EVERTEC, Inc. (EVTC) Bundle
An Overview of EVERTEC, Inc. (EVTC)
An Overview of EVERTEC, Inc. (EVTC)
EVERTEC, Inc. is a leading provider of electronic transaction processing services in Latin America and the Caribbean. Established in 2004, the company has its headquarters in San Juan, Puerto Rico. EVERTEC operates in four primary business segments: Payment Services - Puerto Rico & Caribbean, Latin America Payments and Solutions, Merchant Acquiring, and Business Solutions. The company offers a wide range of services including transaction processing, payment solutions, and business process outsourcing. As of 2024, EVERTEC reported total revenues of approximately $629.1 million for the nine months ended September 30, up from $500.1 million in the prior year, representing a growth of 26%.
Company's Financial Performance in the Latest Financial Reports
In the latest financial reports, EVERTEC showcased a robust financial performance. For the three months ended September 30, 2024, total revenues reached $211.8 million, marking a 22% increase from $173.2 million in the same period of 2023. The company reported an adjusted EBITDA of $30.4 million, representing a margin of 40.1%.
For the nine months ended September 30, 2024, the company achieved revenues of $629.1 million, an increase driven primarily by growth in the Business Solutions and Latin America Payments segments. The Payment Services - Puerto Rico & Caribbean segment generated revenues of $160.0 million, while Latin America Payments and Solutions contributed $224.9 million.
| Segment | Revenues (2024) | Revenues (2023) | Adjusted EBITDA (2024) | Adjusted EBITDA Margin |
|---|---|---|---|---|
| Payment Services - Puerto Rico & Caribbean | $160.0 million | $150.8 million | $90.1 million | 56.3% |
| Latin America Payments and Solutions | $224.9 million | $120.5 million | $54.5 million | 24.2% |
| Merchant Acquiring | $133.9 million | $122.2 million | $52.7 million | 39.4% |
| Business Solutions | $181.6 million | $169.2 million | $78.3 million | 43.1% |
Introduction to Company as One of the Leaders in the Industry
EVERTEC, Inc. stands out as a leader in the electronic payment processing industry, particularly within the Caribbean and Latin America. The company's strategic focus on innovation and customer service has enabled it to maintain a competitive edge. The successful integration of acquisitions, such as the paySmart acquisition in early 2024, has further bolstered its market position. The company's commitment to expanding its service offerings and enhancing its technology infrastructure positions it well for future growth and success in the rapidly evolving payments landscape.
Mission Statement of EVERTEC, Inc. (EVTC)
Mission Statement of EVERTEC, Inc. (EVTC)
The mission statement of EVERTEC, Inc. is to provide a comprehensive suite of technology-driven solutions that enable businesses to optimize their operations, enhance customer experiences, and drive growth. This mission is pivotal in guiding the company's long-term objectives and decision-making processes, ensuring alignment with its strategic goals.
Core Component 1: Technology-Driven Solutions
EVERTEC emphasizes its commitment to delivering technology-driven solutions. As of September 30, 2024, the company reported total revenues of $629.1 million, a 26% increase from $500.1 million during the same period in 2023. This growth reflects the effectiveness of their technology solutions across various sectors, particularly in the Business Solutions segment, which generated $181.6 million in revenues for the nine months ended September 30, 2024, up from $169.2 million in 2023.
Core Component 2: Operational Optimization
Operational optimization is central to EVERTEC's mission. The company’s revenue from the Payment Services - Puerto Rico & Caribbean segment was $160 million for the nine months ended September 30, 2024, compared to $150.8 million in 2023, indicating a focus on enhancing operational efficiencies. The adjusted EBITDA margin for this segment was 56.3% in 2024, down from 58.0% in 2023, reflecting ongoing investments in operational improvements.
Core Component 3: Customer Experience Enhancement
Enhancing customer experience is a vital aspect of EVERTEC's mission. The company reported a significant increase in transaction volumes and customer engagement, particularly through its ATH Movil platform, which has seen growing adoption across Puerto Rico. The number of transactions processed increased significantly, contributing to a robust revenue stream. For the three months ended September 30, 2024, the Merchant Acquiring segment generated $45.4 million in revenues, up from $40.6 million in the previous year, showcasing the effectiveness of their customer engagement strategies.
| Metric | 2024 | 2023 | Variance |
|---|---|---|---|
| Total Revenues | $629.1 million | $500.1 million | 26% |
| Business Solutions Revenue | $181.6 million | $169.2 million | 7.1% |
| Payment Services - Puerto Rico Revenue | $160 million | $150.8 million | 7.9% |
| Merchant Acquiring Revenue | $45.4 million | $40.6 million | 19.5% |
In conclusion, EVERTEC, Inc.’s mission statement serves as a guiding framework that emphasizes the importance of technology-driven solutions, operational optimization, and customer experience enhancement. These core components are supported by substantial financial growth and a strategic focus on the evolving needs of their clientele.
Vision Statement of EVERTEC, Inc. (EVTC)
Vision Statement Overview
The vision of EVERTEC, Inc. (EVTC) emphasizes becoming a leading full-service transaction-processing business and financial technology provider in Latin America, Puerto Rico, and the Caribbean. This vision aims to leverage advanced technology to enhance operational efficiencies and expand service offerings across various sectors.
Strategic Objectives
As of 2024, EVERTEC's vision includes several strategic objectives:
- Expanding the scope of digital payment solutions.
- Enhancing customer experience through innovative technology.
- Increasing market share in the Latin American region.
- Fostering sustainable business practices.
Technological Innovation
EVERTEC is committed to utilizing cutting-edge technology to improve transaction processing capabilities. The company has invested approximately $69.8 million in capital expenditures for technology development during the nine months ended September 30, 2024.
In 2024, EVERTEC aims to enhance its digital payment platforms, which include:
- ATH Movil, a mobile payment solution.
- Payment processing services for e-commerce transactions.
- Comprehensive fraud monitoring systems.
Market Expansion Goals
To achieve its vision, EVERTEC plans to expand its footprint in the Latin American market. The company generated revenues of $224.9 million from its Latin America Payments and Solutions segment for the nine months ended September 30, 2024, reflecting an increase of $104.4 million compared to the prior year.
Key regions targeted for expansion include:
- Mexico
- Colombia
- Brazil
Commitment to Sustainability
As part of its vision, EVERTEC is dedicated to sustainable business practices. The company received formal approval for research and development tax credits, realizing a gain of $8.9 million in October 2024. This aligns with their commitment to innovation and responsible growth.
Customer-Centric Approach
EVERTEC's vision underscores a strong focus on customer satisfaction. The company aims to strengthen relationships with existing clients while attracting new customers through superior service delivery. In the three months ended September 30, 2024, EVERTEC reported net income attributable to common stockholders of $24.7 million.
Financial Performance Metrics
To support its vision, EVERTEC's financial performance is continuously monitored. Key metrics include:
| Metric | 2024 (3 Months) | 2023 (3 Months) |
|---|---|---|
| Revenues | $211,795,000 | $173,198,000 |
| Net Income | $24,678,000 | $10,036,000 |
| Adjusted EBITDA | $18,227,000 | $15,300,000 |
Conclusion of Vision Components
In summary, EVERTEC's vision for 2024 focuses on technological innovation, market expansion, sustainability, and a customer-centric approach. The financial metrics reflect the company's commitment to achieving these goals while enhancing shareholder value.
Core Values of EVERTEC, Inc. (EVTC)
Integrity
Integrity is a foundational core value at EVERTEC, Inc. (EVTC). It emphasizes the importance of honesty, transparency, and ethical behavior in all business dealings.
In 2024, EVERTEC demonstrated its commitment to integrity through rigorous compliance programs and ethical training for employees. The company has implemented a Code of Conduct that all employees are required to adhere to, ensuring that ethical standards are maintained throughout the organization.
Innovation
Innovation is a core value that drives EVERTEC's growth and operational excellence. The company continually seeks to improve its services and products through technological advancements.
In 2024, EVERTEC invested approximately $69.8 million in capital expenditures, which included funding for new technology initiatives aimed at enhancing its payment processing capabilities. This investment reflects the company's focus on innovation to meet the evolving needs of its clients.
Additionally, EVERTEC's acquisition of Grandata, Inc. in October 2024, a data analytics company, is a strategic move to bolster its data-driven solutions, showcasing its commitment to innovative service offerings.
Customer Commitment
Customer commitment is a vital core value at EVERTEC, ensuring that client satisfaction is at the forefront of its operations.
In 2024, EVERTEC reported revenues of $629.1 million for the nine months ending September 30, 2024, reflecting a strong commitment to delivering quality services to its customers across various segments. The company has established customer feedback loops and satisfaction surveys to continuously improve its services based on client input.
Moreover, EVERTEC's merchant acquiring segment saw a revenue increase of $11.7 million compared to the previous year, driven by enhanced customer service and support.
Collaboration
Collaboration fosters teamwork and effective partnerships within EVERTEC, enabling the company to leverage diverse talents and perspectives.
In 2024, EVERTEC has engaged in numerous collaborative projects, particularly within its Business Solutions segment, which generated revenues of $181.6 million, an increase of $12.4 million from the previous year. This growth is attributed to successful partnerships and collaborative efforts with clients, particularly in delivering customized solutions.
Excellence
Excellence is a core value that drives EVERTEC to achieve the highest standards in service delivery and operational performance.
As of September 30, 2024, EVERTEC achieved an adjusted EBITDA of $251.6 million, demonstrating its commitment to operational excellence. This financial performance highlights the company's focus on efficiency and quality in all aspects of its business operations.
Furthermore, the company's adjusted EBITDA margin in its Business Solutions segment reached 43.1%, indicating a strong performance driven by high-quality service delivery.
| Core Value | Key Initiatives | Financial Performance |
|---|---|---|
| Integrity | Code of Conduct, Compliance Training | N/A |
| Innovation | $69.8 million in capital expenditures, Acquisition of Grandata, Inc. | Revenue growth in technology services |
| Customer Commitment | Client feedback systems, Enhanced support | $629.1 million in total revenues |
| Collaboration | Partnerships in Business Solutions | $181.6 million in Business Solutions revenues |
| Excellence | Operational efficiency programs | $251.6 million Adjusted EBITDA |
EVERTEC, Inc. (EVTC) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- EVERTEC, Inc. (EVTC) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of EVERTEC, Inc. (EVTC)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View EVERTEC, Inc. (EVTC)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.