ACI Worldwide 2025 Q3 Earnings Beats Expectations with 12.1% Net Income Growth

ACI Worldwide (ACIW) reported fiscal 2025 Q3 earnings on Nov 6, 2025, surpassing analyst expectations across key metrics. The company raised full-year revenue and adjusted EBITDA guidance following robust performance in both Payment Software and Biller segments.

Revenue

ACI Worldwide’s total revenue increased by 6.8% to $482.36 million in 2025 Q3, driven by higher transaction volumes and new customer acquisitions. The Payment Software segment generated $284.0 million in revenue, while the Biller segment contributed $198.3 million. Geographically, the United States accounted for $253.4 million of total revenue, with other regions adding $228.9 million. Recurring revenue, representing 62% of total revenue, rose 10% to $298 million, reflecting strong customer retention and growth in subscription-based services.

Earnings/Net Income

The company’s EPS surged 12.8% to $0.88 in 2025 Q3, outpacing the $0.78 recorded in 2024 Q3. Net income climbed 12.1% to $91.25 million, supported by improved operational efficiency and cost management. The 12.8% year-over-year EPS growth reflects the company’s strong operational performance and effective cost management.

Price Action

While the stock gained 7.20% during the most recent full trading week, it has seen a 3.91% decline month-to-date. The price edged up 2.91% during the latest trading day, reflecting mixed short-term sentiment.

Post-Earnings Price Action Review

The stock’s post-earnings performance has shown resilience despite its monthly decline, with analysts citing confidence in ACI’s long-term growth trajectory. While the 7.20% weekly gain underscores investor optimism about the company’s updated guidance and strategic initiatives, the month-to-date drop suggests caution amid broader market volatility. The recent share repurchase authorization and new product traction, such as the Connetic platform, are viewed as catalysts for sustained momentum.

CEO Commentary

Thomas Warsop, President and CEO, highlighted Q3’s “positive momentum” with 7% revenue growth and 10% recurring revenue increase YoY. He emphasized the first customer for ACI Connetic and the successful Payments Unleashed summit, expressing optimism about the industry outlook and operational excellence driving shareholder value.

Guidance

ACI raised 2025 full-year revenue guidance to $1.730–$1.754 billion (prior: $1.710–$1.740 billion) and adjusted EBITDA to $495–$510 million (prior: $490–$505 million). The company also authorized a $500 million share repurchase program, replacing prior remaining amounts.

Additional News

ACI Worldwide announced a $500 million share repurchase program in Q3 2025, replacing prior authorizations and signaling confidence in capital allocation. The company also acquired Payment Components, a European fintech, to enhance its AI-driven Connetic platform. Additionally, ACI partnered with BitPay to integrate cryptocurrency and stablecoin solutions, positioning itself at the forefront of digital payment innovation.