ACI Worldwide (ACIW) Q4 2025 earnings summary

Executive summary

• Achieved double-digit revenue growth in 2025, with total revenue of $1.76 billion, up 10% year-over-year, and recurring revenue of $1.21 billion, up 11% year-over-year.

• Adjusted EBITDA rose 9% to $507 million, with margin expanding to 42%.

• Returned $203 million to shareholders via share repurchases, reducing net leverage to 1.2x adjusted EBITDA.

• Continued investment in AI-first initiatives, modernization of core platforms, and expansion of cloud-native payments hub, including Connetic and SpeedPay One.

• Board refreshment with new appointments to strengthen governance and risk culture.

Financial highlights

• Q4 2025 revenue was $482 million, up 6% year-over-year; recurring revenue grew 13% to $304 million.

• Full-year recurring revenue reached $1.21 billion, up 11% year-over-year.

• Net new ARR bookings increased 7% to $70.3 million; new license and services bookings were $255 million, down 12% due to timing.

• Cash flow from operations was $323 million, compared to $359 million in 2024.

• Diluted EPS adjusted for non-cash and significant transaction-related items was $2.83 for 2025.

Outlook and guidance

• 2026 revenue guidance: $1.88–1.91 billion (7–9% growth, constant currency).

• Adjusted EBITDA for 2026 projected at $530–550 million; Q1 at $88–93 million.

• Q1 2026 revenue expected at $405–415 million.

• Revenue expected to be H2-weighted (44% in H1, 56% in H2), reflecting seasonality and implementation schedules.

• 50–60% of 2026 operating cash flow to be allocated to share repurchases.