Euronet Worldwide (EEFT) investor relations material

Executive summary

• Achieved 11% year-over-year revenue growth to $1,011.8 million in Q1 2026, with strong digital and merchant services momentum and broad-based business strength.

• Adjusted EPS rose 40% to $1.58, or 19% excluding a prior-year one-time tax charge, driven by digital initiatives and segment momentum.

• Money Transfer digital revenue and transactions grew 42% and 35% year-over-year, respectively, but the segment faced pressure from U.S. immigration enforcement and Middle East geopolitical tensions.

• Launched stablecoin payouts, migrated Bilt's 628,000 card portfolio to CoreCard, signed three EFT infrastructure agreements, and repurchased $100 million in shares.

• Net income attributable to shareholders was $37.5 million, down 2% year-over-year, mainly due to a higher effective tax rate and increased operating expenses.

Financial highlights

• Q1 2026 revenue reached $1,011.8 million, operating income was $72 million (down 4% YoY), adjusted EBITDA $126.7 million (up 7% YoY), and adjusted EPS $1.58.

• Revenue grew 11% year-over-year; gross profit increased across all segments, with consolidated gross margin at 39.2%.

• Effective income tax rate rose to 43.7% from 15.6% in Q1 2025, impacting net income.

• Cash and cash equivalents at quarter-end were $1,229.5 million, with total liquidity (including ATM cash) at $2,614.2 million.

• Strong free cash flow enabled $100 million in share repurchases during the quarter.

Outlook and guidance

• Reiterates 2026 adjusted EPS growth guidance of 10–15% year-over-year, supported by digital expansion and infrastructure agreements.

• Management expects continued revenue growth, with inflationary pressures anticipated to increase expenses.

• Capital expenditures for 2026 are projected at $135–$145 million, focused on ATM and POS expansion.

• Sufficient liquidity and credit capacity are expected to meet debt, leasing, and capital expenditure obligations.

• Seasonal earnings profile evolving, with Q2 and Q3 expected to be lighter portions of full-year earnings due to business diversification and digital expansion.