Western Union Company (the) · NYSE:WU
Western Union Company (the) — The Western Union Company — Q1 2022 Earnings Presentation
29 slides from Western Union Company (the)'s earnings presentation, Apr 28, 2022
Slide 1: Earnings webcast and conference call
Earnings webcast and conference call FIRST QTR 2022 APRIL 28, 2022
Slide 2: Brad Windbigler, Head of Treasury and Investor Relations
Brad Windbigler Head of Treasury and Investor Relations 2
Slide 3: Safe Harbor
Safe Harbor This presentation contains certain statements that are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions that are difficult to pre
Slide 4: Devin McGranahan, Chief Executive Officer
Devin McGranahan Chief Executive Officer 4
Slide 5: Western Union – Highlights
Western Union – Highlights Company Results Highlights Strong Financial Position & Flexibility Revenue $1.2B GAAP >$900 million received in proceeds from the Business Solutions sale Op. Margin 20.5% 21.8% GAAP Adj. ex Business Solutions* >$240 million returned EPS to shareholders in Q1 $0.74 $0.51 GA
Slide 6: Strategy Update
Strategy Update Key Focus Areas Accelerating Driving Retail Digital and Omni-channel Customer Growth 6
Slide 7: Accelerating Retail Key Priorities
Accelerating Retail Key Priorities Targeting Improving Customer Marketing Network Opportunity Experience Effectiveness Optimization 7
Slide 8: Driving Digital and Omni-channel Customer Growth
Driving Digital and Omni-channel Customer Growth Shifting toward a more holistic customer Brand strength and scale of Opportunity to engage high relationship mindset retail customer base provides competitive value omni-channel customers advantage Acquiring 2x Customers Revenue per customer Retaining
Slide 9: Raj Agrawal, Chief Financial Officer
Raj Agrawal Chief Financial Officer 9
Slide 10: Business Trends Q1
Business Trends Q1 Consolidated revenues of $1.2 billion decreased 4% on a reported basis or 1% constant currency and excluding contributions from Business Solutions compared to the prior year period* 25% Digital Money Transfer ~ 70 million C2C Transactions % of Total C2C Revenue ~ 25 billion C2C Pr
Slide 11: Consumer-to-Consumer Trends Q1
Consumer-to-Consumer Trends Q1 Revenue Constant Currency Revenue Transaction % of C2C Regions Growth/(Decline) Growth/(Decline)* Growth/(Decline) Revenue North America (1%) (1%) (6%) 39% Europe & CIS (14%) (10%) (7%) 29% MEASA 2% 3% 5% 17% LACA 2% 5% 2% 9% APAC (6%) (3%) (13%) 6% Total C2C (5%) (3%)
Slide 12: Business Solutions and Other Highlights Q1
Business Solutions and Other Highlights Q1 Business Solutions First closing completed in March Second closing is expected to be completed in the back half of the year, subject to regulatory approval Until the second closing, will continue to recognize revenue and operating profit plus offsetting con
Slide 13: Total Company Operating Margin Q1
Total Company Operating Margin Q1 Key factors driving the increase in operating margin: 21.8% 20.5% Timing of investments, product and channel mix, and changes in foreign currency 19.2% 19.3% Adjusted operating margin was impacted by the same factors above and excludes: Divestiture and acquisition c
Slide 14: Segment Operating Margins Q1
Segment Operating Margins Q1 C2C Segment Other 31.7% 22.6% 20.7% 19.6% 1Q21 1Q22 1Q21 1Q22 14
Slide 15: Financial Highlights
Financial Highlights As of March 31, 2022 EPS: GAAP / Adjusted* $0.74 / $0.51 Cash Flow from Operations $200 million Dividends Paid $92 million Share Repurchases $150 million Cash Balance, March 31, 2022 $1.3 billion Debt outstanding, March 31, 2022 $2.5 billion *Note: See appendix for reconciliatio
Slide 16: 2022 Outlook
2022 Outlook GAAP GAAP & Adjusted GAAP Effective Tax GAAP Earnings per Revenue Operating Profit Margin* Rate Share Approximately -9% to -11% Approximately 20% Approximately 21% $2.13 to $2.23 Adjusted Adjusted Effective Tax Adjusted Earnings per Revenue Rate Share* Low-single digit decline Mid-teens
Slide 17: Questions & Answers
\wu Western Union Questions & Answers 17
Slide 18: Appendix
Appendix First Quarter 2022 Earnings Webcast and Conference Call 18
Slide 19: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures Western Union presents a number of non-GAAP financial measures because A non-GAAP financial measure should not be considered in isolation or as a management believes that these metrics provide meaningful supplemental substitute for the most comp
Slide 20: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 20
Slide 21: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 21
Slide 22: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 22
Slide 23: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 23
Slide 24: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 24
Slide 25: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 25
Slide 26: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 26
Slide 27: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 27
Slide 28: Key Statistics and Reconciliation of Non-GAAP Measures
Key Statistics and Reconciliation of Non-GAAP Measures 28
Slide 29: Thank You
\wU Thank You Western Union
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