Workflow
Evertec(EVTC) - 2024 Q4 - Annual Results
EVTCEvertec(EVTC)2025-02-26 21:09

Financial Performance - Total revenue for Q4 2024 was 216.4million,anincreaseof11.2216.4 million, an increase of 11.2% compared to 194.6 million in Q4 2023, with organic growth across all segments and contributions from acquisitions[5]. - GAAP Net Income attributable to common shareholders for Q4 2024 was 40.1million,a24940.1 million, a 249% increase from 11.5 million in Q4 2023, resulting in 0.62perdilutedshare[6].−AdjustedEBITDAforQ42024was0.62 per diluted share[6]. - Adjusted EBITDA for Q4 2024 was 88.6 million, a 24% increase compared to the prior year, with an Adjusted EBITDA margin of 40.9%, up from 36.8%[8]. - Full year 2024 revenue reached 845.5million,a22845.5 million, a 22% increase from 694.7 million in 2023, driven by acquisitions and organic growth[10]. - GAAP Net Income for the full year 2024 was 112.6million,a41112.6 million, a 41% increase from 79.7 million in 2023, equating to 1.73perdilutedshare[11].−AdjustedEBITDAforthefullyear2024was1.73 per diluted share[11]. - Adjusted EBITDA for the full year 2024 was 340.2 million, a 17% increase from the previous year, with an Adjusted EBITDA margin of 40.2%, down from 42.0%[12]. - Revenues for Q4 2024 were 216,395,000,anincreaseof11.4216,395,000, an increase of 11.4% compared to 194,621,000 in Q4 2023[30]. - Net income for the year ended December 31, 2024, was 114,779,000,upfrom114,779,000, up from 79,876,000 in 2023, representing a growth of 43.6%[30]. - The company reported a basic net income per share of 1.75for2024,comparedto1.75 for 2024, compared to 1.23 for 2023, marking a 42.3% increase[30]. - Adjusted EBITDA for the quarter ended December 31, 2024, was 88,610,000,upfrom88,610,000, up from 71,698,000 in the same quarter of 2023, reflecting a year-over-year increase of 23.5%[45]. - Total revenues for the year ended December 31, 2024, reached 845,486,000,comparedto845,486,000, compared to 694,709,000 in 2023, marking a growth of 21.7%[43]. Shareholder Returns - The company returned 95.2milliontoshareholdersthroughsharerepurchasesanddividendsin2024[6].−Thecompanyrepurchasedcommonstockworth95.2 million to shareholders through share repurchases and dividends in 2024[6]. - The company repurchased common stock worth 82,293,000 in 2024, compared to 36,096,000in2023,showingasubstantialincreaseinsharebuybacks[38].AcquisitionsandIntegrations−ThecompanycompletedtheacquisitionofNubityonNovember19,2024,enhancingitscloudservicesofferingsinLatinAmerica[14].−ThecompanyisfocusedonintegratingSinqiaS.A.andachievingexpectedearningsaccretion,whilefacingrisksrelatedtopoliticalandeconomicinstabilityinitsoperatingregions[27].OutlookandGuidance−The2025outlookprojectstotalconsolidatedrevenuebetween36,096,000 in 2023, showing a substantial increase in share buybacks[38]. Acquisitions and Integrations - The company completed the acquisition of Nubity on November 19, 2024, enhancing its cloud services offerings in Latin America[14]. - The company is focused on integrating Sinqia S.A. and achieving expected earnings accretion, while facing risks related to political and economic instability in its operating regions[27]. Outlook and Guidance - The 2025 outlook projects total consolidated revenue between 889 million and 899million,representingapproximately5.1899 million, representing approximately 5.1% to 6.3% growth compared to 2024[20]. - Adjusted earnings per common share for 2025 are expected to be between 3.34 and 3.45,reflectinggrowthofapproximately1.83.45, reflecting growth of approximately 1.8% to 5.2% compared to 3.28 in 2024[20]. - 2024 revenue outlook is projected between 889millionand889 million and 899 million, with a low estimate of 845million[50].−GAAPEarningsperShare(EPS)guidancerangesfrom845 million[50]. - GAAP Earnings per Share (EPS) guidance ranges from 1.93 to 2.05,withalowestimateof2.05, with a low estimate of 1.73[50]. - Adjusted EPS (Non-GAAP) is expected to be between 3.34and3.34 and 3.45, with a low estimate of 3.28[50].AssetsandLiabilities−Totalassetsdecreasedto3.28[50]. Assets and Liabilities - Total assets decreased to 1,857,611,000 in 2024 from 2,060,263,000in2023,adeclineof9.82,060,263,000 in 2023, a decline of 9.8%[32]. - Total liabilities decreased to 1,338,350,000 in 2024 from 1,424,887,000in2023,areductionof6.11,424,887,000 in 2023, a reduction of 6.1%[34]. - The company’s total assets decreased by 29,075,000 in 2024, contrasting with an increase of 128,067,000in2023,indicatingashiftinassetmanagementstrategy[38].CashFlowandExpenses−Totaloperatingcostsandexpensesfor2024were128,067,000 in 2023, indicating a shift in asset management strategy[38]. Cash Flow and Expenses - Total operating costs and expenses for 2024 were 679,820,000, compared to 558,549,000in2023,reflectinganincreaseof21.6558,549,000 in 2023, reflecting an increase of 21.6%[30]. - Cash flows from operating activities for 2024 were 260,059,000, an increase from 211,194,000in2023,indicatingariseof23.1211,194,000 in 2023, indicating a rise of 23.1%[36]. - Net cash used in investing activities decreased significantly to 118,282,000 in 2024 from 507,932,000in2023,areductionof76.7507,932,000 in 2023, a reduction of 76.7%[38]. - EVERTEC's cash and cash equivalents decreased to 273,645,000 in 2024 from 295,600,000in2023,adeclineof7.4295,600,000 in 2023, a decline of 7.4%[32]. - Cash and cash equivalents at the end of 2024 were 273,645,000, down from 295,600,000attheendof2023,adecreaseof7.4295,600,000 at the end of 2023, a decrease of 7.4%[38]. Currency and Adjustments - The company experienced a foreign currency translation adjustment loss of 152,851,000 for the year ended December 31, 2024[30]. - Total adjustments to reconcile net income to net cash provided by operating activities amounted to 145,280,000in2024,comparedto145,280,000 in 2024, compared to 131,318,000 in 2023, reflecting an increase of 10.6%[36]. - Total adjustments to reconcile GAAP EPS to Non-GAAP EPS amount to approximately 1.41to1.41 to 1.55 per share[50]. - Share-based compensation and other adjustments contribute 0.88totheadjustedEPScalculation[50].−Mergerandacquisitionrelateddepreciationandamortizationadds0.88 to the adjusted EPS calculation[50]. - Merger and acquisition related depreciation and amortization adds 0.58 to the adjusted EPS[50]. - Non-cash interest expense contributes $0.04 to the adjusted EPS[50]. - Anticipated tax effect of non-GAAP adjustments is estimated at approximately 6% to 7%[51]. - Shares used in computing adjusted earnings per common share are approximately 65.0 million to 65.1 million[50].