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- **Q3 Strong Performance**: 8% revenue growth to $228.6 million, driven by 19% LatAm expansion and key wins in Chile/Peru.
- **Cybersecurity Resolution**: Brazil incident resolved with minimal client impact; no broader business disruption.
- **Leadership Refresh**: Promotions of Joaquin (COO) and Karla (CFO) signal strategic focus on LatAm growth and financial discipline.
- **2025 Guidance Beat**: Updated revenue $921-927M (8.9%-9.6% growth), EPS $3.53-3.63 (8.5%-10.4% growth).
- **2026 Outlook**: LatAm cross-sell opportunities offset $14M Popular discount headwind; 40% EBITDA margin target.

**【CEO Summary Section】**
- **Q3 2025 Revenue Growth**: $228.6 million, up 8% YoY, driven by strong organic growth across all segments. LatAm revenue increased 19% YoY, fueled by Brazil's reacceleration and acquisitions (Grandata, Nubity, Tecnobank). Key wins include Banco de Chile and Financiera Oh in Chile and Peru.
- **Cybersecurity Incident Resolution**: Unauthorized activity in Brazil's PIX system resolved with minimal client impact. Systems restored with BCB approval, and 95%+ funds recovered. No impact on other products or geographies.
- **Leadership Transition**: Joaquin Castrillo promoted to COO; Karla Cruz-Jusino becomes CFO. Both bring deep financial and operational expertise.

**【CFO Financial Commentary】**
- **Financial Highlights**: Adjusted EBITDA $92.6 million (6% YoY growth), margin 40.5%. Adjusted EPS $0.92 (7% YoY). Operating cash flow $157 million; liquidity $518.6 million.
- **Segment Performance**: Merchant Acquiring (+3%), Payment Services (+5%), LatAm Payments (+19%), Business Solutions (+1%). Margins stable despite LatAm organic growth headwinds.
- **2025 Guidance Update**: Revenue $921-927 million (8.9%-9.6% growth), adjusted EPS $3.53-3.63 (8.5%-10.4% growth). 2026 outlook: LatAm growth, cross-sell opportunities, and cost efficiencies to offset Popular discount headwinds.

**【Q&A Key Highlights】**
- **LatAm Expansion**: Products scalable across region; cross-sell opportunities with Sinqia and Tecnobank. Brazil's PIX system incident did not harm commercial momentum.
- **Government Shutdown Impact**: No direct impact on Puerto Rico business; SNAP funding secured through November.
- **Margins**: 40% EBITDA margin for 2025. 2026 margin pressure from Popular discount ($14M headwind) offset by cost initiatives and debt repricing.
- **Capital Allocation**: $150M share buyback program; balanced approach to M&A and stock repurchases.

EVERTEC, Inc. (EVTC) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: Q2 revenue up 8% YoY to $230 million, with Latin America leading at 15% YoY growth.
- **Profitability**: Adjusted EBITDA margin of 40.3%, and EPS of $0.89, up 7% YoY.
- **Share Buyback**: $150 million authorized for repurchases, signaling confidence in long-term growth.
- **Outlook Update**: 2025 revenue guidance raised to 6.6%-7.6% growth, driven by Latin America and Puerto Rico stability.
- **Strategic Wins**: ATH Móvil growth of 17% YoY, and successful integration of Sinqia and recent acquisitions.

**【CEO Summary Section】**
- **Q2 Revenue Growth**: $230 million, up 8% YoY, with 10% growth in constant currency. Adjusted EBITDA of $93 million, up 8% YoY, and adjusted EPS of $0.89, up 7% YoY.
- **Segment Highlights**: Latin America revenue grew 15% YoY (20% in constant currency), driven by organic growth and acquisitions. Puerto Rico segments saw 4% growth across Merchant Acquiring, Payment Services, and Business Solutions.
- **Share Repurchase Program**: Board approved a $150 million buyback program through December 2026.
- **Outlook Update**: 2025 revenue guidance raised to $901-909 million (6.6%-7.6% growth), with adjusted EPS growth of 4.8%-7%.

**【CFO Financial Commentary】**
- **Revenue by Segment**: Merchant Acquiring (+4%), Payments Puerto Rico (+4%), Latin America Payments (+15%), Business Solutions (+4%).
- **Margins and Cash Flow**: Adjusted EBITDA margin of 40.3%, operating cash flow of $86 million, and liquidity of $485 million.
- **Debt and Tax**: Net debt of $673.6 million, 1.95x net debt/EBITDA ratio, and effective tax rate of 7.1%.
- **2025 Guidance**: Constant currency revenue growth of 7.8%-8.7%, with margin expectations of 39.5%-40.5%.

**【Q&A Highlights】**
- **Sinqia Performance**: Outperformed expectations, with modernization and repricing initiatives driving growth. Brazil operations are expected to continue contributing strongly.
- **Latin America Pipeline**: Active pipeline in Mexico and Brazil, with focus on technology-driven deals. ATH Móvil growth of 17% YoY driven by network effects and merchant adoption.
- **Tariff Impact**: No direct impact identified, but conservatism baked into guidance. Consumer resilience in Merchant Acquiring offset gas price declines.
- **M&A Strategy**: Balance sheet strength supports selective M&A, with focus on Latin America and Brazil.

EVERTEC, Inc. (EVTC) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: 11.4% YoY to $228.8M, 15% constant currency growth driven by Puerto Rico (+11%), Latin America (+22% CC), and Brazil reacceleration. 
- **Profitability**: Adjusted EBITDA margin 39.1% (+100bps), EPS $0.87 (+21%). 
- **Guidance**: 2025 constant currency revenue +6.8-7.7%, EPS growth 4.9-7.6%. 
- **Strategic Moves**: Active M&A pipeline, 10% discount offset by cost savings, monitoring tariff risks in Brazil/Chile. 
- **Puerto Rico Stability**: 5.5% unemployment, 9% airport passenger growth. 


**【CEO Summary Section】**
- **Revenue Growth**: Q1 2025 revenue of $228.8 million, up 11.4% YoY, driven by 15% constant currency growth across all segments. Puerto Rico Merchant Acquiring grew 11%, Payment Puerto Rico 4%, and Latin America 13% (22% in constant currency). 
- **LatAm Performance**: Brazil reaccelerated due to repricing, modernization, and Getnet Chile partnership, which processed 200,000+ merchants. Brazil exports (oil, agriculture) and Chile metals exports face tariff risks. 
- **Tariff Risks**: Monitoring indirect impacts from export-dependent economies; no material disruptions yet. 
- **Puerto Rico Economy**: Stable with 5.5% unemployment, 9% YoY airport passenger growth. 

**【CFO Financial Commentary】**
- **Profitability**: Adjusted EBITDA $89.4 million (+14% YoY), margin 39.1% (+100bps). Adjusted EPS $0.87 (+21% YoY). 
- **Cash Flow**: $37.6M operating cash flow, $3.2M dividends, $11.6M debt repayment. Ending cash $290.1M, net debt $704M (2.04x EBITDA). 
- **Guidance Update**: 2025 constant currency revenue $903-911M (+6.8-7.7%), adjusted EPS growth 4.9-7.6%. 
- **Margin Outlook**: 39.5-40.5% EBITDA margin, with 10% discount impact in Q4 offset by cost savings. 

**【Q&A Highlights】**
- **Revenue Outperformance**: Strong organic growth in all segments, Latin America 22% constant currency, Business Solutions 13% (onetime hardware sales). 
- **M&A Strategy**: Actively pursuing acquisitions (e.g., Grandata, Nubity), pipeline remains robust. 
- **Merchant Margins**: 510bps YoY expansion from spread growth, cost optimization, and regulated bank benefits. Margins expected to stabilize as pricing lappers. 
- **Tariff Impact**: Monitoring Brazil (oil, agriculture) and Chile (metals) exports; no direct business impact yet. 
- **Puerto Rico Relief Funds**: Economic recovery continues, but timing of relief fund impact unclear. 


EVERTEC (EVTC)-7 May 25-2025 Q1 Earnings call transcript

- **Revenue Surge**: 2024 revenue up 22% to $845.5 million, with LATAM contributing 33% (vs. 10% in 2015) via Sinqia and organic growth.
- **Profitability Boost**: Adjusted EBITDA margin 40.2%, offsetting 10% Popular discount set for Q4 2025.
- **Acquisition Momentum**: 2024 tuck-in deals (Grandata, Nubity) and 2025 pipeline poised for cross-sell growth.
- **2025 Guidance**: Revenue $889-899 million (+5.1%-6.3%), adjusted EPS $3.31-3.44 (+1.8%-5.2%).
- **LATAM Risk-Return**: 9.6% Q4 currency headwinds vs. long-term pipeline-driven growth.


**【CEO Summary Section】**
- **Record Revenue Growth**: 2024 total revenue reached $845.5 million, up 22% YoY, driven by 62% growth in Latin America (LATAM) due to Sinqia acquisition and organic expansion.
- **Margin Optimization**: Adjusted EBITDA of $340.2 million (+17% YoY) and EBITDA margin of 40.2%, reflecting cost efficiency initiatives offsetting the 10% Popular discount set for Q4 2025.
- **Strategic Acquisitions**: Completed Sinqia (Brazil), Grandata (Colombia), and Nubity (Mexico) to diversify revenue outside Puerto Rico (33% of total in 2024 vs. 10% in 2015).
- **LATAM Pipeline Success**: Signed deal with Grupo Aval in Colombia, with organic growth expected to accelerate in 2026+.
- **2025 Outlook**: Revenue $889-899 million (+5.1%-6.3%), adjusted EPS $3.31-3.44 (+1.8%-5.2%).

**【CFO Financial Commentary】**
- **Q4 2024 Results**: Revenue $216.4 million (+11% YoY), adjusted EBITDA $88.6 million (+24% YoY), adjusted EPS $0.87 (+40% YoY).
- **Segment Performance**: 
  - *Merchant Acquiring*: +16% YoY to $46.6 million, margin 42.7% (vs. 36.0% prior year).
  - *LATAM Payments*: +18% YoY to $77.9 million, margin 32.3% (vs. 23.1% prior year).
  - *Business Solutions*: +8% YoY to $62.4 million, margin 39.0% (vs. 34.7% prior year).
- **Liquidity**: $468 million as of Dec 31, 2024, with $138 million remaining under share repurchase program.
- **Debt Management**: Net debt $706.8 million, 2.06x net debt/EBITDA (vs. 2.24x prior year), interest rate 6.45% (down 100bps YoY).

**【Q&A Highlights】**
- **Sinqia Reacceleration**: 2024 growth decelerated post-acquisition, but Q4 2024 showed improvement via contract repricing, customer engagement, and Brazil market focus. 2025 LATAM growth expected at low-double digits.
- **Popular Discount Mitigation**: Cost efficiency initiatives already reducing expenses, with gradual margin improvement expected in 2025.
- **M&A Strategy**: Active pipeline with focus on tuck-in deals (e.g., Grandata, Nubity) to enhance cloud services and cross-sell opportunities.
- **LATAM Risks**: Currency headwinds (9.6% Q4 2024 impact), but long-term growth driven by pipeline conversion and organic expansion.


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