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Mar 31

ACI Worldwide Q1 2025 Earnings Report

reported financial results for the quarter ending March 31, 2025, with significant increases in revenue, net income, and adjusted EBITDA compared to the prior year.

Key Takeaways

ACI Worldwide delivered strong Q1 2025 results, exceeding expectations with a 25% increase in revenue and a shift from a net loss to a significant net income. The Payment Software segment showed exceptional growth, and the company raised its full-year 2025 guidance.

Revenue increased by 25% to $395 million compared to Q1 2024.

Net income was $59 million in Q1 2025, a significant improvement from a net loss of $8 million in Q1 2024.

Adjusted EBITDA grew by 95% to $94 million.

The company raised its full-year 2025 revenue guidance.

Total Revenue
$395M
Previous year: $316M
+24.9%
EPS
$0.51
Previous year: $0.1
+410.0%
Adjusted EBITDA
$94.1M
Previous year: $48.1M
+95.6%
Recurring Revenue
$286M
Previous year: $264M
+8.4%
Recurring Revenue %
72%
Cash and Equivalents
$230M
Previous year: $183M
+25.4%

ACI Worldwide

ACI Worldwide

ACI Worldwide Revenue by Segment

Forward Guidance

ACI Worldwide is raising its full-year 2025 revenue guidance while maintaining its adjusted EBITDA guidance. The company also provided guidance for Q2 2025.

Positive Outlook

  • Raising full-year 2025 revenue guidance.
  • Strong start to the year makes the company more confident in full-year expectations.
  • Focus remains on execution of strategy and delivering transformative software solutions.
  • Expect continued strength in Issuing and Acquiring solutions.
  • Expect continued strength in Biller business.

Challenges Ahead

  • Q2 2025 revenue guidance is lower than Q1 2025 revenue.
  • Q2 2025 adjusted EBITDA guidance is significantly lower than Q1 2025 adjusted EBITDA.
  • Guidance includes impact of changes in foreign currency rates.
  • Risk factors outlined in SEC filings could impact forward-looking statements.
  • Competition and other external factors could negatively affect results.