The partnership supports seamless, secure payments through Quadient’s AR and AP solutions for businesses across North America, the UK and Europe Quadient (Euronext Paris: QDT), a global automation platform powering secure and sustainable business connections, and Nuvei, a leading global payments company, today announced a strategic technology partnership to enhance cloud payment capabilities for businesses globally. Through this partnership, Nuvei’s advanced payment processing technology is now integrated i ...

Financial Performance - Q1 2025 - Revenue decreased by 4% year-over-year, from $80.7 million in Q1 2024 to $77.3 million in Q1 2025[14, 67] - Gross profit decreased by 5% year-over-year, from $61.5 million in Q1 2024 to $58.7 million in Q1 2025[14, 67] - Adjusted EBITDA decreased by 7% year-over-year, from $35.5 million in Q1 2024 to $33.2 million in Q1 2025[14, 67] - Free Cash Flow decreased significantly from $13.7 million in Q1 2024 to -$8.0 million in Q1 2025, representing a 159% decrease[14, 67] - Free Cash Flow conversion decreased from 38% in Q1 2024 to -24% in Q1 2025[14] Segment Performance - Q1 2025 - Consumer Payments revenue decreased by 6% year-over-year, from $76.1 million in Q1 2024 to $71.9 million in Q1 2025[20] - Consumer Payments gross profit decreased by 5% year-over-year, from $59.6 million in Q1 2024 to $56.7 million in Q1 2025[20] - Business Payments revenue increased by 17% year-over-year excluding political media, but increased 14% as reported, from $9.7 million in Q1 2024 to $11.0 million in Q1 2025[23, 78] - Business Payments gross profit increased by 12% year-over-year excluding political media, but increased 7% as reported, from $7.0 million in Q1 2024 to $7.6 million in Q1 2025[23, 78] Liquidity and Leverage - Total liquidity was $415 million as of Q1 2025, including cash and undrawn revolver capacity[26, 50] - Net debt was $343 million as of March 31, 2025[28] - Net leverage was 2.5x LTM Adjusted EBITDA as of March 31, 2025[28] FY 2025 Outlook - The company expects sequential quarterly acceleration in normalized growth year-over-year[34] - The company expects Q4 normalized growth of high single digit to low double digit[34] - The company expects Free Cash Flow conversion to exceed 50% in Q2 and accelerate above 60% by the end of 2025[34]

Core Viewpoint - Analyst recommendations play a significant role in influencing stock prices, but their reliability is questionable due to potential biases from brokerage firms [1][10]. Group 1: Analyst Recommendations - Visa has an average brokerage recommendation (ABR) of 1.45, indicating a consensus between Strong Buy and Buy, based on 38 brokerage firms [2]. - Out of the 38 recommendations, 28 are Strong Buy and 3 are Buy, accounting for 73.7% and 7.9% of all recommendations respectively [2]. - Despite the positive ABR, relying solely on this information for investment decisions may not be advisable, as studies show limited success in guiding investors towards stocks with high price appreciation potential [5]. Group 2: Bias in Recommendations - Brokerage analysts tend to exhibit a strong positive bias in their ratings, often issuing five "Strong Buy" recommendations for every "Strong Sell" [6]. - This misalignment of interests can mislead investors, as the ratings may not accurately reflect the stock's potential price trajectory [7][10]. Group 3: Zacks Rank vs. ABR - The Zacks Rank, which classifies stocks from 1 (Strong Buy) to 5 (Strong Sell), is based on earnings estimate revisions and is considered a more reliable indicator of near-term price performance compared to ABR [8][11]. - The Zacks Rank is updated more frequently, reflecting timely changes in earnings estimates, while ABR may not always be current [12]. Group 4: Visa's Earnings Estimates - The Zacks Consensus Estimate for Visa's current year earnings has increased by 0.3% over the past month to $11.34, indicating growing optimism among analysts [13]. - This increase in consensus estimates, along with other factors, has resulted in a Zacks Rank 2 (Buy) for Visa, suggesting a positive outlook for the stock [14].

Marqeta (MQ) Q1 2025 Earnings Call May 07, 2025 04:30 PM ET Company Participants Stacey Finerman - Vice President, Investor RelationsMike Milotich - Interim CEO & CFOTimothy Chiodo - Managing DirectorRamsey El-Assal - Managing DirectorDarrin Peller - Managing DirectorJames Faucette - Managing DirectorCraig Maurer - Managing DirectorSanjay Sakhrani - Managing DirectorAndrew Bauch - Director - Equity Research Conference Call Participants Tien-tsin Huang - Senior AnalystCassie Chan - Analyst Operator Ladies an ...

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $228.8 million, an 11.4% increase year over year, with a currency headwind of approximately 3.3% [5][12] - Adjusted EBITDA was $89.4 million, up approximately 14% year over year, with an adjusted EBITDA margin of 39.1%, reflecting a 100 basis point increase from the previous year [5][12] - Adjusted EPS was $0.87, a 21% increase year over year, driven by strong adjusted EBITDA growth and lower interest expenses [6][13] - Operating cash flows generated were approximately $37.6 million, with liquidity remaining strong at approximately $460 million as of March 31 [6][20] Business Line Data and Key Metrics Changes - Merchant Acquiring revenue grew 11% year over year to $47.6 million, benefiting from higher spreads and sales volume growth [14] - Payments Puerto Rico revenue increased by 4% to $55.2 million, driven by ATH Mobile and higher POS transaction volumes [15] - Latin America Payments and Solutions revenue rose 13% year over year to $83.8 million, or 22% on a constant currency basis, with double-digit organic growth [16] - Business Solutions revenue increased approximately 13% to $65.6 million, primarily due to projects completed in the previous year and nonrecurring hardware and software sales [17] Market Data and Key Metrics Changes - The Puerto Rico economy remains stable, with total employment increasing and an unemployment rate near 5.5% [7] - In LATAM, revenue grew 13% year over year, with organic growth driven by the GETNA Chile relationship and a reacceleration in Brazil [8][16] - Currency fluctuations, particularly the devaluation of the Brazilian real, presented a 9% headwind in LATAM revenue [16] Company Strategy and Development Direction - The company continues to focus on M&A as a key part of its strategy, with a robust pipeline of potential acquisitions [31] - The company is optimistic about its ability to navigate through macroeconomic uncertainties and is closely monitoring potential impacts on its business [25] Management's Comments on Operating Environment and Future Outlook - Management noted strong consumer confidence contributing to performance, particularly in Merchant Acquiring and LATAM segments [29] - The company expects constant currency revenue growth for 2025 to be between $903 million to $911 million, representing a growth of 6.8% to 7.7% year over year [21] - Management acknowledged potential headwinds from customer attrition, particularly with MercadoLibre, impacting future performance [22] Other Important Information - The company paid down approximately $11.6 million in debt and returned $3.2 million to shareholders through dividends during the quarter [19] - The net debt position at quarter end was $704 million, with a net debt to trailing twelve-month adjusted EBITDA ratio of approximately 2.04 times [20] Q&A Session Summary Question: Revenue performance and outperformance relative to expectations - Management indicated that all segments outperformed original expectations, particularly in Merchant Acquiring and LATAM, driven by strong consumer confidence and volume growth [29] Question: M&A strategy and positioning - Management confirmed a focus on M&A, with a robust pipeline and ongoing interest in acquiring sizable assets [31] Question: Performance in Brazil and Chile - Management noted that Brazil's growth is back within expectations due to leadership changes and specific initiatives [36] Question: Economic monitoring in LATAM - Management highlighted Brazil as a significant focus due to currency fluctuations and potential economic impacts [38] Question: GetNet Chile partnership progress - Management confirmed that the GetNet partnership is fully rolled out and performing well, contributing to strong segment growth [43] Question: Merchant margins and future trends - Management explained that while margins increased due to pricing actions and transaction types, they expect pressure on margins moving forward [51] Question: Impact of MercadoLibre exit - Management indicated that the impact of MercadoLibre's exit will not be fully felt until Q3, with partial effects in Q2 [54] Question: Relief funds from previous hurricanes - Management confirmed that relief funds are continuing to flow through and positively impacting economic conditions in Puerto Rico [56]

Marqeta (MQ) Q1 2025 Earnings Call May 07, 2025 04:30 PM ET Speaker0 Ladies and gentlemen, welcome to Marketa Inc. First Quarter twenty twenty five Earnings Conference Call. At this time, all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Stacy Feyneman, Vice President of Investor Relations. Please go ahead. Speaker1 Thanks, operator. Before we beg ...

This presentation will reference certain non-GAAP financial information. For a description and reconciliation of non-GAAP measures presented in this document, please see the appendix attached to this presentation or visit the Investor Relations section of the Evertec website at www.evertecinc.com. Business Summary Mac Schuessler, President and CEO First Quarter Earnings Conference call May 7, 2025 Foward looking statements Certain statements in this presentation constitute "forward-looking statements" withi ...

Q1 2025 Financial Performance - Net sales increased by 10% to $122.8 million[27] - Gross margin decreased from 37.1% to 33.2%[27] - Net income decreased by 12% to $4.8 million, with net income margin decreasing from 4.9% to 3.9%[27] - Adjusted EBITDA decreased by 8% to $21.2 million, with Adjusted EBITDA margin decreasing from 20.5% to 17.2%[27] - Free Cash Flow generation decreased to $0.3 million from $7.4 million in the prior year[27] Segment Performance - Debit and Credit net sales increased from $88.0 million to $96.5 million, while operating income decreased from $22.8 million to $21.7 million[33] - Prepaid Debit net sales increased from $24.2 million to $26.7 million, while operating income increased from $8.0 million to $8.7 million[35] Balance Sheet and Outlook - Net Leverage Ratio was 3.1x as of March 31, 2025[40] - The company affirmed its 2025 full-year outlook, expecting a mid-to-high single-digit increase in net sales and Adjusted EBITDA[11, 46] Strategic Initiatives - CPI acquired Arroweye Solutions, Inc on May 6, 2025, with expected revenues in the mid-$50 million range on an annualized basis[19, 21] - The company is focused on innovation and diversification to expand addressable markets[15]

Core Viewpoint - AvidXchange Holdings, Inc. is set to be acquired by TPG and Corpay for $10.00 per share, valuing the company at $2.2 billion, which represents a significant premium over its recent stock prices [1][2]. Acquisition Details - The acquisition price of $10.00 per share reflects a 22% premium over AvidXchange's closing price of $8.20 on May 6, 2025, a 16% premium over the 90-day volume weighted average price, and a 45% premium over the closing price of $6.89 on March 12, 2025 [2]. - Upon completion, AvidXchange will transition to a private company, allowing for greater flexibility in investing in growth and enhancing integrated payment solutions [2]. Company Background - AvidXchange is a leading provider of accounts payable automation software and payment solutions, serving over 8,500 middle market businesses and facilitating payments to more than 1,350,000 suppliers in the past five years [9]. - The company has established itself as a leader in AP automation and payment software, with a differentiated platform aimed at growth [3]. Strategic Insights - TPG and Corpay view AvidXchange as a leader in AP automation, with significant opportunities to enhance its solutions and improve efficiency in payment processes [3]. - The partnership aims to leverage TPG's technology expertise and Corpay's corporate payments capabilities to accelerate AvidXchange's growth [3]. Transaction Approval and Timeline - The transaction has been unanimously approved by AvidXchange's Board of Directors, and certain senior management members will rollover a significant portion of their equity [4]. - The deal is subject to customary closing conditions, including stockholder approval and regulatory approvals, and is expected to close in the fourth quarter of 2025 [5]. Financial Advisory - Financial Technology Partners and Barclays are acting as financial advisors to AvidXchange, while TPG is advised by J.P. Morgan Securities LLC, Moelis & Company, and RBC Capital Markets [7][8].

Core Viewpoint - The article discusses two Dow stocks, Visa and UnitedHealth Group, as strong investment opportunities during the earnings season, while highlighting Nvidia as a stock to avoid due to various challenges ahead. Group 1: Visa - Visa is identified as a top investment choice with significant upside potential over the next five years [5] - Despite concerns about a potential U.S. economic recession, Visa's business model allows it to recover quickly from economic downturns, as recessions historically last around 10 months while expansions last about five years [6][7] - Visa reported a 13% growth in cross-border payment volume in its fiscal second quarter, indicating strong performance and growth potential in emerging markets [8] - The company avoids lending, which allows it to sidestep capital requirements for potential loan losses, enabling faster recovery from economic turbulence compared to other financial institutions [9] - Visa's forward price-to-earnings (P/E) ratio is approximately 27, which is 6% below its average over the past five years, suggesting it is currently undervalued [10] Group 2: UnitedHealth Group - UnitedHealth Group is another strong investment option, despite a recent 22% drop in stock price due to lowered profit guidance related to Medicare Advantage costs [12][13] - The health insurance sector is characterized by consistent profits and moderate growth, with insurers having significant premium pricing power to offset unexpected costs [14] - UnitedHealth's business model is predictable, with stable demand for medical services regardless of economic conditions, allowing for accurate expense forecasting [15] - The Optum subsidiary is a key asset, providing higher operating margins and faster sales growth compared to the insurance segment, contributing to the company's overall strength [16] - UnitedHealth's forward P/E ratio has dropped to 13, the lowest in at least five years, representing a 34% discount to its average over the past five years [16] Group 3: Nvidia - Nvidia is highlighted as a stock to avoid due to challenges including export restrictions on AI chips to China, which could significantly impact sales [19] - Increased competition from both direct competitors and internal customers developing their own GPUs poses a threat to Nvidia's market position [20] - The company's gross margin has been declining, indicating waning pricing power and potential issues with customer retention due to rapid upgrade cycles [20][21] - The article warns of a potential bubble in AI stocks, suggesting that Nvidia could be particularly vulnerable if such a bubble bursts [22]