An updated edition of the October 27, 2025 article.Money is moving faster, smarter and increasingly without cash. Mobile payments are reshaping money flows across a connected global economy, with smartphones, tablets, and wearables replacing physical wallets at the point of sale. As digital transactions gain ground, reliance on ATMs is steadily declining, including in regions once considered cash-heavy. What began as a simple convenience has matured into a powerful financial ecosystem that blends speed, tru ...

SINGAPORE & MANILA, Philippines--(BUSINESS WIRE)--BPI Direct BanKo, Inc., A Savings Bank (BanKo), the microfinance arm of the Bank of the Philippine Islands (BPI), announced that it has selected ACI Worldwide (NASDAQ: ACIW), an original innovator in global payments technology, to advance its payment infrastructure. Under this partnership, BanKo will implement ACI's issuing and acquiring platform, enabling banks, fintechs, and merchants to deliver fast, seamless omnichannel transaction processin. ...

OMAHA, Neb.--(BUSINESS WIRE)--Payments leaders remain confident about the pace of industry innovation, but many risk falling behind as expectations accelerate. New global research from ACI Worldwide (NASDAQ: ACIW) and Globant reveals a widening gap between confidence and readiness that could define industry leadership in 2026 and beyond. The report Payments in Transition: Leadership in an era of transformation, based on a survey of 500 industry leaders across North America, Europe, Latin Americ. ...

Core Insights - 'Friendly fraud' is projected to increase by 25% between Thanksgiving and Cyber Monday, with significant implications for retailers [1][2] - The average transaction value for items affected by friendly fraud is expected to reach $291, a 21% year-over-year increase [2] Industry Overview - Friendly fraud, often confused with true fraud, is anticipated to cost retailers $103 billion in 2024 [2] - The transactional volume during Black Friday to Cyber Monday is expected to see a 27% year-over-year increase [5] Company Strategy - ACI Worldwide's Payments Intelligence approach aims to provide complete journey protection against friendly fraud and chargeback abuse in real time, achieving a 98% fraud approval rate during the holiday season [1][4] - The company leverages AI and machine learning for real-time detection and prevention of fraud, utilizing digital identities to differentiate between trusted customers and potential threats [6] Technological Advancements - ACI's platform incorporates five key elements to optimize decision-making across the customer journey, enhancing profitability while maintaining customer experience [4] - The company emphasizes the importance of secure data-sharing across merchant networks to identify and combat fraudulent activities [6]

Summary of ACI's Earnings Call Company Overview - ACI is a $1.7 billion software and SaaS company that has been a key player in the global payments ecosystem for over 50 years, serving 19 of the top 20 global banks and providing mission-critical payment software for banks, merchants, and billers worldwide [1][4][5] Key Financial Metrics - ACI generates approximately $500 million in EBITDA, with about two-thirds realized in cash [4] - The company has posted a 12% growth in its bill pay segment through nine months, with a strong backlog indicating continued double-digit growth [15][18] - ACI has a revenue growth target of 7%-9%, with actual growth exceeding this target [14][15] Strategic Focus and Innovation - ACI is focusing on high single-digit growth and investing in innovation to meet customer demands [8][56] - The company is developing a new platform called Kinetic, which is a cloud-native payments hub aimed at providing intelligent payment orchestration, enhancing the capabilities of banks [11][42] - ACI is also enhancing its SpeedPay platform, consolidating legacy systems into a new cloud-native solution to improve customer experience and operational efficiency [51][52] Market Trends and Opportunities - The shift towards real-time payments and cross-border modernization is seen as a significant growth opportunity for ACI, with real-time payments being the fastest-growing new payment type [27][30] - ACI is positioned to capitalize on the increasing complexity in payment systems, which is driving demand for its solutions [14][24] - The company is exploring the potential of stablecoin, viewing it as an opportunity to add complexity to existing banking systems rather than a threat to its revenue [36][39] Customer Relationships and Retention - ACI has a high customer retention rate in the upper 90s, indicating strong customer loyalty and satisfaction [24][70] - The company emphasizes the importance of its mission-critical software, which is essential for customers to avoid negative impacts on their credit scores due to missed payments [15][16] Capital Allocation and Financial Strategy - ACI has been active in share buybacks, repurchasing 3 million shares for about $150 million in the first nine months of the year, with an increased authorization for $500 million [60][61] - The company has reduced its leverage from a target of 2.5x to 1.3x, prioritizing debt repayment before returning capital to shareholders [60][61] Conclusion - ACI is positioned for sustained growth through innovation, strategic partnerships, and a focus on customer needs, with a clear roadmap for the future that includes the rollout of new platforms and enhancements to existing services [56][58][59]

Core Insights - ACI Worldwide will participate in three major investor conferences to discuss payment modernization trends, fraud management evolution, and digital transformation in the global payments ecosystem [1][2][3] Group 1: Investor Conferences - ACI Worldwide executives will present at Citi's 14th Annual FinTech Conference on November 18 and at Stephens Annual Investment Conference on November 20, including a fireside chat [2] - The UBS Global Technology and AI Conference will take place on December 2-3, where ACI executives will also engage in one-on-one meetings with registered investors [3] Group 2: Company Overview - ACI Worldwide is a leader in real-time payments software, providing solutions to thousands of financial institutions and merchants globally, with a focus on modernizing payment infrastructures [1][4] - The company has 50 years of experience in payments technology, emphasizing intelligent payments orchestration to enhance payment experiences [4]

Core Insights - Javelin Strategy & Research released its 2025 KYC and KYB Solution Scorecard, evaluating 17 vendors for identity verification and compliance solutions in the U.S. financial sector, focusing on Capabilities, Use Cases, and Functionality [1][7] Vendor Performance - ACI Worldwide, Inc. received the Best in Class ranking for its comprehensive KYC and KYB solution, featuring customizations, automated SAR filing, dark web scanning, and human trafficking detection [2] - Sumsub and LexisNexis Risk Solutions were recognized as overall Leaders, with Sumsub noted for its advanced verification features and LexisNexis for its functionality and analytics depth [4] Industry Trends - The integration of individual and business identities necessitates financial institutions to partner with vendors that support both KYC and KYB, emphasizing the need for automation and intelligence in risk detection [3] - A significant gap exists in the detection of human trafficking, with only 41% of vendors offering such capabilities, which is critical for combating money laundering and fraud [5][6] Recommendations for Financial Institutions - The scorecard provides insights into vendor compliance progress, helping institutions identify innovation leaders and areas needing improvement in risk management [7]

Core Insights - The article emphasizes the importance of enabling Javascript and cookies in browsers to prevent access issues [1] Group 1 - The article suggests that users may face blocks if ad-blockers are enabled, indicating a need to disable them for proper access [1]

Core Insights - The article discusses the importance of enabling Javascript and cookies in browsers to ensure proper functionality and access to content [1] Group 1 - The article emphasizes that users may be blocked from proceeding if an ad-blocker is enabled [1]

Revenue Performance - Total revenues for Q3 2025 reached $482.4 million, a 6.5% increase from $451.8 million in Q3 2024[17] - Software as a service and platform as a service revenues grew to $246.9 million, up 10.6% from $223.4 million year-over-year[17] - For the three months ended September 30, 2025, total revenue was $482,359,000, an increase from $451,752,000 for the same period in 2024, representing a growth of 6.0%[98] - For the nine months ended September 30, 2025, total revenue reached $1,278,182,000, compared to $1,141,250,000 for the same period in 2024, marking a significant increase of 12.0%[100] - The Biller segment generated revenue of $198,337,000 for the three months ended September 30, 2025, up from $179,601,000 in the same period of 2024, reflecting an increase of 10.4%[98] - The Payment Software segment's revenue for the nine months ended September 30, 2025, was $664,090,000, up from $594,974,000 in 2024, representing a growth of 11.6%[100] Income and Profitability - Net income for Q3 2025 was $91.3 million, compared to $81.4 million in Q3 2024, reflecting a 12.3% increase[19] - Operating income for the nine months ended September 30, 2025, was $221.1 million, a 19.0% increase from $185.8 million in the same period of 2024[17] - Net income for the nine months ended September 30, 2025, was $162,322,000, compared to $104,563,000 for the same period in 2024, representing a 55% increase[29] - Basic income per share for Q3 2025 was $0.88, compared to $0.78 in Q3 2024, representing a 12.8% increase[17] - The company reported a comprehensive income of $86.9 million for Q3 2025, compared to $90.5 million in Q3 2024[19] Expenses and Costs - Research and development expenses for the nine months ended September 30, 2025, were $122.6 million, an increase of 13.5% from $108.1 million in 2024[17] - Total operating expenses for the nine months ended September 30, 2025, were $1,057.1 million, an increase of 10.7% from $955.4 million in the same period of 2024[17] - Interchange costs for the nine months ended September 30, 2025, totaled $417,144,000, compared to $353,648,000 in the same period of 2024, an increase of approximately 17.9%[100] - Global technology and innovation costs for the nine months ended September 30, 2025, were $236,946,000, up from $215,108,000 in 2024, reflecting an increase of about 10.2%[100] - Corporate and unallocated expenses for the nine months ended September 30, 2025, were $135,546,000, compared to $123,901,000 in 2024, an increase of approximately 9.0%[100] Assets and Liabilities - Total assets increased to $3.16 billion as of September 30, 2025, up from $3.03 billion at the end of 2024, representing a 4.5% growth[14] - Total stockholders' equity increased to $1.48 billion as of September 30, 2025, from $1.42 billion at the end of 2024[14] - The company’s long-term debt decreased to $826.9 million from $889.6 million as of December 31, 2024[14] - Total debt amounted to $867.8 million, a decrease from $924.6 million as of December 31, 2024[68] - Total current assets increased to $1,163,539 thousand as of September 30, 2025, from $990,822 thousand at the end of 2024, indicating a growth of 17.4%[106] Cash Flow and Investments - Net cash flows from operating activities for the nine months ended September 30, 2025, were $201,056,000, down from $232,266,000 in 2024, a decrease of about 13.4%[29] - The company’s cash flows from investing activities showed a net inflow of $19,648,000 for the nine months ended September 30, 2025, contrasting with a net outflow of $31,641,000 in 2024[29] - Total cash and cash equivalents, including settlement deposits, decreased to $253,411,000 as of September 30, 2025, from $268,670,000 at the end of the previous year, a decline of approximately 5.5%[31] - Cash and cash equivalents at the beginning of the period were $265.0 million, compared to $238.8 million at the beginning of September 2024, an increase of 10.9%[29] Shareholder Activities - The company repurchased 3,073,321 shares of common stock for $150,975,000 during the nine months ended September 30, 2025[25] - The company repurchased 359,522 shares of common stock in Q3 2025, totaling $16.3 million[21] - The company repurchased 3,946,537 shares of common stock, totaling $128.7 million, during the nine months ended September 30, 2025[29] - The company has a remaining authorized amount of $207.1 million for stock repurchases as of September 30, 2025[83] Segment Performance - Segment Adjusted EBITDA for the Payment Software segment was $181,666,000 for the three months ended September 30, 2025, compared to $180,655,000 for the same period in 2024, indicating a slight increase of 0.6%[98] - The Biller segment's revenue for the nine months ended September 30, 2025, was $614,092,000, compared to $546,276,000 in 2024, indicating an increase of 12.4%[100] - The company reassessed its segment reporting structure in 2025, now reporting based on Payment Software and Biller segments, focusing on Segment Adjusted EBITDA for performance assessment[90] Tax and Compliance - The effective tax rate for the three months ended September 30, 2025, was 23%, down from 24% in the same period of 2024[107][108] - The company maintained compliance with its financial debt covenants as of September 30, 2025[67] Future Expectations - Revenue allocated to remaining performance obligations was $753.7 million as of September 30, 2025, with an expectation to recognize approximately 55% over the next 12 months[53] - The company expects to recognize unrecognized compensation expense of $76.4 million related to RSUs over a weighted average period of 2.2 years[80]