Slide 1: March 31, 2014 Quarterly Results Presentation
Exhibit 99.2 March 31, 2014 Quarterly Results Presentation May 1, 2014
Slide 2: Safe Harbor For Forward-Looking Statements
Private Securities Litigation Reform Act of 1995 Safe Harbor For Forward-Looking Statements This presentation contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. The forward-looking statements are made pursuant to safe harbor provisions
Slide 3: Quarterly Overview
QUARTERLY OVERVIEW Phil Heasley Chief Executive Officer
Slide 4: Q1 2014 in Review
Q1 2014 in Review • Revenue up 37% • Recurring revenue represented 84% of total revenue in Q1 • SNET bookings up 59% • Launched UP BASE24-eps 2.0 • Significant market interest in Universal Payments (UP) • Pipeline strong across all regions • Repurchased ~1.2 million shares of ACI stock in Q1 2014 •
Slide 5: Financial Review
FINANCIAL REVIEW Scott Behrens Chief Financial Officer
Slide 6: Key Takeaways from the Quarter
Key Takeaways from the Quarter • Record Q1 new sales bookings Q1 new sales bookings up 59%, or 51% ex contribution from Official Payments • Selected customer wins UP BASE24-eps sale to large European bank combined with Payments Infrastructure and Card Management solutions UP BASE24-eps sale to large
Slide 7: Key Takeaways from the Quarter
Key Takeaways from the Quarter • Backlog versus Q4 2013 12-month backlog of $883 million, up $13 million 60-month backlog of $3.91 billion, up $49 million • Solid Revenue Quarter Revenue increased driven from inclusion of Official Payments and full quarter of ORCC SaaS subscription and transaction r
Slide 8: 2014 Guidance
2014 Guidance 2014 Guidance Key Metrics Low High Non-GAAP Revenue $1,060 $1,080 Adjusted EBITDA $290 $300 $s in millions Guidance Sales, net of term extension, growth in the upper single digits Revenue and margin phasing by quarter consistent with seasonal history Q2 non-GAAP revenue expected to be
Slide 9: Appendix
UNIVERSAL PAYMENTS hC APPENDIX
Slide 10: Monthly Recurring Revenue
Monthly Recurring Revenue Quarter Ended March 31 Monthly Recurring Revenue ($s in millions) 2014 2013 Monthly software license fees $23.3 $24.7 Maintenance fees 61.0 58.6 Processing services 101.4 35.3 Monthly Recurring Revenue $185.7 $118.6 MEETS THE CHALLENGE OF CHANGE 10
Slide 11: Historic Sales Bookings By Quarter 2012-2014
Historic Sales Bookings By Quarter 2012-2014 Sales Mix by Category Total Economic Add-on Business inc. Quarter-End Value of Sales New Accounts / Term Capacity Upgrades & ($s in thousands) New Applications Extension Services 03/31/2012 $108,462 $5,958 $58,602 $43,902 06/30/2012 $156,188 $9,855 $102,4
Slide 12: Sales Bookings, Net of Term Extensions (SNET)
Sales Bookings, Net of Term Extensions (SNET) Sales Net of Term Extensions ($s in thousands) Quarter Ended Quarter Ended % Growth or Channel March 2014 March 2013 Decline Americas $81,005 $35,122 130.6% EMEA 33,653 22,664 48.5% Asia-Pacific 7,243 18,728 -61.3% Total Sales (Net of Term Ext.) $121,901
Slide 13: Non-GAAP Operating Income
Non-GAAP Operating Income Quarter Ended March 31 Non-GAAP Operating Income ($s in millions) 2014 2013 Operating income (loss) $0.3 ($4.0) Plus: Deferred revenue fair value adjustment 0.6 1.1 Employee related actions 2.0 1.9 Significant transaction related expenses 3.7 4.7 Non-GAAP Operating Income $
Slide 14: Adjusted EBITDA
Adjusted EBITDA Adjusted EBITDA Quarter Ended March 31 ($s in millions) 2014 2013 Net loss ($5.8) ($2.2) Plus: Income tax benefit (4.0) (2.4) Net interest expense 9.0 3.8 Net other expense (income) 1.1 (3.2) Depreciation expense 5.3 3.8 Amortization expense 15.3 10.4 Non-cash compensation expense 4.
Slide 15: Operating Free Cash Flow
Operating Free Cash Flow Reconciliation of Operating Free Cash Flow Quarter Ended March 31 ($s in millions) 2014 2013 Net cash provided by operating activities $15.3 $34.9 Payments associated with acquired opening balance sheet liabilities 4.1 - Net after-tax payments associated with employee-relate
Slide 16: 60-Month Backlog
60-Month Backlog 60-Month Backlog Quarter Ended March 31 ($s in millions) 2014 2013 Americas $2,858 $2,090 EMEA 767 691 Asia/Pacific 285 275 Backlog 60-Month $3,910 $3,056 Deferred Revenue $195 $205 Other 3,715 2,851 Backlog 60-Month $3,910 $3,056 MEETS THE CHALLENGE OF CHANGE 16
Slide 17: Backlog as a Contributor of Quarterly Revenue
Backlog as a Contributor of Quarterly Revenue Backlog as Contributor of Revenue Quarter Ended March 31 % Growth ($s in thousands) 2014 2013 Revenue from Backlog 38.3% $215,688 $155,964 Revenue from Sales -4.1% 5,785 6,033 Total Revenue $221,473 $161,997 36.7% Revenue from Backlog 97% 96% Revenue fro
Slide 18: Non-Cash Compensation, Acquisition Intangibles and Software, and Significant Transaction Related Expenses
Non-Cash Compensation, Acquisition Intangibles and Software, and Significant Transaction Related Expenses Acquisition Intangibles & Software, Non-cash equity based compensation Quarter Ended ($s in millions) March 31 2014 2013 $ in Millions $ in Millions EPS Impact EPS Impact (Net of Tax) (Net of Ta
Slide 19: Contract Duration Metric
Contract Duration Metric 5.00 4.50 4.00 3.50 2.85 2.68 2.71 2.56 2.62 3.00 2.41 2.40 2.46 2.50 2.47 2.00 1.50 1.00 0.50 0.00 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 • Represents dollar average remaining contract life (in years) for term license software contracts • Ex
Slide 20: Non-GAAP Financial Measures
Non-GAAP Financial Measures To supplement our financial results presented on a GAAP basis, we use the non-GAAP measure indicated in the tables, which exclude certain business combination accounting entries related to the acquisitions of ORCC and S1 and significant transaction related expenses, as we
Slide 21: Non-GAAP Financial Measures
Non-GAAP Financial Measures ACI is also presenting operating free cash flow, which is defined as net cash provided by operating activities, plus net after-tax payments associated with employee-related actions and facility closures, net after-tax payments associated with significant transaction relat
Slide 22: Non-GAAP Financial Measures
Non-GAAP Financial Measures Backlog is considered a non-GAAP financial measure as defined by SEC Regulation G. Our 60-month backlog estimate represents expected revenues from existing customers using the following key assumptions: • Maintenance fees are assumed to exist for the duration of the licen
Slide 23: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. Generally, forward-looking statements do not relate strictly to historical or current facts and may include words or phrases such as “belie
Slide 24: Forward-Looking Statements
Forward-Looking Statements All of the foregoing forward-looking statements are expressly qualified by the risk factors discussed in our filings with the Securities and Exchange Commission. Such factors include but are not limited to, increased competition, the performance of our strategic product, B
Slide 25: Universal Payments
UNIVERSAL PAYMENTS hC