Q4 2025 Euronet Worldwide Inc Earnings Call

February 12, 2026

Operator: Greetings, and welcome to the Euronet Worldwide Q4 2025 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you'll need to press star one one on your telephone. If your question has been answered and you'd like to remove yourself from the queue, simply press star one one again. As a reminder, today's program is being recorded. And now it's my pleasure to introduce your host for today's program, Adam Godderz, General Counsel for Euronet Worldwide. Thank you. Mr. Godderz, you may begin.

Speaker #1: To ask a question during the session, you'll need to press *11 on your telephone. If your question has been answered, and you'd like to remove yourself from the queue, simply press *11 again.

Speaker #1: As a reminder, today's program is being recorded. And now it's my pleasure to introduce your host for today's program, Adam Godderz, General Counsel for EURONET WORLDWIDE.

Speaker #1: Thank you, Mr. Godderz. You may begin.

Speaker #2: Thank you. And good morning, everyone, and welcome to EURONET's 4th Quarter and Full Year 2025 Earnings Conference Call. On the call today, we have Mike Brown, our Chairman and CEO, as well as Rick Weller, our CFO.

Adam Godderz: Thank you, and good morning, everyone, and welcome to Euronet's Q4 and full year 2025 earnings conference call. On the call today, we have Mike Brown, our Chairman and CEO, as well as Rick Weller, our CFO. Before we begin, I need to call your attention to the forward-looking statements disclaimer on the second slide of the PowerPoint presentation we'll be making today. Statements made on this call that concern Euronet's or its management's intentions, expectations, or predictions of further performance are forward-looking statements. Euronet's actual results may vary materially from those anticipated in these forward-looking statements as a result of a number of factors that are listed on the second slide of our presentation. In addition, the PowerPoint presentation includes a reconciliation of non-GAAP financial measures we'll be using during the call to their most comparable GAAP measures.

Speaker #2: Before we begin, I need to call your attention to the forward-looking statements disclaimer on the second slide of the PowerPoint presentation we'll be making today.

Speaker #2: Statements made on this call that concern EURONETs or its management's intentions, expectations, or predictions of further performance are forward-looking statements. EURONET's actual results may vary materially from those anticipated in these forward-looking statements, as a result of a number of factors that are listed on the second slide of our presentation.

Speaker #2: In addition, the PowerPoint presentation includes a reconciliation of non-GAAP financial measures we'll be using during the call to their most

Speaker #1: Most comparable GAAP measures . Now , at this time , I'll turn it over to our chairman and CEO , Brown

Adam Godderz: Now, at this time, I'll turn it over to our chairman and CEO, Mike Brown.

Mike Brown: Thank you, and good morning, everyone, and thank you for joining us today. Our Q4 2025 results reflect one of the more challenging operating environments that we have faced in some time. Immigration policy uncertainty and economic stress, especially among lower-income consumers, weighed on growth across all three segments, with the most pronounced impact on money transfer and ePay. That said, despite the external headwinds that pressured the quarter, we remain excited about growth initiatives underway across all our segments that will drive business momentum through 2026. We will discuss these items in detail throughout this call. Further, we remain confident in our competitive position, particularly in money transfer, where underlying trends continue to outperform broader market dynamics.

Speaker #2: Thank you and good morning , everyone , and thank you for joining us today Our fourth quarter 2020 results reflect one of the more challenging operating environments that we have faced in some time .

Speaker #2: Immigration policy uncertainty and economic stress , especially amongst lower income consumers , weighed on growth across all three segments with the most pronounced impact on money transfer and e-pay .

Speaker #2: That said , despite the external headwinds that pressured the quarter , we remain excited about growth initiatives underway across all our segments that will drive business momentum through 2026 .

Speaker #2: We will discuss these items in detail throughout this call Further , we remain confident in our competitive position , particularly in money transfer , where underlying trends continue to outperform broader market dynamics .

Speaker #2: I would be remiss not to highlight the resiliency of our EFT segment , which delivered solid growth and once again demonstrated its role as a stabilizing earnings engine .

Mike Brown: I would be remiss not to highlight the resiliency of our EFT segment, which delivered solid growth and once again demonstrated its role as a stabilizing earnings engine. This business continues to evolve beyond its historical reliance on ATM ownership, with an increasing focus on payments infrastructure and merchant acquiring. Stepping back and looking at full-year results, despite a difficult operating backdrop, I'm proud to say that we delivered another year of double-digit EPS growth, consistent with our history as a publicly held company. Looking ahead to 2026, we expect to continue that performance with adjusted EPS growth in the 10 to 15% range. Based on our track record and the investments we have made, we are now confident in our ability to deliver another year of double-digit earnings growth. Next slide, please.

Speaker #2: This business continues to evolve beyond its historical reliance And merchant acquiring stepping back and looking at full year results despite a difficult operating backdrop .

Speaker #2: I'm proud to say that we delivered another year of double digit EPs growth consistent with our history as a publicly held company Looking ahead to 2026 , we expect to continue that performance with adjusted EPs growth in the 10 to 15% range .

Speaker #2: Based on our track record and the investments we have made . We are now confident in our ability to deliver another year of double digit earnings growth Next slide please In periods of uncertainty , I believe that history does matter .

Mike Brown: In periods of uncertainty, I believe that history does matter, and this chart on slide 5 shows our ability to consistently deliver top-line growth year over year. Euronet has more than three decades of experience in dealing with various economic cycles. We've navigated the economic downturn in 2008 and 2009, demonetization in India, the economic instability in Greece, one of our largest EFT markets, and of course, we navigated COVID, just to name a few. In each of these periods, the diversity and durability of our earnings, our conservative balance sheet management, share repurchases, and thoughtful investment in growth initiatives, allowed us not only to withstand the pressure, but to emerge stronger, more agile, and with greater market share. You will see these themes emerge as Rick and I talk you through the details of the quarter.

Speaker #2: And this chart on slide five shows our ability to consistently deliver top line growth year over year Euronet has more than three decades of experience in dealing with various economic cycles .

Speaker #2: We've navigated the economic downturn in 2008 and nine , demonetization in India , the economic instability in Greece , one of our largest EFT markets .

Speaker #2: And of course , we navigated Covid name a few In each of these periods , the diversity and durability of our earnings , our conservative balance sheet management , share repurchases , and thoughtful investment in growth initiatives allowed us not only to withstand the pressure , but to emerge stronger , more agile , and with greater market share .

Speaker #2: You will see these themes emerge as Rick and I talk you through the details of the quarter . In short , we don't view near-term uncertainty as a reason to adjust our long term strategy Instead , we rely on the same principles that have grounded our success for decades .

Mike Brown: In short, we don't view near-term uncertainty as a reason to adjust our long-term strategy. Instead, we rely on the same principles that have grounded our success for decades: disciplined execution, evolution of our business model, thoughtful capital allocation, and a focus on building assets that compound value over time. Our 2025 execution shows how we put these principles into action. We generated $408 million in adjusted earnings, which allowed us to return approximately $388 million in capital to shareholders in the form of share repurchases, which excludes the shares repurchased to offset the shares issued for the CoreCard acquisition. During the year, we also acquired Kyodi in our money transfer segment, and we announced the acquisition of Credia Bank's merchant acquiring business. We expect both of these acquisitions to drive multi-year growth. Next slide, please.

Speaker #2: Disciplined execution , evolution of our business model . Thoughtful capital allocation , and a focus on building assets that compound value over time Our 2025 execution shows how we put these principles into action .

Speaker #2: We generated 408 million in adjusted earnings , which allowed us to return approximately 388 million in capital to shareholders in the form of share repurchases , which excludes the shares repurchased to offset the shares issued for the court card acquisition .

Speaker #2: During the year . We also acquired Kyodai in our money transfer segment , and we announced the acquisition of Credit Bank's merchant , acquiring business .

Speaker #2: We expect both of these acquisitions to drive multi-year growth Next slide please As I continue my comments on slide six , you can see a quick recap of some of our key accomplishments for 2025 .

Mike Brown: As I continue my comments on slide 6, you can see a quick recap of some of our key accomplishments for 2025. We continued to invest in growth opportunities across all three segments, particularly in areas where we were accelerating our digital strategy. In addition to the acquisitions I previously mentioned, we signed a Ren deal with one of the top 3 US banks. We added Commonwealth Bank of Australia, along with Citi, to our DataLine portfolio. We continued to expand distribution into digital wallets and epay. Not only will these deals contribute to our growth, names like these demonstrate that our products are being recognized as market leaders and drive value. The flywheel is definitely turning and gaining momentum. So while we've experienced some pressure from immigration and the economy, we've continued to keep our eye on execution of all our growth initiatives as we enter 2026.

Speaker #2: We continue to invest in growth opportunities across all three segments , particularly in areas where we were accelerating our digital strategy . In addition to the acquisitions , I previously mentioned , we signed a rent deal with one of the top three US banks .

Speaker #2: We added Commonwealth Bank of Australia along with seat to our dandelion portfolio . We continue to expand distribution into digital wallets and epay .

Speaker #2: Not only will these deals contribute to our growth , names like these demonstrate that our products are being recognized as market leaders and drive value .

Speaker #2: The flywheel is definitely turning and gaining momentum . So while we've experienced some pressure from immigration and the economy , we've continued to keep our eye on execution of all our growth initiatives as we enter 2026 .

Speaker #2: Next slide please With that perspective in mind , I want to step back and remind everyone how we think about Euronet at a higher level .

Mike Brown: Next slide, please. With that perspective in mind, I want to step back and remind everyone how we think about Euronet at a higher level, as illustrated on slide number 7. As we've discussed in prior calls, our business is built around two core revenue pillars: payment and transaction processing, and cross-border and foreign exchange. What is important is that these two pillars support a huge number of use cases across the globe, that we can serve through our technologies and global network, and they also work together to combine payments, cross-border movement, and FX, resulting in revenue generation, which is meaningfully higher per dollar move than the broad global payments industry. Despite global challenges like the ones I mentioned earlier, the bottom line is that people and businesses will continue to make payments. They will send money, move funds across borders.

Speaker #2: As illustrated on slide number seven, as we've discussed in prior calls, our business is built around two core revenue pillars: payment and transaction processing.

Speaker #2: And cross and foreign exchange . What is important is that these two pillars support a huge number of use cases across the globe that we can serve through our technologies and global network , and they also work together to combine payments , cross-border movement and FX , resulting in revenue generation , which is meaningful , meaningfully higher per dollar move than the broad global payments industry .

Speaker #2: Despite global challenges like the ones I mentioned earlier . The bottom line is that people and businesses will continue to make payments . They will send money , move funds across borders .

Speaker #2: Our focus is on ensuring that urinary remains well positioned to serve those needs wherever , whenever and however they may arise . Now let's go on to slide number eight and we'll talk about how we furthered this strategy in each of the segments .

Mike Brown: Our focus is on ensuring that Euronet remains well-positioned to serve those needs wherever, whenever, and however they may arise. Now, let's go on to slide number 8, and we'll talk about how we furthered this strategy in each of the segments. Of course, I'll start with EFT. I am on slide number 8 now. Throughout 2025, EFT continued to deliver consistent growth, earnings stability, and cash generation, which was largely the result of the diversity of our products, geographies, and payment channels in the segment. During Q4, and on the heels of another year of exceptional growth in our merchant acquiring business, where Adjusted EBITDA grew 32%, we acquired Credia Bank's merchant acquiring business. This partnership with Credia Bank, which is the fifth largest bank in Greece, adds to the diversity of products and services in the EFT segment.

Speaker #2: And of course , I'll EFT . I'm on slide number eight now . Throughout 2025 EFT continued to deliver consistent growth , earnings stability and cash generation , which was largely the result of the diversity of our products , geographies and payment channels in the segment .

Speaker #2: During the fourth quarter , and on the heels of another year of exceptional growth in our merchant acquiring business , where adjusted EBITDA grew 32% , we acquired creditor bank's merchant , acquiring business .

Speaker #2: This partnership with credit Bank , which is the fifth largest bank in Greece , adds to the diversity of products and services in the EFT segment Additional mix shift to our digital strategy and is a perfect example of the breadth of services it can offer a partner , largely due to our Ran platform and its flexible , modern digital payments processing capabilities .

Mike Brown: Additional mix shift to our digital strategy and is a perfect example of the breadth of services EFT can offer a partner, largely due to our REN platform and its flexible modern digital payments processing capabilities... This agreement will add another 20,000 merchants to our acquiring portfolio, or nearly a 10% increase as we provide the banking infrastructure for financial services to credit to Credia, including credit, debit, and prepaid card issuing. We will also manage the outsourcing for the branch and off-branch ATMs, and provide Credia customers with access to our leading ATM network. Before I wrap up, I'd like to briefly touch on our recent acquisition of CoreCard, which we completed at the end of October. This acquisition aligns well with our objective to expand into high-growth fintech areas, such as credit card issuance and processing.

Speaker #2: This agreement will add another 20,000 merchants to our acquiring portfolio , or nearly a 10% increase , as we provide the banking infrastructure for financial services to credit to credit , including credit , debit and prepaid card issuing .

Speaker #2: We will also manage the outsourcing for the branch and off branch ATMs and provide credit customers with access to our leading ATM network .

Speaker #2: Before I wrap up , I'd like to briefly touch on our recent acquisition of Core Card , which we which we completed at the end of October .

Speaker #2: This acquisition aligns well with our objective to expand into high growth fintech areas such as credit card issuance and processing We view Core Card as a strong addition to our payments processing pillar , and we are encouraged by the early momentum into new markets , along with its ability to serve a more diversified client base Since the acquisition , we've seen an expansion in processing relationships across several new programs , including the recently launched and well publicized built 2.0 credit card focused on renters and homeowners .

Mike Brown: We view CoreCard as a strong addition to our payments processing pillar, and we are encouraged by the early momentum into new markets, along with its ability to serve a more diversified client base. Since the acquisition, we've seen an expansion in processing relationships across several new programs, including the recently launched and well-publicized Bilt 2.0 credit card, focused on renters and homeowners, excuse me, that allow you to earn points on housing payments, and the Coinbase One Card, which offers rewards paid in Bitcoin. These are just a few of the potential new customers that we are targeting with this innovative platform. As previously stated, our near-term focus is on integrating CoreCard into our product, offering for international markets. Over time, this integration will enable more and more comprehensive end-to-end client offering, combining seamless credit card processing with our existing payments capabilities.

Speaker #2: Excuse me , that allow you to earn points on housing payments and the Coinbase One card , which offers rewards paid in Bitcoin .

Speaker #2: These are just a few of the potential new customers that we are targeting with this innovative platform. As previously stated, our near-term focus is on integrating Core Card into our product offering for international markets.

Speaker #2: Over time , this integration will enable more and more comprehensive end to end client offering , combining seamless credit card processing with our existing payments capabilities Needless to say , at this point we are pleased with the early customer response I'd like to pause here to specifically highlight one important point .

Mike Brown: Needless to say, at this point, we are pleased with the early customer response. I'd like to pause here to specifically highlight one important point. Our EFT business is evolving from a model, historically centered on ATM ownership to one increasingly focused on payments infrastructure. While ATMs remain an important and cash-generative component of EFT, partnerships like Credia and acquisitions like CoreCard accelerate our capabilities in modern issuing and processing, allowing us to scale software-driven services that support digital transactions and real-time payment flows across our global network. Now, let's go on to slide number 9, and we'll talk about epay. As I mentioned, epay's results were impacted by global macroeconomic pressures. However, despite these challenges, the underlying core epay business continued to perform well in a difficult environment. Throughout the year, we expanded and diversified epay's distribution footprint across both physical and digital channels.

Speaker #2: Our EFT business is evolving from a model , historically centered on ATM ownership to one increasingly focused on payments infrastructure . While ATMs remain an important and cash generative component of EFT , partnerships like credit and acquisitions like core card accelerate , our capabilities in modern issuing and processing , allowing us to scale software driven services that support digital transactions and real time payment flows across our global network Now , let's go on to slide number nine .

Speaker #2: And we'll talk about EIP . As I mentioned , IPA's results were impacted by global macro economic pressures . However , despite these challenges , the underlying core eBay business continued to perform well in a difficult environment throughout the year .

Speaker #2: We expanded and diversified IPAs distribution footprint across both physical and digital channels . This included growth in our merchant payments processing business . The expansion of our digital content and gaming partnerships , and the launch of our own open loop product in the new market .

Mike Brown: This included growth in our merchant payments processing business, the expansion of our digital content and gaming partnerships, and the launch of our own open loop product in the new market. In the fourth quarter, we delivered strong performance in our gaming-related branded payments business, which makes up 37% of our total branded payments margin. According to industry reports, the global video game market was approximately $290 billion in 2025, and is expected to grow at a 13% CAGR through 2031. We have strategically positioned our branded payment distribution to benefit from the strong growth trends in markets around the world. We also expanded our digital content distribution with Revolut to India and New Zealand as part of their loyalty program. We're now in 20 countries with Revolut and looking to expand further.

Speaker #2: In the fourth quarter , we delivered strong performance in our gaming related branded payments business , which makes up 37% of our total branded payments margin , according to industry reports .

Speaker #2: The global video game market was approximately $290 billion in 2025 and is expected to grow at a 13% kegger through 2031 . We have strategically positioned our branded payment distribution to benefit from the strong growth trends in markets around the world .

Speaker #2: We also expanded our digital content distribution with Revolut to India and New Zealand as part of their loyalty program. We're now in 20 countries with Revolut and looking to expand further.

Speaker #2: Revolut is one of the fastest growing fintechs out there , which further demonstrates our global reach . Good execution of our digital channel growth strategy and customer demand for the EAP products Additionally , we broadened our partnership with Lidl supermarkets , adding digital branded payments in two markets Italy and France Finally , we continue to leverage our relationship with the merchants that distribute EAP content to offer payment processing .

Mike Brown: Revolut is one of the fastest-growing fintechs out there, which further demonstrates our global reach, good execution of our digital channel growth strategy, and customer demand for the epay products. Additionally, we broadened our partnership with Lidl Supermarkets, adding digital branded payments in two markets, Italy and France. Finally, we continued to leverage our relationship with the merchants that distribute epay content to offer payment processing. This has allowed epay to grow its merchant payment processing revenue by 21% for the full year. As we move forward, we will continue to evaluate the business to ensure that epay operates at optimal levels, while staying focused on our core strategic initiatives to drive growth across the segment. Now, let's move on to slide number 10, and we'll talk about money transfer. Slide 10.

Speaker #2: This has allowed EAP to grow its merchant payment processing revenue by 21% for the full year . As we move forward , we will continue to evaluate the business to ensure that EAP operates at optimal levels while staying focused on our core strategic initiatives to drive growth across the segment Now , let's move on to slide number ten , and we'll talk about money transfer Slide ten .

Speaker #2: As I mentioned in my opening comments , the money transfer segment faced headwinds , particularly in the second half of the year , driven by macro uncertainty and the changes in US immigration policy While these external factors certainly impacted our business , they have impacted everyone in the industry .

Mike Brown: As I mentioned in my opening comments, the money transfer segment faced headwinds, particularly in the second half of the year, driven by macroeconomic uncertainty and the changes in US immigration policy. While these external factors certainly impacted our business, they have impacted everyone in the industry. It's been tough for everyone, yet we continue to find ways to gain market share. Since we've acquired Ria, we have outpaced market growth. Despite the disruption in remittances, we have continued to expand our world-class network to add more digital touch points, to operate in new send and receive markets, and to add world-class partners to our Dandelion network. To ensure the continuity and stability of our operations, our management team focused on what is within our control, and in 2025, anticipating a softer environment, we proactively initiated a comprehensive...

Speaker #2: It's been tough for everyone. Yet we continue to find ways to gain market share. Since we've acquired Ria, we have outpaced market growth.

Speaker #2: Despite the disruption in remittances , we have continued to expand our world class network to add more digital touchpoints to operate in new send and receive markets , and to add world class partners to our dandelion network to ensure the continuity and stability of our operations .

Speaker #2: Our management team focused on what is within our control and in 2025 , anticipating a softer environment , we proactively initiated a comprehensive results based review of the money transfer business with an external management consulting partner .

Mike Brown: Results-based review of the money transfer business with an external management consulting partner. The goal was to improve our digital sales focus together with the efficiency, scalability, and operating leverage of the segment. That work resulted in a set of structural actions designed to strengthen the business over time. Rick will walk you through the financial implications of those actions, but from my perspective, this was about fortifying and optimizing how the business focuses on digital customers and operates through AI and process automation. Because this work began well in advance, we are better positioned now and expect these proactive steps to support performance in the coming quarters and beyond. In parallel with the optimization effort, we continue to invest in key areas that will position money transfer for future growth.

Speaker #2: The goal was to improve our digital sales focus, together with the efficiency, scalability, and operating leverage of the segment. That work resulted in a set of structural actions designed to strengthen the business over time.

Speaker #2: Rick will walk you through the financial implications of those actions , but from my perspective , this was about 4 to 5 and optimizing how the business focuses on digital customers and operates through AI and process automation .

Speaker #2: Because this work began well in advance , we are better positioned now and expect these proactive steps to support performance in the coming quarters and beyond .

Speaker #2: In parallel with the optimization effort , we continue to invest in key areas that will position money transfer for future growth During the fourth quarter , we signed an agreement with World First , a UK based fintech that is owned and operated by Ant Financial .

Mike Brown: During Q4, we signed an agreement with WorldFirst, a UK-based fintech that is owned and operated by Ant Financial. WorldFirst will join Citi, Standard Chartered, HSBC, and others in leveraging our Dandelion network to offer best-in-class, real-time, cross-border payment flows to their customers. We also closed the year with strong performance in our Ria digital channel. In Q4, we expanded our digital reach with the launch of the Ria app in Greece, Romania, and the Czech Republic, which are exciting new markets that will support our ongoing digital growth. In Q4, our global digital channel delivered 31% transaction growth and 33% revenue growth, including 33% new customer acquisitions in December alone. We also continued to expand our global distribution network by launching business operations in Colombia and Panama under our own licenses.

Speaker #2: World first will join Citi Standard Charter , HSBC and others in leveraging our dandelion network to offer best in class , real time cross-border payment flows to their customers .

Speaker #2: We also closed the year with strong performance in our Ria digital channel . In the fourth quarter , we expanded our digital reach with the launch of the Ria app in Greece , Romania and the Czech Republic , which are exciting new markets that will support our ongoing digital growth .

Speaker #2: In the fourth quarter, our global digital channel delivered 31% transaction growth and 33% revenue growth, including 33% new customer acquisitions. In December alone.

Speaker #2: We also continued to expand our global distribution network by launching business operations in Colombia and Panama . Under our own licenses . These new markets are part of our geo expansion efforts that will allow us to continue to expand our global Tam .

Mike Brown: These new markets are part of our geo expansion efforts that will allow us to continue to expand our global TAM. We look forward to building strong inbound and outbound businesses in both countries. Finally, we continue to work closely with Fireblocks and our own internal teams to launch stablecoin strategies. This initiative, excuse me, which we announced last quarter, will support use cases around the globe. So while we work through some market-driven challenges in 2025, we remain confident that our optimized operating model, combined with our leading global network, which now reaches 4.1 billion bank accounts, 3.7 billion wallets, and 4 billion cards across 200 countries, will continue to support our ability to outgrow the market in 2026 and beyond.

Speaker #2: We look forward to building strong inbound and outbound businesses in both countries Finally , we continue to work closely with Fireblocks and our internal teams to launch stablecoin strategies .

Speaker #2: This initiative , excuse me , which we announced last quarter , will support use cases around the globe . So while we worked through some market driven challenges in 2025 , we remain confident that our optimized operating model combined with our leading global network , which now reaches 4.1 billion bank accounts , 3.7 billion wallets and 4 billion cards across 200 countries , will continue to support our ability to outgrow the market in 2026 and beyond .

Speaker #2: I'll stop there and I'll turn it over to Rick , who will walk you through the financial results for the quarter . In more detail

Mike Brown: I'll stop there, and I'll turn it over to Rick, who will walk you through the financial results for the quarter in more detail.

Speaker #1: Yeah . Thanks , Mike , and good morning , everyone . I'll begin my comments on slide 12 , which shows our fourth quarter and year over year results on an as reported basis Most of the majority a major currencies we operate in strengthened compared to the dollar to normalize the impact of the currency fluctuations .

Rick Weller: Yeah, thanks, Mike, and good morning, everyone. I'll begin my comments on slide 12, which shows our fourth quarter and year-over-year results on an as-reported basis. Most of the major currencies we operate in strengthened compared to the dollar. To normalize the impact of the currency fluctuations, we have presented our results adjusted for currency on the next slide, on slide 13. As Mike mentioned, adjusted EPS for the fourth quarter was $2.39, reflecting another quarter of double-digit year-over-year earnings growth, even as parts of the business faced pressure. With that context, I'll start with the fourth quarter results and then move to the full year performance.

Rick L. Weller: Yeah, thanks, Mike, and good morning, everyone. I'll begin my comments on slide 12, which shows our fourth quarter and year-over-year results on an as-reported basis. Most of the major currencies we operate in strengthened compared to the dollar. To normalize the impact of the currency fluctuations, we have presented our results adjusted for currency on the next slide, on slide 13. As Mike mentioned, adjusted EPS for the fourth quarter was $2.39, reflecting another quarter of double-digit year-over-year earnings growth, even as parts of the business faced pressure. With that context, I'll start with the fourth quarter results and then move to the full year performance.

Speaker #1: We have presented our results adjusted for currency . On the next slide , on slide 13 , as Mike mentioned , adjusted EPs for the fourth quarter was $2.39 , reflecting another quarter of double digit year over year earnings growth .

Speaker #1: Even as parts of the business faced pressure . With that context , I'll start with the fourth quarter results and then move to the full year performance on a constant currency basis in the fourth quarter , consolidated revenue increased 1% year over year .

Rick Weller: On a Constant Currency basis, in the Q4, consolidated revenue increased 1% year-over-year, adjusted operating income declined 6%, and adjusted EBITDA was consistent with the prior year, reflecting macroeconomic and immigration-related pressures in money transfer and epay, partially offset by strong performance in EFT, where we delivered double-digit growth in both adjusted operating income and EBITDA. EFT produced another strong quarter, with revenue growing 8%, adjusted operating income increasing 12%, and adjusted EBITDA growing 13%. Money merchant services in the Greek business performed exceptionally well, delivering another strong quarter, with adjusted EBITDA up 32% year-over-year on robust transaction volumes and continued merchant expansion.

Rick L. Weller: On a Constant Currency basis, in the Q4, consolidated revenue increased 1% year-over-year, adjusted operating income declined 6%, and adjusted EBITDA was consistent with the prior year, reflecting macroeconomic and immigration-related pressures in money transfer and epay, partially offset by strong performance in EFT, where we delivered double-digit growth in both adjusted operating income and EBITDA. EFT produced another strong quarter, with revenue growing 8%, adjusted operating income increasing 12%, and adjusted EBITDA growing 13%. Money merchant services in the Greek business performed exceptionally well, delivering another strong quarter, with adjusted EBITDA up 32% year-over-year on robust transaction volumes and continued merchant expansion.

Speaker #1: Adjusted operating income declined 6% and adjusted EBITDA was consistent with the prior year , reflecting macroeconomic and immigration related pressures . In money transfer and e-pay , partially offset by strong performance in EFT , where we delivered double digit growth in both operating adjusted operating income and EBITDA .

Speaker #1: EFT produced another strong quarter , with revenue growing 8% . Adjusted operating income increasing 12% , and adjusted EBITDA growing 13% . Money merchant services in the Greek business performed exceptionally well , delivering another strong quarter with adjusted EBITDA up 32% , up over a year over year .

Speaker #1: On robust transaction volumes and continued merchant expansion results in the quarter. Also benefited from continued expansion in Morocco, Egypt, and the Philippines.

Rick Weller: Results in the quarter also benefited from continued expansion in Morocco, Egypt, and the Philippines as we deployed additional ATMs, broadened service offerings, and deepened relationships with banks and fintech partners. In epay, revenue declined approximately 2%, while adjusted operating income decreased 7% and adjusted EBITDA declined 8%, reflecting, product mix shifts, continued investment in proprietary offerings, and macroeconomic pressures. Promotional activity in our B2B channel was lighter year-over-year, while our core digital content and payment processing businesses remained stable. Money transfer revenue declined 1% year-over-year, with adjusted operating income down 6% and adjusted EBITDA down 5%. I want to put these headwinds in proper context. The declines we experienced in certain remittance corridors were driven primarily by macroeconomic conditions and immigration-related dynamics affecting senders, with more pressure in the United States and more specifically, Mexico.

Rick L. Weller: Results in the quarter also benefited from continued expansion in Morocco, Egypt, and the Philippines as we deployed additional ATMs, broadened service offerings, and deepened relationships with banks and fintech partners. In epay, revenue declined approximately 2%, while adjusted operating income decreased 7% and adjusted EBITDA declined 8%, reflecting, product mix shifts, continued investment in proprietary offerings, and macroeconomic pressures. Promotional activity in our B2B channel was lighter year-over-year, while our core digital content and payment processing businesses remained stable. Money transfer revenue declined 1% year-over-year, with adjusted operating income down 6% and adjusted EBITDA down 5%. I want to put these headwinds in proper context. The declines we experienced in certain remittance corridors were driven primarily by macroeconomic conditions and immigration-related dynamics affecting senders, with more pressure in the United States and more specifically, Mexico.

Speaker #1: As we deployed additional ATMs , broadened service offerings and deepened relationships with banks and fintech partners in E-pay , revenue declined approximately 2% , while adjusted operating income decreased 7% and adjusted EBITDA declined 8% , reflecting product mix shifts continued investment in proprietary offerings and macroeconomic pressures .

Speaker #1: Promotional activity in our B2B channel was lighter year over year , while our core digital content and payment processing businesses remained stable , many transfer revenue declined 1% year over year , with adjusted operating income down 6% and adjusted EBITDA down 5% .

Speaker #1: I want to put these headwinds in proper context . The declines we experienced in certain remittance corridors were driven primarily by macroeconomic conditions and immigration .

Speaker #1: Immigration related dynamics affecting senders with more pressure in the United States and more specifically Mexico , financial pressure remains concentrated among low income households , which represents the majority of remittance customers .

Rick Weller: Financial pressure remains concentrated among low-income households, which represents the majority of remittance customers. According to the Federal Reserve's most recent survey of household economics and decision-making, inflation and prices remain the top financial challenge facing US customers, and a significant share of lower-income households report difficulty covering monthly expenses and absorbing unexpected costs. What that typically means in practice is not a sharp reduction in support for families abroad, but rather fewer transactions. When budgets are strained by essentials such as rent, food, fuel, and utilities, senders continue to remit, but with less flexibility between paychecks. That shows up first in frequency rather than ticket size. While we saw pressure in transactions, average amount sent increased by 7 to 8% year-over-year in Q4.

Rick L. Weller: Financial pressure remains concentrated among low-income households, which represents the majority of remittance customers. According to the Federal Reserve's most recent survey of household economics and decision-making, inflation and prices remain the top financial challenge facing US customers, and a significant share of lower-income households report difficulty covering monthly expenses and absorbing unexpected costs. What that typically means in practice is not a sharp reduction in support for families abroad, but rather fewer transactions. When budgets are strained by essentials such as rent, food, fuel, and utilities, senders continue to remit, but with less flexibility between paychecks. That shows up first in frequency rather than ticket size. While we saw pressure in transactions, average amount sent increased by 7 to 8% year-over-year in Q4.

Speaker #1: According to the Federal Reserve's most recent survey of household Economics and decision making , inflation and prices remain the top financial challenge facing U.S.

Speaker #1: customers and a significant share of lower income households . Report difficulty covering monthly expenses and absorbing unexpected costs With that typically means in practice , is not a sharp reduction in support for families abroad , but rather fewer transactions when budgets are strained by essentials such as rent , food , fuel and utilities .

Speaker #1: Senders continue to remit , but with less flexibility between paychecks . That shows up first in frequency rather than ticket size . While we saw pressure in transactions , average amount increase , average amount sent increased by 7 to 8% year over year in the fourth quarter , according to the central Bank of Mexico , remittances to India , Mexico declined approximately 2% in the fourth quarter of 2025 , following eight months of decline , ranging from about 2% to 16% compared to the prior year , and were down roughly 5% for the full year .

Rick Weller: According to the Central Bank of Mexico, remittances into Mexico declined approximately 2% in Q4 of 2025, following 8 months of decline, ranging from about 2% to 16% compared to the prior year, and were down roughly 5% for the full year. Our money transfer results tracked the industry in Q4, reflecting the same macroeconomic and immigration-related pressures facing US senders. However, while the broader market contracted on a full-year basis, our business delivered a modest increase in remittance volumes for 2025. In our view, that outperformance reflects continued share gains, driven by our expanding digital footprint, corridor diversification, and strong partner network, demonstrating the durability of our platform, even in a softer demand environment.

Rick L. Weller: According to the Central Bank of Mexico, remittances into Mexico declined approximately 2% in Q4 of 2025, following 8 months of decline, ranging from about 2% to 16% compared to the prior year, and were down roughly 5% for the full year. Our money transfer results tracked the industry in Q4, reflecting the same macroeconomic and immigration-related pressures facing US senders. However, while the broader market contracted on a full-year basis, our business delivered a modest increase in remittance volumes for 2025. In our view, that outperformance reflects continued share gains, driven by our expanding digital footprint, corridor diversification, and strong partner network, demonstrating the durability of our platform, even in a softer demand environment.

Speaker #1: Our money transfer results tracked the industry in the fourth quarter, reflecting the same macroeconomic and immigration-related pressures facing U.S. senders.

Speaker #1: However , while the broader market contracted on a full year basis , our business delivered a modest increase in remittance volumes for 2025 .

Speaker #1: In our view that outperformance reflects continued share gains driven by our expanding digital footprint corridor diversification and strong partner network network demonstrating the durability of our platform .

Speaker #1: Even in a softer demand environment , consistent with our discussions over the past few quarters , we are very focused on extending our digital strategy in each segment .

Rick Weller: Consistent with our discussions over the past few quarters, we are very focused on extending our digital strategy in each segment. More specifically, in the money transfer segment, where we have consistently produced 30% growth rates in Ria Digital and signed Dandelion agreements with leading financial and fintech institutions. To continue our focus on digital growth, about a year ago, we initiated a process to carefully look at what we could do to drive yet more focus on money transfer digital initiatives. This effort is expected to produce approximately $40 million in annual run rate benefit, a portion of which will drop to the bottom line.

Rick L. Weller: Consistent with our discussions over the past few quarters, we are very focused on extending our digital strategy in each segment. More specifically, in the money transfer segment, where we have consistently produced 30% growth rates in Ria Digital and signed Dandelion agreements with leading financial and fintech institutions. To continue our focus on digital growth, about a year ago, we initiated a process to carefully look at what we could do to drive yet more focus on money transfer digital initiatives. This effort is expected to produce approximately $40 million in annual run rate benefit, a portion of which will drop to the bottom line.

Speaker #1: More specifically in the money transfer segment where we have consistently produced 30% growth rates in digital and signed dandelion agreements with leading financial and fintech institutions to continue our focus on digital growth .

Speaker #1: About a year ago , we initiated a process to carefully look at what we could do to drive yet more focus on money transfer , digital initiatives .

Speaker #1: This effort is expected to produce approximately $40 million in annual run rate benefit . A portion of which will drop to the bottom line in that regard , as you saw in our earnings announcement , we recorded a charge of 20 million related to driving the extension of our wholesale SME and consumer digital products , enhancing the end to end customer experience and deploying targeted marketing investments to accelerate digital customer acquisition and engagement .

Rick Weller: In that regard, as you saw in our earnings announcement, we recorded a charge of $20 million related to driving the extension of our wholesale, SME, and consumer digital products, enhancing the end-to-end customer experience, and deploying targeted marketing investments to accelerate digital customer acquisition and engagement. The net benefit of this investment will meaningfully contribute to an expansion in the money transfer segment's operating margins by approximately 50 to 75 basis points in 2026. Moreover, we will continue to critically evaluate the opportunities to accelerate our money transfer digital revenue growth, which will likely require additional investment. We expect that the net benefit of these investments will drive additional growth as well as contribute to an expansion of our operating margins.

Rick L. Weller: In that regard, as you saw in our earnings announcement, we recorded a charge of $20 million related to driving the extension of our wholesale, SME, and consumer digital products, enhancing the end-to-end customer experience, and deploying targeted marketing investments to accelerate digital customer acquisition and engagement. The net benefit of this investment will meaningfully contribute to an expansion in the money transfer segment's operating margins by approximately 50 to 75 basis points in 2026. Moreover, we will continue to critically evaluate the opportunities to accelerate our money transfer digital revenue growth, which will likely require additional investment. We expect that the net benefit of these investments will drive additional growth as well as contribute to an expansion of our operating margins.

Speaker #1: The net benefit of this investment will meaningfully contribute to an expansion in the money transfer segment's operating margins by approximately 50 to 75 basis points in 2026 .

Speaker #1: Moreover , we will continue to critically evaluate the opportunities to accelerate our money transfer digital revenue growth , which will likely require additional investment .

Speaker #1: We expect that the net benefit of these investments will drive additional growth as well as contribute to an expansion of our operating margins .

Speaker #1: This focused approach to accelerate our digital project product opportunities to operate and scale the business to fully leverage the company's strong capabilities , extensive global infrastructure , deep banking relationships and regulatory expertise is all designed to translate our advantages into scaled sustainable growth in digital money transfer .

Rick Weller: This focused approach to accelerate our digital product opportunities to operate, and scale the business to fully leverage the company's strong capabilities, extensive global infrastructure, deep banking relationships, and regulatory expertise, is all designed to translate our advantages into scaled, sustainable growth in digital money transfer. We will share additional details regarding these initiatives in our upcoming quarters. Finally, despite the macroeconomic and immigration-related pressures impacting Q4, as Mike mentioned, we remain very confident in the underlying earnings power of this business. The momentum we see across EFT, early wins from CoreCard, and the structural cost actions we have taken across the business, including the ongoing optimization project in money transfer, giving us increasing confidence going into 2026.

Rick L. Weller: This focused approach to accelerate our digital product opportunities to operate, and scale the business to fully leverage the company's strong capabilities, extensive global infrastructure, deep banking relationships, and regulatory expertise, is all designed to translate our advantages into scaled, sustainable growth in digital money transfer. We will share additional details regarding these initiatives in our upcoming quarters. Finally, despite the macroeconomic and immigration-related pressures impacting Q4, as Mike mentioned, we remain very confident in the underlying earnings power of this business. The momentum we see across EFT, early wins from CoreCard, and the structural cost actions we have taken across the business, including the ongoing optimization project in money transfer, giving us increasing confidence going into 2026.

Speaker #1: We will share additional details regarding these initiatives in our upcoming quarters Finally , despite the macro economic and immigrated related pressures impacting the fourth quarter , as Mike mentioned , we remain very confident in the underlying earnings power of this business .

Speaker #1: The momentum we see across EFT , early wins from core card and the structural cost actions we have taken across the business , including the ongoing optimization project in money transfer , giving us increasing confidence going into 2026 .

Speaker #1: As Mike mentioned earlier , based on our current operating trajectory and pipeline of growth initiatives , we anticipate adjusted earnings per share growth to growth of 10 to 15% in 2026 , with multiple levers to drive performance as volume normalize and investments scale .

Rick Weller: As Mike mentioned earlier, based on our current operating trajectory and pipeline of growth initiatives, we anticipate adjusted earnings per share growth to, growth of 10% to 15% in 2026, with multiple levers to drive performance as volume normalize and investments scale. I'm on slide 14 now. Turning to the full year, we delivered revenue of $4.2 billion, adjusted operating income of $550 million, and Adjusted EBITDA of $743 million, and adjusted earnings per share of $9.61. Essentially, the difference between the fourth quarter and the full year was from the increasing pressure in the second half of the year due to macroeconomic conditions and immigration-related policy decisions across several markets.

Rick L. Weller: As Mike mentioned earlier, based on our current operating trajectory and pipeline of growth initiatives, we anticipate adjusted earnings per share growth to, growth of 10% to 15% in 2026, with multiple levers to drive performance as volume normalize and investments scale. I'm on slide 14 now. Turning to the full year, we delivered revenue of $4.2 billion, adjusted operating income of $550 million, and Adjusted EBITDA of $743 million, and adjusted earnings per share of $9.61. Essentially, the difference between the fourth quarter and the full year was from the increasing pressure in the second half of the year due to macroeconomic conditions and immigration-related policy decisions across several markets.

Speaker #1: I'm on slide 14 . Now , turning to the full year . We delivered revenue of 4.2 billion adjusted operating income of 550 million and adjusted EBITDA of 743 million , and adjusted earnings per share of $9.61 .

Speaker #1: Essentially , the difference between the fourth quarter and full year was from the increasing pressure in second half of the year due to macroeconomic conditions and immigration related policy decisions across several markets Despite these headwinds , the diversification of our portfolio , disciplined expense management and share repurchases we executed during the year enabled us to deliver another year over year double digit earnings growth .

Rick Weller: Despite these headwinds, the diversification of our portfolio, disciplined expense management, and share repurchases we executed during the year enabled us to deliver another year-over-year double-digit earnings growth. I would also highlight that consolidated operating margins expanded by approximately 30 basis points versus the prior year, and we expect that margin trajectory to continue into 2026. As Mike mentioned earlier, adjusted EPS of $9.61 represented another year of double-digit growth, consistent with our long-term track record. Let's now turn to Slide 17 for a few brief comments on the balance sheet. Slide 17 presents a summary of our balance sheet compared to the prior quarter. As you can see, we ended the quarter with $1 billion in unrestricted cash and debt of $2 billion.

Rick L. Weller: Despite these headwinds, the diversification of our portfolio, disciplined expense management, and share repurchases we executed during the year enabled us to deliver another year-over-year double-digit earnings growth. I would also highlight that consolidated operating margins expanded by approximately 30 basis points versus the prior year, and we expect that margin trajectory to continue into 2026. As Mike mentioned earlier, adjusted EPS of $9.61 represented another year of double-digit growth, consistent with our long-term track record. Let's now turn to Slide 17 for a few brief comments on the balance sheet. Slide 17 presents a summary of our balance sheet compared to the prior quarter. As you can see, we ended the quarter with $1 billion in unrestricted cash and debt of $2 billion.

Speaker #1: I would also highlight that consolidated operating margins expanded by 30 basis points versus the prior year . And we expect that margin trajectory to continue into 2026 .

Speaker #1: As Mike mentioned earlier , adjusted EPs of $9.61 represented another year of double digit growth , consistent with our long term track record .

Speaker #1: Let's now turn to slide 17 for a few brief comments on the balance sheet Slide 17 presents a summary of our balance sheet compared to the prior quarter .

Speaker #1: As you can see, we ended the quarter with $1 billion in unrestricted cash and debt of $2 billion. The decrease in cash is largely due to stock repurchases and debt repayments, partially offset by cash generated from operations from a capital allocation standpoint.

Rick Weller: The decrease in cash is largely due to stock repurchases and debt repayments, partially offset by cash generated from operations. From a capital allocation standpoint, our priorities remain consistent: maintaining a leverage profile aligned with an investment-grade rating, investing in growth opportunities tied to our digital initiatives, and returning excess capital to shareholders through disciplined share repurchases. In 2025, we repurchased $388 million of our shares, which represents essentially all of our adjusted earnings returned to shareholders through share buybacks. This $388 million does not include the 2.6 million shares repurchased and then reissued for the CoreCard acquisition. We believe this balanced approach, managing our balance sheet while actively deploying capital for growth and shareholder returns, as central to our long-term value creation strategy.

Rick L. Weller: The decrease in cash is largely due to stock repurchases and debt repayments, partially offset by cash generated from operations. From a capital allocation standpoint, our priorities remain consistent: maintaining a leverage profile aligned with an investment-grade rating, investing in growth opportunities tied to our digital initiatives, and returning excess capital to shareholders through disciplined share repurchases. In 2025, we repurchased $388 million of our shares, which represents essentially all of our adjusted earnings returned to shareholders through share buybacks. This $388 million does not include the 2.6 million shares repurchased and then reissued for the CoreCard acquisition. We believe this balanced approach, managing our balance sheet while actively deploying capital for growth and shareholder returns, as central to our long-term value creation strategy.

Speaker #1: Our our priorities remain consistent , maintaining a leverage profile aligned with an investment grade rating , investing in growth opportunities tied to our digital initiatives and returning excess capital to shareholders through disciplined share repurchases in 2025 , we repurchased $388 million of our shares , which represents essentially all of our adjusted earnings return to shareholders through share buybacks .

Speaker #1: This 388 million does not include the 2.6 million shares repurchased , and then reissued for the core card acquisition . We believe this balanced approach .

Speaker #1: Managing our balance sheet while actively deploying capital for growth and shareholder returns as central to our long term value creation strategy . With this , I will turn it over to Mike to wrap up the quarter

Rick Weller: With this, I will turn it over to Mike to wrap up the quarter.

Rick L. Weller: With this, I will turn it over to Mike to wrap up the quarter.

Speaker #2: Thanks , Rick Growing this business has never been easy . Over 30 years we have regularly been met with certain macroeconomic , regulatory , and geopolitical challenges , even though in the second half of the year we faced stronger macro issues , we are not discouraged .

Mike Brown: Thanks, Rick. Growing this business has never been easy. Over 30 years, we have regularly been met with certain macroeconomic, regulatory, and geopolitical challenges. Even though in the second half of the year we faced stronger macro issues, we are not discouraged. We have entered the year with a lot of motivation and confidence.

Speaker #2: We have entered the year with a lot of motivation and confidence . We will continue to focus on the areas that we can control , including executing on the growth of digital across all three segments , continuing to grow merchant processing in both EFT and Epay , enhancing our banking infrastructure , products and services with Ran and core card .

Mike Brown: We will continue to focus on the areas that we can control, including executing on the growth of digital across all three segments, continuing to grow merchant processing in both EFT and epay, enhancing our banking infrastructure products and services with Ren and CoreCard, adding more branded payment products across more markets with epay, signing more partners and increasing transactions through our Dandelion network, expanding our digital money transfer presence, optimizing the business in all three segments, and generating free cash flow and deploying our capital where it makes most sense, whether to deliver growth through acquisitions or repurchasing shares. This strategy has served us well, highlighted by our ability to deliver our fifth consecutive year of double-digit adjusted EPS growth in a difficult environment. So I am confident we can continue to deliver 10 to 15% earnings growth in 2026.

Speaker #2: Adding more branded payment products across more markets with E-pay signing more partners and increasing transactions through our Dandelion network . Expanding our digital money transfer presence , optimizing the business in all three segments and generating free cash flow into and deploying our capital where it makes most sense .

Speaker #2: Whether to deliver growth through acquisitions or repurchasing shares . This strategy has served us well , highlighted by our our ability to deliver our fifth consecutive year of double digit adjusted EPs growth and a difficult environment .

Speaker #2: So I am confident we can continue to deliver 10 to 15% earnings growth in 2026 . With that , we'd be happy to take questions .

Mike Brown: With that, we'd be happy to take questions. Operator, will you please assist?

Speaker #2: Operator . Will you please assist ?

Speaker #3: Certainly. And our first question for today comes from the line of Mike Grundel from Northland. Your question, please.

Operator: Certainly. And our first question for today comes from the line of Mike Grondahl from Northland. Your question, please.

Speaker #4: Hi . Hey , guys Wanted to ask a little bit . You know , you've called out some macro issues at the lower end and immigration .

Mike Grondahl: Hey, guys. Wanted to ask a little bit, you know, you've called out some macro issues at the lower end and immigration. Are you seeing the light at the end of the tunnel on any of those? You know, Q3 and Q4 at 1% Constant Currency growth, and did things pick up by the end of the year? Are they picking up in January at all? Just, just kind of curious what you're seeing there, kind of real time.

Speaker #4: Are you seeing the light at the end of the tunnel on any of those ? You know , three Q and four Q had 1% constant currency growth .

Speaker #4: And did things pick up by the end of the year , or are they picking up in January at all ? Just just kind of curious what you're seeing there , kind of real time ?

Speaker #2: Well , I would say it's first of all , whatever happens in January doesn't necessarily necessarily reflect the rest of the year . We do see some positive trends in January , but I wouldn't hang my hat on .

Mike Brown: Well, I would say it's... First of all, whatever happens in January doesn't necessarily reflect the rest of the year. We do see some positive trends in January, but I wouldn't hang my hat on them. We have to kind of see what happens. It's still a very difficult environment out there. We've got a very anti-immigrant administration here, which slows down my money transfer business. And so I would say we're cautiously optimistic, but I'd be careful, you know, jumping to conclusions.

Speaker #2: We have to kind of see what happens . It's still a very difficult environment out there . We've got a very anti-immigrant administration here , which slows down my money transfer business and so I would say we're cautiously optimistic , but I'd be I'd be careful , you know , jumping to conclusions .

Speaker #1: Yeah , I'd add to that , Mike , you know , just a little bit of data . And again , as Mike says , you know , I don't think you want to jump to , you know , any kind of quick conclusion here .

Rick Weller: Yeah, I'd add to that, Mike, you know, just a little bit of data. And again, as Mike says, you know, I don't think you want to jump to any kind of quick conclusion here. But if we take a look at the transfers to Mexico, as reported by the Bank of Mexico, we saw declines as sharp as 16%. Now, this was back more in the summertime period, okay? And those have consistently decreased. Those drops have kind of they've had a bit of a sawtooth pattern to them, but let's say they've consistently decreased, where actually in December, there was an increase year-over-year. So, you kind of see the momentum moving a bit more north here.

Rick L. Weller: Yeah, I'd add to that, Mike, you know, just a little bit of data. And again, as Mike says, you know, I don't think you want to jump to any kind of quick conclusion here. But if we take a look at the transfers to Mexico, as reported by the Bank of Mexico, we saw declines as sharp as 16%. Now, this was back more in the summertime period, okay? And those have consistently decreased. Those drops have kind of they've had a bit of a sawtooth pattern to them, but let's say they've consistently decreased, where actually in December, there was an increase year-over-year. So, you kind of see the momentum moving a bit more north here.

Speaker #1: But if we take a look at the , the transfers to Mexico , as reported by the Bank of Mexico , we saw declines as sharp as 16% .

Speaker #1: Now , this was back more in the summer time period . Okay . And and those have consistently decreased . Those drops have kind of they've had a bit of a sawtooth pattern to them .

Speaker #1: But let's say they've consistently decreased, where actually in December there was an increase year over year. So you kind of see the momentum moving a bit more north here.

Rick Weller: And, and, you know, that you, you kind of take a look at that, you know that families are, you know, families in Mexico are dependent on the monies being sent back home for their, their daily needs. And so, maybe there's something in that kind of underlying improving trend. But as Mike says, you know, let's not overthink it at this point. It's positive, I think. And, and, you know, we think that we're well positioned to take advantage of that because we've continued to grow and expand our network. We continue to put more emphasis into our digital business. And so, from that standpoint, our operational execution is doing good.

Speaker #1: And , and you know that you kind of take a look at that and you know that families are , you know , families in Mexico are dependent on the monies being sent back home for their their daily needs .

Rick L. Weller: And, and, you know, that you, you kind of take a look at that, you know that families are, you know, families in Mexico are dependent on the monies being sent back home for their, their daily needs. And so, maybe there's something in that kind of underlying improving trend. But as Mike says, you know, let's not overthink it at this point. It's positive, I think. And, and, you know, we think that we're well positioned to take advantage of that because we've continued to grow and expand our network. We continue to put more emphasis into our digital business. And so, from that standpoint, our operational execution is doing good.

Speaker #1: And so , you know , maybe there's something in that kind of underlying improving trend . But as Mike says , you know , let's not over think it at this point .

Speaker #1: It's positive . I think . And and , you know , we think that we're well positioned to take advantage of that because we've continued to grow and expand our network .

Speaker #1: We continue to put more emphasis into our digital business . And so from that standpoint , our operational execution is doing good . And if we really do see that this , you know , kind of northerly movement out of , out of what you're seeing in Mexico is reflective of a broader environment , you know , maybe that , you know , is more positive than you think , but but at least those indicators , you know , and I'll , I'll look more specifically to this Mexico stuff , you know , they , they look they look like they're moving in the right direction .

Rick Weller: And if we really do see that this, you know, kind of northerly movement out of what you're seeing in Mexico is reflective of a broader environment, you know, maybe that, you know, is more positive than you think. But at least those indicators, you know, and I'll look more specifically to this Mexico stuff, you know, they look like they're moving in the right direction.

Rick L. Weller: And if we really do see that this, you know, kind of northerly movement out of what you're seeing in Mexico is reflective of a broader environment, you know, maybe that, you know, is more positive than you think. But at least those indicators, you know, and I'll look more specifically to this Mexico stuff, you know, they look like they're moving in the right direction.

Speaker #4: Got it . And then secondly , it sounds like the money transfer review started a while ago , one maybe what triggered that .

Mike Grondahl: Got it. And then secondly, it sounds like the money transfer review started a while ago. One, maybe what triggered that? And then two, any thoughts on doing something similar in EFT or epay?

Speaker #4: And then two , any thoughts on doing something similar in EFT or Epay ?

Mike Brown: So, yeah, we started this about this time last year, maybe a little before. So yeah, we've been thinking about it. And kind of what triggered it, you've got to remember, Ria is an exceptional case of success. When we bought Ria, you know, 18 years ago, it was, you know, it was doing $200 million in revenue, and now doing $2 billion, you know?

Speaker #2: So yeah , we started this about a about this time last year , maybe a little before . So yeah , we've been thinking about it and kind of what triggered it .

Speaker #2: You've got to remember , Ria is a is an exceptional case of success . When we bought Ria , you know , 18 years ago , it was , you know , it was doing 200 million in revenue and now doing 2 billion , you know , so we've grown a whole lot over the , over the last decade .

Mike Grondahl: Sure.

Mike Brown: So we've grown a whole lot over the last decade. It's been, you know, we've moved up to be from a very tiny player to the second-largest money transfer house in the world. And with that, we realized, you know, we need to take a hard look at how we're organized, what we're doing, to make sure that our organization matches the size of the opportunity and our customer base. So that's why we did it. It wasn't, I mean, you know, we weren't doing it out of desperation. It was more like, "Boy, we have really grown. Let's make sure we're not leaving any money on the table." And as Rick said, and I said, we're really focusing on the digital aspect of money transfer.

Speaker #2: That's been , you know , we've moved up to be from a very tiny player to the second largest money transfer house in the world .

Speaker #2: And and with that , we realized , you know , we need to take a hard look at how we're organized , what we're doing to make sure that our organization matches the size of the opportunity and our customer base .

Speaker #2: So that's why we did it . It wasn't I mean , you know , that we weren't doing it out of out of desperation .

Speaker #2: It was more like , boy , we have really grown . Let's make sure we're not leaving any money on the table . And as we as Rick said , and I and I said , we're really focusing on the digital aspects of money transfer .

Speaker #2: And you can see with the with the 30 plus percent growth rate that we've had for several years now , we want to continue to grow that digital business .

Mike Brown: You can see with the 30+% growth rate that we've had for several years now. We want to continue to grow that digital business.

Speaker #4: Got it . And then I guess just any thoughts on a similar review at at F .

Mike Grondahl: Got it. And then, I guess, just any thoughts on a similar review at EFT and epay?

Speaker #1: Oh yeah .

Mike Brown: Oh, yeah, yeah. We're, we're always doing that. We, we may do something like that in the others, or we may self-review. But, it, it's, I would say that the, the growth in EFT has not been quite as quick over the last couple of decades as maybe money transfer, so that's why we wanted to make sure. And the focus there, of course, is, is moving our bricks and mortar to more digital.

Speaker #4: Yeah .

Speaker #2: We're we're always doing that . We may do something like that in the others or we may self review , but it's I would say that the , the growth in EFT has not been quite as quick over the last couple of decades as maybe money transfers .

Speaker #2: So that's why we wanted to make sure . And the focus there , of course , is , is moving our bricks and mortar to more digital .

Speaker #4: Got it. Okay. Hey, thanks, guys.

Mike Grondahl: Got it. Okay. Hey, thanks, guys.

Rick Weller: Mm-hmm.

Rick L. Weller: Mm-hmm.

Speaker #3: Thank you . And our next question comes from the line of Christopher Kennedy from William Blair . Your question please .

Operator: Thank you. And our next question comes from the line of Christopher Kennedy from William Blair. Your question, please.

Speaker #5: Yeah . Good morning . Thanks for taking the questions . Can you give us a little bit more details on the merchant processing business ?

Cristopher Kennedy: Yeah, good morning. Thanks for taking the questions. Can you give us a little bit more details on the merchant processing business? We understand it's split between epay and the EFT segment.

Speaker #5: We understand it's split between Epay and the ATH segment, but is there any more color on the growth of that and the opportunities going forward?

Mike Brown: Yeah.

Cristopher Kennedy: But any more color on the growth of that and the opportunities going forward?

Mike Brown: Well, we are getting pretty much blown away by that growth, is the kind of the bottom line. We probably do about 20% of that volume coming out of E-Pay, and the other 80% out of EFT. As you can see by those numbers in both of them, and the E-Pay merchant acquiring business grew over 20%. Our merchant acquiring business in Greece and elsewhere that's run out of EFT has grown over 30%. So you know, this is a big one for us. And it's now gotten to the point where the combined EBITDA of both of those endeavors is in the kind of $90-ish million. So it's not only growing fast, but it has size, so we're really excited about that.

Speaker #2: We are getting pretty much blown away by that . Growth is the kind of the bottom line we we probably do about 20% of that volume coming out of Epay , and the other 80% out of EFT .

Speaker #2: As you can see by those numbers , in both of them and the in the other merchant acquiring business grew over 20% . Our merchant acquiring business and in Greece and elsewhere , that was run out of EFT has grown over 30% .

Speaker #2: So you know , this this is a big one for us . And it's now gotten to the point where the combined EBITDA of both of those , of both of those endeavors is in the kind of 90 ish million dollars .

Speaker #2: So it's not only growing fast , but it has size . So we're really excited about that .

Speaker #5: Great . Thanks for that . And then just a quick modeling question . Can you talk about free cash flow in 2025 and the prospects for 2026 .

Cristopher Kennedy: Great. Thanks for that. And then just a quick modeling question: Can you talk about free cash flow in 2025 and the prospects for 2026? Thank you.

Speaker #5: Thank you .

Speaker #2: I'll let Rick do that one .

Mike Brown: ... I'll let Rick do that one.

Cristopher Kennedy: ... I'll let Rick do that one.

Rick Weller: Well, as you know, Mike said, we essentially generated about $400 million of free cash earnings there. And so, you know, now that obviously was offset with things like share repurchases, did a couple little acquisition pieces there. We would expect 2026 to be statistically no different than our earnings improvement, right? We expect our earnings to be going up 10% to 15%. That should be, we should see a similar kind of rhythm in our free cash flow. Now, you know, then, as Mike said, we will be thoughtful on how we then deploy that free cash flow.

Speaker #1: Well , as as you know , Mike said we we essentially generated about 400 million of free cash earnings there . And so , you know , now that now that obviously was was offset with things like share repurchases did a couple little acquisition pieces there .

Rick L. Weller: Well, as you know, Mike said, we essentially generated about $400 million of free cash earnings there. And so, you know, now that obviously was offset with things like share repurchases, did a couple little acquisition pieces there. We would expect 2026 to be statistically no different than our earnings improvement, right? We expect our earnings to be going up 10% to 15%. That should be, we should see a similar kind of rhythm in our free cash flow. Now, you know, then, as Mike said, we will be thoughtful on how we then deploy that free cash flow.

Speaker #1: We would expect 26 to be statistically no different than our earnings improvement . Right . We we expect our earnings to be going up 10 to 15% .

Speaker #1: That should be we should see a similar kind of rhythm in our in our free cash flow . Now , you know , then as Mike said , we will .

Speaker #1: Be thoughtful on how we then deploy that free cash flow . Our first our first objective would be to to support and develop our internally developed products .

Rick Weller: Our first objective would be to support and develop our internally developed products, and Mike mentioned a couple of those in his comments there. We're gonna continue to have very strong focus on our digital initiatives across all three segments. You know, we've talked a lot about money transfer, but we've got initiatives going in all three segments, whether it's acquiring, or it's gaming, or it's money transfer. I mean, they're in every one, every part of the business. So to that end, you know, we'll continue to look for opportunities on the acquisition side that would be helpful to promoting and extending those digital growth strategies.

Rick L. Weller: Our first objective would be to support and develop our internally developed products, and Mike mentioned a couple of those in his comments there. We're gonna continue to have very strong focus on our digital initiatives across all three segments. You know, we've talked a lot about money transfer, but we've got initiatives going in all three segments, whether it's acquiring, or it's gaming, or it's money transfer. I mean, they're in every one, every part of the business. So to that end, you know, we'll continue to look for opportunities on the acquisition side that would be helpful to promoting and extending those digital growth strategies.

Speaker #1: And Mike mentioned a couple of those in his in his comments . There . We're going to continue to have very strong focus on our digital initiatives across all three segments .

Speaker #1: You know , we've talked a lot about money transfer , but we've got initiatives going in all three segments , whether it's acquiring or it's gaming or it's money transfer .

Speaker #1: I mean , they're they're in every one , every part of the business . And , and and so to that end , you know , we'll continue to look for opportunities on the acquisition side .

Speaker #1: That would be helpful to promoting and extending those those digital growth strategies . So yeah . Net net I would expect that that that number will improve consistent with our EPs outlook for 26 .

Rick Weller: So yeah, net net, I would expect that number will improve, consistent with our EPS outlook for 2026.

Rick L. Weller: So yeah, net net, I would expect that number will improve, consistent with our EPS outlook for 2026.

Speaker #5: Great . Thanks for taking the questions .

Cristopher Kennedy: Great. Thanks for taking the questions.

Speaker #3: Thank you. And our next question comes from the line of Pete Heckmann from D.A. Davidson. Your question, please.

Operator: Thank you. And our next question comes from the line of Pete Heckman from D.A. Davidson. Your question please.

Speaker #6: Hey good morning . Thanks for the time . Had a few follow ups in terms of core card . Can you give us the approximate revenue contribution for the partial quarter in the in the fourth quarter ?

Pete Heckmann: Hey, good morning. Thanks for the time. Had a few follow-ups. In terms of CoreCard, can you give us the approximate revenue contribution for the partial quarter in the Q4?

Rick Weller: Yeah, yeah, it was, you know, in the ballpark of $10 to 12 million.

Speaker #1: Yeah , it was , you know , in the in the ballpark of 10 to $12 million .

Rick L. Weller: Yeah, yeah, it was, you know, in the ballpark of $10 to 12 million.

Speaker #6: Okay . And that's helpful . And then just in terms of the the pending credea merchant acquiring acquisition , can you give us maybe some brackets around potential purchase price and total revenue ?

Pete Heckmann: Okay. And that's helpful. And then just in terms of the pending Credia merchant acquiring acquisition, can you give us some, maybe some brackets around potential purchase price and total revenue?

Rick Weller: I wouldn't put anything out there. I mean, we haven't disclosed those kind of numbers. The purchase price was relatively small. And it really will be, and it'll only, you know, happen once we migrate the parts of the business into our platforms. But it's in the-

Speaker #1: We I wouldn't put anything out there on the I mean , we haven't disclosed those kind of numbers . The purchase price was relatively small and and it really will be and and a lonely , you know , happen once we migrate the parts of the business into into our platforms .

Rick L. Weller: I wouldn't put anything out there. I mean, we haven't disclosed those kind of numbers. The purchase price was relatively small. And it really will be, and it'll only, you know, happen once we migrate the parts of the business into our platforms. But it's in the-

Speaker #1: But it's

Speaker #2: More like towards the last half of .

Mike Brown: More like towards the end, last half of the year.

Rick L. Weller: More like towards the end, last half of the year.

Speaker #1: The year . Yeah , it's it's in the , the few of millions of dollars rather than , than hundreds of millions of dollars .

Rick Weller: Yeah. It's a few million dollars rather than hundreds of millions of dollars. So yeah, it's quite low on the a few million dollars scale.

Rick L. Weller: Yeah. It's a few million dollars rather than hundreds of millions of dollars. So yeah, it's quite low on the a few million dollars scale.

Speaker #1: So yeah , it's , it's , it's quite low on the few of millions of dollars scale .

Speaker #6: Okay . That's helpful . And certainly that , that , that acquisition would , would , would lead us to believe that you just mentioned it .

Pete Heckmann: Okay, that's helpful. And certainly that acquisition would lead us to believe, you know, that, you know, you just mentioned that the merchant acquiring business is generating strong growth organically off the base of the PBMA deal. Now you're adding in this tuck in. Are there opportunities for other tuck-ins to continue?

Speaker #6: The merchant acquiring business is generating strong growth organically off the base of the PBM deal . Now you're adding this tuck in . Are there opportunities for other tuck ins to continue ?

Mike Brown: Well, we're looking for them, Pete. And so, you know, we've been looking for them since we purchased them 3 years ago, since we purchased the merchant acquiring business from Piraeus. So we're looking. When we find a good one, we'll slip it in, but there's no guarantee to what you can find and what it'll be priced at, you know? So, but, I mean, all our growth up to this point, which probably has a compounded return of 30%, over the last 3 or so years, has all been organic. So it's nice to be able to have a little inorganic tuck in, that we can also use some of our additional products on, that they didn't have themselves, to help them grow faster.

Speaker #2: We're we're we're looking for them . Pete . And so and you know we've been looking for him since we purchased them three years ago .

Speaker #2: Since we purchased the merchant acquiring business from Piraeus . So we're looking when we find a good one , we'll we'll we'll slip it in .

Speaker #2: But there's no guarantee to what you can find and what it'll be priced at , you know ? So . But I mean our , our all our growth up to this point which probably has a compounded return of 30% over the last three or so years , has all been organic .

Speaker #2: So it's nice to be able to have a little inorganic tuck-in that we can also use some of our additional products on, that.

Speaker #2: They didn't have themselves to help them grow faster.

Speaker #1: And you know , Pete , I would add to it , if we do see some across each of our businesses as , as opportunities , it's good to see that it appears that sellers are coming to their senses on valuation .

Rick Weller: You know, Pete, I would add to it. We do see some across each of our businesses as opportunities. It's good to see that it appears that sellers are coming to their senses on valuation. I mean, the whole payments industry is being hit extremely hard in terms of valuation, and that's starting to kind of sink in with sellers out there. And I'd also tell you, kind of in terms of some of the things that we've seen, and I would even say on this Credia thing, is the economics we will get out of the deal will be as good or better than share repurchases.

Rick L. Weller: You know, Pete, I would add to it. We do see some across each of our businesses as opportunities. It's good to see that it appears that sellers are coming to their senses on valuation. I mean, the whole payments industry is being hit extremely hard in terms of valuation, and that's starting to kind of sink in with sellers out there. And I'd also tell you, kind of in terms of some of the things that we've seen, and I would even say on this Credia thing, is the economics we will get out of the deal will be as good or better than share repurchases.

Speaker #1: I mean , the whole payments industry is being hit extremely hard in terms of valuation , and that's starting to to kind of sink in with with sellers out there .

Speaker #1: And I'd also tell you kind of in terms of some of the things that we've seen , and I would even say on this credit thing is the , the economics , we will get out of the deal will be as good or better than share repurchases .

Pete Heckmann: Right.

Speaker #1: So that'll give you , some perspective in terms of the efficiency of the acquisition versus even using it for share repurchases . We'll we'll have as good or better economics than than share repurchases .

Rick Weller: So that'll give you, you know, some perspective in terms of the efficiency of the acquisition, versus even using it for share repurchases. We'll have as good or better economics than share repurchases.

Rick L. Weller: So that'll give you, you know, some perspective in terms of the efficiency of the acquisition, versus even using it for share repurchases. We'll have as good or better economics than share repurchases.

Speaker #6: All right. Great to hear. I'll get back in the queue. I appreciate it.

Pete Heckmann: All right. Great to hear. I'll get back in the queue. I appreciate it.

Speaker #3: Thank you . And our next question comes from the line of Rayna Kumar from Oppenheimer . Your question please

Operator: Thank you. And our next question comes from the line of Raina Kumar from Oppenheimer. Your question, please.

Speaker #7: Good morning . Mike and Rick . I just want to go back to a card for a second . Could you talk about what your expectations are for core card in 2026 ?

Rayna Kumar: Good morning, Mike and Rick. I just want to go back to CoreCard for a second. Can you talk about what your expectations are for CoreCard in 2026? And now that JPMorgan is going to be the issuer for Apple Card, is there prospect for you to retain that Apple Card relationship?

Speaker #7: And now that J.P. Morgan is going to be the issuer for Apple Card , is there prospect for you to retain that Apple Card relationship ?

Speaker #2: I well , we'll just say that that we don't know that answer for sure . Rayna . But based upon JP morgan's history of wanting to do things in their own shop , I would say long term that would be doubtful .

Mike Brown: Well, we'll just say that we don't know that answer for sure, Raina, but based upon JPMorgan's history of wanting to do things in their own shop, I would say long term, that would be doubtful. You know? I'm not saying it's impossible. They may decide that because the CoreCard platform has a plethora of services and features that they don't have in their current platform, it might, they might find that it's better to use our platform for a while until they make those transitions, or maybe they won't. But we're, when we did the business model, we said this is a good buy if we can keep them through the end of their contract, which is 2027, and it may go further.

Speaker #2: You know , I'm not saying it's impossible . They may decide that because the core card platform has a plethora of of services and features that they don't have in their current platform , it might they might find that it's better to use our platform for a while until they make those transitions .

Speaker #2: Or maybe they won't , but we're when we did the business model , we said , this is a this is a good buy .

Speaker #2: If we can keep them through the end of their contract , which is 2027 , and it may go further .

Speaker #7: That makes sense . And anything you can say on just like the contribution of core Card in 26 , what you're estimating

Rayna Kumar: That makes sense. Anything you can say on just, like, the contribution of CoreCard in 26, what you're estimating?

Speaker #1: , well , you can you can see what they had in their publicly reported information . You know , we'll we'll do we'll do that that good or better .

Rick Weller: Well, you can see what they had in their publicly reported information. You know, we'll do that good or better.

Rick L. Weller: Well, you can see what they had in their publicly reported information. You know, we'll do that good or better.

Mike Brown: That or better, yeah.

Speaker #1: And and you know , so we're not we're not we're not putting a specific number out there for core card . But as Mike said , we're already seeing the winds show up on the ledger .

Rick Weller: You know, so we're not putting a specific number out there for CoreCard, but as Mike said, we're already seeing the wins show up on the ledger. Yeah, I mean, the value that CoreCard brings to the table is they got a great platform. They've got a great group of people that know this industry inside and out. They got a great reference customer that's better than anybody else you could probably have out there in Apple. Now, you put that together with us, that has global distribution, just like we did with money transfer. When we bought money transfer, it was highly focused on the United States. We're now around the world with that business. Same thing with epay.

Rick L. Weller: You know, so we're not putting a specific number out there for CoreCard, but as Mike said, we're already seeing the wins show up on the ledger. Yeah, I mean, the value that CoreCard brings to the table is they got a great platform. They've got a great group of people that know this industry inside and out. They got a great reference customer that's better than anybody else you could probably have out there in Apple. Now, you put that together with us, that has global distribution, just like we did with money transfer. When we bought money transfer, it was highly focused on the United States. We're now around the world with that business. Same thing with epay.

Speaker #1: And , and the , the one I mean , the value that core card brings to the table is they got a great platform .

Speaker #1: They've got a great group of people that know this industry inside and out. They've got a great reference customer. That's better than anybody else.

Speaker #1: You could probably have out there in , in , in Apple . Now you put that together with us . That has global distribution just like we did with money transfer when we bought money transfer it was highly focused on the United States .

Speaker #1: We're now around the world with that business . Same thing with EPA . When we got EPA , it was focused on on the UK .

Rick Weller: When we got epay, it was focused on the UK. We've got epay now around the world. That's the same kind of customer reaction that we're seeing on the CoreCard product. It is the leading quality product in the market, and now we're exposing it to the rest of the world. So we're excited on seeing what the customer reaction is, but I would say, you can see what their publicly reported numbers are. We'll do that that good or better, and you can bet that we're driving it to be a heck of a lot better. But let's not... I don't wanna overhype the expectation.

Rick L. Weller: When we got epay, it was focused on the UK. We've got epay now around the world. That's the same kind of customer reaction that we're seeing on the CoreCard product. It is the leading quality product in the market, and now we're exposing it to the rest of the world. So we're excited on seeing what the customer reaction is, but I would say, you can see what their publicly reported numbers are. We'll do that that good or better, and you can bet that we're driving it to be a heck of a lot better. But let's not... I don't wanna overhype the expectation.

Speaker #1: We've got EPA now around the world. That's the same kind of customer reaction that we're seeing on the core card product. It is the leading quality product in the market.

Speaker #1: And now we're exposing it to the rest of the world, so we're excited to see what the customer reaction is. But I would say you can see what their publicly reported numbers are.

Speaker #1: We'll do that. That's good, or better. And you can bet that we're driving it to be a heck of a lot better.

Speaker #1: But let's not. I don't want to overhype the expectation,

Speaker #2: But but I will say , even though Rick's telling me not to overhype the the the number of interested parties that have come out of the woodwork since this announcement has been phenomenal .

Rayna Kumar: Got it.

Mike Brown: But I will say, even though Rick's telling me not to overhype, the number of interested parties that have come out of the woodwork since this announcement has been phenomenal. So what we gotta do is move those interested parties to closure, and then we'll be cooking.

Speaker #2: So what we got to do is move those interested parties to closure , and then we'll be cooking .

Speaker #7: Okay , that's exciting . And I appreciate that . And then just , one more if I can sneak it in just like .

Rayna Kumar: Okay, that's exciting, and I appreciate that. And then just, you know, one more, if I can sneak it in. Just, like, any thoughts on, like, segment EBITDA contribution for 2026? Like, how we should think of the different growth rates by segment? And I-- like, I know, a competitor, recently announced, an exclusive relationship with Kroger's. Is there any impact there to your business? Thank you.

Speaker #7: Any thoughts on segment EBITDA contribution for 26 . Like how we should think of the different growth rates by segment and like , I know a competitor recently announced an exclusive relationship with Kroger's .

Speaker #7: Is there any impact there to your business ? Thank you .

Speaker #1: Well , first of all , the Kroger impact to us will be marginal at best . And yeah , so it . Unfortunately wasn't a great success in in in in that regard .

Rick Weller: Well, first of all, the Kroger impact to us will be marginal at best. And yeah, so it unfortunately wasn't a great success in that regard. So nothing there to speak of. As it relates to, you know, the growth rates in that by segment, I think we'll kind of hold off on that. We've given you guidance for the EPS. You can kind of look at, you know, what we've had historically as growth rates across those businesses.

Rick L. Weller: Well, first of all, the Kroger impact to us will be marginal at best. And yeah, so it unfortunately wasn't a great success in that regard. So nothing there to speak of. As it relates to, you know, the growth rates in that by segment, I think we'll kind of hold off on that. We've given you guidance for the EPS. You can kind of look at, you know, what we've had historically as growth rates across those businesses.

Speaker #1: So nothing there to speak of as it , as it relates to , you know , the , the growth rates in that by segment , I think we'll kind of hold off on that .

Speaker #1: We've given you guidance for the the EPs . You can kind of look at the , you know , what we've had historically as growth rates across those businesses .

Rick Weller: You know, what I would probably say, without putting numbers out there, you know, we would expect the growth rates out of EFT and money transfer to lead the way with epay, you know, in a lesser growth kind of a profile as we see it right now. Although I know that, you know, Kevin is looking at a number of exciting products that, you know, hold out some opportunity. But yeah, we'll hold off on putting specific numbers out there by segments. If you remember, a couple of years ago, we went through an approach of using an earnings guidance for the bottom line.

Speaker #1: You know what I would probably say without putting numbers out there . You know , we would expect the growth rates out of EFT and money transfer to lead the way with with EPA , you know , in a , in a , in a lesser growth kind of a profile as , as we see it right now , although I know that , Kevin is is looking at a number of exciting products that , you know , that that you know , hold out some , some , some opportunity .

Rick L. Weller: You know, what I would probably say, without putting numbers out there, you know, we would expect the growth rates out of EFT and money transfer to lead the way with epay, you know, in a lesser growth kind of a profile as we see it right now. Although I know that, you know, Kevin is looking at a number of exciting products that, you know, hold out some opportunity. But yeah, we'll hold off on putting specific numbers out there by segments. If you remember, a couple of years ago, we went through an approach of using an earnings guidance for the bottom line.

Speaker #1: But but yeah , we'll hold off on on putting specific numbers out there by segments . If you remember , a couple of years ago , we , we , we went to an approach of using an earnings guidance for the bottom line because essentially what we're seeing , we were seeing is a dozen different numbers out there that if you if you meet if you exceed one and you miss any one of the others , you know , you really get penalized for it .

Rick Weller: Because essentially what we're seeing - we were seeing is a dozen different numbers out there, that if you, if you meet... if you exceed one, and you miss any one of the others, you know, you really get penalized for it. And so we're trying to get the investors to focus on the strength of our total business and really reward us for - Again, this is the fifth year in a row with double-digit earnings growth. I looked at the Fortune 500 stuff the other day, and the expectations for the full year are something like about 12% growth. When you say, all right, well, if that's what's out of the S&P... S&P 500, I meant.

Rick L. Weller: Because essentially what we're seeing - we were seeing is a dozen different numbers out there, that if you, if you meet... if you exceed one, and you miss any one of the others, you know, you really get penalized for it. And so we're trying to get the investors to focus on the strength of our total business and really reward us for - Again, this is the fifth year in a row with double-digit earnings growth. I looked at the Fortune 500 stuff the other day, and the expectations for the full year are something like about 12% growth. When you say, all right, well, if that's what's out of the S&P... S&P 500, I meant.

Speaker #1: And so we're trying to get the , the , the , the investors to focus on the strength of our total business . And , and really reward us for , again , this is the fifth year in a row with double digit earnings growth .

Speaker #1: I looked at the fortune 500 stuff the other day and the the expectations for the full year are something like about 12% growth .

Speaker #1: When you say , all right , well , if that's what's out of the S&P , S&P 500 , I meant if that's out of the S&P 500 , we did 12% .

Rick Weller: If that's out of the S&P 500, we did 12%, why aren't we getting the same kind of trading multiple, okay? Then if you took the 4 or 5 leading valuation guys out of those numbers, their numbers were 9% in growth year-over-year. Yet we've produced, again, Mike said, the fifth year in a row of double-digit earnings growth, and we expect the same thing next year. So we've got a business that has great consistency, great continuity. We have great diversification because we're not dependent upon any one market. You know, just look at Mexico, for example. If all of our business was going to Mexico, our results wouldn't be anywhere to what they are now. They would be down significantly. But we're diversified in that we're not-

Rick L. Weller: If that's out of the S&P 500, we did 12%, why aren't we getting the same kind of trading multiple, okay? Then if you took the 4 or 5 leading valuation guys out of those numbers, their numbers were 9% in growth year-over-year. Yet we've produced, again, Mike said, the fifth year in a row of double-digit earnings growth, and we expect the same thing next year. So we've got a business that has great consistency, great continuity. We have great diversification because we're not dependent upon any one market. You know, just look at Mexico, for example. If all of our business was going to Mexico, our results wouldn't be anywhere to what they are now. They would be down significantly. But we're diversified in that we're not-

Speaker #1: Why aren't we getting the same kind of trading multiple? Okay. Then if you took the four or five leading valuation guys out of those numbers, their numbers were 9% in growth year over year.

Speaker #1: Yet we've produced again , Mike said , the fifth year in a row of double digit earnings growth . And we expect the same thing next year .

Speaker #1: So we've got a business that has great consistency , great continuity . We have great diversification because we're not dependent upon any one market .

Speaker #1: You know , just look at Mexico , for example , if all of our business was going to Mexico , our results wouldn't be anywhere .

Speaker #1: What they are now , they would be down significantly . But we're diversified and that we're not dependent upon Mexico . We'd love to see better numbers come out of that market , but we have a great diversified business .

Mike Brown: ... dependent upon Mexico. We'd love to see better numbers come out of that market, but we have a great diversified business. And so we really try to, you know, wanna try to get people to focus on the consistency and the reliability of double-digit earnings growth. And our earnings are durable. I mean, they've been here for a long time, and they continue to be so.

Speaker #1: And so we really try to , you know , want to try to get people to focus on . The consistency and the reliability of double digit earnings growth .

Speaker #1: .

Speaker #2: And , and our earnings are durable . I mean , they've been here for a long time . And they continue to be so

Speaker #7: Thank you for the color

Mike Grondahl: Thank you for the color.

Speaker #3: Thank you . And our next question comes from the line of Darrin Peller from Wolfe Research . Your question please

Operator: Thank you. Our next question comes from the line of Darren Pellet from Wolfe Research. Your question, please.

Speaker #8: Hi . Thank you . This is Daniel Krebs on for Darrin . I would love if you could discuss the recent Hogan partnership .

Daniel Krebs: Hi, thank you. This is Daniel Krebs on for Darren. I would love if you could discuss the recent DXC Hogan partnership, you know, how you may think that can improve distribution of the issuer processing products, and maybe where those efforts are being targeted by client or region. Thank you.

Speaker #8: You know, how you may think that can improve distribution of the issuer, processing products, and maybe where those efforts are being targeted by client or region?

Speaker #8: Thank you

Speaker #1: Did you say Hogan partnership

Mike Brown: Did you say Hogan partnership?

Speaker #8: DXC , the DXC partnership

Daniel Krebs: DXC. The DXC partnership.

Speaker #2: I'm sorry , I , I'm unfamiliar with what that is

Mike Brown: I'm sorry, I'm unfamiliar with what that is.

Speaker #8: Okay . No worries . We can take that one offline . Maybe switching to back to bank then I know we're not giving a lot of specifics on on the revenue .

Daniel Krebs: Okay, no worries. We can take that one offline.

Mike Brown: Yeah.

Daniel Krebs: Maybe switching back to Credia Bank then. I know we're not getting a lot of specifics on the revenue. Sounds kind of smaller than Piraeus, but if you could just compare and contrast the business relative to Piraeus when you got it. Are we talking about a similar margin profile and growth profile as we look at-

Speaker #8: It sounds kind of smaller than Piraeus, but if you could just compare and contrast the business relative to Piraeus when you got it, are we talking about a similar margin profile and growth profile as we look at combining those two?

Mike Brown: Uh

Daniel Krebs: - combining those two?

Speaker #2: Well , we we hope so . So they've got about 10% of our base of , you know , our number of merchants .

Mike Brown: Well, we hope so. So they've got about 10% of our base of, you know, our number of merchants. So that gives you an idea of kind of its size. The one thing that has helped us grow that business, where we've gone from about 18% market share in Greece to about 24% market share over the last 3.5 years, and that's in a highly competitive market. We've grown that market share because we have a really good product set, and we do more than just merchant acquiring. We do DCC at these things, we do tax refund, we have various credit kinds of deals going on with our merchants, so we continue to grow that business really quick, really quickly.

Speaker #2: So that gives you an idea of kind of its size . The one thing that has helped us grow that business , where we've gone from about 18% market share in Greece to about 24% market share over the last three and a half years , and that's in a highly competitive market .

Speaker #2: We've got we've grown that market share because we have a really good product set , and we do more than just merchant acquiring .

Speaker #2: We do DCC at these things . We do tax refund . We have various credit kinds of deals going on with our merchants .

Speaker #2: So, we continue to grow that business really quick and really quickly, and I would expect that if we could add 20,000 more merchants, they should fall right there in lockstep with it.

Mike Brown: I would expect that if we could add 20,000 more merchants, they should fall right there in lockstep with it. So we're pretty excited. Plus, we're not stopping. We mentioned too, that we did, what, 7,000 plus, merchants organically in Q4. So we're gonna keep working organically, not just inorganically.

Speaker #2: So we're pretty excited . Plus , we're not stopping . We mentioned two that we did what , 7000 plus merchants organically in the fourth quarter .

Speaker #2: So we're going to keep working organically , not just organically .

Speaker #8: Great . Thank you

Daniel Krebs: Great. Thank you.

Mike Brown: Mm-hmm.

Speaker #3: Thank you . And our next question comes from the line of Basil Govil from KBW . Your question please .

Operator: Thank you. And our next question comes from the line of Vasu Govil from KBW. Your question please.

Speaker #9: Hi . Thank you for taking my question . I guess this first one on the EPs guide of 10 to 15% , maybe you could give us some color on sort of what the underlying macro assumptions are at the low end versus the high end , given we're seeing some pressure there

Vasu Govil: Hi, thank you for taking my question. I guess just first one on the EPS guide of 10 to 15%, maybe you could give us some color on sort of what the underlying macro assumptions are at the low end versus the high end, just given we're seeing some pressure there?

Speaker #2: I don't I don't think we have a high end and low end We have our forecast that falls in that range . There's a lot of things that can happen positive and negative in a year .

Mike Brown: I don't think we have a high-end and low-end assumptions. We have our forecast that falls in that range. There's a lot of things that can happen, positive and negative, in a year or so, and we've been able to deliver that for the last five years. So we feel pretty comfortable with that range. I'd like to beat it like we did year before last, like we did in 2024, but we're just gonna put that out there to give people a little bit of a yardstick of where we think we're gonna land.

Speaker #2: So and we've been able to deliver that for the last five years . So we feel pretty comfortable with that range . I'd like to beat it like we did year before last , like we did in in 24 .

Speaker #2: But we're just going to put that out there to give people a little bit of a yardstick of where we think we're going to land .

Speaker #9: Great . Thank you . And then , Mike , I know you talked about sort of diversifying the EFT revenue mix away from the ATM business .

Vasu Govil: Great, thank you. And then, Mike-

Mike Brown: Yeah

Vasu Govil: ... I know you talked about sort of diversifying the EFT revenue mix away from the ATM business. You've obviously made a bunch of acquisitions to make that happen. Can you remind us what that mix looks like today? And sort of, if you look out 2 to 3 years, what do you envision that mix could be? And then similarly, on the margin profile, I'm guessing it will be accretive to the margin profile, but any color on how we can see that evolve over time?

Mike Brown: Yeah

Speaker #9: You've obviously made a bunch of acquisitions to make that happen . Can you remind us what that mix looks like today ? And if you look out 2 to 3 years , what do you envision that mix could be ?

Speaker #9: And then similarly on the margin profile , I'm guessing it will be accretive to the margin profile . But any color on how we can see that evolve over time .

Speaker #1: Yeah. Can you repeat that for me there?

Mike Brown: Yeah, yeah, can you repeat that, for me? The, there, the question-

Speaker #9: The question SD revenue mix you guys have been making acquisitions and you're talking about that mixture of diversifying away from the ATM business .

Vasu Govil: Yeah, just like the EFT revenue mix, you guys have been making acquisitions, and you're talking about that mix sort of diversifying away from the ATM business.

Speaker #9: So just looking for some color on what that mix could look like 2 to 3 years from now . Just given that you're buying up ATM businesses and some of them are growing at a faster pace , and then also what that means for margins over time .

Mike Brown: Mm-hmm.

Vasu Govil: So just looking for some color on what that mix would look like two to three years from now, just given that you're buying non-ATM businesses and some of them are growing at a faster pace, and then also, like, what that means for margins over time?

Speaker #2: Well , Vasily , there's also another nuance here because you say diversifying away from the ATM business . What that assumes is that all we do is you're kind of probably referring to our owned ATM business .

Mike Brown: Well, Vasu, there's also another nuance here, 'cause you said diversifying away from the ATM business. What that assumes is that all we do is... You're kind of probably referring to our owned ATM business. What we've found is, because of our scale and the size and our reach, we do a lot of banking infrastructure deals, where we're actually being contracted by the bank to do their ATMs or provide them ATM services. So unlike our traditional tourist-focused ATMs, where if a tourist does not walk up to the ATM, you don't make money. If he uses less cash this year than last year, you make less money. These are infrastructure deals. These are long-term contracts with banks.

Speaker #2: What we've found is because of our scale and our and and the size and our reach , we do a lot of banking infrastructure deals where we're actually being contracted by the bank to do their ATMs or provide them ATM services .

Speaker #2: So unlike our traditional tourist focused ATMs , where if a tourist tourist does not walk up to the ATM , you don't make money if he uses less cash this year than last year , you make less money .

Speaker #2: These are infrastructure deals . These are long term contracts with banks . And so what we're finding now is you've kind of got to break out .

Mike Brown: And so what we're finding now is you've kind of got to break out. When you look at ATMs, you can't, like, throw them all in one bucket, because some of them, it really doesn't matter how much people are gonna spend with cash, we're gonna get paid the same or more. So, and as far as what percentage, I'll let Rick try to take a shot at that, but I just wanna kind of educate people. Everybody wants to say, "This is all ATMs." It's not all ATMs.

Speaker #2: When you look at ATMs, you can't, like, throw them all in one bucket because some of them, it really doesn't matter how much people are going to spend with cash—we're going to get paid the same or more.

Speaker #2: So as far as what percentage , I'll let I'll let Rick try to take a shot at that . But I just want to kind of educate people .

Speaker #2: Everybody wants to say , this is all ATMs . It's not all ATMs .

Speaker #1: Yeah . You know , we've we've shown you some charts and graphs before that , you know , that show that the , the ATM business is , is slightly less than 20% of our consolidation there .

Rick Weller: ... Yeah, you know, we've shown you some charts and graphs before that, you know, that show that the ATM business is slightly less than 20% of our consolidation there. And so, we've even put out a slide that said, you know, by t- when you look out, you know, several years, you know, that number is anticipated maybe to be something like, you know, 13, 14, you know, kind of in that ballpark, right? So we continue to see the mix shift to where we're- we won't get rid of the ATM business, but we're not, as Mike said, we're not focused on it being a growth engine.

Rick L. Weller: ... Yeah, you know, we've shown you some charts and graphs before that, you know, that show that the ATM business is slightly less than 20% of our consolidation there. And so, we've even put out a slide that said, you know, by t- when you look out, you know, several years, you know, that number is anticipated maybe to be something like, you know, 13, 14, you know, kind of in that ballpark, right? So we continue to see the mix shift to where we're- we won't get rid of the ATM business, but we're not, as Mike said, we're not focused on it being a growth engine.

Speaker #1: And , and so and we've we've even put out a slide that said , you know by and you look out you know several years you know that number is is anticipated maybe to be something like , you know , 13 , 14 , you know , kind of in that , you know , ballpark .

Speaker #1: Right . So we continue to see the mix shift to where we won't get rid of the ATM business , but we're not , as Mike said , we're not focused on it being a growth engine .

Speaker #1: We're seeing more of the growth come out of our our digital strategy being either infrastructure support for banks or acquiring or like core card , where again , which falls into that infrastructure piece .

Rick Weller: We're seeing more of the growth come out of our digital strategy, being either infrastructure support for banks, or acquiring or like CoreCard, where again, which falls into that infrastructure piece. So that will continue to become a bigger and bigger part of it. And then, as it relates to the margins, I would expect that we would see an improving margin structure. Today, in our EFT business, we have an operating margin, you know, that's just north of 20-ish kind of %, okay? And if you kind of take a look at the acquiring business, it generally is gonna be in a 25-ish kind of zip code, the better, okay?

Rick L. Weller: We're seeing more of the growth come out of our digital strategy, being either infrastructure support for banks, or acquiring or like CoreCard, where again, which falls into that infrastructure piece. So that will continue to become a bigger and bigger part of it. And then, as it relates to the margins, I would expect that we would see an improving margin structure. Today, in our EFT business, we have an operating margin, you know, that's just north of 20-ish kind of %, okay? And if you kind of take a look at the acquiring business, it generally is gonna be in a 25-ish kind of zip code, the better, okay?

Speaker #1: So that will continue to become a bigger and bigger part of it . And then as it relates to the margins , I would expect that we would see an improving margin structure today in our in our EFT business .

Speaker #1: We have an operating margin , you know , that's just north of 20 ish kind of percent . Okay . And if you kind of take a look at the acquiring business , it generally is going to be in a in a , a 25 ish kind of zip code to better .

Speaker #1: Okay . You look at the , the infrastructure like the , the issuing business , it's going to be more in the 40 to 50% kind of range .

Rick Weller: You look at the infrastructure, or like the issuing business, it's gonna be more in the 40 to 50% kind of range. And so we would anticipate seeing that mix will shift down for the ATM portion of it, and that we'll have better margins out of the EFT segment over time.

Rick L. Weller: You look at the infrastructure, or like the issuing business, it's gonna be more in the 40 to 50% kind of range. And so we would anticipate seeing that mix will shift down for the ATM portion of it, and that we'll have better margins out of the EFT segment over time.

Speaker #1: And so we would anticipate seeing that that mix will shift down for the ATM portion of it . And that will have better margins out of the EFT segment over time

Speaker #2: And I think with yeah , yeah , that was nice to talk to you . And with everybody else , I notice we're at the top of the hour .

Mike Brown: And I think, with-

Vasu Govil: Thank you.

Mike Brown: Yeah, yeah, Vasu, it was nice to talk to you. And with everybody else, I notice we're at the top of the hour, so we're going to close ourselves off. We appreciate your interest, and look forward to talking to you in the future. Thank you very much.

Speaker #2: So we're going to close ourselves off . We appreciate your interest and look forward to talking to you in the future . Thank you very much .

Speaker #3: Thank you , ladies and gentlemen , for your participation in today's conference . This does conclude the program . You may now disconnect .

Operator: Thank you, ladies and gentlemen, for your participation in today's conference. This does conclude the program. You may now disconnect. Good day.

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