Euronet Worldwide, Inc. · NASDAQ:EEFT
Euronet Worldwide — Q1 2023 Earnings Presentation
23 slides from Euronet Worldwide's earnings presentation, May 3, 2023
Slide 1: First Quarter 2023 Financial Results
First Quarter 2023 Financial Results Michael J. Brown | Chairman & CEO Rick L. Weller | EVP & CFO Scott Claassen | General Counsel Euronet | www.euronetworldwide.com 1 121322-1
Slide 2: Forward Looking Statements
Forward Looking Statements Statements contained in this news release that concern Euronet's or its management's intentions, expectations, or predictions of future performance, are forward-looking statements. Euronet's actual results may vary materially from those anticipated in such forward-looking
Slide 3: Defined Terms
Defined Terms Unless specifically noted otherwise within this presentation, the following terms are hereby defined as follows: Constant currency measures are computed as if foreign currency exchange rates did not change from the prior period. This information is provided to illustrate the impact of
Slide 4: Financial Highlights First Quarter 2023
Financial Highlights First Quarter 2023 Rick L. Weller | EVP & CFO Euronet | www.euronetworldwide.com 4 121322-1
Slide 5: Financial Highlights First Quarter 2023
Financial Highlights First Quarter 2023 • Revenue - $787.2 million • Adjusted EBITDA - $92.8 million • 10% increase from $718.5 million for Q1 • 17% increase from $79.5 million for Q1 2022 2022 • 14% increase on a constant currency • 23% increase on a constant currency basis basis • Operating Income
Slide 6: Balance Sheet Overview
Financial Highlights First Quarter 2023 Balance Sheet Overview USD 12/31/2022 3/31/2023 (in millions) Unrestricted Cash $ 1,131.2 $ 1,065.8 ATM Cash 515.6 627.2 Settlement Assets 1,442.7 1,085.5 Total Assets 5,403.6 5,010.6 Total Debt 1,613.5 1,646.4 Total Debt to Trailing Twelve Month Adjusted EBIT
Slide 7: Same Quarter Prior Year Comparison
Financial Highlights First Quarter 2023 Same Quarter Prior Year Comparison USD (in millions) Revenue Operating Income Adjusted EBITDA Q1 2022 Q1 2023 Q1 2022 Q1 2023 Q1 2022 Q1 2023 EFT Processing $ 145.6 $ 192.2 $ (6.3) $ 6.9 $ 16.0 $ 29.6 % Change 32% 210% 85% epay 235.8 237.4 26.2 27.5 27.9 29.1
Slide 8: Same Quarter Prior Year Comparison – Constant Currency
Financial Highlights First Quarter 2023 Same Quarter Prior Year Comparison – Constant Currency* USD (in millions) Revenue Operating Income Adjusted EBITDA Q1 2022 Q1 2023* Q1 2022 Q1 2023* Q1 2022 Q1 2023* EFT Processing $ 145.6 $ 203.8 $ (6.3) $ 7.8 $ 16.0 $ 31.6 % Change 40% 224% 98% epay 235.8 24
Slide 9: Business Update
Business Update Michael J. Brown| Chairman & CEO Euronet | www.euronetworldwide.com 9 121322-1
Slide 10: Quarter Business Highlights
Quarter Business Highlights • Travel trends continue to improve across the globe, particularly in Asia where COVID restrictions are being fully lifted • Eurocontrol has updated their base case of flight movements with flights in 2023 improving to within 93% of 2019 levels • Expedia has reported that
Slide 11: EFT Business Segment
Business Segment EFT • Signed: • Network participation agreement for Deposit ATMs with Millennium Bank in Poland • ATM and card processing agreement with Development Bank of Singapore for their acquisition of Lakshmi Vilas Bank in India • Launched: • AllWeekPay functionality for all POS merchants in
Slide 12: EFT Active ATM Rollforward
Business Segment EFT • Active ATM Rollforward Active ATM Rollforward Sequential ATMs at Beginning of Quarter 45,009 Traditional High Value ATM Changes Independently Deployed ATMs (151) Outsourcing ATMs (46) Low-Margin India ATMs 969 Seasonally Re-activated / (De-activated) ATMs 1,649 ATMs at March 3
Slide 13: epay Business Segment Highlights
Business Segment Highlights • Launched: • Microsoft 365 Renewals with new retailers in Spain, Netherlands, Germany & Australia • Alipay+ in Australia • Disney+ digital in Austria • Airbnb in Belgium • Prezzy Mastercard into Foodstuffs South Island & Countdowns grocery stores in New Zealand • Branded
Slide 14: Money Transfer Business Segment
Business Segment Money Transfer • Network Growth: • Our network reaches: • 190 countries and territories • 528,000 total locations, a 6% increase vs. 1Q 2022 • 3.6 billion bank accounts and 1.7 billion wallet accounts • Correspondent Expansion • Launched money transfer with Alipay in China • Allows
Slide 15: Dandelion Solution
Solution • Active Dandelion partners expanded to 21 new countries in Q1 and transactions within our existing partners grew 57% year-over-year • We continue to innovate on the technology powering Dandelion with the addition of several new features • The number of advanced conversations with prospects
Slide 16: Solution
Solution • Launched: • Person-to-merchant real-time payments with Security Bank of Philippines • Euronet was onboarded as Mastercard Engage partner in Latin America • We have a strong pipeline of signed Ren deals which we expect to contribute approximately $143 million in revenue over the next six y
Slide 17: Summary
Summary • Our balance sheet remains strong providing stability and flexibility in our operations • Our most profitable EFT transactions continue to increase consistent with the recovery of the travel and hospitality industries • epay continues to expand mobile and digital branded payments and expand
Slide 18: Supplemental Data
Supplemental Data Euronet | www.euronetworldwide.com 18 121322-1
Slide 19: Reconciliation of Net Income to Operating Income and Adjusted EBITDA
Reconciliation of Net Income to Operating Income (Expense) EURONET WORLDWIDE, INC. and Adjusted EBITDA Reconciliation of Net Income to Operating Income (Expense) and Adjusted EBITDA (unaudited - in millions) Three months ended March 31, 2023 EFT Money Corporate Processing epay Transfer Services Cons
Slide 20: Reconciliation of Net Income to Operating Loss Income and Adjusted EBITDA
Reconciliation of Net Income to Operating (Loss) Income and Adjusted EBITDA EURONET WORLDWIDE, INC. Reconciliation of Net Income to Operating (Loss) Income and Adjusted EBITDA (unaudited - in millions) Three months ended March 31, 2022 EFT Money Corporate Processing epay Transfer Services Consolidat
Slide 21: Reconciliation to Constant Currency Amounts by Segment
Reconciliation of Revenue, Operating Income (Expense) and Adjusted EBITDA to Constant Currency Amounts by Segment EURONET WORLDWIDE, INC. Reconciliation of Revenue, Operating (Expense) Income and Adjusted EBITDA to Constant Currency Amounts by Segment (unaudited - in millions) Three months ended end
Slide 22: Reconciliation of Adjusted Earnings per Share
Reconciliation of Adjusted Earnings per Share EURONET WORLDWIDE, INC. Reconciliation of Adjusted Earnings per Share (unaudited - in millions, except share and per share data) Three Months Ended March 31, 2023 2022 Net income attributable to Euronet Worldwide, Inc. $ 20.1 $ 8.2 Foreign currency excha
Slide 23: Thank you
Thank you Euronet | www.euronetworldwide.com 23