EVERTEC Inc · Q3 2022 earnings

Briefing

Third quarter 2022 results reported with revenue relatively flat and net income significantly impacted by the Popular Transaction gain.

EVERTEC reported relatively flat revenue at $145.8 million for the third quarter of 2022. GAAP Net Income attributable to common shareholders was $137.8 million, or $2.06 per diluted share, including a $135.6 million gain from the Popular Transaction. Adjusted EBITDA decreased 25% to $52.4 million, and adjusted earnings per common share decreased 35% to $0.40.

• Closed Popular Transaction with expected impacts on revenue and margins.
• Revenue remained relatively flat at $145.8 million.
• GAAP Net Income attributable to common shareholders was $137.8 million or $2.06 per diluted share.
• Adjusted earnings per common share was $0.40, a decrease of 35%; excluding the impact from FX remeasurement Adjusted earnings per common share would have been $0.53, a decrease of 15%

Headline financials

Revenue & EPS history

The Company's financial outlook for 2022 is as follows: Total consolidated revenue continues to be anticipated between $607 million and $615 million. Adjusted earnings per common share is now expected to be between $2.36 to $2.47 representing a decline of 14% to 10% as compared to $2.74 in 2021. Capital expenditures continue to be expected at approximately $60 million. Effective tax rate is now anticipated between 17% and 18%, compared to 14% to 15% previously estimated.