ACI Worldwide Q4 2024 Earnings Report
Key Takeaways
ACI Worldwide's Q4 2024 revenue decreased 4.9% year-over-year to $453.0 million, impacted by a decline in license revenue. Net income dropped 19.6% to $98.6 million, while adjusted EBITDA fell 24.8% to $157.7 million. SaaS and PaaS recurring revenue remained stable at $223.5 million, and new ARR bookings increased 22.2% year-over-year. The company expects 7-9% revenue growth in 2025.
Total revenue declined 4.9% to $453.0 million.
Net income decreased 19.6% to $98.6 million.
SaaS and PaaS recurring revenue remained stable at $223.5 million.
Annual recurring revenue (ARR) bookings grew 22.2% to $35.2 million.
ACI Worldwide Revenue
ACI Worldwide EPS
ACI Worldwide Revenue by Segment
ACI Worldwide Revenue by Geographic Location
Forward Guidance
ACI Worldwide expects revenue growth of 7-9% in 2025, driven by increased SaaS and PaaS adoption, improved customer retention, and strategic expansion into new markets.
Positive Outlook
- Revenue projected to grow 7-9% in 2025.
- Increased adoption of SaaS and PaaS solutions.
- Expected improvement in adjusted EBITDA margins.
- Continued share repurchases with $373 million remaining authorization.
- Growth in ARR bookings signals strong demand for subscription services.
Challenges Ahead
- Declining license revenue may impact total revenue growth.
- Lower net income and adjusted EBITDA in Q4 2024.
- Biller segment profitability declined due to non-recurring margin benefits in 2023.
- Macroeconomic uncertainty could impact IT spending in financial services.
- Potential foreign exchange headwinds affecting international revenue.
Revenue & Expenses
Visualization of income flow from segment revenue to net income