Core Viewpoint - The market anticipates a year-over-year decline in earnings for NCR Voyix (VYX) due to lower revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - NCR Voyix is expected to report quarterly earnings of $0.07 per share, reflecting a year-over-year decrease of 79.4% [3]. - Revenue projections stand at $672.78 million, down 30.1% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 15.79% higher in the last 30 days, indicating a reassessment by analysts [4]. - A positive Earnings ESP of +142.86% suggests analysts have recently become more optimistic about the company's earnings prospects [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate being more recent and potentially more accurate [6]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1, 2, or 3 [8]. Historical Performance - In the last reported quarter, NCR Voyix was expected to post a loss of $0.01 per share but instead reported a loss of $0.24, resulting in a surprise of -2,300% [12]. - Over the past four quarters, the company has only beaten consensus EPS estimates once [13]. Conclusion - NCR Voyix is viewed as a potential earnings-beat candidate, but investors should consider other factors beyond earnings results when making investment decisions [16].

Financial Data and Key Metrics Changes - Total revenue for Q3 2024 was $708 million, a decline of 11% primarily due to lower hardware and related install services [13][36] - Normalized adjusted EBITDA for the quarter was $101 million, reflecting cost actions taken in the previous quarter [14][38] - Free cash flow for the quarter was a use of $25 million, impacted by approximately $80 million in fees related to the digital banking transaction [45] Business Line Data and Key Metrics Changes - In the Restaurant segment, total revenue was $211 million, a decline of 7% on a normalized basis, with adjusted EBITDA increasing by 27% [40] - In the Retail segment, total revenue declined 12% on a normalized basis, driven by a 28% decline in hardware sales [42] - Software ARR and Total segment ARR increased by 2% in the Retail segment and remained flat in the Restaurant segment [20][15] Market Data and Key Metrics Changes - The company had approximately 70,000 sites on its cloud-native commerce platform, an increase of 25% from the prior year [14] - The payments attach rate in the mid-market business remained strong at 97% for new customers [19] Company Strategy and Development Direction - The company is focusing on expanding its international presence in restaurants and retail, with a new Executive Vice President appointed to lead these efforts [8] - A restructuring of the sales teams and a revised incentive compensation plan are being implemented to drive new customer growth and expand market share [28][34] - The company plans to invest a portion of the digital banking proceeds into enhancing its solution sets for restaurants and retail [29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's strategic initiatives and the potential for growth in 2025 and beyond [111] - The company is maintaining its 2024 revenue and EBITDA guidance, expecting revenue between $2.805 billion and $2.860 billion [47] Other Important Information - The company completed the sale of its digital banking business, receiving $2.45 billion in gross proceeds, which significantly improved its balance sheet [10][43] - The company ended the quarter with a net leverage of 1.6 times, a significant improvement from 4.1 times in the previous quarter [44] Q&A Session Summary Question: What is the strategy for increasing platform conversions? - Management indicated that they are aggressively working on renewals and conversions to accelerate platform adoption, currently at about 20% [51][53] Question: What guidance can be provided for fiscal '25? - Guidance for fiscal '25 will be provided in February, but management believes they can grow off the pro forma 2024 results [57] Question: What are the timelines for seeing the impact of go-to-market investments? - Management stated that changes are being implemented now, with KPIs such as new customer acquisitions and platform attachments being key metrics to monitor [60][63] Question: How is the company approaching capital allocation? - The company plans to focus on internal investments, potential tuck-in acquisitions, and future share repurchases, maintaining leverage at or below two turns [66][104] Question: What is the outlook for the hardware market? - Management expects hardware demand to remain flat, with some recovery anticipated in self-checkout hardware revenues [70] Question: What is the current net site count trend? - The company is net adding sites across all segments, with no uptick in customer attrition [73] Question: What is the relationship between software and services growth and hardware? - The company is breaking the linkage between hardware and software, allowing for independent decisions in the enterprise space [76] Question: What investments are being made in the restaurant segment? - Investments will focus on accelerating cloud enablement and expanding value-added capabilities for QSR customers [107]

Core Insights - NCR Voyix reported a quarterly loss of $0.24 per share, significantly worse than the Zacks Consensus Estimate of a loss of $0.01, and down from earnings of $0.95 per share a year ago [1] - The earnings surprise was -2,300%, with the company having only surpassed consensus EPS estimates once in the last four quarters [2] Financial Performance - NCR Voyix generated revenues of $711 million for the quarter ended September 2024, exceeding the Zacks Consensus Estimate by 2.30%, but down from $2.02 billion in the same quarter last year [3] - The company has topped consensus revenue estimates two times over the last four quarters [3] Stock Performance - NCR Voyix shares have declined approximately 17.3% since the beginning of the year, contrasting with the S&P 500's gain of 24.3% [4] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [7] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.09 on revenues of $700.5 million, while the estimate for the current fiscal year is -$1.69 on revenues of $2.83 billion [8] - The trend of estimate revisions for NCR Voyix is mixed, which could change following the recent earnings report [7] Industry Context - The Computer - Integrated Systems industry, to which NCR Voyix belongs, is currently in the top 33% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [9] - The performance of NCR Voyix's stock may be influenced by the overall industry outlook [9]

NCR V::YIX N Y S E : V Y X 1 Q3 2024 Earnings Report David Wilkinson, CEO Brian Webb-Walsh, CFO November 7, 2024 Notes to Investors SPIN-OFF INFORMATION. On October 16, 2023, NCR Voyix completed the spin-off of NCR Atleos Corporation ("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 in ...

Revenue Performance - Revenue for Q3 2024 was $711 million, down 12% compared to $809 million in Q3 2023[200] - Total revenue for the nine months ended September 30, 2024, was $2,144 million, a decrease of 10% compared to $2,382 million in 2023[216] - Total revenue decreased by 12% to $711 million for the three months ended September 30, 2024, compared to $809 million for the same period in 2023[230] - Total revenue decreased by 10% to $2,144 million for the nine months ended September 30, 2024, compared to $2,382 million for the same period in 2023[232] Revenue Breakdown - Product revenue decreased by 22% to $684 million in 2024 from $875 million in 2023, while service revenue decreased by 3% to $1,460 million from $1,507 million[216] - Product revenue decreased by 26% to $219 million for the three months ended September 30, 2024, primarily due to declines in SCO and POS hardware revenues[231] - Service revenue decreased by 4% to $492 million for the three months ended September 30, 2024, attributed to a decrease in payment processing services revenue[231] - Software and services revenue for the nine months ended September 30, 2024, was $1,534 million, a decrease of 3% from $1,585 million in 2023, representing 71.5% of total revenue[221] - Hardware revenue for the nine months ended September 30, 2024, was $610 million, down 23% from $797 million in 2023, accounting for 28.5% of total revenue[221] Expenses and Profitability - Adjusted EBITDA for Q3 2024 was $93 million, down 10% from the previous year[200] - Adjusted EBITDA for the nine months ended September 30, 2024, was $233 million, a decrease of 14% from $272 million in 2023, representing 10.9% of total revenue[224] - Total gross margin decreased to 23.3% in Q3 2024 from 24.1% in Q3 2023[214] - Total gross margin for the nine months ended September 30, 2024, was $430 million, down 23% from $558 million in 2023, with a gross margin percentage of 20.1% compared to 23.4%[216] - Selling, general, and administrative expenses decreased by 20% to $113 million in Q3 2024[214] - Selling, general and administrative expenses decreased by 20% to $340 million in 2024 from $427 million in 2023, representing 15.9% of total revenue[216] - Research and development expenses increased by 31% to $38 million in Q3 2024 compared to $29 million in Q3 2023[214] - Research and development expenses increased by 32% to $129 million in 2024 from $98 million in 2023, representing 6.0% of total revenue[216] Discontinued Operations and Gains - The company recognized income from discontinued operations of $1,162 million for the nine months ended September 30, 2024, compared to $353 million for the same period in 2023[250] - The company completed the sale of its Digital Banking segment for $2.45 billion in cash on September 30, 2024[193] - The company recorded a gain of $8 million on extinguishment of debt for the three and nine months ended September 30, 2024[241] Cash Flow and Capital Expenditures - Cash provided by operating activities decreased to $38 million for the nine months ended September 30, 2024, down from $727 million in the same period of 2023, primarily due to discontinued operations and changes in net working capital[269] - Capital expenditures were approximately $178 million for the nine months ended September 30, 2024, compared to $306 million in the same period of 2023, indicating a reduction in investment[270] - Adjusted free cash flow-unrestricted for the nine months ended September 30, 2024 was $(123) million, reflecting significant cash outflows related to capital expenditures and other activities[275] Debt and Financial Position - As of September 30, 2024, the company had cash and cash equivalents of $795 million and total debt of $1.1 billion, with a borrowing capacity of $478 million under senior secured credit facilities[266] - The redemption value of the Series A Convertible Preferred Stock was approximately $276 million as of September 30, 2024, with a cumulative dividend rate of 5.5% per annum[280] - As of September 30, 2024, the company had $403 million in senior unsecured notes due in 2029 and $650 million due in 2028[277] - The company had a borrowing capacity of approximately $478 million under its revolving credit facility as of September 30, 2024[283] Foreign Currency and Risk Management - The company is exposed to approximately 30 functional currencies, impacting sales, profits, and assets due to foreign currency exchange risk[292] - A 10% appreciation of the U.S. Dollar against foreign currencies would decrease the fair value of the hedge portfolio by $4 million, while a 10% depreciation would increase it by $3 million as of September 30, 2024[294] - The company manages credit risk through credit approvals, limits, and selecting major international financial institutions as counterparties, with no significant concentration of credit risk as of September 30, 2024[299] - The company employs derivatives, including foreign currency contracts and interest rate swaps, to manage market risks without using them for trading or speculative purposes[291] - The company hedges main transactional exposures to mitigate the impact of currency fluctuations on foreign subsidiaries[292] Interest Expense and Financial Management - Interest expense decreased by 52% to $40 million for the three months ended September 30, 2024, compared to $83 million in 2023, due to a reduction in total debt outstanding[243] - Interest expense decreased by 53% to $120 million for the nine months ended September 30, 2024, compared to $257 million for the same period in 2023, primarily due to a reduction in total debt outstanding[244] - A hypothetical 100 basis point increase in variable interest rates would result in an increase of approximately $3 million in pre-tax interest expense for the nine months ended September 30, 2024[298] - The increase in interest expense due to variable-rate debt has historically been managed through interest rate swap contracts and interest rate cap agreements[297]

Financial Performance - Q3 2024 GAAP Revenue was $711 million, down from $809 million in the prior year, reflecting a decrease of approximately 12%[3] - Net loss from continuing operations was $31 million, significantly improved from a loss of $266 million in the prior year[3] - Adjusted EBITDA for Q3 2024 was $93 million, down from $103 million in the prior year, reflecting a decrease of approximately 10%[3] - Normalized Adjusted EBITDA for Q3 2024 was $101 million, down from $133 million in Q3 2023, while YTD it was $251 million compared to $336 million in the previous year[20] - Normalized Revenue for Q3 2024 was $708 million, a decrease from $794 million in Q3 2023, with YTD revenue at $2,140 million compared to $2,332 million in the prior year[22] - Adjusted EBITDA for the three months ended September 30, 2024, was $93 million, a decrease of 10% from $103 million in the same period of 2023[29] - Adjusted EBITDA margin for the three months ended September 30, 2024, was 13.1%, compared to 12.7% in the same period of 2023[29] - Total revenue for the three months ended September 30, 2024, was $711 million, a decrease of 12% compared to $809 million for the same period in 2023[28] - Total revenue for the nine months ended September 30, 2024, was $2,144 million, down 10% from $2,382 million in the same period of 2023[29] Revenue Breakdown - Software & Services Revenue was $517 million, a decline of 4% compared to $540 million in the prior year[3] - Software & Services Revenue for Q3 2024 was $516 million, down from $528 million in Q3 2023, with YTD figures at $1,532 million compared to $1,545 million[23] - Retail segment revenue for the three months ended September 30, 2024, was $487 million, down 12% from $552 million in the same period of 2023[29] - Restaurant segment revenue for the three months ended September 30, 2024, was $211 million, an 8% decrease from $229 million in the same period of 2023[29] Debt and Cash Management - The company reduced its outstanding debt by $1.84 billion following the sale of the Digital Banking business, improving its net leverage ratio[5] - The company’s long-term debt was reduced to $1,098 million from $2,563 million, a decrease of 57.1%[31] - Net Debt was defined as total debt minus cash and cash equivalents, indicating the company's liquidity position[17] - The Net Leverage Ratio is calculated as net debt divided by last-twelve-months Adjusted EBITDA, serving as an indicator of the company's indebtedness relative to its operating performance[17] - The company reported a cash balance of $825 million at the end of the period, down from $3,013 million in the previous year[33] - Cash and cash equivalents rose significantly to $795 million from $259 million, marking a 207.3% increase[31] Strategic Actions - The sale of the Digital Banking business was completed for $2.45 billion in cash, with an additional contingent consideration of up to $100 million[5] - The company plans to utilize approximately $100 million from the Digital Banking sale proceeds for share repurchases over the next 12 months[5] - The company is transitioning its POS and SCO hardware businesses to an ODM model effective January 1, 2024, as part of ongoing expense reduction actions[18] - The company has adjusted its financial outlook following the divestiture of the Digital Banking business, which may impact future operating results[18] Income and Expenses - The company reported a significant interest expense of $40 million in Q3 2024, down from $83 million in Q3 2023, indicating improved financial management[20] - Total gross margin for the three months ended September 30, 2024, was $166 million, representing 23.3% of revenue, compared to 24.1% in the same period of 2023[28] - Research and development expenses for the three months ended September 30, 2024, increased to $38 million from $29 million in the same period of 2023[28] Equity and Assets - Total stockholders' equity increased to $1,011 million as of September 30, 2024, compared to $25 million at December 31, 2023[31] - Total current assets increased to $1,825 million as of September 30, 2024, compared to $1,206 million at December 31, 2023, representing a growth of 51.3%[31] - Total liabilities decreased to $3,387 million from $4,689 million, reflecting a reduction of 27.7%[31] - The company reported net cash provided by operating activities of $38 million for the nine months ended September 30, 2024, down from $727 million in the prior year[33] - Proceeds from divestiture amounted to $2,458 million, significantly higher than $10 million in the previous year[33] - Net income for the three months ended September 30, 2024, was $1,082 million, compared to a net loss of $(128) million in the same period of 2023[28] - Net income for the nine months ended September 30, 2024, was $968 million, a substantial recovery from a net loss of $104 million in the same period of 2023[33]

NCR V::YIX N Y S E : V Y X 1 Q2 2024 Earnings Report David Wilkinson, CEO Brian Webb-Walsh, CFO August 6, 2024 Notes to Investors SPIN-OFF INFORMATION. On October 16, 2023, NCR Voyix completed the spin-off of NCR Atleos Corporation ("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 info ...

NCR Voyix Corporation (NYSE:VYX) Q2 2024 Earnings Conference Call August 6, 2024 8:00 AM ET Company Participants Alan Katz - Vice President of Investor Relations David Wilkinson - Chief Executive Officer Brian Webb-Walsh - Chief Financial Officer Conference Call Participants Will Nance - Goldman Sachs Mayank Tandon - Needham & Company Matt Summerville - D.A. Davidson Jeffrey Lane - Stifel, Nicolaus & Company Ian Zaffino - Oppenheimer & Co. Inc. Erik Woodring - Morgan Stanley Operator Greetings, and welcome ...

NCR Voyix (VYX) came out with a quarterly loss of $0.54 per share versus the Zacks Consensus Estimate of a loss of $0.11. This compares to earnings of $0.94 per share a year ago. These figures are adjusted for nonrecurring items. This quarterly report represents an earnings surprise of -390.91%. A quarter ago, it was expected that this maker of ATMs and other hardware and software to handle payments would post earnings of $0.06 per share when it actually produced earnings of $0.13, delivering a surprise of ...

NEW TAIPEI CITY, Taiwan, Aug. 06, 2024 (GLOBE NEWSWIRE) -- Ennoconn Corporation (Taiwan Exchange / 6414.TW), a global technology company delivering world-class Industrial intelligent IoT, AI and Embedded Technology solutions, today announced that it has entered into a definitive agreement with NCR Voyix (NYSE:VYX) to manage the supply, design, manufacturing, fulfillment, delivery and warranty for its hardware products. NCR Voyix is a leading global provider of digital commerce solutions. Since 2008, Ennocon ...