Financial Performance - Fourth quarter 2024 revenue was $1.1 billion, a 1% increase year-over-year, with core business revenue growing by 4%[4] - Full year 2024 revenue reached $4.3 billion, up 3% from the previous year, with recurring revenue of $3.1 billion growing by 5%[4] - Fourth quarter GAAP fully diluted earnings per share (EPS) was $0.61, a 126% increase, while Non-GAAP fully diluted EPS was $1.11, growing by 73%[4] - Adjusted EBITDA for the fourth quarter was $219 million, a 23% increase compared to the prior year, with a total adjusted EBITDA of $781 million for the full year, up 7%[5] - The company reported a fourth quarter net income of $46 million on a GAAP basis, a 128% increase compared to a net loss of $165 million in the prior year[5] - Full year 2025 guidance includes total revenue growth of 1% to 3% and Non-GAAP diluted EPS growth of 21% to 27%[12] - Total revenue for Q4 2024 was $1,108 million, a slight increase from $1,098 million in Q4 2023, while total revenue for the full year 2024 reached $4,317 million, up from $4,191 million in 2023[27] - Adjusted gross profit for Q4 2024 was $297 million, representing a gross margin of 26.8%, compared to 18.0% in Q4 2023; for the full year, adjusted gross profit was $1,033 million with a margin of 23.9%[27] - Income from operations for Q4 2024 was $151 million, significantly higher than $35 million in Q4 2023, with an operating margin of 13.6% compared to 3.2% in the prior year[27] - Net income attributable to Atleos for Q4 2024 was $46 million, a recovery from a loss of $165 million in Q4 2023; full year net income was $91 million compared to a loss of $134 million in 2023[27] - Basic earnings per share for Q4 2024 was $0.63, compared to a loss of $2.34 in Q4 2023; diluted earnings per share was $0.61 versus a loss of $2.34 in the same period[27] - Adjusted net income attributable to Atleos for the twelve months ended December 31, 2024, was $239 million, compared to $91 million in GAAP results[34] Revenue Segments - The Self-Service Banking segment generated $718 million in revenue for Q4 2024, an 8% increase year-over-year, and $2.7 billion for the full year, a 4% increase[7] - The Network segment reported Q4 revenue of $317 million, a 2% decrease year-over-year, but full year revenue increased by 1% to $1.3 billion[7] - Recurring revenue accounted for 71% of total revenue for both the three months ended December 31, 2024, and 2023, with recurring revenue increasing to $790 million from $777 million[32] Cost Management - The company reported a significant reduction in selling, general and administrative expenses, which decreased to $127 million in Q4 2024 from $140 million in Q4 2023[27] - Research and development expenses decreased to $19 million in Q4 2024 from $23 million in Q4 2023, indicating a focus on cost management[27] - The company incurred a loss on extinguishment of debt amounting to $20 million in Q4 2024, consistent with the previous year[27] - Interest expense for Q4 2024 was $72 million, slightly lower than $75 million in Q4 2023, reflecting improved debt management[27] Operational Efficiency - Atleos has approximately 20,000 employees globally, contributing to its operational efficiency and market expansion efforts[14] - The company aims to enhance its ATM solutions platform and improve customer service performance to support growth strategies[1] - The company plans to continue focusing on transformation and restructuring efforts, which contributed $2 million to gross profit in the latest quarter[33] Assets and Liabilities - Total assets decreased to $5,552 million as of December 31, 2024, from $5,715 million as of December 31, 2023[29] - Total liabilities decreased to $5,288 million as of December 31, 2024, from $5,466 million as of December 31, 2023[29] - Cash and cash equivalents increased to $419 million as of December 31, 2024, from $339 million as of December 31, 2023[29] - The company reported net cash provided by operating activities of $80 million for the three months ended December 31, 2024, compared to $8 million in the same period of 2023[31] Non-GAAP Measures - The company emphasized the importance of non-GAAP measures, such as Adjusted EBITDA, to provide a clearer picture of operational performance, which is crucial for investor understanding[20] - Adjusted EBITDA for Q4 2024 was $219 million, representing 19.8% of revenue, compared to $178 million or 16.2% in Q4 2023[38] - The adjusted free cash flow-unrestricted for FY 2024 was $242 million, an increase from $184 million in FY 2023[39] - Total capital expenditures for Q4 2024 were $31 million, down from $47 million in Q4 2023[39] - The company reported a loss on debt extinguishment of $20 million in FY 2024, impacting overall financial performance[38]

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1][2]. Company Overview: NCR Atleos (NATL) - NCR Atleos currently holds a Momentum Style Score of B, indicating a favorable position in momentum investing [3]. - The company has a Zacks Rank of 1 (Strong Buy), suggesting strong potential for outperformance in the market [4][12]. Price Performance - Over the past week, NATL shares increased by 1.77%, while the Zacks Internet - Software industry rose by 1.89% [7]. - In a longer timeframe, NATL's shares have appreciated by 12% monthly, compared to the industry's 3.37% [7]. - Over the last quarter, NATL shares have risen by 19.67%, and over the past year, they have gained 55.43%, significantly outperforming the S&P 500's increases of 9.93% and 33.15%, respectively [8]. Trading Volume - The average 20-day trading volume for NATL is 478,682 shares, which serves as a bullish indicator when combined with rising stock prices [9]. Earnings Outlook - In the past two months, one earnings estimate for NATL has increased, while none have decreased, raising the consensus estimate from $3.10 to $3.18 [11]. - For the next fiscal year, one estimate has also moved upwards with no downward revisions, indicating positive earnings momentum [11].

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum when their valuations exceed future growth potential [1] - Investing in bargain stocks with recent price momentum may be a safer approach [2] Group 2: NCR Atleos (NATL) Stock Analysis - NCR Atleos (NATL) has shown a four-week price change of 12%, indicating growing investor interest [3] - Over the past 12 weeks, NATL's stock gained 19.7%, demonstrating its ability to deliver positive returns over a longer timeframe [4] - NATL has a beta of 1.29, suggesting it moves 29% higher than the market in either direction [4] - NATL has a Momentum Score of B, indicating a favorable time to invest [5] - The stock has a Zacks Rank 1 (Strong Buy) due to upward trends in earnings estimate revisions, which attract more investors [6] - NATL is trading at a Price-to-Sales ratio of 0.57, suggesting it is undervalued at 57 cents for each dollar of sales [6] Group 3: Additional Investment Opportunities - Besides NATL, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen [7] - Zacks offers over 45 Premium Screens to help identify potential winning stocks based on various investing styles [8]

Core Insights - Three stocks with strong value characteristics and a buy rank are highlighted for investors to consider on December 6 Group 1: NCR Atleos Corporation (NATL) - NCR Atleos Corporation is a financial technology company with a Zacks Rank 1 [1] - The Zacks Consensus Estimate for its current year earnings has increased by 2.6% over the last 60 days [1] - The company has a price-to-earnings ratio (P/E) of 10.85, compared to the industry average of 15.20 [1] - NCR Atleos possesses a Value Score of A [1] Group 2: ScanSource, Inc. (SCSC) - ScanSource, Inc. is a technology distribution company with a Zacks Rank 1 [2] - The Zacks Consensus Estimate for its current year earnings has increased by 8.3% over the last 60 days [2] - The company has a price-to-earnings ratio (P/E) of 15.03, compared to the industry average of 25.36 [2] - ScanSource possesses a Value Score of A [2] Group 3: Unity Bancorp, Inc. (UNTY) - Unity Bancorp, Inc. is a bank holding company for Unity Bank with a Zacks Rank 1 [3] - The Zacks Consensus Estimate for its current year earnings has increased by 2.6% over the last 60 days [3] - The company has a price-to-earnings ratio (P/E) of 11.35, compared to the industry average of 13.50 [3] - Unity Bancorp possesses a Value Score of B [3]

Financial Data and Key Metrics Changes - The company reported total revenue of $1.1 billion for Q3 2024, with adjusted EBITDA exceeding $200 million and adjusted EPS at $0.89, reflecting strong financial performance [7][29] - Year-to-date free cash flow surpassed $120 million, indicating solid cash generation capabilities [7] - Adjusted EBITDA margin improved to 19.2%, with a sequential margin expansion of 380 basis points from Q1 to Q3 [30] Business Line Data and Key Metrics Changes - Self-service banking revenue grew 3% year-over-year to $677 million, driven by a 23% increase in ATM as a service revenue and strong software revenues [34] - ATM as a service revenue reached $49 million in Q3, marking a 23% year-over-year growth, with live customer count increasing by 46% [38] - The network segment generated revenue of $332 million, up 2% sequentially, with withdrawal volumes increasing by 9% year-over-year [43] Market Data and Key Metrics Changes - The company activated TAP technology on approximately 10,000 machines, generating over 1 million transactions in Q3 [23] - Deposit volumes grew 200% year-over-year, driven by partnerships with key financial institutions [22] - The all-point transactions increased by 14% year-over-year, indicating a growing consumer preference for ATM banking [22] Company Strategy and Development Direction - The company aims to leverage its installed base of 600,000 ATMs to drive higher revenue per machine through enhanced services and transaction volumes [10][12] - A focus on asset-light business models is evident, with increasing demand for outsourcing ATM services from financial institutions [15][20] - The strategy includes a shift towards providing comprehensive solutions rather than just defined products, enhancing customer relationships and service offerings [25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in closing out a successful 2024, with expectations for continued growth in both revenue and profitability [7][14] - The company anticipates a hardware replacement cycle, which could contribute positively to revenue in 2025 and beyond [15][63] - Management highlighted the importance of improving operational efficiencies and cost structures to enhance margins further [81] Other Important Information - The company successfully refinanced its credit facilities, resulting in lower interest expenses and improved cash flow [50][51] - The backlog for ATM as a service is strong, with expectations for continued growth in high-value units [41][70] - The company expects to exit 2024 with a net leverage ratio around 3.3 times, with plans to reduce it further in 2025 [59] Q&A Session Summary Question: What is the outlook for free cash flow in 2025? - Management indicated that free cash flow conversion is expected to improve, with a projected growth rate of 8% to 10% in EBITDA for 2025, suggesting a higher free cash flow number compared to 2024 [56] Question: How is the board considering share repurchases? - The board is focused on reducing debt to below 3 times leverage before considering returning cash to shareholders, likely around mid-2025 [60] Question: Can you discuss the refresh cycle in self-service banking? - Management noted that the refresh cycle is just beginning, with larger orders from major bank customers indicating a shift towards replacing aging machines over the next several years [62] Question: What is the situation with ARPU in ATM as a service? - Management explained that ARPU may appear lower due to the timing of new unit deployments, but they expect it to increase as the backlog consists of higher ARPU regions [66][71] Question: Are there changes in competitive dynamics in APAC? - Management clarified that pricing pressure is primarily in service components rather than hardware, with no significant changes in competitive behavior among major players [72][73] Question: What are the internal targets for ATM as a service revenue? - Management stated that guidance for 2025 will include revenue targets, with current ATM as a service revenue growing at 30% year-to-date [75] Question: How should we view incremental EBITDA margins going forward? - Management indicated that they expect to achieve a margin rate of about 20% by the end of the year, with further improvements anticipated in 2025 [80]

Core Viewpoint - NCR Atleos Corporation is set to discuss its third quarter performance and strategic progress during the earnings call, highlighting key financial results and future outlook [2]. Group 1: Company Overview - The earnings call will feature Tim Oliver, CEO, providing an overview of the third quarter performance and strategic updates, followed by Paul Campbell, CFO, who will review financial results and outlook [2]. Group 2: Financial Reporting - The company will reference non-GAAP financial measures to assess performance, which will be reconciled to GAAP measures in the presentation materials [4].

13 August 2024 | 2:44PM PDT NCR Atleos (NATL): 20 First Take: Revenue, margins and EPS at or above consensus, with ATMaaS strategy continuing to advance We expect investors to have a neutral-to-positive reaction to NCR Atleos' 2Q 2024 earnings release, its second as a standalone public entity, with EBITDA margins and EPS surpassing consensus expectations, revenue coming in line with the Street and the full-year quide reaffirmed for these metrics. Revenue increased 4% y/y and recurring revenue grew 9%, while ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ________________________ FORM 10-Q ________________________ (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 Registrant's telephone number, including area code: (832) 308-4999 Not Applicable (Former name or former address, if changed since last report) or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIE ...

NEWS RELEASE NCR Atleos Corporation Reports Strong First Quarter 2024 Results ATLANTA, May 13, 2024 - NCR Atleos Corporation (NYSE: NATL) ("Atleos") reported financial results today for the three months ended March 31, 2024. First quarter results and other recent highlights include: Mr. Oliver continued, "Considering the momentum in our businesses, progress on key strategic initiatives, and continued favorable market dynamics for our solutions, we reaffirm our previously published 2024 financial targets. Go ...

[Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) This section outlines the company's forward-looking statements and cautions investors about the numerous risks that could affect future results - This section outlines forward-looking statements regarding the company's strategy, plans, and financial outlook, cautioning that they are subject to numerous risks and uncertainties[10](index=10&type=chunk) - Key risk categories that could affect future performance include strategy, technology, business operations, data privacy, finance, legal compliance, governance, and separation-related issues[11](index=11&type=chunk) [PART I](index=6&type=section&id=PART%20I) [Business](index=6&type=section&id=Item%201.%20Business) NCR Atleos Corporation provides global self-directed banking solutions and operates through three distinct business segments - NCR Atleos Corporation launched as an independent, publicly-traded company on October 16, 2023, after separating from NCR Corporation (now Voyix)[14](index=14&type=chunk) - The company operates in three segments: **Self-Service Banking**, **Network**, and **Telecommunications & Technology (T&T)**[25](index=25&type=chunk)[26](index=26&type=chunk) - Key strategic initiatives include shifting to a recurring ATM as a Service model, growing the Allpoint network, and expanding internationally[26](index=26&type=chunk)[29](index=29&type=chunk) Research and Development Expenses | Metric | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | | **Research and Development Expenses** | $77 million | $64 million | $107 million | - As of December 31, 2023, Atleos had approximately **20,000 employees** worldwide, with 82% located outside the United States[61](index=61&type=chunk) Diversity Metric (as of Dec 31, 2023) | Diversity Metric (as of Dec 31, 2023) | Value | | :--- | :--- | | Countries with employees | 56 | | Global workforce self-identifying as women | 19% | | U.S. workforce self-identifying as ethnically/racially diverse | 39% | | U.S. management positions held by women | 29% | [Risk Factors](index=19&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks related to its business model transformation, competition, operational challenges, and substantial post-spin-off debt - The company faces risks in its shift to a software- and services-led, recurring revenue model, particularly with its **"ATM as a Service"** strategy[88](index=88&type=chunk) - The business is exposed to risks from the payments industry, including a decline in ATM usage and the need to maintain bank sponsorships for network access[102](index=102&type=chunk)[103](index=103&type=chunk) - Atleos incurred significant indebtedness of approximately **$3.1 billion** in connection with the spin-off, which could limit financial flexibility[126](index=126&type=chunk) - The company assumed sponsorship of pension plans with significant underfunded obligations, including a **$333 million** shortfall in the U.S. plan as of year-end 2023[148](index=148&type=chunk)[149](index=149&type=chunk) - There is a risk that Atleos may not achieve the expected benefits of the spin-off, and its historical financial information may not represent future results[174](index=174&type=chunk)[177](index=177&type=chunk) [Unresolved Staff Comments](index=46&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved comments from the Securities and Exchange Commission - None[211](index=211&type=chunk) [Cybersecurity](index=46&type=section&id=Item%201C.%20Cybersecurity) Cybersecurity risks are managed through an enterprise risk management program overseen by the Audit Committee of the Board - Cybersecurity risk management is integrated into the company's overall Enterprise Risk Management (ERM) framework[212](index=212&type=chunk) - The Audit Committee of the Board of Directors has oversight responsibility for managing cybersecurity threat risks and incidents[218](index=218&type=chunk) - As of the report date, the company has not identified any cybersecurity threats that have had or are reasonably expected to have a material effect on the organization[217](index=217&type=chunk) [Properties](index=48&type=section&id=Item%202.%20Properties) The company operates 277 facilities totaling 3.3 million square feet across 56 countries, with the majority being leased - As of December 31, 2023, the company operated **277 facilities**, totaling **3.3 million square feet** in 56 countries[225](index=225&type=chunk) - On a square footage basis, **13%** of the facilities are owned and **87%** are leased[225](index=225&type=chunk) [Legal Proceedings](index=48&type=section&id=Item%203.%20Legal%20Proceedings) Information regarding legal proceedings is incorporated by reference from Note 10 of the Consolidated Financial Statements - Details on legal proceedings are provided in Note 10 of the financial statements[227](index=227&type=chunk) [Mine Safety Disclosures](index=48&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[228](index=228&type=chunk) [PART II](index=49&type=section&id=PART%20II) [Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=49&type=section&id=Item%205.%20Market%20for%20the%20Registrant's%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Atleos' common stock trades on the NYSE under the symbol "NATL," and the company did not pay cash dividends in 2023 - Atleos' common stock is listed on the NYSE under the ticker symbol **"NATL"**[230](index=230&type=chunk) - As of March 15, 2024, there were approximately **66,170 holders** of Atleos common stock[230](index=230&type=chunk) - The company did not pay cash dividends in 2023[231](index=231&type=chunk) Stock Performance Graph | Company / Index | 10/17/2023 (Base) | 12/31/2023 (Value) | | :--- | :--- | :--- | | NCR Atleos Corporation | $100 | $114 | | S&P 500 Stock Index | $100 | $109 | | Russell 2000 Index | $100 | $115 | | S&P Composite 1500 Transaction & Payment Processing Services Index | $100 | $108 | [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=51&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) The company's 2023 financial performance saw 1% revenue growth to $4.19 billion but a net loss of $134 million due to spin-off related tax expenses [Overview](index=52&type=section&id=Overview) Atleos became an independent public company post-spin-off, with historical financials derived from its former parent and a new capital structure - The spin-off from NCR Corporation was completed on October 16, 2023, establishing Atleos as a standalone publicly traded company[243](index=243&type=chunk) - Historical financial statements prior to the spin-off include allocated corporate overhead from NCR and may not be indicative of future costs[246](index=246&type=chunk)[247](index=247&type=chunk) - The company's strategy is to be a cash-generative business focused on delivering ATM as a Service and shifting to a highly recurring revenue model[256](index=256&type=chunk) [Results of Operations](index=56&type=section&id=Results%20of%20Operations) Total revenue grew 1% in 2023, while a significant one-time tax expense related to the spin-off drove a net loss of $134 million Key Financial Metrics | Metric (in millions) | 2023 | 2022 | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $4,191 | $4,131 | 1% | | Recurring Revenue | $2,982 | $2,795 | 7% | | Net Income (Loss) | $(134) | $108 | (224)% | | Adjusted EBITDA | $732 | $685 | 7% | - Total revenue increased by **1%** in 2023, driven by a **4% rise in service revenue** that offset a 6% decline in product revenue[277](index=277&type=chunk)[278](index=278&type=chunk) - Gross margin as a percentage of revenue was stable at **22.3%** in 2023, as improved product margins were offset by higher vault cash rental costs[279](index=279&type=chunk) - The effective tax rate was **223%** in 2023, driven primarily by **$120 million** in discrete tax expenses related to the spin-off restructuring[288](index=288&type=chunk) Segment Revenue | Segment Revenue (in millions) | 2023 | 2022 | % Change | | :--- | :--- | :--- | :--- | | Self-Service Banking | $2,581 | $2,582 | 0% | | Network | $1,267 | $1,198 | 6% | | T&T | $196 | $219 | (11)% | Segment Adjusted EBITDA | Segment Adjusted EBITDA (in millions) | 2023 | 2022 | % Change | | :--- | :--- | :--- | :--- | | Self-Service Banking | $630 | $549 | 15% | | Network | $379 | $352 | 8% | | T&T | $33 | $47 | (30)% | [Financial Condition, Liquidity and Capital Resources](index=62&type=section&id=Financial%20Condition%2C%20Liquidity%20and%20Capital%20Resources) The company ended 2023 with $3.1 billion in debt and believes its current liquidity is sufficient to meet over $5.3 billion in material cash requirements Cash Flow Summary | Cash Flow Summary (in millions) | 2023 | 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $355 | $274 | | Net cash used in investing activities | $(316) | $(417) | | Net cash provided by financing activities | $31 | $183 | - In connection with the spin-off, the company issued **$1,350 million** in senior secured notes and entered into new credit facilities[305](index=305&type=chunk)[306](index=306&type=chunk) - As of December 31, 2023, the company had total debt of **$3,099 million**, cash of **$339 million**, and available borrowing capacity of **$337 million**[310](index=310&type=chunk) Material Cash Requirements | Material Cash Requirements (Undiscounted, in millions) | Total | 2024 | 2025-2026 | 2027-2028 | 2029 & Thereafter | | :--- | :--- | :--- | :--- | :--- | :--- | | Debt obligations | $3,099 | $76 | $210 | $934 | $1,879 | | Interest on debt obligations | $1,307 | $277 | $490 | $454 | $86 | | Lease obligations | $176 | $40 | $53 | $32 | $51 | | Purchase obligations | $728 | $728 | — | — | — | | **Total obligations** | **$5,310** | **$1,121** | **$753** | **$1,420** | **$2,016** | - The company contributed **$150 million** to its U.S. pension plan in 2023, which was underfunded by **$333 million** at year-end[318](index=318&type=chunk) [Critical Accounting Estimates](index=65&type=section&id=Critical%20Accounting%20Estimates) Key accounting estimates involve goodwill impairment, pensions, and income taxes, with the Network segment's goodwill facing a heightened impairment risk - The annual goodwill impairment test revealed that the Network reporting unit, which holds **$1,696 million** in goodwill, had a fair value less than 10% in excess of its carrying value[329](index=329&type=chunk) - Pension benefit calculations rely on critical actuarial assumptions, where a 0.25% change in key rates could impact annual pension expense by approximately $1 million[336](index=336&type=chunk) - The company maintains a valuation allowance of **$263 million** against deferred tax assets, reflecting uncertainty about their future realization[340](index=340&type=chunk) - For periods prior to the spin-off, financial statements include allocated corporate costs from NCR that may not reflect standalone costs[347](index=347&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=69&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company is exposed to market risks from foreign currency exchange rates, interest rates, and credit concentrations - A hypothetical **10% appreciation** in the U.S. Dollar would result in a **$4 million** decrease in the fair value of the company's hedge portfolio[351](index=351&type=chunk) - A hypothetical **100 basis point increase** in variable interest rates would increase annual pre-tax interest expense by approximately **$4 million**[353](index=353&type=chunk) - A hypothetical **100 basis point increase** in variable rates would increase ATM vault cash rental expense by approximately **$37 million** for the year[354](index=354&type=chunk) [Financial Statements and Supplementary Data](index=71&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements and supplementary data for the last three fiscal years Consolidated Statements of Operations | (in millions) | 2023 | 2022 | 2021 | | :--- | :--- | :--- | :--- | | **Total revenue** | **$4,191** | **$4,131** | **$3,549** | | Income from operations | $271 | $269 | $248 | | **Net income (loss) attributable to Atleos** | **$(134)** | **$108** | **$186** | | Net income (loss) per share - basic and diluted | $(1.90) | $1.53 | $2.63 | Consolidated Balance Sheets | (in millions) | Dec 31, 2023 | Dec 31, 2022 | | :--- | :--- | :--- | | **Total current assets** | **$1,895** | **$1,649** | | Goodwill | $1,952 | $1,949 | | **Total assets** | **$5,741** | **$5,772** | | **Total current liabilities** | **$1,747** | **$1,369** | | Long-term borrowings | $2,938 | $— | | **Total liabilities** | **$5,454** | **$2,510** | | **Total stockholders' equity** | **$287** | **$3,262** | - The company's goodwill balance was **$1,952 million** as of December 31, 2023, primarily allocated to the Network segment[506](index=506&type=chunk) - In connection with the spin-off, the company entered into a new credit agreement for **$2,085 million** and issued **$1,350 million** in senior secured notes[524](index=524&type=chunk)[536](index=536&type=chunk) - The company shares liability with Voyix for certain environmental matters, with Atleos' estimated 2024 contribution being approximately **$2 million**[634](index=634&type=chunk)[636](index=636&type=chunk)[638](index=638&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=140&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure matters - None[693](index=693&type=chunk) [Controls and Procedures](index=140&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of December 31, 2023 - The company's principal executive officer and principal financial officer concluded that disclosure controls and procedures were effective as of the end of the period[694](index=694&type=chunk) - The annual report does not include a management assessment or auditor attestation on internal control over financial reporting, per rules for newly public companies[696](index=696&type=chunk) [Other Information](index=140&type=section&id=Item%209B.%20Other%20Information) The Compensation & Human Resource Committee approved an Amended and Restated Executive Severance Plan in March 2024 - On March 20, 2024, the company's Compensation & Human Resource Committee approved an Amended and Restated Executive Severance Plan[698](index=698&type=chunk) [Disclosure Regarding Foreign Jurisdictions That Prevent Inspections](index=140&type=section&id=Item%209C.%20Disclosure%20Regarding%20Foreign%20Jurisdictions%20That%20Prevent%20Inspections) This item is not applicable to the company - None[700](index=700&type=chunk) [PART III](index=141&type=section&id=PART%20III) [Directors, Executive Officers and Corporate Governance](index=141&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information regarding directors and corporate governance will be incorporated by reference from the 2024 Definitive Proxy Statement - Required information will be incorporated by reference from the company's upcoming Definitive Proxy Statement[702](index=702&type=chunk) [Executive Compensation](index=141&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation will be incorporated by reference from the 2024 Definitive Proxy Statement - Required information will be incorporated by reference from the company's upcoming Definitive Proxy Statement[704](index=704&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=141&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information regarding security ownership will be incorporated by reference from the 2024 Definitive Proxy Statement - Required information will be incorporated by reference from the company's upcoming Definitive Proxy Statement[705](index=705&type=chunk) [Certain Relationships and Related Transactions and Director Independence](index=141&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%20and%20Director%20Independence) Information regarding related transactions and director independence will be incorporated by reference from the 2024 Definitive Proxy Statement - Required information will be incorporated by reference from the company's upcoming Definitive Proxy Statement[706](index=706&type=chunk) [Principal Accountant Fees and Services](index=141&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding accountant fees and services will be incorporated by reference from the 2024 Definitive Proxy Statement - Required information will be incorporated by reference from the company's upcoming Definitive Proxy Statement[707](index=707&type=chunk) [PART IV](index=142&type=section&id=PART%20IV) [Exhibits and Financial Statement Schedule](index=142&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedule) This section lists all exhibits filed with the Form 10-K and includes a schedule of valuation and qualifying accounts Financial Statement Schedule II | Valuation and Qualifying Accounts (in millions) | Balance at Beginning of 2023 | Charged to Costs & Expenses | Deductions | Balance at End of 2023 | | :--- | :--- | :--- | :--- | :--- | | Allowance for doubtful accounts | $16 | $2 | $4 | $14 | | Deferred tax asset valuation allowance | $169 | $44 | $— | $263 | [Form 10-K Summary](index=145&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - None[718](index=718&type=chunk)