Q2 2024 NCR Atleos Corp Earnings Call Transcript
Key Points
- NCR Atleos Corp (NATL) reported strong financial results for the second quarter, with revenue and profit margins exceeding expectations.
- Services revenue grew by 6% and ATM service revenue increased by more than 30%, indicating robust demand for their offerings.
- The company added key new clients and expanded into new geographies, enhancing its market presence.
- Recurring revenue grew by 9% year-over-year, comprising 73% of total revenues, up from 70% in the prior year.
- NCR Atleos Corp (NATL) reaffirmed its full-year guidance for 2024, reflecting confidence in its financial outlook.
- The company faces macroeconomic headwinds and higher labor costs, which have partially offset productivity savings.
- Interest expense remains high at $79 million for the quarter, with a weighted average interest rate of approximately 9.4%.
- The pace of ATM as a service activations has been slower than originally projected, impacting growth expectations.
- The network segment experienced lower volumes for LibertyX transactions, which are lower margin, affecting overall revenue growth.
- The company has decided to prioritize debt reduction over returning cash to shareholders, which may disappoint some investors.
Good day and welcome to the NCR Atlio's second quarter earnings call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Mr. Brendan Metrano. Please go ahead.
Good morning and thank you for joining the NCR Atleo's second-quarter earnings call. Joining me on the call today are Tim Oliver, CEO; Paul Campbell, CFO; and Stuart Mackinnon, Chief Operating Officer. Tim will start this morning with an overview of second-quarter performance and update on 2024 objectives. Next, Paul will review our financial results and the outlook, then we'll move to Q&A.
Before we get started, let me remind you that our presentation and discussions will include forward-looking statements, which are often expressed by words such as may, will, include, expect, and words of similar meaning. These statements reflect our current expectations and beliefs and are subject to risks and uncertainties that could cause actual results to differ materially from those
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
