Csg Systems International, Inc. · NASDAQ:CSGS
Csg Systems International — Q1 2025 Earnings Presentation
12 slides from Csg Systems International's earnings presentation, May 7, 2025
Slide 1: CSG Q1 2025 Earnings Presentation
CSG Q1 2025 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: Strong Q1 Built Momentum for 2025
Strong Q1 Built Momentum for 2025 Good Profit Expansion Record High New Vertical Good Adj. Free Cash Flow & EPS Growth Revenue Diversification & Shareholder Returns ✓ Delivered 19.0% Non- ✓ 33% of Q1 revenue coming ✓ $7 million of adjusted free GAAP Op. Margin in Q1, from industries outside of cash
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 Revenue Growth & Diversification
1 Accelerating Revenue Growth & Diversification Big Revenue Diversification Success Highly recurring customer Cable / Pay TV Telco Other Verticals relationships & revenue 7% Big growth in data-driven 33% SaaS CX & Payments 23% FY 2017 Q1 2025 50% 70% Similar customer business 17% needs across differ
Slide 7: Expanding CSG Profitability & Cash Generation
2 Expanding CSG Profitability & Cash Generation Expanded Non-GAAP Operating Margin 200 Basis Targeting 18% - 20% Op Margin & Double-Digit Points from 2022 to 2025(1) FCF Growth Without Impeding Sales Growth +200 bps 18.1% 18.6% More revenue from higher gross margin 17.2% 16.6% SaaS solutions Better
Slide 8: Committed to Shareholder Returns + Accretive M&A
3 Committed to Shareholder Returns + Accretive M&A Commitment to Shareholder Returns Disciplined & Accretive M&A Shareholder Remuneration (2021 – 2025) $ in millions Strategic Fit Brings strategic value to win more in the market Dividends Share Repurchases $161 $34 Financial Fit $130 Accretive to bo
Slide 9: Financial Results
Financial Results 9
Slide 10: Q1 2025 Financial Summary
Q1 2025 Financial Summary Revenue Non-GAAP Adjusted Operating Income Key Highlights $USD million $USD million & as a % revenue less transaction fees 1.5% ✓ Record Q1 revenue of $299 16.6% 19.0% $295 $299 million, up 1.5% YoY 15% ✓ Strong double-digit growth $51 $45 in profitability & EPS ✓ Q1 non-GA
Slide 11: Strong Balance Sheet & Good Shareholder Returns
Strong Balance Sheet & Good Shareholder Returns Key Highlights Non-GAAP Adjusted Free Cash Flow Q1 2025 Liquidity Profile $USD million $USD million ✓ Announced new 100% $7 Cash revolving credit facility $136 with attractive terms; YTD ‘23 Total retained same $600 million H1 ‘21 Q1 ‘22 $610 YTD ‘22 c
Slide 12: Q1 2025 Highlights and 2025 Guidance
Q1 2025 Highlights 2025 Guidance GAAP MEASURES February 2025 May 2025 Raising 2025 full-year non-GAAP 1 profitability and EPS guidance targets Revenue $1.21B – $1.25B $1.21B – $1.25B Transaction Fees $106M – $111M $106M – $111M Significant year-over-year increases in 2 profitability and adjusted fre
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