Fubotv earnings beat by $0.10, revenue topped estimates
OMAHA - On Thursday, ACI Worldwide (NASDAQ:ACIW) reported second-quarter earnings that significantly exceeded analyst expectations, as the payments technology company delivered solid revenue growth driven by strong recurring revenue performance.
The company’s shares rose 1.23% in after hours trading following the announcement.
The company reported adjusted earnings per share of $0.35 for the second quarter, substantially beating the analyst estimate of $0.09. Revenue came in at $401 million, surpassing the consensus estimate of $380.59 million and representing a 7% increase from the same period last year. Recurring revenue, which made up 80% of total revenue, grew 13% year-over-year to $322 million.
"We delivered solid second quarter and first half results, reflecting the organizational improvements we have invested in and the momentum we generated by signing renewals and new business early in the year," said Thomas Warsop, president and CEO of ACI.
While the company’s Q2 adjusted EBITDA of $81 million was down 13% from the previous year due to timing of higher-margin license contracts, its first-half adjusted EBITDA increased 24% compared to the same period in 2024. The company’s Biller segment showed particular strength, with revenue growing 16% in Q2.
ACI raised its full-year 2025 guidance, now expecting revenue between $1.71 billion and $1.74 billion, slightly above the consensus estimate of $1.71 billion. The company also increased its adjusted EBITDA forecast to between $490 million and $505 million, up from its previous guidance of $480 million to $495 million.
During the quarter, ACI repurchased approximately 2.4 million shares for $119 million, representing 2.4% of outstanding shares. The company ended Q2 with $190 million in cash and a debt balance of $904 million.
"Given the robust performance across the business, we are raising our full-year outlook for both revenue and adjusted EBITDA for 2025," said Robert Leibrock, Chief Financial Officer of ACI.
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