |
|
|
|
— |
|
|
|
500,000 |
|
|
|
— |
|
Repayment of term portion of credit agreement |
|
(9,375 |
) |
|
|
(19,475 |
) |
|
|
(547,823 |
) |
|
|
(53,556 |
) |
Payments on or proceeds from other debt, net |
|
(630 |
) |
|
|
(643 |
) |
|
|
(9,299 |
) |
|
|
(12,473 |
) |
Payments for debt issuance costs |
|
— |
|
|
|
— |
|
|
|
(5,141 |
) |
|
|
(2,160 |
) |
Net increase (decrease) in settlement assets and liabilities |
|
23,855 |
|
|
|
19,452 |
|
|
|
17,704 |
|
|
|
(4,635 |
) |
Net cash flows from financing activities |
|
(172 |
) |
|
|
13,410 |
|
|
|
(170,445 |
) |
|
|
(47,773 |
) |
Effect of exchange rate fluctuations on cash |
|
(1,621 |
) |
|
|
(1,039 |
) |
|
|
(331 |
) |
|
|
4,388 |
|
Net increase in cash and cash equivalents |
|
44,552 |
|
|
|
26,707 |
|
|
|
29,849 |
|
|
|
8,862 |
|
Cash and cash equivalents, including settlement deposits, beginning of period |
|
224,118 |
|
|
|
196,827 |
|
|
|
238,821 |
|
|
|
214,672 |
|
Cash and cash equivalents, including settlement deposits, end of period |
$ |
268,670 |
|
|
$ |
223,534 |
|
|
$ |
268,670 |
|
|
$ |
223,534 |
|
Reconciliation of cash and cash equivalents to the Consolidated Balance Sheets |
|
|
|
|
|
|
|
||||||||
Cash and cash equivalents |
$ |
177,860 |
|
|
$ |
139,520 |
|
|
$ |
177,860 |
|
|
$ |
139,520 |
|
Settlement deposits |
|
90,810 |
|
|
|
84,014 |
|
|
|
90,810 |
|
|
|
84,014 |
|
Total cash and cash equivalents |
$ |
268,670 |
|
|
$ |
223,534 |
|
|
$ |
268,670 |
|
|
$ |
223,534 |
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
Adjusted EBITDA (millions) |
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Net income (loss) |
$ |
81.4 |
|
|
$ |
37.9 |
|
|
$ |
104.6 |
|
|
$ |
(1.1 |
) |
Plus: |
|
|
|
|
|
|
|
||||||||
Income tax expense (benefit) |
|
25.9 |
|
|
|
8.7 |
|
|
|
35.6 |
|
|
|
(5.4 |
) |
Net interest expense |
|
14.5 |
|
|
|
16.4 |
|
|
|
44.0 |
|
|
|
48.2 |
|
Net other (income) expense |
|
0.8 |
|
|
|
(1.1 |
) |
|
|
1.7 |
|
|
|
6.4 |
|
Depreciation expense |
|
7.8 |
|
|
|
5.6 |
|
|
|
15.0 |
|
|
|
18.7 |
|
Amortization expense |
|
23.7 |
|
|
|
24.8 |
|
|
|
71.7 |
|
|
|
74.7 |
|
Non-cash stock-based compensation expense |
|
11.3 |
|
|
|
6.8 |
|
|
|
30.2 |
|
|
|
17.5 |
|
Adjusted EBITDA before significant transaction-related expenses |
$ |
165.4 |
|
|
$ |
99.1 |
|
|
$ |
302.8 |
|
|
$ |
159.0 |
|
Significant transaction-related expenses: |
|
|
|
|
|
|
|
||||||||
Cost reduction strategies |
|
1.2 |
|
|
|
3.8 |
|
|
|
4.3 |
|
|
|
19.7 |
|
European datacenter migration |
|
— |
|
|
|
0.4 |
|
|
|
— |
|
|
|
2.6 |
|
Other |
|
0.3 |
|
|
|
0.1 |
|
|
|
1.0 |
|
|
|
4.4 |
|
Adjusted EBITDA |
$ |
166.9 |
|
|
$ |
103.4 |
|
|
$ |
308.1 |
|
|
$ |
185.7 |
|
Revenue, net of interchange: |
|
|
|
|
|
|
|
||||||||
Revenue |
$ |
451.8 |
|
|
$ |
363.0 |
|
|
$ |
1,141.3 |
|
|
$ |
976.0 |
|
Interchange |
|
117.1 |
|
|
|
102.7 |
|
|
|
353.6 |
|
|
|
315.0 |
|
Revenue, net of interchange |
$ |
334.7 |
|
|
$ |
260.3 |
|
|
$ |
787.7 |
|
|
$ |
661.0 |
|
|
|
|
|
|
|
|
|
||||||||
Net Adjusted EBITDA Margin |
|
50 |
% |
|
|
40 |
% |
|
|
39 |
% |
|
|
28 |
% |
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
Segment Information (millions) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Revenue |
|
|
|
|
|
|
|
||||
Banks |
$ |
222.0 |
|
$ |
155.7 |
|
$ |
471.1 |
|
$ |
361.2 |
Merchants |
|
50.2 |
|
|
36.3 |
|
|
123.9 |
|
|
107.6 |
Billers |
|
179.6 |
|
|
171.0 |
|
|
546.3 |
|
|
507.2 |
Total |
$ |
451.8 |
|
$ |
363.0 |
|
$ |
1,141.3 |
|
$ |
976.0 |
Recurring Revenue |
|
|
|
|
|
|
|
||||
Banks |
$ |
55.6 |
|
$ |
58.2 |
|
$ |
167.1 |
|
$ |
171.2 |
Merchants |
|
35.7 |
|
|
34.1 |
|
|
105.1 |
|
|
101.0 |
Billers |
|
179.6 |
|
|
171.0 |
|
|
546.3 |
|
|
507.2 |
Total |
$ |
270.9 |
|
$ |
263.3 |
|
$ |
818.5 |
|
$ |
779.4 |
Segment Adjusted EBITDA |
|
|
|
|
|
|
|
||||
Banks |
$ |
153.9 |
|
$ |
91.0 |
|
$ |
274.8 |
|
$ |
167.3 |
Merchants |
|
26.7 |
|
|
10.3 |
|
|
52.7 |
|
|
26.8 |
Billers |
|
30.9 |
|
|
39.2 |
|
|
99.1 |
|
|
100.1 |
Note: Amounts may not recalculate due to rounding. |
|||||||||||
|
Three Months Ended September 30, |
||||||||||
|
2024 |
|
2023 |
||||||||
EPS Impact of Non-cash and Significant Transaction-related Items (millions) |
EPS Impact |
|
$ in Millions (Net of Tax) |
|
EPS Impact |
|
$ in Millions (Net of Tax) |
||||
GAAP net income |
$ |
0.77 |
|
$ |
81.4 |
|
$ |
0.35 |
|
$ |
37.9 |
Adjusted for: |
|
|
|
|
|
|
|
||||
Significant transaction-related expenses |
|
0.04 |
|
|
4.5 |
|
|
0.03 |
|
|
3.3 |
Amortization of acquisition-related intangibles |
|
0.05 |
|
|
5.4 |
|
|
0.06 |
|
|
6.4 |
Amortization of acquisition-related software |
|
0.03 |
|
|
3.4 |
|
|
0.03 |
|
|
3.8 |
Non-cash stock-based compensation |
|
0.08 |
|
|
8.6 |
|
|
0.05 |
|
|
5.2 |
Total adjustments |
$ |
0.20 |
|
$ |
21.9 |
|
$ |
0.17 |
|
$ |
18.7 |
Diluted EPS adjusted for non-cash and significant transaction-related items |
$ |
0.97 |
|
$ |
103.3 |
|
$ |
0.52 |
|
$ |
56.6 |
|
Nine Months Ended September 30, |
||||||||||||
|
2024 |
|
2023 |
||||||||||
EPS Impact of Non-cash and Significant Transaction-related Items (millions) |
EPS Impact |
|
$ in Millions (Net of Tax) |
|
EPS Impact |
|
$ in Millions (Net of Tax) |
||||||
GAAP net income (loss) |
$ |
0.98 |
|
$ |
104.6 |
|
$ |
(0.01 |
) |
|
$ |
(1.1 |
) |
Adjusted for: |
|
|
|
|
|
|
|
||||||
Significant transaction-related expenses |
|
0.07 |
|
|
7.4 |
|
|
0.19 |
|
|
|
20.4 |
|
Amortization of acquisition-related intangibles |
|
0.17 |
|
|
18.1 |
|
|
0.18 |
|
|
|
19.3 |
|
Amortization of acquisition-related software |
|
0.09 |
|
|
10.1 |
|
|
0.11 |
|
|
|
12.0 |
|
Non-cash stock-based compensation |
|
0.21 |
|
|
22.9 |
|
|
0.12 |
|
|
|
13.3 |
|
Total adjustments |
$ |
0.54 |
|
$ |
58.5 |
|
$ |
0.60 |
|
|
$ |
65.0 |
|
Diluted EPS adjusted for non-cash and significant transaction-related items |
$ |
1.52 |
|
$ |
163.1 |
|
$ |
0.59 |
|
|
$ |
63.9 |
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||
Recurring Revenue (millions) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
SaaS and PaaS fees |
$ |
223.4 |
|
$ |
211.4 |
|
$ |
674.5 |
|
$ |
626.0 |
Maintenance fees |
|
47.5 |
|
|
51.9 |
|
|
144.0 |
|
|
153.4 |
Recurring Revenue |
$ |
270.9 |
|
$ |
263.3 |
|
$ |
818.5 |
|
$ |
779.4 |
New Bookings (millions) |
Three Months Ended September 30, |
|
TTM Ended September 30, |
||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
Annual recurring revenue (ARR) bookings |
$ |
11.1 |
|
$ |
20.5 |
|
$ |
59.3 |
|
$ |
84.9 |
License and services bookings |
|
67.0 |
|
|
54.1 |
|
|
281.5 |
|
|
224.5 |
Note: Amounts may not recalculate due to rounding. |
|||||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107430137/en/
For more information contact:
Investor Relations
John Kraft
SVP, Head of Strategy and Finance
239-403-4627 / john.kraft@aciworldwide.com
Source: ACI Worldwide
FAQ
What was ACI Worldwide's (ACIW) revenue growth in Q3 2024?
How much did ACIW's net income increase in Q3 2024?
What is ACIW's updated revenue guidance for full-year 2024?
What was ACIW's cash position at the end of Q3 2024?
