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]
NCR Atleos (NATL) - 2024 Q4 - Annual Results