Overview
ACI Q3 revenue up 7% yr/yr, beating analyst expectations
Adjusted EPS for Q3 exceeds analyst estimates
Company announces $500 mln share repurchase authorization
Outlook
ACI Worldwide raises full-year 2025 revenue guidance to $1.730 bln-$1.754 bln
Company expects full-year 2025 adjusted EBITDA of $495 mln-$510 mln
Result Drivers
RECURRING REVENUE GROWTH - Recurring revenue in Q3 rose 10% yr/yr, indicating strong demand for ACI's services
ACI CONNETIC LAUNCH - Signed first customer for ACI Connetic, reflecting early demand for cloud-native payments hub
OPERATIONAL EXCELLENCE - Co attributes high-value growth to disciplined operational execution and innovation in products like Speedpay
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $482.36 mln | $465.30 mln (6 Analysts) |
Q3 Adjusted EPS | Beat | $1.09 | $0.80 (6 Analysts) |
Q3 Net Income | Beat | $91.25 mln | $79.80 mln (6 Analysts) |
Q3 Adjusted EBITDA | Beat | $171 mln | $160.50 mln (6 Analysts) |
Q3 Operating income | Beat | $127.71 mln | $119.50 mln (6 Analysts) |
Q3 Pretax Profit | Beat | $118.12 mln | $103.70 mln (6 Analysts) |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the financial technology (fintech) peer group is "buy"
Wall Street's median 12-month price target for ACI Worldwide Inc is $60.00, about 19.6% above its November 5 closing price of $48.24
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 17 three months ago
Press Release: ID:nBw62vJYga
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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