NCR Voyix Reports Preliminary Fourth Quarter and Full Year 2023 Results
- Stable revenue of $963 million in Q4 2023 with a 1% increase in FY 2023 to $3.83 billion.
- Net income showed a loss of $255 million in Q4 2023.
- Software & Services Revenue growth of 4% compared to FY 2022.
- Added approximately 14,000 customer sites and doubled payment sites in FY 2023.
- Fiscal year 2024 guidance includes total revenue expectations of $3.6 billion to $3.7 billion.
- Focus on productivity and efficiency in 2024 to drive margin expansion and free cash flow.
- Net income showed a loss of $255 million in Q4 2023.
- Adjusted EBITDA decreased by 19% in Q4 2023.
- Revenue decline in Retail segment by 3% in Q4 2023.
- Adjusted EBITDA decrease in Retail segment by 14% in Q4 2023.
- Adjusted EBITDA decrease in Digital Banking segment by 6% in FY 2023.
Insights
The reported financial results from NCR Voyix Corporation, especially the significant net loss from continuing operations, are critical for investors to understand the company's current financial health. A net loss of $(255) million in Q4 2023 compared to $(12) million in Q4 2022 indicates a substantial deterioration in profitability, which could be concerning for stakeholders. Additionally, the full-year net loss widening from $(203) million in FY 2022 to $(585) million in FY 2023 requires scrutiny to determine the underlying factors contributing to these losses.
On the other hand, the modest revenue growth of 1% year-on-year and the 4% increase in Adjusted EBITDA suggest some operational resilience. It's important to consider the impact of the spin-off of NCR Atleos and how it has affected the financials. The divestiture of non-core assets and the emphasis on Software & Services revenue growth, which increased by 4% for the full year, indicate a strategic shift that could have long-term benefits but may also involve short-term costs and disruption.
Investors should evaluate the company's guidance for FY 2024, including projected revenue and Adjusted EBITDA, against the backdrop of the current year's performance. The forecasted increase in Adjusted EBITDA and free cash flow signals management's confidence in improved operational efficiency and cost control measures. However, the projected decline in total revenue could reflect market challenges or strategic refocusing.
The performance of NCR Voyix in the sectors of Retail, Restaurants and Digital Banking offers valuable insights into the company's market positioning and growth strategies. The decline in Retail revenue by 3% and a 14% drop in Adjusted EBITDA in this segment could be indicative of competitive pressures or a shift in consumer behavior. In contrast, Restaurants and Digital Banking sectors have shown revenue growth of 2% and 8%, respectively, with a significant 22% increase in Adjusted EBITDA for Restaurants, which may point to successful market penetration and customer adoption in these areas.
The doubling of payment sites and the addition of approximately 14,000 customer sites to the platform demonstrate NCR Voyix's focus on expanding its service footprint. The signing of over 650 new logos across three segments suggests effective sales and marketing strategies, which could lead to increased market share.
Understanding the competitive landscape in which NCR Voyix operates, including the actions of direct competitors, changes in customer preferences and technological advancements, is essential for evaluating the company's future prospects. The emphasis on software and services aligns with broader industry trends towards digital transformation and recurring revenue models, which may offer more stable long-term growth prospects compared to hardware sales.
The financial results of NCR Voyix, particularly the increase in Adjusted EBITDA amidst a net loss scenario, raise questions about the company's cost structure and economic efficiency. The pursuit of efficiency initiatives aimed at driving cost savings could be a response to these challenges and may lead to improved margins over time. The focus on productivity and the stated objective of margin expansion and free cash flow generation for 2024 are indicative of a strategic pivot towards financial sustainability.
Investors should consider macroeconomic factors such as market demand, inflation and technological investment demands that may affect NCR Voyix's operational costs and pricing power. The company's ability to reduce leverage, as mentioned by the CFO, is also important for its financial stability and ability to weather economic downturns.
The strategic divestitures and the spin-off of NCR Atleos may have resulted in a more streamlined operation, but they also necessitate a reevaluation of the company's economic scale and core competencies. The long-term success of these initiatives will depend on the company's capacity to capitalize on growth opportunities in its chosen markets while maintaining tight control over its cost base.
In millions |
Q4 2023 |
Q4 2022 |
% Change |
|
FY 2023 |
FY 2022 |
% Change |
||||||||
Revenue |
$ |
963 |
|
$ |
966 |
|
— |
% |
|
3,830 |
|
3,793 |
|
1 |
% |
Net income (loss) from continuing operations attributable to NCR Voyix |
|
(255 |
) |
|
(12 |
) |
n/m |
|
|
(585 |
) |
(203 |
) |
n/m |
|
Adjusted EBITDA |
|
134 |
|
|
166 |
|
(19 |
)% |
|
618 |
|
596 |
|
4 |
% |
“We had a solid 2023 and delivered Revenue and Adjusted EBITDA results in line with the expectations discussed at our Investor Day in September,” said David Wilkinson, NCR Voyix CEO. “We have continued to find innovative solutions to meet the evolving business needs of our install-base of mid-market and enterprise customers. This has enabled us to expand our existing relationships and sign new customers, including several key competitive takeaways, and we look forward to continuing this momentum as we move through 2024.”
Q4 2023 Key Highlights
-
Software & Services Revenue growth of
2% compared with Q4 2022 - Launched efficiency initiatives aimed at driving cost savings
- Successfully completed spin-off of NCR Atleos
-
Completed divestiture of non-core merchant contracts and
Austria -based hardware businesses
FY 2023 Key Highlights
-
Software & Services Revenue growth of
4% compared with FY 2022 - Added approximately 14,000 customer sites to the platform
- Doubled the number of payment sites
- Signed over 650 new logos across the three segments
In millions |
Q4 2023 |
Q4 2022 |
% Change |
|
FY 2023 |
FY 2022 |
% Change |
||||||||||
Retail |
|
|
|
|
|
|
|
||||||||||
Revenue |
$ |
544 |
$ |
558 |
(3 |
)% |
|
$ |
2,177 |
$ |
2,182 |
— |
% |
||||
Adjusted EBITDA |
|
90 |
|
|
105 |
|
(14 |
)% |
|
|
411 |
|
|
384 |
|
7 |
% |
|
|
|
|
|
|
|
|
||||||||||
Restaurants |
|
|
|
|
|
|
|
||||||||||
Revenue |
$ |
223 |
|
$ |
218 |
|
2 |
% |
|
$ |
886 |
|
$ |
857 |
|
3 |
% |
Adjusted EBITDA |
|
50 |
|
|
41 |
|
22 |
% |
|
|
197 |
|
|
160 |
|
23 |
% |
|
|
|
|
|
|
|
|
||||||||||
Digital Banking |
|
|
|
|
|
|
|
||||||||||
Revenue |
$ |
151 |
|
$ |
140 |
|
8 |
% |
|
$ |
579 |
|
$ |
547 |
|
6 |
% |
Adjusted EBITDA |
|
56 |
|
|
56 |
|
— |
% |
|
|
219 |
|
|
233 |
|
(6 |
)% |
“I am pleased with our accomplishments in 2023, which included growing our Software and Services revenue streams and expanding our platform and payment sites,” said Brian Webb-Walsh, NCR Voyix CFO. “We enter 2024 focused on productivity and efficiencies across our organization to drive both margin expansion and free cash flow. These outcomes will enable us to invest in our growth initiatives and make progress on reducing leverage.”
Financial Outlook
The Company is providing fiscal year 2024 guidance as follows:
|
Full Year |
Total Revenue |
|
Software & Services Revenue |
|
Hardware Revenue |
|
Adjusted EBITDA |
|
Free Cash Flow |
|
In this release, we use certain non-GAAP measures. These non-GAAP measures include “Adjusted EBITDA,” and others with the words “non-GAAP” in their titles. These non-GAAP measures are listed, described and reconciled to their most directly comparable GAAP measures under the heading “Non-GAAP Financial Measures” later in this release. As further discussed under the heading “Additional Information – Spin-Off Information” our Adjusted EBITDA for historic periods after giving effect to the spin-off includes certain costs historically allocated to NCR Atleos that do not meet the definition of expenses related to discontinued operations for purposes of GAAP requirements regarding the reporting of discontinued operations. Accordingly, our guidance for Adjusted EBITDA in 2024 is more comparable to our historical Normalized Adjusted EBITDA, which includes an adjustment for these estimated costs.
Fourth Quarter and Full Year 2023 Preliminary Earnings Conference Call
NCR Voyix management will host a conference call and webcast today at 4:30 p.m. Eastern Time to discuss the Company’s preliminary results for the fourth quarter and full year 2023. Access to the webcast and the accompanying slides are available on the Investor Relations section of the Company’s web site at http://investor.ncrvoyix.com. Participants may access the live call by dialing 877-407-3088 (
More information on the Company’s fourth quarter and full year preliminary earnings is available on the NCR Voyix Investor Relations website at http://investor.ncrvoyix.com.
About NCR Voyix
NCR Voyix Corporation (NYSE: VYX) is a leading global provider of digital commerce solutions for the retail, restaurant and digital banking industries. NCR Voyix transforms retail stores, restaurant systems and digital banking experiences with comprehensive, platform-led SaaS and services capabilities. NCR Voyix is headquartered in
Website: http://investor.ncrvoyix.com
Twitter: https://www.x.com/ncr_voyix/
Facebook: https://www.facebook.com/ncrcorp
Instagram: https://www.instagram.com/ncrvoyix/
LinkedIn: https://www.linkedin.com/company/ncrvoyix/
YouTube: https://www.youtube.com/@ncrvoyix
ADDITIONAL INFORMATION
Spin-Off Information. On October 16, 2023, NCR Voyix completed the spin-off of NCR Atleos as an independent, publicly traded company. The historical financial results of NCR Atleos are reflected as discontinued operations in NCR Voyix’s consolidated financial statements for periods prior to the completion of the spin-off. Accordingly, the financial information included in this release has been recast to reflect the treatment of NCR Atleos as discontinued operations. However, certain costs historically allocated to NCR Atleos do not meet the definition of expenses related to discontinued operations for purposes of GAAP requirements regarding the reporting of discontinued operations. These estimated costs have been included in NCR Voyix’s results from continuing operations, even though NCR Voyix is not expected to incur any additional amounts with respect to such costs following completion of the spin-off, and primarily include costs of services and selling, general and administrative expenses. As a result, NCR Voyix’s GAAP and non-GAAP combined segment and consolidated results in this release may not be comparable with estimates previously reported. To address this, NCR Voyix has provided Normalized Adjusted EBITDA, which adjusts for these costs.
In addition, NCR Voyix was not able to transfer all NCR Atleos-related operations in all foreign countries simultaneously with the spin-off. As a result, some of these transfers occurred during the fourth quarter of fiscal 2023 and the first quarter of fiscal 2024, with more expected to occur in the future. Each of these transfers from continuing operations will impact NCR Voyix’s segment and consolidated results as we retrospectively recast historical financial information for additional operations that become categorized as discontinued operations. As a result, NCR Voyix’s GAAP and non-GAAP combined segment and consolidated results in this release and in future public disclosures may not be comparable with estimates previously reported.
As a result of discontinued operations treatment and post-2023 transfers and planned transfers of NCR Atleos-related operations in foreign countries. NCR Voyix’s GAAP and non-GAAP combined segment results, segment results and consolidated results in this release may not be comparable with estimates previously reported. To provide enhanced comparability of combined segment results and consolidated results between periods, NCR Voyix has provided Normalized Adjusted EBITDA, which adjusts for these items.
Revision. In early February 2024, the Company identified fraudulent automated clearing house “ACH” disbursements from a company bank account. The cumulative amount of these disbursements through the end of 2023 totaled approximately
PRELIMINARY RESULTS AND 10-K EXTENSION
As noted above, due to discovery of fraudulent ACH disbursements from a company bank account and the completion of additional processes and procedures as a result of the spin-off, we are in the process of completing our financial statements and other disclosures, as well as assessing matters relating to the effectiveness of our internal control over financial reporting and determining the steps necessary to remediate the material weaknesses related to the unauthorized ACH disbursements. As a result, we will file an extension for the filing of our Annual Report on Form 10-K for the year ended December 31, 2023. Accordingly, we are announcing preliminary results for the year, which are based on currently available information and are subject to revision as management completes its internal review, and excludes the consolidated balance sheet and consolidated statement of cash flows. Our independent registered public accounting firm has not finalized its review of these preliminary financial results or its audit of the financial statements for the year ended December 31, 2023. Actual results may differ from these preliminary financial results and other financial information due to the completion of our internal procedures, the audit of our financial statements, final adjustments and other developments that may arise between now and the time the results are finalized. Further disclosure is included in the Form 12b-25 filed with the Securities and Exchange Commission. We expect to file our Annual Report on Form 10-K for the year ended December 31, 2023 by March 15, 2024.
Cautionary Statements
This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 (the “Act”). Forward-looking statements use words such as “expect,” “target,” “anticipate,” “outlook,” “guidance,” “intend,” “plan,” “confident,” “believe,” “will,” “should,” “would,” “potential,” “positioning,” “proposed,” “planned,” “objective,” “likely,” “could,” “may,” and words of similar meaning, as well as other words or expressions referencing future events, conditions or circumstances. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Act. Statements that describe or relate to the Company’s plans, goals, intentions, strategies, or financial outlook, and statements that do not relate to historical or current fact, are examples of forward-looking statements. Examples of forward-looking statements in this release include, without limitation, statements regarding: the Company’s guidance and projected financial results for the year 2024; the estimated or anticipated future results and benefits of the Company’s plans and operations; the Company’s expectations of demand for its solutions and the impact thereof on the Company's financial results in 2024; the Company’s ability to deliver increased value to customers and stockholders; statements regarding the spin-off of NCR Atleos Corporation ("NCR Atleos"), including, but not limited to, statements regarding the future commercial or financial performance of the Company following such transaction, and value creation and the ability to innovate and drive growth generally as a result of such transaction; and the Company’s ability to offset losses incurred from fraudulent ACH disbursements from a Company bank account identified in February 2024 through cooperation with law enforcement and the Company’s banks or through insurance proceeds. Forward-looking statements are based on our current beliefs, expectations and assumptions, which may not prove to be accurate, and involve a number of known and unknown risks and uncertainties, many of which are out of the Company’s control. Forward-looking statements are not guarantees of future performance, and there are a number of important factors that could cause actual outcomes and results to differ materially from the results contemplated by such forward-looking statements, including those factors relating to:
- Strategy and Technology: challenges with transforming and growing our business, including our ability to attract new customers, increase use of our platform by existing customers and cross-sell additional products and solutions; development and introduction of new, competitive solutions on a timely, cost-effective basis; our ability to compete effectively against new and existing competitors; our ability to maintain a consistently high level of customer service; our ability to successfully manage our profitability and cost reduction initiatives; integration of acquisitions and management of other strategic transactions;
- Spin-Off of NCR Atleos: the potential strategic benefits, synergies or opportunities expected from the spin-off of NCR Atleos may not be realized or may take longer to realize than expected; any unforeseen tax liabilities or impacts resulting from the spin-off; requests, requirements or penalties imposed by any governmental authorities related to certain existing liabilities;
- Business Operations: domestic and global economic and credit conditions; downturn or consolidation in the financial services industry; difficulties and risks associated with developing and selling complex new solutions and enhancements, including those using artificial intelligence; risks and uncertainties associated with our payments-related business; disruptions in our data center hosting and public cloud facilities; retention and attraction of key employees; defects, errors, installation difficulties or development delays; failure of third-party suppliers; a major natural disaster or catastrophic event; geopolitical and macroeconomic challenges or events or acts of terrorism; environmental exposures from historical manufacturing activities;
- Data Privacy & Security: the impact of cybersecurity incidents on our business, including the April 2023 ransomware incident, and efforts to prevent or mitigate such incidents and any related impacts on our operations; and efforts to comply with applicable data protection and data privacy laws;
- Finance and Accounting: our level of indebtedness; the terms governing our indebtedness; incurrence of additional debt or other liabilities or obligations; access to the capital markets and other sources of financing; our cash flow sufficiency to service our indebtedness; interest rate risks and increased costs of borrowings; the terms governing our trade receivables facility; the impact of certain changes in control relating to acceleration of our indebtedness, our obligations under other financing arrangements, or required repurchase of our senior unsecured notes; any lowering or withdrawal of the ratings assigned to our debt securities by rating agencies; unforeseen tax liabilities or changes in tax law; our failure to maintain effective internal control over financial reporting and disclosure controls and procedures and our ability to remediate material weaknesses in our internal control over financial reporting; write down of the value of certain significant assets;
- Law and Compliance: allegations or claims by third parties that our products or services infringe on intellectual property rights of others, including claims against our customers and claims by our customers to defend and indemnify them with respect to such claims; protection of our intellectual property; changes to our tax rates and additional income tax liabilities; and uncertainties regarding regulations, lawsuits and other related matters; and
- Governance: rights, preferences and privileges of our Series A Convertible Preferred (“Series A”) stockholders compared to the rights of our common stockholders; the impact of the terms of our Series A stock relating to voting power, share dilution and market price of our common stock; and actions or proposals from stockholders that do not align with our business strategies or the interests of our other stockholders.
Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those set forth in the forward-looking statements. Additional information concerning these and other factors can be found in the Company’s filings with the
Non-GAAP Financial Measures
Non-GAAP Financial Measures. While the Company reports its results in accordance with Generally Accepted Accounting Principles in
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA). The Company determines Adjusted EBITDA for a given period based on its GAAP net income from continuing operations attributable to NCR Voyix plus interest expense, net; plus income tax expense (benefit); plus depreciation and amortization (excluding acquisition-related amortization of intangibles); plus stock-based compensation expense; plus other income (expense); plus pension mark-to-market adjustments and other special items, including amortization of acquisition-related intangibles, separation-related costs, cyber ransomware incident recovery costs (net of insurance recoveries), fraudulent ACH disbursements costs, and transformation and restructuring charges (which includes integration, severance and other exit and disposal costs), among others. Separation-related costs include costs incurred as a result of the spin-off. Professional and other fees to effect the spin-off including separation management, organizational design, and legal fees have been classified within discontinued operations through October 16, 2023, the separation date. The Company uses Adjusted EBITDA to manage and measure the performance of its business segments. The Company also uses Adjusted EBITDA to manage and determine the effectiveness of its business managers and as a basis for incentive compensation. The Company believes that Adjusted EBITDA provides useful information to investors because it is an indicator of the strength and performance of the Company’s ongoing business operations, including its ability to fund discretionary spending such as capital expenditures, strategic acquisitions and other investments.
Normalized Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Normalized Adjusted EBITDA). The Company determines Normalized Adjusted EBITDA for a given period by further adjusting its Adjusted EBITDA for estimated costs historically allocated to NCR Atleos that do not meet the definition of expenses related to discontinued operations for purposes of GAAP requirements regarding the reporting of discontinued operations. Normalized Adjusted EBITDA also removes revenue and costs associated with the transfer or pending transfer of NCR Atleos-related operations in all foreign countries that have not occurred by December 31, 2023 from Adjusted EBITDA. In addition, Normalized Adjusted EBITDA adjusts for all divestitures that occurred in prior periods that are not treated as discontinued operations under GAAP. The Company uses Normalized Adjusted EBITDA to estimate the performance of the continuing business following the spin-off. The Company believes that Normalized Adjusted EBITDA provides useful information to investors because it is an indicator of the strength and performance of the Company’s ongoing business operations following the spin-off and allow for more easy comparisons period over period.
The Company’s definitions and calculations of these non-GAAP measures may differ from similarly-titled measures reported by other companies and cannot, therefore, be compared with similarly-titled measures of other companies. These non-GAAP measures should not be considered as substitutes for, or superior to, results determined in accordance with GAAP. With respect to our outlook for Adjusted EBITDA and Adjusted EBITDA margin, we are not providing a reconciliation to GAAP net income because we are not able to predict with reasonable certainty the reconciling items that may affect the GAAP net income from continuing operations without unreasonable effort. The reconciling items are primarily the future impact of special tax items, capital structure transactions, restructuring, pension mark-to-market transactions, acquisitions and divestitures, or other events. These reconciling items are uncertain, depend on various factors and could significantly impact, either individually or in the aggregate, GAAP net income.
Reconciliation of Net Income from Continuing Operations Attributable to NCR Voyix (GAAP) to Adjusted Earnings Before Interest, Depreciation, Taxes and Amortization (Adjusted EBITDA)
$ in millions |
Q4 2023 |
|
Q4 2022 |
|
FY 2023 |
|
FY 2022 |
||||||||
Net Income (Loss) from Continuing Operations Attributable to NCR Voyix (GAAP) |
$ |
(255 |
) |
|
$ |
(12 |
) |
|
$ |
(585 |
) |
|
$ |
(203 |
) |
Transformation and restructuring costs |
|
24 |
|
|
|
22 |
|
|
|
39 |
|
|
|
96 |
|
Fraudulent ACH disbursements |
|
13 |
|
|
|
— |
|
|
|
23 |
|
|
|
— |
|
Acquisition-related amortization of intangibles |
|
17 |
|
|
|
17 |
|
|
|
71 |
|
|
|
71 |
|
Acquisition-related costs |
|
— |
|
|
|
1 |
|
|
|
1 |
|
|
|
2 |
|
Pension mark-to-market adjustments |
|
7 |
|
|
|
(41 |
) |
|
|
7 |
|
|
|
(41 |
) |
Separation costs |
|
81 |
|
|
|
— |
|
|
|
99 |
|
|
|
— |
|
Cyber ransomware incident recovery costs |
|
(6 |
) |
|
|
— |
|
|
|
17 |
|
|
|
— |
|
Depreciation and amortization (excluding acquisition-related amortization of intangibles) |
|
68 |
|
|
|
58 |
|
|
|
252 |
|
|
|
237 |
|
Interest expense |
|
37 |
|
|
|
81 |
|
|
|
294 |
|
|
|
285 |
|
Interest income |
|
(2 |
) |
|
|
(7 |
) |
|
|
(13 |
) |
|
|
(13 |
) |
Loss on disposal of businesses |
|
22 |
|
|
|
— |
|
|
|
12 |
|
|
|
— |
|
Loss on debt extinguishment |
|
46 |
|
|
|
— |
|
|
|
46 |
|
|
|
— |
|
Income tax expense (benefit) |
|
3 |
|
|
|
28 |
|
|
|
205 |
|
|
|
72 |
|
Stock-based compensation expense |
|
79 |
|
|
|
19 |
|
|
|
150 |
|
|
|
90 |
|
Adjusted EBITDA (Non-GAAP) |
$ |
134 |
|
|
$ |
166 |
|
|
$ |
618 |
|
|
$ |
596 |
|
Less: Divestitures(1) |
|
(1 |
) |
|
|
(7 |
) |
|
|
(19 |
) |
|
|
(35 |
) |
Less: NCR Atleos delayed country transfers |
|
(4 |
) |
|
|
(10 |
) |
|
|
(38 |
) |
|
|
(38 |
) |
Plus: Estimated costs historically allocated to NCR Atleos |
|
2 |
|
|
|
24 |
|
|
|
71 |
|
|
|
96 |
|
Normalized Adjusted EBITDA (Non-GAAP) |
$ |
131 |
|
|
$ |
173 |
|
|
$ |
632 |
|
|
$ |
619 |
|
(1)Divestiture amounts shown in table represent the quarterly and full year 2023 impact of the non-core payments and |
|
NCR VOYIX CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (in millions, except per share amounts) |
Schedule A |
|
For the Periods Ended December 31 |
||||||||||||||
|
Three Months |
|
Twelve Months |
||||||||||||
|
|
2023 |
|
|
|
2022 |
|
|
|
2023 |
|
|
|
2022 |
|
Revenue |
|
|
|
|
|
|
|
||||||||
Product |
$ |
312 |
|
|
$ |
334 |
|
|
$ |
1,239 |
|
|
$ |
1,274 |
|
Service |
|
651 |
|
|
|
632 |
|
|
|
2,591 |
|
|
|
2,519 |
|
Total Revenue |
|
963 |
|
|
|
966 |
|
|
|
3,830 |
|
|
|
3,793 |
|
Cost of products |
|
299 |
|
|
|
300 |
|
|
|
1,110 |
|
|
|
1,151 |
|
Cost of services |
|
483 |
|
|
|
403 |
|
|
|
1,758 |
|
|
|
1,664 |
|
Total gross margin |
|
181 |
|
|
|
263 |
|
|
|
962 |
|
|
|
978 |
|
% of Revenue |
|
18.8 |
% |
|
|
27.2 |
% |
|
|
25.1 |
% |
|
|
25.8 |
% |
Selling, general and administrative expenses |
|
253 |
|
|
|
168 |
|
|
|
738 |
|
|
|
695 |
|
Research and development expenses |
|
56 |
|
|
|
37 |
|
|
|
185 |
|
|
|
147 |
|
Income (loss) from operations |
|
(128 |
) |
|
|
58 |
|
|
|
39 |
|
|
|
136 |
|
% of Revenue |
|
(13.3 |
)% |
|
|
6.0 |
% |
|
|
1.0 |
% |
|
|
3.6 |
% |
Loss on extinguishment of debt |
|
(46 |
) |
|
|
— |
|
|
|
(46 |
) |
|
|
— |
|
Interest expense |
|
(37 |
) |
|
|
(81 |
) |
|
|
(294 |
) |
|
|
(285 |
) |
Other income (expense), net |
|
(41 |
) |
|
|
39 |
|
|
|
(79 |
) |
|
|
18 |
|
Total interest and other expense, net |
|
(124 |
) |
|
|
(42 |
) |
|
|
(419 |
) |
|
|
(267 |
) |
Income (loss) from continuing operations before income taxes |
|
(252 |
) |
|
|
16 |
|
|
|
(380 |
) |
|
|
(131 |
) |
% of Revenue |
|
(26.2 |
)% |
|
|
1.7 |
% |
|
|
(9.9 |
)% |
|
|
(3.5 |
)% |
Income tax expense (benefit) |
|
3 |
|
|
|
28 |
|
|
|
205 |
|
|
|
72 |
|
Income (loss) from continuing operations |
|
(255 |
) |
|
|
(12 |
) |
|
|
(585 |
) |
|
|
(203 |
) |
Income (loss) from discontinued operations, net of tax |
|
(60 |
) |
|
|
(6 |
) |
|
|
163 |
|
|
|
262 |
|
Net income (loss) |
|
(315 |
) |
|
|
(18 |
) |
|
|
(422 |
) |
|
|
59 |
|
Net income (loss) attributable to noncontrolling interests |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income (loss) attributable to noncontrolling interests of discontinued operations |
|
(1 |
) |
|
|
(2 |
) |
|
|
— |
|
|
|
(1 |
) |
Net income (loss) attributable to NCR Voyix |
$ |
(314 |
) |
|
$ |
(16 |
) |
|
$ |
(422 |
) |
|
$ |
60 |
|
Amounts attributable to NCR Voyix common stockholders: |
|
|
|
|
|
|
|
||||||||
Income (loss) from continuing operations |
$ |
(254 |
) |
|
$ |
(10 |
) |
|
$ |
(585 |
) |
|
$ |
(202 |
) |
Dividends on convertible preferred stock |
|
(4 |
) |
|
|
(4 |
) |
|
|
(16 |
) |
|
|
(16 |
) |
Income (loss) from continuing operations attributable to NCR Voyix common stockholders |
|
(258 |
) |
|
|
(14 |
) |
|
|
(601 |
) |
|
|
(218 |
) |
Income (loss) from discontinued operations, net of tax |
|
(60 |
) |
|
|
(6 |
) |
|
|
163 |
|
|
|
263 |
|
Net income (loss) attributable to NCR Voyix common stockholders |
$ |
(318 |
) |
|
$ |
(20 |
) |
|
$ |
(438 |
) |
|
$ |
45 |
|
Income (loss) per share attributable to NCR Voyix common stockholders: |
|
|
|
|
|
|
|
||||||||
Income (loss) per common share from continuing operations |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(1.82 |
) |
|
$ |
(0.10 |
) |
|
$ |
(4.27 |
) |
|
$ |
(1.59 |
) |
Diluted (1) |
$ |
(1.82 |
) |
|
$ |
(0.10 |
) |
|
$ |
(4.27 |
) |
|
$ |
(1.59 |
) |
Net income (loss) per common share |
|
|
|
|
|
|
|
||||||||
Basic |
$ |
(2.25 |
) |
|
$ |
(0.15 |
) |
|
$ |
(3.12 |
) |
|
$ |
0.33 |
|
Diluted (1) |
$ |
(2.25 |
) |
|
$ |
(0.15 |
) |
|
$ |
(3.12 |
) |
|
$ |
0.32 |
|
Weighted average common shares outstanding |
|
|
|
|
|
|
|
||||||||
Basic |
|
141.4 |
|
|
|
137.5 |
|
|
|
140.6 |
|
|
|
136.7 |
|
Diluted (1) |
|
141.4 |
|
|
|
137.5 |
|
|
|
140.6 |
|
|
|
141.2 |
|
(1) Diluted EPS is determined using the most dilutive measure, either including the impact of the dividends and deemed dividends on the Company’s Series A Convertible Preferred Shares in the calculation of net income or loss per common share from continuing operations and net income or loss per common share or including the impact of the conversion of such preferred stock into common stock in the calculation of the weighted average diluted shares outstanding. |
|
NCR VOYIX CORPORATION REVENUE AND ADJUSTED EBITDA SUMMARY (Unaudited) (in millions) |
Schedule B |
|
For the Periods Ended December 31 |
||||||||||||||||||||
|
Three Months |
|
Twelve Months |
||||||||||||||||||
|
|
2023 |
|
|
|
2022 |
|
|
% Change |
|
|
2023 |
|
|
|
2022 |
|
|
% Change |
||
Revenue by segment |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Retail |
$ |
544 |
|
|
$ |
558 |
|
|
(3 |
)% |
|
$ |
2,177 |
|
|
$ |
2,182 |
|
|
— |
% |
Restaurants |
|
223 |
|
|
|
218 |
|
|
2 |
% |
|
|
886 |
|
|
|
857 |
|
|
3 |
% |
Digital Banking |
|
151 |
|
|
|
140 |
|
|
8 |
% |
|
|
579 |
|
|
|
547 |
|
|
6 |
% |
Corporate and Other(1) |
|
45 |
|
|
|
50 |
|
|
(10 |
% |
|
|
188 |
|
|
|
207 |
|
|
(9 |
)% |
Total revenue |
$ |
963 |
|
|
$ |
966 |
|
|
— |
% |
|
$ |
3,830 |
|
|
$ |
3,793 |
|
|
1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Adjusted EBITDA by segment |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Retail |
$ |
90 |
|
|
$ |
105 |
|
|
(14 |
)% |
|
$ |
411 |
|
|
$ |
384 |
|
|
7 |
% |
Retail Adjusted EBITDA margin % |
|
16.5 |
% |
|
|
18.8 |
% |
|
|
|
|
18.9 |
% |
|
|
17.6 |
% |
|
|
||
Restaurants |
|
50 |
|
|
|
41 |
|
|
22 |
% |
|
|
197 |
|
|
|
160 |
|
|
23 |
% |
Restaurants Adjusted EBITDA margin % |
|
22.4 |
% |
|
|
18.8 |
% |
|
|
|
|
22.2 |
% |
|
|
18.7 |
% |
|
|
||
Digital Banking |
|
56 |
|
|
|
56 |
|
|
— |
% |
|
|
219 |
|
|
|
233 |
|
|
(6 |
)% |
Digital Banking Adjusted EBITDA margin % |
|
37.1 |
% |
|
|
40.0 |
% |
|
|
|
|
37.8 |
% |
|
|
42.6 |
% |
|
|
||
Segment Adjusted EBITDA |
|
196 |
|
|
|
202 |
|
|
(3 |
)% |
|
|
827 |
|
|
|
777 |
|
|
6 |
% |
Segment Adjusted EBITDA margin % |
|
21.4 |
% |
|
|
22.1 |
% |
|
|
|
|
22.7 |
% |
|
|
21.7 |
% |
|
|
||
Corporate and Other(1) |
|
(62 |
) |
|
|
(36 |
) |
|
72 |
% |
|
|
(209 |
) |
|
|
(181 |
) |
|
15 |
% |
Total Adjusted EBITDA |
$ |
134 |
|
|
$ |
166 |
|
|
(19 |
)% |
|
$ |
618 |
|
|
$ |
596 |
|
|
4 |
% |
Total Adjusted EBITDA margin % |
|
13.9 |
% |
|
|
17.2 |
% |
|
|
|
|
16.1 |
% |
|
|
15.7 |
% |
|
|
||
(1) Corporate and Other includes income and expenses related to corporate functions that are not specifically attributable to an individual reportable segment along with any immaterial operating segment(s). |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240229775977/en/
News Media Contact
Lee Underwood
lee.underwood@ncrvoyix.com
Investor Contact
Alan Katz
alan.katz@ncrvoyix.com
Source: NCR Voyix Corporation
FAQ
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