Csg Systems International, Inc. · NASDAQ:CSGS
Csg Systems International — Q4 2024 Earnings Presentation
13 slides from Csg Systems International's earnings presentation, Feb 5, 2025
Slide 1: CSG Q4 & Full Year 2024 Earnings Presentation
CSG Q4 & Full Year 2024 Earnings Presentation Brian Shepherd CEO & President Hai Tran CFO
Slide 2: Safe Harbor
Safe Harbor Forward-Looking Use of Non-GAAP Statements + Disclaimers Financial Measures This presentation contains forward-looking statements within the To supplement our condensed consolidated financial statements presented in accordance with generally meaning of the Private Securities Litigation R
Slide 3: Business Results
Business Results 3
Slide 4: Excellent Q4 Momentum To Finish 2024
Excellent Q4 Momentum To Finish 2024 7% YoY Revenue Good New Logo Sales Strong Momentum on Growth in Q4 with 5% Wins & Contract Both Profitability & Organic Growth Extensions Globally Adjusted Free Cash Flow Finished a challenging Signed fantastic Comcast Clear focus on leveraging 2024 with st
Slide 5: CSG Value Creation Priorities
CSG Value Creation Priorities Value Creation Priorities 1 2 3 2% - 6% organic 18% - 20% non-GAAP $100M+ in capital to revenue growth adjusted operating be returned to with >35% revenue margin with $110M- shareholders in 2025 diversification from $150M adjusted combined with bigger, faster- FCF(1) wi
Slide 6: Accelerating Growth & Revenue Diversification
1 Accelerating Growth & Revenue Diversification Big Revenue Diversification Success Highly recurring customer Cable / Pay TV Telco Other Verticals relationships & revenue 7% Big growth in data-driven 30% SaaS CX & Payments 23% FY 2017 FY 2024 52% 70% Similar customer business 18% needs across differ
Slide 7: Continued Global Sales Success in 2024
1 Continued Global Sales Success in 2024 Digital Monetization Leading U.S. Bank Data-Driven CX Payments Denmark Leading Regional Bank Sudan 7
Slide 8: Expanding CSG Profitability & Cash Generation
2 Expanding CSG Profitability & Cash Generation Expanded Non-GAAP Operating Margin 150 basis Targeting 18% - 20% Op Margin & Double-Digit points from 2022 to 2024 FCF Growth without impeding sales growth 18.1% 18.3% 17.2% More revenue from higher gross margin 16.6% SaaS CX, monetization, & payments
Slide 9: Commitment to Shareholder Returns + Accretive M&A
3 Commitment to Shareholder Returns + Accretive M&A Commitment to Shareholder Returns Disciplined & Accretive M&A Shareholder Remuneration (2020 – 2024) $ in millions Strategic Fit Brings strategic value to win more in the market Dividends Share Repurchases $161 $34 Financial Fit $130 Accretive to b
Slide 10: Financial Results
Financial Results 10
Slide 11: Q4 2024 Financial Summary
Q4 2024 Financial Summary Revenue Non-GAAP Adjusted Operating Income Key Highlights $USD million $USD million & as a % revenue less transaction fees 7% $317 16.1% 20.1% Record quarterly $297 revenue of $317 million, 32% $58 up 7% YoY, including 5% $44 YoY organic growth YTD ‘23 Q4 2024 adjusted
Slide 12: Strong Balance Sheet & Good Shareholder Returns
Strong Balance Sheet & Good Shareholder Returns Key Highlights Non-GAAP Adjusted Free Cash Flow Q4 2024 Liquidity Profile $USD million $USD million Strong balance sheet 9% $113 with significant flexibility $104 $162 Cash & optionality YTD ‘23 Total H1 ‘21 Q1 ‘22 $612 H1 ‘23 YTD ‘22 YTD ‘22 9%+ Y
Slide 13: 2024 Conclusions 2025 Guidance
2024 Conclusions 2025 Guidance GAAP MEASURES February 2025 Signed landmark Comcast contract 1 extension through year-end 2030 Revenue $1.21B – $1.25B Transaction Fees $106M – $111M Significant year-over-year increases in 2 profitability and adjusted free cash flow Share Count ~28 million NON-GAAP ME
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