Document and Entity Information
Document and Entity Information Document - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 22, 2022 | Jun. 30, 2021 | |
Entity Information [Line Items] | |||
Entity File Number | 001-31648 | ||
Entity Shell Company | false | ||
Document Annual Report | true | ||
Entity Small Business | false | ||
City Area Code | (913) | ||
Local Phone Number | 327-4200 | ||
Entity Address, Address Line One | 11400 Tomahawk Creek Parkway, Suite 300 | ||
Entity Address, City or Town | Leawood | ||
Entity Address, State or Province | KS | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Registrant Name | EURONET WORLDWIDE, INC. | ||
Entity Central Index Key | 0001029199 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Public Float | $ 6.8 | ||
Entity Common Stock, Shares Outstanding | 51,158,186 | ||
Entity Tax Identification Number | 74-2806888 | ||
Entity Address, Postal Zip Code | 66211 | ||
Entity Emerging Growth Company | false | ||
Document Transition Report | false | ||
ICFR Auditor Attestation Flag | false | ||
Auditor Location | Kansas City, Missouri | ||
Auditor Firm ID | 185 | ||
Auditor Name | KPMG LLP | ||
Common Stock [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | EEFT | ||
Security Exchange Name | NASDAQ | ||
1.375% Senior Notes due 2026 [Member] | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 1.375% Senior Notes due 2026 | ||
Trading Symbol | EEFT26 | ||
Security Exchange Name | NASDAQ |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 1,260,466 | $ 1,420,255 |
ATM cash | 543,422 | 411,054 |
Restricted cash | 3,693 | 3,334 |
Settlement assets | 1,102,389 | 1,140,875 |
Trade accounts receivable, net of credit loss allowance of $4,469 and $5,926 | 203,010 | 117,517 |
Prepaid expenses and other current assets | 195,443 | 272,900 |
Total current assets | 3,308,423 | 3,365,935 |
Operating right of use lease assets | 161,494 | 162,074 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 345,381 | 378,441 |
Goodwill | 641,605 | 665,821 |
Acquired intangible assets, net of accumulated amortization of $185,054 and $175,210 | 97,793 | 121,883 |
Other assets, net of accumulated amortization of $62,349 and $55,710 | 189,580 | 232,557 |
Total assets | 4,744,276 | 4,926,711 |
Current liabilities: | ||
Settlement obligations | 1,102,389 | 1,140,875 |
Trade accounts payable | 193,529 | 147,593 |
Accrued expenses and other current liabilities | 367,692 | 404,021 |
Current portion of operating lease obligations | 52,136 | 52,436 |
Short-term debt obligations and current maturities of long-term debt obligations | 821 | 797 |
Income taxes payable | 59,037 | 36,359 |
Deferred revenue | 77,037 | 73,360 |
Total current liabilities | 1,852,641 | 1,855,441 |
Debt obligations, net of current portion | 1,420,085 | 1,437,589 |
Operating lease obligations, net of current portion | 111,355 | 106,502 |
Deferred income taxes | 46,505 | 37,875 |
Other long-term liabilities | 58,166 | 43,401 |
Total liabilities | 3,488,752 | 3,480,808 |
Euronet Worldwide, Inc. stockholders' equity: | ||
Preferred Stock, $0.02 par value. 10,000,000 shares authorized; 0 issued | ||
Common Stock, $0.02 par value. 90,000,000 shares authorized; shares issued 63,779,009 and 63,366,010 | 1,275 | 1,267 |
Additional paid-in capital | 1,274,118 | 1,228,446 |
Treasury stock, at cost, shares issued 12,631,125 and 10,631,961 | (931,212) | (703,032) |
Retained earnings | 1,083,882 | 1,013,155 |
Accumulated other comprehensive loss | (172,582) | (94,214) |
Total Euronet Worldwide, Inc. stockholders' equity | 1,255,481 | 1,445,622 |
Noncontrolling interests | 43 | 281 |
Total equity | 1,255,524 | 1,445,903 |
Total liabilities and equity | $ 4,744,276 | $ 4,926,711 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Credit loss allowance | $ 4,469 | $ 5,926 |
Property and equipment, accumulated depreciation | 532,631 | 490,429 |
Accumulated amortization | 185,054 | 175,210 |
Other assets, accumulated amortization | $ 62,349 | $ 55,710 |
Preferred stock, par value per share | $ 0.02 | $ 0.02 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value per share | $ 0.02 | $ 0.02 |
Common stock, shares authorized | 90,000,000 | 90,000,000 |
Common stock, shares, issued | 63,779,009 | 63,366,010 |
Treasury stock, shares | 12,631,125 | 10,631,961 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | |||
Revenues | $ 2,995,443 | $ 2,482,700 | $ 2,750,109 |
Operating expenses: | |||
Direct operating costs | 1,900,267 | 1,576,699 | 1,556,483 |
Acquired contract cost impairment | 38,634 | ||
Salaries and benefits | 484,839 | 404,142 | 394,744 |
Selling, general and administrative | 251,933 | 221,614 | 211,944 |
Goodwill and acquired intangible assets impairment | 106,602 | ||
Depreciation and amortization | 135,754 | 127,021 | 111,744 |
Total operating expenses | 2,811,427 | 2,436,078 | 2,274,915 |
Operating income | 184,016 | 46,622 | 475,194 |
Other income (expense) | |||
Interest income | 664 | 1,040 | 1,969 |
Interest expense | (38,198) | (36,604) | (36,237) |
Foreign currency exchange (loss) gain, net | (10,866) | (3,756) | 2,701 |
Other gains (losses), net | 59 | 869 | (9,820) |
Other expense, net | (48,341) | (38,451) | (41,387) |
Income before income taxes | 135,675 | 8,171 | 433,807 |
Income tax expense | (65,088) | (11,475) | (87,112) |
Net income (loss) | 70,587 | (3,304) | 346,695 |
Less: Net loss (income) attributable to noncontrolling interests | (140) | 95 | (54) |
Net income (loss) attributable to Euronet Worldwide, Inc. | $ 70,727 | $ (3,399) | $ 346,749 |
Earnings (loss) per share attributable to Euronet Worldwide, Inc. stockholders: | |||
Basic | $ (1.34) | $ (0.06) | $ 6.49 |
Diluted | $ (1.32) | $ (0.06) | $ 6.31 |
Weighted average shares outstanding: | |||
Basic | 52,585,674 | 52,659,551 | 53,449,834 |
Diluted | 53,529,576 | 52,659,551 | 54,913,887 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive (Loss) Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ 70,587 | $ (3,304) | $ 346,695 |
Other comprehensive (loss) income, net of tax: | |||
Translation adjustment | (78,466) | 70,794 | (13,894) |
Comprehensive (loss) income | (7,879) | 67,490 | 332,801 |
Comprehensive loss (income) attributable to noncontrolling interests | (238) | 213 | (101) |
Comprehensive (loss) income attributable to Euronet Worldwide, Inc. | $ (7,641) | $ 67,277 | $ 332,902 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
Balance at Dec. 31, 2018 | $ 1,232,842 | $ 1,198 | $ 1,104,264 | $ (391,551) | $ 669,805 | $ (151,043) | $ 169 |
Balance, shares at Dec. 31, 2018 | 51,819,998 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 346,695 | 346,749 | (54) | ||||
Other comprehensive loss | (13,894) | (13,847) | (47) | ||||
Stock issued under employee stock plans | 11,947 | $ 8 | 13,216 | (1,277) | |||
Stock issued under employee stock plans, shares | 405,617 | ||||||
Share-based compensation | 21,439 | 21,439 | |||||
Issuance of convertible notes, net of tax | 71,659 | 71,659 | |||||
Repurchase of shares | (70,876) | (70,876) | |||||
Repurchase of shares, shares | (493,010) | ||||||
Redemptions and conversions of convertible notes, net of tax | (20,467) | $ 50 | (20,517) | ||||
Redemptions and conversions of convertible notes, net of tax, shares | 2,488,249 | ||||||
Stockholders' Equity, Other | (3) | (3) | |||||
Balance at Dec. 31, 2019 | 1,579,342 | $ 1,256 | 1,190,058 | (463,704) | 1,016,554 | (164,890) | 68 |
Balance, shares at Dec. 31, 2019 | 54,220,854 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | (3,304) | (3,399) | 95 | ||||
Other comprehensive loss | 70,794 | 70,676 | 118 | ||||
Stock issued under employee stock plans | 16,883 | $ 11 | 16,437 | 435 | |||
Stock issued under employee stock plans, shares | 608,878 | ||||||
Share-based compensation | 21,951 | 21,951 | |||||
Repurchase of shares | (239,763) | (239,763) | |||||
Repurchase of shares, shares | (2,095,683) | ||||||
Balance at Dec. 31, 2020 | 1,445,903 | $ 1,267 | 1,228,446 | (703,032) | 1,013,155 | (94,214) | 281 |
Balance, shares at Dec. 31, 2020 | 52,734,049 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 70,587 | 70,727 | (140) | ||||
Other comprehensive loss | (78,466) | (78,368) | (98) | ||||
Stock issued under employee stock plans | 8,724 | $ 8 | 9,132 | 416 | |||
Stock issued under employee stock plans, shares | 413,835 | ||||||
Share-based compensation | 36,540 | 36,540 | |||||
Repurchase of shares | (227,764) | (227,764) | |||||
Repurchase of shares, shares | (2,000,000) | ||||||
Balance at Dec. 31, 2021 | $ 1,255,524 | $ 1,275 | $ 1,274,118 | $ (931,212) | $ 1,083,882 | $ (172,582) | $ 43 |
Balance, shares at Dec. 31, 2021 | 51,147,884 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Cash Flows [Abstract] | |||
Net income (loss) | $ 70,587 | $ (3,304) | $ 346,695 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation and amortization | 135,754 | 127,021 | 111,744 |
Share-based compensation | 36,540 | 21,951 | 21,439 |
Unrealized foreign exchange loss (gain), net | 10,866 | 3,756 | (2,701) |
Non-cash impairment of goodwill and acquired intangible assets | 106,602 | ||
Deferred income taxes | (2,255) | (23,946) | 17,113 |
Loss on early retirement of debt | 9,831 | ||
Accretion of convertible debt discount and amortization of debt issuance costs | 20,239 | 18,924 | 17,088 |
Changes in working capital, net of amounts acquired: | |||
Income taxes payable, net | 23,912 | (16,823) | 13,177 |
Trade accounts receivable | (107,478) | 63,629 | (87,882) |
Prepaid expenses and other current assets | 93,475 | (168,256) | (68,945) |
Trade accounts payable | (33,218) | 88,687 | 53,550 |
Deferred revenue | 7,472 | 10,945 | 132 |
Accrued expenses and other current liabilities | 93,040 | 118,618 | 98,459 |
Changes in non-current assets and liabilities | 57,642 | (94,299) | (25,212) |
Net cash provided by operating activities | 406,576 | 253,505 | 504,488 |
Cash flows from investing activities: | |||
Acquisitions, net of cash acquired | (1,100) | (94,187) | |
Purchases of property and equipment | (92,207) | (97,628) | (131,287) |
Purchases of other long-term assets | (7,752) | (7,770) | (7,274) |
Other, net | 1,850 | 967 | 3,721 |
Net cash used in investing activities | (98,109) | (105,531) | (229,027) |
Cash flows from financing activities: | |||
Proceeds from issuance of shares | 10,848 | 18,101 | 14,979 |
Repurchase of shares | (229,877) | (241,518) | (74,456) |
Borrowings from revolving credit agreements | 5,074,000 | 3,113,800 | 2,498,298 |
Repayments of revolving credit agreements | (5,061,000) | (2,843,400) | (2,714,203) |
Repayments of long-term debt obligations | (446,702) | ||
Net borrowings (repayments) from short-term debt obligations | 52 | (5,157) | (32,091) |
Proceeds from long-term debt obligations | 1,194,900 | ||
Debt issuance costs | (17,947) | ||
Other, net | (6,259) | (6,428) | (6,480) |
Net cash (used in) provided by financing activities | (212,236) | 35,398 | 416,298 |
Effect of exchange rate changes on cash and cash equivalents and restricted cash | (109,637) | 98,757 | (5,332) |
(Decrease) increase in cash and cash equivalents and restricted cash | (13,406) | 282,129 | 686,427 |
Cash and cash equivalents and restricted cash at beginning of period | 2,099,508 | 1,817,379 | 1,130,952 |
Cash and cash equivalents and restricted cash at end of period | 2,086,102 | 2,099,508 | 1,817,379 |
Supplemental Cash Flow Disclosures: | |||
Interest paid during the period | 18,503 | 17,319 | 13,125 |
Income taxes paid during the period | $ 48,688 | $ 60,170 | $ 74,086 |
Organization
Organization | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization | ( 1) Organization Euronet Worldwide, Inc. (the "Company" or "Euronet") was established as a Delaware corporation on December 13, 1996 and succeeded Euronet Holding N.V. as the group holding company, which was founded and established in 1994. Euronet is a leading electronic payments provider. Euronet offers payment and transaction processing and distribution solutions to financial institutions, retailers, service providers and individual consumers. Euronet's primary product offerings include comprehensive ATM, POS, card outsourcing, card issuing and merchant acquiring services, electronic distribution of prepaid mobile airtime and other electronic payment products, and international payment services. |
Basis of Preparation
Basis of Preparation | 12 Months Ended |
Dec. 31, 2021 | |
BASIS OF PREPARATION [Abstract] | |
Basis of Preparation | (2) Basis of Preparation The Consolidated Financial Statements have been prepared in conformity with accounting principles generally accepted in the United States ("U.S. GAAP") and pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). The Consolidated Financial Statements include the accounts of Euronet and its wholly owned and majority owned subsidiaries and all significant intercompany balances and transactions have been eliminated. Euronet's investments in companies that it does not control, but has the ability to significantly influence, are accounted for under the equity method. Euronet has no variable interest entities. Results from operations related to entities acquired during the periods covered by the Consolidated Financial Statements are reflected from the effective date of acquisition. The preparation of the Consolidated Financial Statements in conformity with U.S. GAAP requires that management make a number of estimates and assumptions relating to the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities and the reported amounts of revenues and expenses. Significant items subject to such estimates and assumptions include computing income taxes, contingent purchase price consideration, estimating the useful lives and potential impairment of long-lived assets and goodwill, as well as allocating the purchase price to assets acquired and liabilities assumed in acquisitions and revenue recognition. Actual results could differ from those estimates. Seasonality Euronet’s EFT Processing Segment normally experiences its heaviest demand for DCC services during the third quarter of the fiscal year, normally coinciding with the tourism season. Additionally, the EFT Processing and epay Segments are normally impacted by seasonality during the fourth quarter and first quarter of each year due to higher transaction levels during the holiday season and lower levels following the holiday season. Seasonality in the Money Transfer Segment varies by region of the world. In most markets, Euronet usually experiences increased demand for money transfer services from the month of May through the fourth quarter of each year, coinciding with the increase in worker migration patterns and various holidays, and its lowest transaction levels during the first quarter of the year. |
Summary of Significant Accounti
Summary of Significant Accounting Policies and Practices | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies and Practices | (3) Summary of Significant Accounting Policies and Practices Foreign currencies Assets and liabilities denominated in currencies other than the functional currency of a subsidiary are remeasured at rates of exchange on the balance sheet date. Resulting gains and losses on foreign currency transactions are included in the Consolidated Statements of Operations. The majority of our foreign currency exchange gains or losses are due to the of intercompany loans which are not considered a long-term investment in nature and are in a currency other than the functional currency of one of the parties to the loan. The financial statements of foreign subsidiaries where the functional currency is not the U.S. dollar are translated to U.S. dollars using (i) exchange rates in effect at period end for assets and liabilities, and (ii) weighted average exchange rates during the period for revenues and expenses. Adjustments resulting from translation of such financial statements are reflected in accumulated other comprehensive (loss) income as a separate component of consolidated equity. Cash equivalents The Company considers all highly liquid investments, with an original maturity of three months or less, and certificates of deposit, which may be withdrawn at any time at the discretion of the Company without penalty, to be cash equivalents. ATM cash ATM cash represents cash within the ATM network either included within ATMs, within dedicated accounts, or in-transit to ATMs. Settlement assets and obligations Settlement assets represent funds received or to be received from agents for unsettled money transfers and from merchants for unsettled prepaid transactions. , Settlement Assets and Obligations, to the Consolidated Financial Statements for further discussion on settlement assets and obligations. Property and equipment Property and equipment are stated at cost, less accumulated depreciation. Property and equipment acquired in acquisitions have been recorded at estimated fair values as of the acquisition date. Depreciation is generally calculated using the straight-line method over the estimated useful lives of the respective assets. Depreciation and amortization rates are generally as follows: ATMs or ATM upgrades 5 - 7 years Computers and software 3 - 5 years POS terminals 3 - 5 years Vehicles and office equipment 3 - 10 years Leasehold improvements Over the lesser of the lease term or estimated useful life Goodwill and ot her intangible assets Goodwill Intangibles - Goodwill and Other ("ASC 350"). In accordance with the requirements of ASC 350 the Company tests for impairment on an annual basis in the fourth quarter and whenever events or circumstances dictate. Goodwill is allocated among and evaluated for impairment at the reporting unit level, which is defined as an operating segment or one ASC 350 provides an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (more than 50%) that the estimated fair value of a reporting unit is less than its carrying amount. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing quantitative impairment test (described below), otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the quantitative impairment test. The Company has a policy for its annual review of goodwill to perform the qualitative assessment for all reporting units not subjected directly to the quantitative impairment test. Under the qualitative assessment, various events and circumstances (or factors) that would affect the estimated fair value of a reporting unit are identified (similar to impairment indicators). These factors are then classified by the type of impact they would have on the estimated fair value using positive, neutral, and adverse categories based on current business conditions. Furthermore, the Company considers the results of the most recent quantitative impairment test completed for a reporting unit and compares, among other factors, the weighted average cost of capital ("WACC") between the current and prior years for each reporting unit. Under the quantitative impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. The Company uses weighted results from the income approach or the discounted cash flow model ("DCF model") and guideline public company method ("Market Approach model") to estimate the current fair value of its reporting units when testing for impairment, as management believes forecasted cash flows and EBITDA are the best indicators of such fair value. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including sales volumes, gross margins, tax rates, capital spending, discount rates and working capital changes. Most of these assumptions vary significantly among the reporting units. Significant assumptions in the Market Approach model are projected EBITDA, selected market multiple, and the estimated control premium. If the carrying value of goodwill exceeds its fair value, an impairment loss equal to such excess would be recognized. The DCF Model and Market Approach Model utilize Level 3 inputs in the fair value hierarchy as they include unobservable inputs that require significant management assumptions. Other Intangible Assets - In accordance with ASC 350, intangible assets with finite lives are amortized over their estimated useful lives. Unless otherwise noted, amortization is calculated using the straight-line method over the estimated useful lives of the assets as follows: Non-compete agreements 2 - 5 years Trademarks and trade names 2 - 20 years Software 3 - 10 years Customer relationships 6 - 20 years The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If such events or changes in circumstances are present, a loss is recognized if the carrying value of the asset is in excess of the sum of the undiscounted cash flows expected to result from the use of the asset and its eventual disposition. An impairment loss is measured as the amount by which the carrying amount of the asset exceeds the fair value of the asset. See Note 9, Goodwill and Acquired Intangible Assets, Net, to the Consolidated Financial Statements for additional information regarding the impairment of goodwill and other intangible assets. Other assets Other assets include capitalized software development costs and capitalized payments for new or renewed contracts. Euronet capitalizes initial payments for new or renewed contracts to the extent recoverable through future operations, contractual minimums and/or penalties in the case of early termination. The Company's accounting policy is to limit the amount of capitalized costs for a given contract to the lesser of the estimated ongoing net future cash flows related to the contract or the termination fees the Company would receive in the event of early termination of the contract by the customer. ASC Topic 340, Other Assets and Deferred Costs ("ASC 340") requires the deferral of incremental costs to fulfill customer contracts, known as contract assets, which are then amortized to expense as part of direct operating costs over the respective periods of expected benefit. D eferred contract costs are reported on our balance sheet within current or non-current other assets based on the expected life of the related contract. At December 31, 2021 and 2020 $96.4 143.5 2020 and 2019, we had $33.3 17.2 6.9 $38.6 million non Convertible notes The Company accounts for its convertible debt instruments that may be settled in cash upon conversion in accordance with ASC Topic 470, Debt ("ASC 470"), which requires the proceeds from the issuance of such convertible debt instruments to be allocated between debt and equity components so that debt is discounted to reflect the Company's nonconvertible debt borrowing rate. Further, the Company applies ASC 470-20-35-13, which requires the debt discount to be amortized over the period the convertible debt is expected to be outstanding as additional non-cash interest expense. Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. In accordance with ASC Topic 740, Income Taxes ("ASC 740"), the Company's policy is to record estimated interest and penalties related to the underpayment of income taxes as income tax expense in the Consolidated Statements of Operations. See Note 14, Income Taxes, to the Consolidated Financial Statements for further discussion regarding these provisions. Presentation of taxes collected and remitted to governmental authorities The Company presents taxes collected and remitted to governmental authorities on a net basis in the accompanying Consolidated Statements of Operations. Fair value measurements The Company applies the provisions of ASC Topic 820, Fair Value Measurements and Disclosures ("ASC 820"), regarding fair value measurements for assets and liabilities. ASC 820 defines fair value, establishes a framework for measuring fair value and requires certain disclosures about fair value measurements. The provisions apply whenever other accounting pronouncements require or permit fair value measurements. See Note 18, Financial Instruments and Fair Value Measurements, to the Consolidated Financial Statements for the required fair value disclosures. Accounting for derivative instruments and hedging activities The Company accounts for derivative instruments and hedging activities in accordance with ASC Topic 815, Derivatives and Hedging ("ASC 815"), which requires that all derivative instruments be recognized as either assets or liabilities on the balance sheet at fair value. Primarily in the Money Transfer Segment, the Company enters into foreign currency derivative contracts, mainly forward contracts, to offset foreign currency exposure related to money transfer settlement assets and liabilities in currencies other than the U.S. dollar, derivative contracts written to its customers arising from its cross-currency money transfer services and certain assets and liability positions denominated in currencies other than the U.S. dollar. These contracts are considered derivative instruments under the provisions of ASC 815; however, the Company does not designate such instruments as hedges for accounting purposes. Accordingly, changes in the value of these contracts are recognized immediately as a component of foreign currency exchange gain (loss), net in the Consolidated Statements of Operations. Cash flows resulting from derivative instruments are included in operating activities in the Company's Consolidated Statements of Cash Flows. The Company enters into derivative instruments with highly credit-worthy financial institutions and does not use derivative instruments for trading or speculative purposes. See Note 12, Derivative Instruments and Hedging Activities, to the Consolidated Financial Statements for further discussion of derivative instruments . Share-based compensation The Company follows the provisions of ASC Topic 718, Compensation - Stock Compensation ("ASC 718"), for equity classified awards, which requires the determination of the fair value of the share-based compensation at the grant date and subsequent recognition of the related expense over the period in which the share-based compensation is earned ("requisite service period"). The amount of future compensation expense related to awards of nonvested shares or nonvested share units ("restricted stock") is based on the market price for Euronet Common Stock at the grant date. The grant dat e is the date at which all key terms and conditions of the grant have been determined and the Company becomes contingently obligated to transfer equity to the employee who renders the requisite service, generally the date at which grants are approved by the Company's Board of Directors or Compensation Committee thereof. Share-based compensation expense for awards with only service conditions is generally recognized as expense on a "straight-line" basis over the requisite service period. For awards that vest based on achieving periodic performance conditions, expense is recognized on a "graded attribution method." The graded attribution method results in expense recognition on a straight-line basis over the requisite service period for each separately vesting portion of an award. The Company has elected to use the "with and without method" when calculating the income tax benefit associated with its share-based payment arrangements. See Note 16, Stock Plans, for further disclosure. Revenue recogni tion The Company recognizes revenue when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods or services. Sales and usage-based taxes are excluded from revenues. A description of the major components of revenue by business segment is as follows: EFT Processing Transaction-based fees include charges for cash withdrawals, debit or credit card transactions, balance inquiries, transactions not completed because the relevant card issuer does not give authorization and prepaid mobile airtime recharges. Outsourcing services are generally billed on the basis of a fixed monthly fee per ATM, plus a transaction-based fee. Transaction-based fees are recognized at the time the transactions are processed and outsourcing management fees are recognized ratably over the contract period. C epay - sions or processing fees associated with distribution and/or processing of prepaid mobile airtime and digital media products. These fees and commissions are received from mobile operators, content vendors or distributors or from retailers. Commissions are recognized as revenue during the period in which the Company provides the service. The portion of the commission that is paid to retailers is generally recorded as a direct operating cost. In selling certain products, the Company is the p rinciple obligor in th Money Transfer - evenues for money transfer and other services represent a transaction fee in addition to a margin earned from purchasing currency at wholesale exchange rates and selling the currency to customers at retail exchange rates. Revenues and the associated direct operating cost are recognized at the time the transaction is processed. The Company has origination and distribution agents in place, which ea Revenues Deferred Revenues $ 58.2 $ 54.5 Disaggregation of Revenues - and region. The Company recognizes foreign exchange revenues from derivative instruments in its xe operations in accordance with ASC Topic and not ASC Topic . These revenues are not significant to the Company's consolidated revenues and are included in the following tables. For the Year Ended December 31, 2021 (in thousands) EFT Processing epay Money Transfer Total Europe $ 420,181 $ 669,297 $ 576,640 $ 1,666,118 North America 63,368 139,759 667,738 870,865 Asia Pacific 107,020 158,122 105,086 370,228 Other 569 44,304 51,493 96,366 Eliminations — — — (8,134) Total $ 591,138 $ 1,011,482 $ 1,400,957 $ 2,995,443 For the Year Ended December 31, 2020 (in thousands) EFT Processing epay Money Transfer Total Europe $ 313,953 $ 561,514 $ 449,299 $ 1,324,766 North America 56,447 144,613 577,845 778,905 Asia Pacific 98,313 100,917 124,413 323,643 Other 13 28,473 32,292 60,778 Eliminations — — — (5,392 ) Total $ 468,726 $ 835,517 $ 1,183,849 $ 2,482,700 For the Year Ended December 31, 2019 (in thousands) EFT Processing epay Money Transfer Total Europe $ 724,163 $ 524,907 $ 373,302 $ 1,622,372 North America 35,461 151,016 573,016 759,493 Asia Pacific 129,060 76,491 124,934 330,485 Other 28 16,915 24,974 41,917 Eliminations — — — (4,158 ) Total $ 888,712 $ 769,329 $ 1,096,226 $ 2,750,109 Recently issued accounting pronouncements In August 2020, the FASB issued ASU 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" $99.7 million decrease to additional paid-in capital, a $56.8 million decrease in debt discounts and a $42.9 million increase in retained earnings. |
Settlement Assets and Obligatio
Settlement Assets and Obligations | 12 Months Ended |
Dec. 31, 2021 | |
Settlement Assets [Abstract] | |
Settlement Assets and Obligations | (4) Settlement Assets and Obligations Settlement assets represent funds received or to be received from agents for unsettled money transfers and from merchants for unsettled prepaid transactions. The Company records corresponding settlement obligations relating to accounts payable. Settlement assets consist of cash and cash equivalents, restricted cash, accounts receivable and prepaid expenses and other current assets. The settlement cash held at the Company is primarily generated from the monies remitted by consumers through Company agents and financial institutions in payment of the face value of the payment service or foreign currency purchased and the related fees charged to purchase the currency. The Company uses its cash and cash equivalents to pay the face value of the the payment service product upon presentation by the recipient. Cash received by Company agents and merchants generally becomes available to the Company within two weeks after initial receipt by the business partner. Receivables from business partners represent funds collected by such business partners that are in transit to the Company. Settlement obligations consist of accrued expenses for money transfers, content providers, and EFT customer deposits and accounts payable to agents and content providers. Money transfer accrued expenses represent amounts to be paid to transferees when they request funds. Most agents typically settle with transferees first then obtain reimbursement from the Company. Money order accrued expenses represent amounts not yet presented for payment. Due to the agent funding and settlement process, accrued expenses to agents represent amounts due to agents for money transfers that have not been settled with transferees. (in thousands) As of December 31, 2021 As of December 31, 2020 Settlement assets: Settlement cash and cash equivalents $ 203,624 $ 188,191 Settlement restricted cash 74,897 76,674 Account receivables, net of credit loss allowance of $27,341 and $35,800 619,738 641,955 Prepaid expenses and other current assets 204,130 234,055 Total settlement assets $ 1,102,389 $ 1,140,875 Settlement obligations: Trade account payables $ 461,135 $ 571,175 Accrued expenses and other current liabilities 641,254 569,700 Total settlement obligations $ 1,102,389 $ 1,140,875 The table below reconciles cash and cash equivalents, restricted cash, ATM cash, settlement cash and cash equivalents, and settlement restricted cash as presented within "Cash and cash equivalents and restricted cash" in the Consolidated Statement of Cash Flows. As of (in thousands) December 31, 2021 December 31, 2020 December 31, 2019 Cash and cash equivalents $ 1,260,466 $ 1,420,255 $ 786,081 Restricted cash 3,693 3,334 34,301 ATM cash 543,422 411,054 665,641 Settlement cash and cash equivalents 203,624 188,191 282,188 Settlement restricted cash 74,897 76,674 49,168 Cash and cash equivalents and restricted cash at end of period $ 2,086,102 $ 2,099,508 $ 1,817,379 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | (5) Stockholders' Equity Earnings Per Share Basic earnings per share has been computed by dividing earnings available to common stockholders by the weighted average number of common shares outstanding during the respective period. Diluted earnings per share has been computed by dividing earnings available to common stockholders by the weighted average shares outstanding during the respective period, after adjusting for the potential dilution of options to purchase the Company's Common Stock, assumed vesting of restricted stock and the assumed conversion of the Company's convertible debt. The following table provides the computation of diluted weighted average number of common shares outstanding: Year Ended December 31, 2021 2020 2019 Computation of diluted weighted average shares outstanding: Basic weighted average shares outstanding 52,585,674 52,659,551 53,449,834 Incremental shares from assumed exercise of stock options and vesting of restricted stock 943,902 — 1,464,053 Diluted weighted average shares outstanding 53,529,576 52,659,551 54,913,887 The table includes all stock options and restricted stock that are dilutive to the Company's weighted average common shares outstanding during the period. The calculation of diluted earnings per share excludes stock options or shares of restricted stock that are anti-dilutive to the Company's weighted average common shares outstanding for the years ended December 31, 2021, 2020 2019 1,668,000 2,073,000 380,000 The Company issued Convertible Senior Notes ("Convertible Notes") due March 2049 on March 18, 2019 and retired the existing convertible notes ("Retired Convertible Notes") that would have matured in 2044 on May 28, 2019. The Company's Convertible Notes currently have, and the Retired Convertible Notes had, a settlement feature requiring the Company upon conversion to settle the principal amount of the debt and any conversion value in excess of the principal value ("conversion premium"), for cash or shares of the Company's common stock or a combination thereof, at the Company's option. The Company has stated its intent to settle any conversion of these notes by paying cash for the principal value and issuing common stock for any conversion premium. Accordingly, the Convertible Notes and the Retired Convertible Notes were included in the calculation of diluted earnings per share if their inclusion was dilutive. The dilutive effect increases the more the market price exceeds the conversion price. 188.73 per share. Therefore, according to ASC Topic 260, Earnings per Share ("ASC 260") , . See Note 11, D Share repurchases The Company's Board of Directors had authorized a stock repurchase program allowing Euronet to repurchase up to $ 375 10.0 On February 26, 2020, the Company put a repurchase program in place to repurchase up to $250 million in value, but not more than 5.0 million 227.8 239.8 $70.9 million Preferred Stock The Company has the authority to issue up to 10 Accumulated other comprehensive loss As of December 31, 2021 and 2020 of $ 78.5 70.8 13.9 , 2020 2019 , 2020 2019 Dividends No dividends were paid on any class of the Company's stock during 2021 2020 2019 |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2021 | |
Acquisitions [Abstract] | |
Acquisitions | (6) Acquisitions In accordance with ASC 805, the Company allocates the purchase price of its acquisitions to the tangible assets, liabilities and intangible assets acquired based on fair values. Any excess purchase price over those fair values is recorded as goodwill. The fair value assigned to intangible assets acquired is supported by valuations using estimates and assumptions provided by management. For certain large acquisitions, management engages an appraiser to assist in the valuation process. Pending Acquisitions In March 2021, the Company entered into an agreement to purchase the Piraeus Bank Merchant Acquiring business of Piraeus Bank for €300 million, $360 millio n. 2019 Acquisitions On November 30, 2019, the Company completed the acquisition of a North American based ATM operator with approximately 1,800 ATMs. The purchase price was $92.5 million in cash. The purchase price was allocated to the assets acquired and liabilities assumed, including identifiable intangible assets, based on their respective fair values at the date of acquisition. The acquisition has been accounted for as business combinations in accordance with U.S. GAAP and the results of operations have been included from the date of acquisition in the EFT Processing Segment. The historical revenue and earnings were not significant for the purpose of presenting pro forma information for the pre-acquisition periods. The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date. (in thousands) As of November 30, 2019 Cash and cash equivalents $ 5,325 Trade accounts receivable 2,167 Other current assets 798 Property and equipment 16,542 Intangible assets 39,000 Total assets acquired $ 63,832 Trade accounts payable $ (6,790 ) Accrued expenses and other current liabilities (80 ) Total liabilities assumed $ (6,870 ) Goodwill 35,540 Net assets acquired $ 92,502 The Company acquired customer relationship intangible assets with a fair value of $39.0 million, which are being amortized on a straight-line basis over 20 years. Goodwill, with a value of $ m Other The Company completed three additional acquisitions in 2019 for immaterial amounts. |
Restricted Cash
Restricted Cash | 12 Months Ended |
Dec. 31, 2021 | |
Restricted Cash [Abstract] | |
Restricted Cash | (7) Restricted Cash The restricted cash balances as of December 31, 2021 and 2020 As of December 31, (in thousands) 2021 2020 Cash held in trust and/or cash held on behalf of others $ 3,693 $ 3,334 Restricted cash $ 3,693 $ 3,334 Cash held in trust and/or cash held on behalf of others $ 62,077 $ 64,489 Collateral on bank credit arrangements and other 12,820 12,185 Restricted cash included within settlement assets $ 74,897 $ 76,674 Total Restricted Cash $ 78,590 $ 80,008 Cash held in trust and/or cash held on behalf of others is in connection with the administration of the customer collection and vendor remittance activities by certain subsidiaries within the Company's epay and EFT Processing Segments. Amounts collected on behalf of certain mobile phone operators and/or merchants are deposited into a restricted cash account. The bank credit arrangements primarily represent cash collateral on deposit with commercial banks to cover guarantees. |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2021 | |
Property and Equipment, Net [Abstract] | |
Property and Equipment, Net | (8) Property and Equipment, Net The components of property and equipment, net of accumulated depreciation and amortization as of December 31, 2021 and 2020 As of December 31, (in thousands) 2021 2020 ATMs $ 560,310 $ 554,508 POS terminals 31,321 33,258 Vehicles and office equipment 75,331 75,936 Computers and software 210,363 203,883 Land and buildings 687 1,285 878,012 868,870 Less accumulated depreciation (532,631 ) (490,429 ) Total $ 345,381 $ 378,441 Depreciation expense related to property and equipment, including property and equipment recorded under finance leases, for the years ended December 31, 2021, 2020 2019 was $ 104.7 96.1 83.5 |
Goodwill and Acquired Intangibl
Goodwill and Acquired Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Acquired Intangible Assets, Net | (9) Goodwill and Acquired Intangible Assets, Net The following table summarizes intangible assets as of December 31, 2021 and 2020: As of December 31, 2021 As of December 31, 2020 (in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Customer relationships $ 176,024 $ (103,713 ) $ 186,749 $ (99,131 ) Trademarks and trade names 45,445 (32,596 ) 46,762 (31,327 ) Software 60,118 (47,485 ) 61,602 (42,772 ) Non-compete agreements 1,260 (1,260 ) 1,980 (1,980 ) Total $ 282,847 $ (185,054 ) $ 297,093 $ (175,210 ) The following table summarizes the goodwill and amortizable intangible assets activity for the years ended December 31, 2021 and 2020: (in thousands) Acquired Intangible Assets Goodwill Total Intangible Assets Balance as of January 1, 2020 $ 141,847 $ 743,823 $ 885,670 Increases (decreases): Acquisitions (see footnote 6) 1,575 (265) 1,310 Impairment (2,048) (104,554 ) (106,602) Amortization (22,867 ) — (22,867 ) Other (primarily changes in foreign currency exchange rates) 3,376 26,817 30,193 Balance as of December 31, 2020 121,883 665,821 787,704 Increases (decreases): Amortization (23,059 ) — (23,059 ) Other (primarily changes in foreign currency exchange rates) (1,031 ) (24,216 ) (25,247 ) Balance as of December 31, 2021 $ 97,793 $ 641,605 $ 739,398 The COVID- pandemic and subsequent mitigation efforts, which include global business shutdowns, the closing of borders and the implementation of mandatory social distancing requirements, has created an unprecedented disruption to our business beginning in the first half of 2020 . These mitigation efforts coupled with the negative economic impacts to the tourism industry caused a decline in revenues, earnings, and necessitated changes to our forecasted outlook. The Company determined the totality of these events constituted a triggering event that required us to perform an interim goodwill impairment assessment as of June 1, 2020. The Company concluded a triggering event had occurred for reporting units, resulting in quantitative impairment tests. reporting units were within the EFT segment, reporting units were within the Money Transfer segment, and reporting unit was within the epay segment. As a result, the Company recorded a non-cash goodwill impairment charge $104.6 million with respect to the xe, Innova and Pure Commerce reporting units. $21.9 million of th e impairment charge was included within the EFT Segment, mpairment charge was included in the Money Transfer Segment. During the second half of 2020, the Company recorde d a $2.0 non-ca Of the total goodwill balance of 641.6 as of , 392.3 relates to the Money Transfer Segment, 129.1 relates to the Segment and the remaining 120.2 relates to the EFT Processing Segment. Amortization expense for intangible assets with finite lives was 23.1 , 22.9 and 20.4 for the years ended , 2020 and 2019 , respectively. Estimated annual amortization expense on intangible assets with finite lives as of , is expected to total 21.7 for 2022 , 16.7 for 2023, 9.9 for 2024, 6.5 for 2025, and 6.1 for 2026 . |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Accrued Expenses and Other Current Liabilities [Abstract] | |
Accrued Expenses and Other Current Liabilities | (10) Accrued Expenses and Other Current Liabilities The balances as of December 31, 2021 2020 As of December 31, (in thousands) 2021 2020 Accrued expenses $ 285,098 $ 288,996 Derivative liabilities 23,285 65,905 Accrued payroll expenses 55,162 42,717 Current portion of finance lease obligations 4,147 6,403 Total $ 367,692 $ 404,021 |
Debt Obligations
Debt Obligations | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt Obligations | (11) Debt Obligations Debt obligations consist of the following as of December 31, 2021 and 2020 As of December 31, (in thousands) 2021 2020 Credit Facility: Revolving credit agreement $ 283,400 $ 270,400 Convertible Debt: 0.75% convertible notes, unsecured, due 2049 468,235 452,228 1.375% Senior Notes, due 2026 682,080 732,840 Other obligations 920 850 Total debt obligations $ 1,434,635 $ 1,456,318 Unamortized debt issuance costs (13,729 ) (17,932 ) Carrying value of debt $ 1,420,906 $ 1,438,386 Short-term debt obligations and current maturities of long-term debt obligations (821 ) (797 ) Long-term debt obligations $ 1,420,085 $ 1,437,589 As of December 31, 2021 , aggregate annual maturities of long-term debt are 0.8 in 2022, 283.5 , no maturities in 2024, $ million and 682.1 thereafter. This maturity schedule reflects the revolving credit facility maturing in 2023 and the Convertible Notes maturing in 2025, coinciding with the terms of the initial put option by holders of the Convertible Notes. It also reflects the maturing of the 1.375% Senior Notes of € 682.1 million) due in 2026. Credit Facility On October 17, 2018, the Company entered into an unsecured revolving credit agreement (the "Credit Facility") for $ 1.0 17, 2023. Fees and interest on borrowings are based upon the Company's corporate credit rating and are based, in the case of letter of credit fees, on a margin, and in the case of interest, on a margin over London Inter-Bank Offered Rate ("LIBOR") or a margin over the base rate, as selected by the Company, with the applicable margin ranging from 1.125 2.0 0.175 1.0 200 90 The weighted average interest rate of the Company's borrowings under the Credit Facility wa s 1.2% as of December 31, 2021 . 2020, the Company had stand-by letters of credit/bank guarantees outstanding under the Credit Facility of $ 57.3 and $ 60.8 2020, the stand-by letters of credit interest charges were each 1.1 $689.3 million. The Credit Facility contains customary affirmative and negative covenants, events of default and financial covenants, including: (i) as of the end of each fiscal quarter ended on March 31, September 30 and December 31, a Consolidated Total Leverage Ratio not to be greater than 3.5 to 1.0; (ii) as of the end of each fiscal quarter ended on June 30, a Consolidated Total Leverage Ratio (as defined in the Credit Facility) not to be greater than 4.0 to 1.0; provided that, not more than two times prior to the expiration date, that a Material Acquisition has been consummated, for any period of four consecutive fiscal quarters following such Material Acquisition, the Consolidated Total Leverage Ratio will be not greater than 4.0 to 1.0 for fiscal quarters ended on March 31, September 30 and December 31 and not greater than 4.5 to 1.0 for fiscal quarters ended on June 30; provided, further, that following such four consecutive fiscal quarters for which the maximum Consolidated Total Leverage Ratio is increased, the maximum Consolidated Total Leverage Ratio shall revert to the levels set forth in clauses (i) and (ii) above for not fewer than two fiscal quarters before a subsequent Increase Notice is delivered to the syndicate of financial institutions; and (iii) a Consolidated Interest Coverage Ratio (as defined in the Credit Facility) not less than 4.0 to 1.0. Subject to meeting certain leverage ratio and liquidity requirements as contained in the unsecured credit agreement, the Company is permitted to pay dividends, repurchase common stock and repurchase subordinated debt. On September 17 , 2020, the Company and certain of its subsidiaries entered into an amendment (the "Amendment") to the Credit Facility. Under the Amendment, the Consolidated Total Leverage Ratio, as defined in the Credit Facility, was modified to reduce the amount of consolidated funded debt by the amount of cash and cash equivalents on the Company's consolidated balance sheet and the Consolidated Interest Coverage Ratio now includes a one-time option to reduce the ratio to 3.5 to 1.0 from 4.0 to 1.0 for a period of up to three consecutive quarters. Uncommitted Line of Credit On September 4, 2019, the Company entered into an Uncommitted Loan Agreement with Bank of America which provided Euronet up to $ 100.0 LIBOR 0.65 Convertible Debt On March 18, 2019, the Company completed the sale of $ 525.0 188.73 per share if certain conditions are met (relating to the closing price of Euronet Common Stock exceeding certain thresholds for specified periods). Holders of the Convertible Notes have the option to require the Company to purchase their notes on each of March 15, 2025, March 15, 2029, March 15, 2034, March 15, 2039 and March 15, 2044 at a repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the relevant repurchase date. In connection with the issuance of the Convertible Notes, the Company recorded 12.8 The Company may not redeem the Convertible Notes prior to September 20, 2022. The Company may redeem for cash all or any portion of the Convertible Notes, at its option, (i) on or after September 20, 2022 if the closing sale price of the Company's Common Stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which the Company provides notice of redemption and (ii) on or after March 20, 2025 and prior to the maturity date, regardless of the foregoing sale price condition, in each case at a redemption price equal to 100% of the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. No sinking fund is provided for the Convertible Notes. In addition, if a fundamental change, as defined in the Indenture, occurs prior to the maturity date, holders may require the Company to repurchase for cash all or part of their Convertible Notes at a repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. As of December 31, 2021 the conversion threshold was not met. In accordance with ASC 470-20-30-27, proceeds from the issuance of convertible debt is allocated between debt and equity components so that debt is discounted to reflect the Company's nonconvertible debt borrowing rate. ASC 470-20-35-13 requires the debt discount to be amortized over the period the convertible debt is expected to be outstanding as additional non-cash interest expense. The allocation resulted in an increase to additional paid-in capital of 99.7 The Company used $ 94.2 49.0 1.5 Convertible Senior Notes due (the "Retired Convertible Notes") from a limited number of holders in privately negotiated transactions. On March 18, 2019, the Company provided a notice of redemption to the trustee of the indenture governing the Retired Convertible Notes (the "Existing Indenture"), pursuant to which the Company would redeem all of the remaining principal amount outstanding of the Retired Convertible Notes on May 28, 2019 (the "Redemption Date") for cash at a redemption price equal to 100 Notes, resulted in a $25.6 $34.2 Prior to the Redemption Date, approximately $ 352.4 1,000 1,000 147.24 352.4 2.5 shares of its Common Stock. In accordance with ASC 470, the Company recognized a loss of $9.8 Contractual interest expense for the Retired Convertible Notes was $ 1.5 ccretion expense was 4.6 . Contractual interest expense for the Convertible Notes was $ 3.9 $ million, and $3.1 million $16.0 $11.6 million 4.4 $56.8 . 1.375 % Senior Notes due 2026 On May 22, 2019, the Company completed the sale of €600 669.9 1.375 €600 n ($ million) $5.4 million Other obligations Certain of the Company's subsidiaries have available lines of credit and overdraft credit facilities that generally provide for short-term borrowings that are used from time to time for working capital purposes. As of December 31, 2021 and 2020, borrowings under these arrangements were 0.9 0.9 there was due in 2022 under these other obligation arrangements. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedges, Assets [Abstract] | |
Derivative Instruments and Hedging Activities | (12) Derivative Instruments and Hedging Activities The Company is exposed to foreign currency exchange risk resulting from (i) the collection of funds or the settlement of money transfer transactions in currencies other than the U.S. dollar, (ii) derivative contracts written to its customers in connection with providing cross-currency money transfer services and (iii) certain foreign currency denominated other asset and liability positions. The Company enters into foreign currency derivative contracts, primarily foreign currency forwards and cross-currency swaps, to minimize its exposure related to fluctuations in foreign currency exchange rates. As a matter of Company policy, the derivative instruments used in these activities are economic hedges and are not designated as hedges under ASC 815 , Foreign currency exchange contracts - Ria Operations and Corporate In the United States, the Company uses short-duration foreign currency forward contracts, generally with maturities up to 14 executed with counterparties in the U.S. are governed by an International Swaps and Derivatives Association agreement that includes standard netting arrangements; therefore, asset and liability positions from forward contracts and all other foreign exchange transactions with the same counterparty are net settled upon maturity. As of December 31, 2021 2020, the Company had foreign currency forward contracts outstanding in the U.S. with a notional value of 222.1 246.0 In addition, the Company uses forward contracts, typically with maturities from a few days to less than year, to offset foreign exchange rate fluctuations on certain short-term borrowings that are payable in currencies other than the U.S dollar. As of 2020, the Company had foreign currency forward contracts outstanding with a notional value of $ 216.1 million 454.3 Foreign currency exchange contracts - xe Operations xe, writes derivative instruments, primarily foreign currency forward contracts and cross-currency swaps, mostly with counterparties comprised of individuals and small-to-medium size businesses and derives a currency margin from this activity as part of its operations. xe aggregates its foreign currency exposures arising from customer contracts and hedges the resulting net currency risks by entering into offsetting contracts with established financial institution counterparties. Foreign exchange revenues from xe's total portfolio of positions were $ 79.5 68.2 71.1 December 31, 2021 , 2020 2019, respectively. All of the derivative contracts used in the Company' s xe operations are economic hedges and are not designated as hedges under ASC 815 . The duration of these derivative contracts is generally less than one year. The fair value of xe's total portfolio of positions can change significantly from period to period based on, among other factors, market movements and changes in customer contract positions. xe manages counterparty credit risk (the risk that counterparties will default and not make payments according to the terms of the agreements) on an individual counterparty basis. It mitigates this risk by entering into contracts with collateral posting requirements and/or by performing financial assessments prior to contract execution, conducting periodic evaluations of counterparty performance and maintaining a diverse portfolio of qualified counterparties. xe does not expect any significant losses from counterparty defaults. The aggregate equivalent U.S. dollar notional amounts of foreign currency derivative customer contracts held by the Company in its xe operations as of December 31, 2021 2020, $ 1.0 1.3 The following table summarizes the fair value of the derivative instruments as recorded in the Consolidated Balance Sheets as of the dates below: Asset Derivatives Liability Derivatives Fair Value Fair Value (in thousands) Balance Sheet Location December 31, 2021 December 31, 2020 Balance Sheet Location December 31, 2021 December 31, 2020 Derivatives not designated as hedging instruments Foreign currency exchange contracts Other current assets $ 27,582 $ 80,879 Other current liabilities $ (23,285 ) $ (65,905 ) Balance Sheet Presentation The following tables summarize the gross and net fair value of derivative assets and liabilities as of December 31, 2021 2020 Offsetting of Derivative Assets Gross Amounts Not Offset in the Consolidated Balance Sheet As of December 31, 2021 Gross Amounts of Recognized Assets Gross Amounts Offset in the Consolidated Balance Sheet Net Amounts Presented in the Consolidated Balance Sheet Financial Instruments Cash Collateral Received Net Amounts Derivatives subject to a master netting arrangement or similar agreement $ 27,582 $ — $ 27,582 $ (14,875 ) $ (2,284 ) $ 10,423 As of December 31, 2020 Derivatives subject to a master netting arrangement or similar agreement $ 80,879 $ — $ 80,879 $ (44,893 ) $ (2,778 ) $ 33,208 Offsetting of Derivative Liabilities Gross Amounts Not Offset in the Consolidated Balance Sheet As of December 31, 2021 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Consolidated Balance Sheet Net Amounts Presented in the Consolidated Balance Sheet Financial Instruments Cash Collateral Paid Net Amounts Derivatives subject to a master netting arrangement or similar agreement $ (23,285 ) $ — $ (23,285 ) $ 14,875 $ 640 $ (7,770 ) As of December 31, 2020 Derivatives subject to a master netting arrangement or similar agreement $ (65,905 ) $ — $ (65,905 ) $ 44,893 $ 12,272 $ (8,740 ) Income Statement Presentation The following tables summarize the location and amount of gains on derivatives in the Consolidated Statements of Operations for the years ended December 31, 2021 , 2020 2019: Amount of Gain (Loss) Location of Gain (Loss) Recognized in Income on Derivative Contracts Year Ended December 31, (in thousands) 2021 2020 2019 Foreign currency exchange contracts - Ria Operations Foreign currency exchange gain (loss), net $ 1,618 $ (1,499 ) $ 62 (a) The Company enters into derivative contracts such as foreign currency exchange forwards and cross-currency swaps as part of its xe operations. These derivative contracts are excluded from this table as they are part of the broader disclosure of foreign currency exchange revenues for this business discussed above. See Note 18, Financial Instruments and Fair Value Measurements, for the determination of the fair values of derivatives. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | (13) Leases The Company enters into operating leases for ATM sites, office spaces, retail stores and equipment. The Company's finance leases are immaterial. Right of use assets and lease liabilities are recognized at the lease commencement date based on the present value of the lease payments over the lease terms. The present value of lease payments is determined using the incremental borrowing rate based on information available at the lease commencement date. The Company recognizes lease expense for these leases on a straight-line basis over the lease term. Most leases include an option to renew, with renewal terms that can extend the lease terms. The exercise of lease renewal options is at the Company’s sole discretion. The depreciable life of assets and leasehold improvements are limited by the expected lease terms. The Company also has a unilateral termination right for most of the ATM site leases. The Company evaluated the likelihood of exercising the renewal and termination options beginning with the adoption of the new accounting lease standard on January 1, 2019, concluding: the options were not reasonably certain to be exercised and thus were not considered in determining the lease terms, and associated payment impacts were excluded from lease payments; and termination options were reasonably certain not to be exercised and therefore the stated lease payment schedule of the lease was used to determine the lease term. During the second quarter of , the impact of the COVID- pandemic was a significant event that caused a significant change in circumstances and business plans to manage our portfolio of ATM leases. Specifically, the Company downsized, through the exercise of termination clauses and the reduction of monthly costs by renegotiating payment terms of its ATM leases. The Company's execution of the business plan to renegotiate terms and downsize the portfolio of ATM leases constituted a reassessment event during the second quarter of . The reassessment event required the Company to reevaluate the accounting for the portfolio of ATM leases, including lease terms. Due to the recent increased frequency of ATM site lease terminations, modifications, and greater unpredictability whether or not future lease terminations will be exercised, the Company was no longer able to conclude that termination options are reasonably certain not to be exercised. This reassessment conclusion impacted the lease term evaluation, instead of determining the lease term based on the stated lease payment schedule of the lease, the lease term was evaluated when the Company has the contractual ability to terminate the lease (most leases allow for a termination upon advance notice of between 30 and 90 days), which impacted the amounts recorded as right of use assets and lease liability balances. New, amended, and modified ATM site leases with termination options exercisable within 12 months will be excluded from th e right of use lease asset and lease liability balances under the short-term lease exemption. Payments for ATM site leases with termination options subject to the short-term lease exemption are expensed in the period incurred. The short-term lease expense for 2021 reasonably reflects the Company’s short-term lease commitments. Certain of the Company's lease agreements include variable rental payments based on revenues generated from the use of the leased location and certain leases include rental payments adjusted periodically for inflation. Variable lease payments are recognized when the event, activity or circumstance in the lease agreement on which those payments are assessed occurs and are excluded from the right of use assets and lease liabilities balances. The lease agreements do not contain any material residual value guarantees or material restrictive covenants. Future minimum lease payments Future minimum lease payments under the operating leases (with initial lease terms in excess of one year) as of are: As of December 31, 2021 Maturity of Lease Liabilities (in thousands) Operating Leases (1) 2022 $ 48,412 2023 37,368 2024 27,827 2025 19,172 2026 12,620 Thereafter 22,819 Total lease payments 168,218 Less: imputed interest (4,727 ) Present value of lease liabilities $ 163,491 ( ) Operating lease payments reflect the Company's current fixed obligations under the operating lease agreements. Lease expense recognized in the Consolidated Statements of Operations is summarized as follows: Lease Expense (in thousands) Income Statement Classification Year ended December 31, 2021 Year ended December 31, 2020 Operating lease expense Selling, general and administrative and Direct operating costs $ 55,613 $ 83,102 Short-term and variable lease expense Selling, general and administrative and Direct operating costs 115,963 69,711 Total lease expense $ 171,576 $ 152,813 Lease Term and Discount Rate of Operating Leases As of December 31, 2021 Weighted- average remaining lease term (years) 4.9 Weighted- average discount rate 2.24 The following table presents supplemental cash flow and non-cash information related to leases: Other Information (in thousands) Year ended December 31, 2021 Year ended December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities (a) $ 51,464 $ 79,447 Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: ROU assets obtained in exchange for new operating lease liabilities $ 69,073 $ 77,728 (a) Included in Net cash provided by operating activities on the Company's Consolidated Statements of Cash Flows. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (14) Income Taxes The sources of income before income taxes for the years ended December 31, 2021, 2020 2019 Year Ended December 31, (in thousands) 2021 2020 2019 Income before taxes: United States $ (4,775 ) $ 40,323 $ 44,290 Foreign 140,450 (32,152 ) 389,517 Total income before income taxes $ 135,675 $ 8,171 $ 433,807 The Company's income tax expense for the years ended December 31, 2021, 2020 2019 Year Ended December 31, (in thousands) 2021 2020 2019 Current tax expense (benefit): U.S. $ 2,810 $ 2,605 $ (4,885 ) Foreign 59,874 39,270 83,792 Total current 62,684 41,875 78,907 Deferred tax expense (benefit): U.S. 12,269 (16,100 ) (8,424 ) Foreign (9,865 ) (14,300 ) 16,629 Total deferred 2,404 (30,400 ) 8,205 Total tax expense $ 65,088 $ 11,475 $ 87,112 The following is a reconciliation of the federal statutory income tax rates of 21% Year Ended December 31, (dollar amounts in thousands) 2021 2020 2019 U.S. federal income tax expense at applicable statutory rate $ 28,492 $ 1,716 $ 91,099 Tax effect of: State income tax expense at statutory rates, net of U.S. federal income tax 1,516 347 5,101 Non-deductible expenses 538 1,887 2,896 Share-based compensation (3,524 ) (6,446 ) (2,875 ) Other permanent differences (2,047 ) 3,828 (864 ) Difference between U.S. federal and foreign tax rates 7,438 7,002 12,281 Provision in excess of statutory rates 2,879 (6,491) 3,565 Change in federal and foreign valuation allowance 26,673 (4,238) 2,144 Impairment of goodwill and acquired intangibles assets — 22,053 — GILTI, net of tax credits 3,900 — 6,471 U.S. Tax Reform - transition tax and rate change — — (25,728 ) Tax credits (1,122 ) (3,518 ) (4,500 ) Other 345 (4,665 ) (2,478 ) Total income tax expense $ 65,088 $ 11,475 $ 87,112 Effective tax rate 48.0 % 140.4 % 20.1 % We calculate our provision for federal, state and international income taxes based on current tax law. In the fourth quarter of 2019 after additional regulatory guidance was issued by applicable taxing authorities relating to the U.S. Tax Reform, the Company elected to claim U.S. foreign tax credits, which reduced the net tax expense by 25.7 The tax effect of temporary differences and carryforwards that give rise to deferred tax assets and liabilities from continuing operations are as follows: As of December 31, (in thousands) 2021 2020 Deferred tax assets: Tax loss carryforwards $ 65,862 $ 45,609 Share-based compensation 9,743 6,771 Accrued expenses 19,907 22,243 Property and equipment 11,949 10,835 Goodwill and intangible amortization 9,353 7,614 C ontract costs 9,921 — Intercompany notes 6,077 7,689 Accrued revenue 7,541 34,663 Tax credits 65,388 Lease accounting 42,381 39,962 Foreign exchange 8,283 19,160 Other 14,616 14,230 Gross deferred tax assets 270,900 274,164 Valuation allowance (100,489 ) (77,563 ) Net deferred tax assets 170,411 196,601 Deferred tax liabilities: Intangible assets related to purchase accounting (11,763 ) (12,854 ) Goodwill and intangible amortization (30,339 ) (24,763 ) Accrued expenses (21,495 ) (43,971 ) Intercompany notes (10,388 ) (10,396 ) Accrued interest (34,175 ) (30,932 ) Capitalized research and development (6,376 ) (6,352 ) Property and equipment (15,597 ) (18,295 ) Accrued revenue (2,073 ) (1,829 ) Lease accounting (42,381 ) (39,962 ) Foreign exchange (1,211 ) (10,880 ) Other (3,971 ) (6,826 ) Total deferred tax liabilities (179,769 ) (207,060 ) Net deferred tax liabilities $ (9,358 ) $ (10,459 ) Net deferred tax assets of $37.7 million and $27.4 million Subsequently recognized tax benefits relating to the valuation allowance for deferred tax assets as of December 31, 2021 are expected to be allocated to income taxes in the Consolidated Statements of Operations. As of December 31, 2021, and 2020 $ 267.3 197.4 $ 73.7 95.8 $ 61.6 In assessing the Company's ability to realize deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based upon the level of historical taxable income and projections for future taxable income over the periods in which the deferred tax assets are deductible, management believes it is more likely than not the Company will realize the benefits of these deductible differences, net of the existing valuation allowances, as of December 31, 2021. As of December 31, 2021, the Company had foreign tax net operating loss carryforwards of $ 267.3 (in thousands) Gross Tax Effected Year ending December 31, 2022 $ 3,960 $ 749 2023 2,296 533 2024 3,153 711 2025 21,012 4,664 2026 21,767 4,843 Thereafter 25,465 6,501 Unlimited 189,670 45,792 Total $ 267,323 $ 63,793 In addition, the Company's state tax net operating loss carryforwards of $ 73.7 2022 through 2041 $ 61.6 that will expire periodically from 2022 through 2030 and U.S. federal research and expenditure credit carryforwards of $ 3.3 million While U.S. tax expense has been recognized as a result of the transition tax and global intangible low-taxed income, or GILTI, provisions of U.S. Tax Reform, the Company has not provided additional deferred taxes with respect to items such as certain foreign exchange gains or losses, foreign withholding taxes or additional state taxes, if any, on undistributed earnings attributable to foreign subsidiaries and it is not practical to determine the income tax liability that would be payable if such earnings were not reinvested indefinitely. Gross undistributed earnings reinvested indefinitely in foreign subsidiaries aggregated approximately $ 1,808.8 Accounting for uncertainty in income taxes A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31, 2021 and 2020 Year Ended December 31, (in thousands) 2021 2020 Beginning balance $ 39,785 $ 44,535 Additions based on tax positions related to the current year 3,815 7,331 Additions for tax positions of prior years — — Reductions for tax positions of prior years (1,998 ) (1,349 ) Settlements — (10,127 ) Statute of limitations expiration (612 ) (605 ) Ending balance $ 40,990 $ 39,785 As of December 31, 2021 and 2020 $ 29.1 31.8 $ 7.2 6.2 2020 Jurisdictions Periods U.S. (Federal) 2014 through 2021 Germany 2016 through 2021 Greece 2013 through 2021 Spain 2015 through 2021 U.K. 2018 through 2021 It is reasonably possible that the balance of gross unrecognized tax benefits could significantly change within the next twelve |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | (15) Valuation and Qualifying Accounts Trade accounts receivable and accounts receivable balances included within the settlement assets are stated net of credit losses. Historically, the Company has not experienced significant write-offs. The Company records credit losses when it is probable that the accounts receivable balance will not be collected. The following table provides a summary of the credit loss balances and activity for the years ended Year Ended December 31, (in thousands) 2021 2020 2019 Beginning balance-credit losses $ 41,727 $ 27,938 $ 24,287 Additions-charged to expense 9,721 19,469 10,095 Amounts written off (21,662 ) (7,842 ) (6,179 ) Other (primarily changes in foreign currency exchange rates) 2,024 2,162 (265 ) Ending balance-credit losses $ 31,810 $ 41,727 $ 27,938 |
Stock Plans
Stock Plans | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Plans | (16) Stock Plans The Company has share-based compensation plans ("SCP") that allow it to grant restricted shares, or options to purchase shares, of common stock to certain current and prospective key employees, directors and consultants of the Company. These awards gen erally vest over periods ranging from three Share-based compensation expense was $36.5 million, $ 22.0 21.4 $ million, 2.1 4.9 Stock options Summary stock options activity is presented in the table below: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (thousands) Balance at December 31, 2020 (1,497,567 shares exercisable) 4,091,293 $ 94.88 Granted 532,979 $ 116.55 Exercised (296,363 ) $ 26.41 Forfeited/Canceled (17,831 ) $ 119.80 Expired (877 ) $ 16.39 Balance at December 31, 2021 4,309,201 $ 102.19 7.2 $ 97,425 Exercisable at December 31, 2021 1,466,983 $ 78.19 4.5 $ 65,770 Vested and expected to vest at December 31, 2021 1,963,940 $ 90.29 5.5 $ 68,162 Options outstanding that are expected to vest are net of estimated future forfeitures. The Company received cash of $7.8 million, $ 15.8 million and $ 13.1 million in connection with stock options exercised in the years ended , 2020 and 2019 , respectively. The intrinsic value of these options exercised was $27.7 million, $ 41.1 million and $ 30.6 , 2020 and 2019 , respectively. As of , unrecognized compensation expense related to nonvested stock options that are expected to vest totaled $ million 4 years, with an overall weighted-average period of 2.6 years. The following table provides the fair value of options granted under the SCP during 2021 , 2020 and 2019 , together with a description of the assumptions used to calculate the fair value using the Black-Scholes-Merton option-pricing model: Year ended December 31, 2021 2020 2019 Volatility 39.3 % 35.6 % 29.3 % Risk-free interest rate - weighted average 1.2 % 0.6 % 2.1 % Risk-free interest rate - range 0.5% to 1.21 % 0.31% to 1.17 % (a) Dividend yield — % — % — % Assumed forfeitures 8.0 % 8.0 % 8.0 % Expected lives 4.6 years 7.1 years 5.2 years Weighted-average fair value (per share) $ 39.99 $ 48.21 $ 43.96 (a) At the date of grant, the risk fee rate for stock options awarded in 2019 was 1.7% During 2021, the Company granted approximately 331,000 options that were valued using a Monte Carlo simulation (not included in the table above). The Monte Carlo simulation calculated a fair value per option of $40.30 using the following assumptions: volatility of 40.0%, risk-free interest rate of 1.19%, and a term of 4.5 years. During 2020, the Company granted 1,350,000 options that were valued using a Monte Carlo simulation (not included in the table above). The Monte Carlo simulation calculated a fair value per option of $26.90 using the following assumptions: volatility of 37.0%, risk-free interest rate of 0.33%, and a term of 5.0 years. Restricted stock Restricted stock awards vest based on the achievement of time-based service conditions and/or performance-based conditions. For certain awards, vesting is based on the achievement of more than one condition of an award with multiple time-based Summary restricted stock activity is presented in the table below: Number of Shares Weighted Average Grant Date Fair Value Per Share Nonvested at December 31, 2020 485,510 $ 126.62 Granted 191,184 $ 117.35 Vested (107,700 ) $ 115.85 Forfeited (33,890 ) $ 98.18 Nonvested at December 31, 2021 535,104 $ 127.96 The fair value of shares vested in the years ended December 31, 2021, 2020 and 2019 was $13.8 million, $ 15.4 16.6 3.0 there was $ million compensation costs related to unvested performance-based restricted stock, which is expected to be recognized based on Company performance over a weighted-average period of 2.0 $115.85, 117.97 145.93 |
Business Segment Information
Business Segment Information | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Business Segment Information | (17) Business Segment Information Euronet's reportable operating segments have been determined in accordance with ASC Topic 280, Segment Reporting ("ASC 280") . The Company currently operates in the following three reportable operating segments: 1) Through the EFT Processing Segment, the Company processes transactions for a network of 2) T hrough the Segment, the Company provides distribution, processing and collection services for prepaid mobile airtime and other electronic payment products in Europe, the Middle East, Asia Pacific, the U.S. and South America. 3) Through the Money Transfer Segment, the Company provides global money transfer services under the brand names Ria, AFEX, IME, and xe. Ria, AFEX, and IME provide global consumer-to-consumer money transfer services through a network of sending agents, Company-owned stores and Company-owned websites, disbursing money transfers through a worldwide correspondent network. xe offers account-to-account international payment services to high-income individuals and small-to-medium sized businesses. xe is also a provider of foreign currency exchange information. The Company also offers customers bill payment services, payment alternatives such as money orders and prepaid debit cards, comprehensive check cashing services, foreign currency exchange services and mobile top-up. Furthermore, xe provides cash management solutions and foreign currency risk management services to small-to-medium sized businesses. In addition, the Company accounts for non-operating activity, share-based compensation expense, certain intersegment eliminations and the costs of providing corporate and other administrative services in its administrative division, "Corporate Services, Eliminations and Other." These services are not directly identifiable with the Company's reportable operating segments. 93 The following tables present the Company's reportable segment results for the years ended December 31, 2021, 2020 and 2019: For the Year Ended December 31, 2021 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 591,138 $ 1,011,482 $ 1,400,957 $ (8,134) $ 2,995,443 Operating expenses: Direct operating costs 354,254 760,891 793,218 (8,096) 1,900,267 Acquired contract cost impairment — — 38,634 — 38,634 Salaries and benefits 98,584 79,451 255,816 50,988 484,839 Selling, general and administrative 47,832 39,602 157,955 6,544 251,933 Depreciation and amortization 90,969 8,501 35,739 545 135,754 Total operating expenses 591,639 888,445 1,281,362 49,981 2,811,427 Operating income (expense) $ (501) $ 123,037 $ 119,595 $ (58,115) $ 184,016 Other income (expense) Interest income 664 Interest expense (38,198) Foreign currency exchange loss, net (10,866) Other gains, net 59 Total other expense, net (48,341) Income before income taxes $ 135,675 Segment assets as of December 31, 2021 $ 1,682,680 $ 1,234,074 $ 1,621,726 $ 205,796 $ 4,744,276 For the Year Ended December 31, 2020 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 468,726 $ 835,517 $ 1,183,849 $ (5,392 ) $ 2,482,700 Operating expenses: Direct operating costs 302,637 630,391 649,033 (5,362 ) 1,576,699 Salaries and benefits 91,526 64,769 213,511 34,336 404,142 Selling, general and administrative 35,388 35,789 142,161 8,276 221,614 Goodwill and acquired intangible assets impairment 21,861 — 84,741 — 106,602 Depreciation and amortization 84,025 7,890 34,694 412 127,021 Total operating expenses 535,437 738,839 1,124,140 37,662 2,436,078 Operating income (expense) $ (66,711) $ 96,678 $ 59,709 $ (43,054 ) $ 46,622 Other income (expense) Interest income 1,040 Interest expense (36,604 ) Foreign currency exchange gain, net (3,756) Other gains, net 869 Total other expense, net (38,451 ) Income before income taxes $ 8,171 Segment assets as of December 31, 2020 $ 1,541,610 $ 1,135,204 $ 1,755,651 $ 494,246 $ 4,926,711 For the Year Ended December 31, 2019 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 888,712 $ 769,329 $ 1,096,226 $ (4,158 ) $ 2,750,109 Operating expenses: Direct operating costs 397,132 576,757 586,730 (4,136 ) 1,556,483 Salaries and benefits 87,603 61,540 208,792 36,809 394,744 Selling, general and administrative 35,518 35,054 133,068 8,304 211,944 Depreciation and amortization 71,819 6,774 32,846 305 111,744 Total operating expenses 592,072 680,125 961,436 41,282 2,274,915 Operating income (expense) $ 296,640 $ 89,204 $ 134,790 $ (45,440 ) $ 475,194 Other income (expense) Interest income 1,969 Interest expense (36,237 ) Foreign currency exchange loss, net 2,701 Other gains, net (9,820) Total other expense, net (41,387 ) Income before income taxes $ 433,807 Segment assets as of December 31, 2019 $ 1,914,144 $ 962,671 $ 1,560,136 $ 220,715 $ 4,657,666 Total revenues for the years ended December 31, 2021, 2020 and 2019, and property and equipment and total assets as of December 31, 2021 and 2020, summarized by geographic location, were as follows: Revenues Total Assets For the year ended December 31, as of December 31, as of December 31, (in thousands) 2021 2020 2019 2021 2020 2021 2020 United States $ 805,028 $ 725,135 $ 716,576 $ 59,469 $ 55,573 $ 1,040,190 $ 1,255,983 Germany 631,550 533,999 518,146 32,126 38,808 901,724 797,627 Spain 157,766 118,934 189,104 50,321 61,563 317,199 291,254 United Kingdom 143,914 118,024 135,006 13,783 20,150 371,090 402,587 Italy 130,095 92,006 130,929 18,279 21,225 207,347 231,548 Poland 93,654 89,688 130,104 24,091 33,087 201,506 206,016 India 173,154 123,343 113,146 32,705 26,126 206,378 182,073 France 166,655 119,265 94,352 7,038 2,731 134,981 112,335 Greece 61,627 39,705 79,716 10,815 13,252 80,778 78,439 Malaysia 50,039 73,541 74,948 1,998 2,319 91,813 115,448 Australia 46,851 46,062 51,686 2,791 1,575 56,275 68,577 New Zealand 56,480 47,368 47,611 3,949 3,772 231,468 254,580 Other 478,630 355,630 468,785 88,016 98,260 903,527 930,244 Total foreign 2,190,415 1,757,565 2,033,533 285,912 322,868 3,704,086 3,670,728 Total $ 2,995,443 $ 2,482,700 $ 2,750,109 $ 345,381 $ 378,441 $ 4,744,276 $ 4,926,711 Revenues are attributed to countries based on location of the customer, with the exception of software sales made by the Company's software subsidiary, which are attributed to the U.S. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | (18) Financial Instruments and Fair Value Measurements Concentrations of credit risk The Company's credit risk primarily relates to trade accounts receivable and cash and cash equivalents. The EFT Processing Segment's customer base includes the most significant international card organizations and certain banks in its markets. The epay Segment's customer base is diverse and includes several major retailers and/or distributors in markets that they operate. The Money Transfer Segment trade accounts receivable are primarily due from independent agents that collect cash from customers on the Company's behalf and generally remit the cash within one week. The Company performs ongoing evaluations of its customers' financial condition and limits the amount of credit extended, or purchases credit enhancement protection, when deemed necessary, but generally requires no collateral. See Note 15, Valuation and Qualifying Accounts, for further disclosure. The Company invests excess cash not required for use in operations primarily in high credit quality, short-term duration securities that the Company believes bear minimal risk. Fair value measurements Fair value measurements used in the consolidated financial statements are based upon the price that would be received to sell an asset or paid to transfer a liability in an orderly transac tion between market participants at the measurement date. The fair value hierarchy distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity's own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs). The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described below: L evel 1 L evel 2 Level 3 The following table details financial assets measured and recorded at fair value on a recurring basis: As of December 31, 2021 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 27,582 $ — $ 27,582 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (23,285 ) $ — $ (23,285 ) As of December 31, 2020 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 80,879 $ — $ 80,879 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (65,905 ) $ — $ (65,905 ) The carrying amounts of cash and cash equivalents, trade accounts receivable, trade accounts payable and short-term debt obligations approximate fair values due to their short maturities. The carrying values of the Company's revolving credit agreements approximate fair values because interest is based on LIBOR that resets at va rious intervals of less than one year. The Company estimates the fair value of the Convertible Notes and Senior Notes using quoted prices in inactive markets for identical liabilities (Level 2). As of 31, 2021 $ 589.3 $ 696.1 $ 468.2 $ 682.1 |
Litigation and Contingencies
Litigation and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation and Contingencies | (19) Litigation and Contingencies From time to time, the Company is a party to legal and regulatory proceedings arising in the ordinary course of its business. Currently, there are no legal proceedings or regulatory findings that management believes, either individually or in the aggregate, would have a material adverse effect upon the Consolidated Financial Statements of the Company. In accordance with U.S. GAAP, the Company records a liability when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. These provisions are reviewed at least quarterly and adjusted to reflect the impacts of negotiations, settlements, rulings, advice of legal counsel, and other information and events pertaining to a particular case. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2021 | |
Guarantees [Abstract] | |
Commitments | (20) Commitments As of December 31, 2021 , the Company had $ million $ million Under certain circumstances, the Company grants guarantees in support of obligations of subsidiaries. As of December 31, 2021 , the Company granted off balance sheet guarantees for cash in various ATM networks amounting to $ million $ million From time to time, the Company enters into agreements with commercial counterparties that contain indemnification provisions, the terms of which may vary depending on the negotiated terms of each respective agreement. The amount of such potential obligations is generally not stated in the agreements. Euronet's liability under such indemnification provisions may be mitigated by relevant insurance coverage and may be subject to time and materiality limitations, monetary caps and other conditions and defenses. Such indemnification obligations include the following: • In connection with contracts with financial institutions in the EFT Processing Segment, the Company is responsible for damage to ATMs and theft of ATM network cash that, generally, is not recorded on the Company's Consolidated Balance Sheets. As of , the balance of such cash used in the Company's ATM networks for which the Company was responsible was approximately $ million. • In connection with contracts with financial institutions in the EFT Processing Segment, the Company is responsible for losses suffered by its customers and other parties as a result of the breach of its computer systems, including in particular, losses arising from fraudulent transactions made using information stolen through its processing systems. The Company maintains insurance policies to mitigate this exposure; • In connection with the license of proprietary systems to customers, the Company provides certain warranties and infringement indemnities to the licensee, which generally warrant that such systems do not infringe on intellectual property owned by third parties and that the systems will perform in accordance with their specifications; • Euronet has entered into purchase and service agreements with vendors and consulting agreements with providers of consulting services, pursuant to which the Company has agreed to indemnify certain of such vendors and consultants, respectively, against third-party claims arising from the Company's use of the vendor's product or the services of the vendor or consultant; • In connection with acquisitions and dispositions of subsidiaries, operating units and business assets, the Company has entered into agreements containing indemnification provisions, which can be generally described as follows: (i) in connection with acquisitions of operating units or assets made by Euronet, the Company has agreed to indemnify the seller against third party claims made against the seller relating to the operating unit or asset and arising after the closing of the transaction, and (ii) in connection with dispositions made by Euronet, Euronet has agreed to indemnify the buyer against damages incurred by the buyer due to the buyer's reliance on representations and warranties relating to the subject subsidiary, operating unit or business assets in the disposition agreement if such representations or warranties were untrue when made; and • Euronet has entered into agreements with certain third parties, including banks that provide fiduciary and other services to Euronet or to the Company's benefit plans. Under such agreements, the Company has agreed to indemnify such service providers for third-party claims relating to carrying out their respective duties under such agreements. The Company is also required to meet minimum capitalization and cash requirements of various regulatory authorities in the jurisdictions in which the Company has money transfer operations. The Company has obtained surety bonds in compliance with money transfer licensing requirements of the applicable governmental authorities. To date, the Company is not aware of any significant claims made by the indemnified parties or third parties to guarantee agreements with the Company and, accordingly, no liabilities were recorded as of December 31, 2021 or 2020 . |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | (21) Related Party Transactions The Company leases an airplane from a company owned by Mr. Michael J. Brown, Euronet's Chief Executive Officer, President and Chairman of the Board of Directors. The airplane is leased for business use on a per flight hour basis at competitive commercial rates with no minimum usage requirement. Euronet incurred expenses of $ million, 0.1 0.3 , |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies and Practices (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Foreign currencies | Foreign currencies Assets and liabilities denominated in currencies other than the functional currency of a subsidiary are remeasured at rates of exchange on the balance sheet date. Resulting gains and losses on foreign currency transactions are included in the Consolidated Statements of Operations. The majority of our foreign currency exchange gains or losses are due to the of intercompany loans which are not considered a long-term investment in nature and are in a currency other than the functional currency of one of the parties to the loan. The financial statements of foreign subsidiaries where the functional currency is not the U.S. dollar are translated to U.S. dollars using (i) exchange rates in effect at period end for assets and liabilities, and (ii) weighted average exchange rates during the period for revenues and expenses. Adjustments resulting from translation of such financial statements are reflected in accumulated other comprehensive (loss) income as a separate component of consolidated equity. |
Cash equivalents | Cash equivalents The Company considers all highly liquid investments, with an original maturity of three months or less, and certificates of deposit, which may be withdrawn at any time at the discretion of the Company without penalty, to be cash equivalents. |
ATM cash | ATM cash ATM cash represents cash within the ATM network either included within ATMs, within dedicated accounts, or in-transit to ATMs. |
Settlement assets and obligations | Settlement assets and obligations Settlement assets represent funds received or to be received from agents for unsettled money transfers and from merchants for unsettled prepaid transactions. , Settlement Assets and Obligations, to the Consolidated Financial Statements for further discussion on settlement assets and obligations. |
Property and equipment | Property and equipment Property and equipment are stated at cost, less accumulated depreciation. Property and equipment acquired in acquisitions have been recorded at estimated fair values as of the acquisition date. Depreciation is generally calculated using the straight-line method over the estimated useful lives of the respective assets. Depreciation and amortization rates are generally as follows: ATMs or ATM upgrades 5 - 7 years Computers and software 3 - 5 years POS terminals 3 - 5 years Vehicles and office equipment 3 - 10 years Leasehold improvements Over the lesser of the lease term or estimated useful life |
Goodwill and other intangible assets | Goodwill and ot her intangible assets Goodwill Intangibles - Goodwill and Other ("ASC 350"). In accordance with the requirements of ASC 350 the Company tests for impairment on an annual basis in the fourth quarter and whenever events or circumstances dictate. Goodwill is allocated among and evaluated for impairment at the reporting unit level, which is defined as an operating segment or one ASC 350 provides an entity the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not (more than 50%) that the estimated fair value of a reporting unit is less than its carrying amount. If an entity elects to perform a qualitative assessment and determines that an impairment is more likely than not, the entity is then required to perform the existing quantitative impairment test (described below), otherwise no further analysis is required. An entity also may elect not to perform the qualitative assessment and, instead, proceed directly to the quantitative impairment test. The Company has a policy for its annual review of goodwill to perform the qualitative assessment for all reporting units not subjected directly to the quantitative impairment test. Under the qualitative assessment, various events and circumstances (or factors) that would affect the estimated fair value of a reporting unit are identified (similar to impairment indicators). These factors are then classified by the type of impact they would have on the estimated fair value using positive, neutral, and adverse categories based on current business conditions. Furthermore, the Company considers the results of the most recent quantitative impairment test completed for a reporting unit and compares, among other factors, the weighted average cost of capital ("WACC") between the current and prior years for each reporting unit. Under the quantitative impairment test, the evaluation of impairment involves comparing the current fair value of each reporting unit to its carrying value, including goodwill. The Company uses weighted results from the income approach or the discounted cash flow model ("DCF model") and guideline public company method ("Market Approach model") to estimate the current fair value of its reporting units when testing for impairment, as management believes forecasted cash flows and EBITDA are the best indicators of such fair value. A number of significant assumptions and estimates are involved in the application of the DCF model to forecast operating cash flows, including sales volumes, gross margins, tax rates, capital spending, discount rates and working capital changes. Most of these assumptions vary significantly among the reporting units. Significant assumptions in the Market Approach model are projected EBITDA, selected market multiple, and the estimated control premium. If the carrying value of goodwill exceeds its fair value, an impairment loss equal to such excess would be recognized. The DCF Model and Market Approach Model utilize Level 3 inputs in the fair value hierarchy as they include unobservable inputs that require significant management assumptions. Other Intangible Assets - In accordance with ASC 350, intangible assets with finite lives are amortized over their estimated useful lives. Unless otherwise noted, amortization is calculated using the straight-line method over the estimated useful lives of the assets as follows: Non-compete agreements 2 - 5 years Trademarks and trade names 2 - 20 years Software 3 - 10 years Customer relationships 6 - 20 years The Company reviews its long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If such events or changes in circumstances are present, a loss is recognized if the carrying value of the asset is in excess of the sum of the undiscounted cash flows expected to result from the use of the asset and its eventual disposition. An impairment loss is measured as the amount by which the carrying amount of the asset exceeds the fair value of the asset. See Note 9, Goodwill and Acquired Intangible Assets, Net, to the Consolidated Financial Statements for additional information regarding the impairment of goodwill and other intangible assets. |
Other assets | Other assets Other assets include capitalized software development costs and capitalized payments for new or renewed contracts. Euronet capitalizes initial payments for new or renewed contracts to the extent recoverable through future operations, contractual minimums and/or penalties in the case of early termination. The Company's accounting policy is to limit the amount of capitalized costs for a given contract to the lesser of the estimated ongoing net future cash flows related to the contract or the termination fees the Company would receive in the event of early termination of the contract by the customer. ASC Topic 340, Other Assets and Deferred Costs ("ASC 340") requires the deferral of incremental costs to fulfill customer contracts, known as contract assets, which are then amortized to expense as part of direct operating costs over the respective periods of expected benefit. D eferred contract costs are reported on our balance sheet within current or non-current other assets based on the expected life of the related contract. At December 31, 2021 and 2020 $96.4 143.5 2020 and 2019, we had $33.3 17.2 6.9 $38.6 million non |
Convertible notes | Convertible notes The Company accounts for its convertible debt instruments that may be settled in cash upon conversion in accordance with ASC Topic 470, Debt ("ASC 470"), which requires the proceeds from the issuance of such convertible debt instruments to be allocated between debt and equity components so that debt is discounted to reflect the Company's nonconvertible debt borrowing rate. Further, the Company applies ASC 470-20-35-13, which requires the debt discount to be amortized over the period the convertible debt is expected to be outstanding as additional non-cash interest expense. |
Income taxes | Income taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. In accordance with ASC Topic 740, Income Taxes ("ASC 740"), the Company's policy is to record estimated interest and penalties related to the underpayment of income taxes as income tax expense in the Consolidated Statements of Operations. See Note 14, Income Taxes, to the Consolidated Financial Statements for further discussion regarding these provisions. |
Presentation of taxes collected and remitted to governmental authorities | Presentation of taxes collected and remitted to governmental authorities The Company presents taxes collected and remitted to governmental authorities on a net basis in the accompanying Consolidated Statements of Operations. |
Fair value measurements | Fair value measurements The Company applies the provisions of ASC Topic 820, Fair Value Measurements and Disclosures ("ASC 820"), regarding fair value measurements for assets and liabilities. ASC 820 defines fair value, establishes a framework for measuring fair value and requires certain disclosures about fair value measurements. The provisions apply whenever other accounting pronouncements require or permit fair value measurements. See Note 18, Financial Instruments and Fair Value Measurements, to the Consolidated Financial Statements for the required fair value disclosures. |
Accounting for derivative instruments and hedging activities | Accounting for derivative instruments and hedging activities The Company accounts for derivative instruments and hedging activities in accordance with ASC Topic 815, Derivatives and Hedging ("ASC 815"), which requires that all derivative instruments be recognized as either assets or liabilities on the balance sheet at fair value. Primarily in the Money Transfer Segment, the Company enters into foreign currency derivative contracts, mainly forward contracts, to offset foreign currency exposure related to money transfer settlement assets and liabilities in currencies other than the U.S. dollar, derivative contracts written to its customers arising from its cross-currency money transfer services and certain assets and liability positions denominated in currencies other than the U.S. dollar. These contracts are considered derivative instruments under the provisions of ASC 815; however, the Company does not designate such instruments as hedges for accounting purposes. Accordingly, changes in the value of these contracts are recognized immediately as a component of foreign currency exchange gain (loss), net in the Consolidated Statements of Operations. Cash flows resulting from derivative instruments are included in operating activities in the Company's Consolidated Statements of Cash Flows. The Company enters into derivative instruments with highly credit-worthy financial institutions and does not use derivative instruments for trading or speculative purposes. See Note 12, Derivative Instruments and Hedging Activities, to the Consolidated Financial Statements for further discussion of derivative instruments . |
Share-based compensation | Share-based compensation The Company follows the provisions of ASC Topic 718, Compensation - Stock Compensation ("ASC 718"), for equity classified awards, which requires the determination of the fair value of the share-based compensation at the grant date and subsequent recognition of the related expense over the period in which the share-based compensation is earned ("requisite service period"). The amount of future compensation expense related to awards of nonvested shares or nonvested share units ("restricted stock") is based on the market price for Euronet Common Stock at the grant date. The grant dat e is the date at which all key terms and conditions of the grant have been determined and the Company becomes contingently obligated to transfer equity to the employee who renders the requisite service, generally the date at which grants are approved by the Company's Board of Directors or Compensation Committee thereof. Share-based compensation expense for awards with only service conditions is generally recognized as expense on a "straight-line" basis over the requisite service period. For awards that vest based on achieving periodic performance conditions, expense is recognized on a "graded attribution method." The graded attribution method results in expense recognition on a straight-line basis over the requisite service period for each separately vesting portion of an award. The Company has elected to use the "with and without method" when calculating the income tax benefit associated with its share-based payment arrangements. See Note 16, Stock Plans, for further disclosure. |
Revenue recognition | Revenue recogni tion The Company recognizes revenue when control of the promised goods or services is transferred to our customers, in an amount that reflects the consideration the Company expects to be entitled to receive in exchange for those goods or services. Sales and usage-based taxes are excluded from revenues. A description of the major components of revenue by business segment is as follows: EFT Processing Transaction-based fees include charges for cash withdrawals, debit or credit card transactions, balance inquiries, transactions not completed because the relevant card issuer does not give authorization and prepaid mobile airtime recharges. Outsourcing services are generally billed on the basis of a fixed monthly fee per ATM, plus a transaction-based fee. Transaction-based fees are recognized at the time the transactions are processed and outsourcing management fees are recognized ratably over the contract period. C epay - sions or processing fees associated with distribution and/or processing of prepaid mobile airtime and digital media products. These fees and commissions are received from mobile operators, content vendors or distributors or from retailers. Commissions are recognized as revenue during the period in which the Company provides the service. The portion of the commission that is paid to retailers is generally recorded as a direct operating cost. In selling certain products, the Company is the p rinciple obligor in th Money Transfer - evenues for money transfer and other services represent a transaction fee in addition to a margin earned from purchasing currency at wholesale exchange rates and selling the currency to customers at retail exchange rates. Revenues and the associated direct operating cost are recognized at the time the transaction is processed. The Company has origination and distribution agents in place, which ea Revenues Deferred Revenues $ 58.2 $ 54.5 Disaggregation of Revenues - and region. The Company recognizes foreign exchange revenues from derivative instruments in its xe operations in accordance with ASC Topic and not ASC Topic . These revenues are not significant to the Company's consolidated revenues and are included in the following tables. For the Year Ended December 31, 2021 (in thousands) EFT Processing epay Money Transfer Total Europe $ 420,181 $ 669,297 $ 576,640 $ 1,666,118 North America 63,368 139,759 667,738 870,865 Asia Pacific 107,020 158,122 105,086 370,228 Other 569 44,304 51,493 96,366 Eliminations — — — (8,134) Total $ 591,138 $ 1,011,482 $ 1,400,957 $ 2,995,443 For the Year Ended December 31, 2020 (in thousands) EFT Processing epay Money Transfer Total Europe $ 313,953 $ 561,514 $ 449,299 $ 1,324,766 North America 56,447 144,613 577,845 778,905 Asia Pacific 98,313 100,917 124,413 323,643 Other 13 28,473 32,292 60,778 Eliminations — — — (5,392 ) Total $ 468,726 $ 835,517 $ 1,183,849 $ 2,482,700 For the Year Ended December 31, 2019 (in thousands) EFT Processing epay Money Transfer Total Europe $ 724,163 $ 524,907 $ 373,302 $ 1,622,372 North America 35,461 151,016 573,016 759,493 Asia Pacific 129,060 76,491 124,934 330,485 Other 28 16,915 24,974 41,917 Eliminations — — — (4,158 ) Total $ 888,712 $ 769,329 $ 1,096,226 $ 2,750,109 |
Recently issued accounting pronouncements | Recently issued accounting pronouncements In August 2020, the FASB issued ASU 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" $99.7 million decrease to additional paid-in capital, a $56.8 million decrease in debt discounts and a $42.9 million increase in retained earnings. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies and Practices (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of depreciation and amortization rates | ATMs or ATM upgrades 5 - 7 years Computers and software 3 - 5 years POS terminals 3 - 5 years Vehicles and office equipment 3 - 10 years Leasehold improvements Over the lesser of the lease term or estimated useful life |
Schedule of other intangible assets | Non-compete agreements 2 - 5 years Trademarks and trade names 2 - 20 years Software 3 - 10 years Customer relationships 6 - 20 years |
Schedule of revenues by segment by region | For the Year Ended December 31, 2021 (in thousands) EFT Processing epay Money Transfer Total Europe $ 420,181 $ 669,297 $ 576,640 $ 1,666,118 North America 63,368 139,759 667,738 870,865 Asia Pacific 107,020 158,122 105,086 370,228 Other 569 44,304 51,493 96,366 Eliminations — — — (8,134) Total $ 591,138 $ 1,011,482 $ 1,400,957 $ 2,995,443 For the Year Ended December 31, 2020 (in thousands) EFT Processing epay Money Transfer Total Europe $ 313,953 $ 561,514 $ 449,299 $ 1,324,766 North America 56,447 144,613 577,845 778,905 Asia Pacific 98,313 100,917 124,413 323,643 Other 13 28,473 32,292 60,778 Eliminations — — — (5,392 ) Total $ 468,726 $ 835,517 $ 1,183,849 $ 2,482,700 For the Year Ended December 31, 2019 (in thousands) EFT Processing epay Money Transfer Total Europe $ 724,163 $ 524,907 $ 373,302 $ 1,622,372 North America 35,461 151,016 573,016 759,493 Asia Pacific 129,060 76,491 124,934 330,485 Other 28 16,915 24,974 41,917 Eliminations — — — (4,158 ) Total $ 888,712 $ 769,329 $ 1,096,226 $ 2,750,109 |
Settlement Assets and Obligat_2
Settlement Assets and Obligations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Settlement Assets [Abstract] | |
Schedule of settlement assets and liabilities | (in thousands) As of December 31, 2021 As of December 31, 2020 Settlement assets: Settlement cash and cash equivalents $ 203,624 $ 188,191 Settlement restricted cash 74,897 76,674 Account receivables, net of credit loss allowance of $27,341 and $35,800 619,738 641,955 Prepaid expenses and other current assets 204,130 234,055 Total settlement assets $ 1,102,389 $ 1,140,875 Settlement obligations: Trade account payables $ 461,135 $ 571,175 Accrued expenses and other current liabilities 641,254 569,700 Total settlement obligations $ 1,102,389 $ 1,140,875 |
Schedule of cash and cash equivalents restricted cash | As of (in thousands) December 31, 2021 December 31, 2020 December 31, 2019 Cash and cash equivalents $ 1,260,466 $ 1,420,255 $ 786,081 Restricted cash 3,693 3,334 34,301 ATM cash 543,422 411,054 665,641 Settlement cash and cash equivalents 203,624 188,191 282,188 Settlement restricted cash 74,897 76,674 49,168 Cash and cash equivalents and restricted cash at end of period $ 2,086,102 $ 2,099,508 $ 1,817,379 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Schedule of weighted average number of common shares outstanding | Year Ended December 31, 2021 2020 2019 Computation of diluted weighted average shares outstanding: Basic weighted average shares outstanding 52,585,674 52,659,551 53,449,834 Incremental shares from assumed exercise of stock options and vesting of restricted stock 943,902 — 1,464,053 Diluted weighted average shares outstanding 53,529,576 52,659,551 54,913,887 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Acquisitions [Abstract] | |
Schedule of fair values of the assets acquired and liabilities | (in thousands) As of November 30, 2019 Cash and cash equivalents $ 5,325 Trade accounts receivable 2,167 Other current assets 798 Property and equipment 16,542 Intangible assets 39,000 Total assets acquired $ 63,832 Trade accounts payable $ (6,790 ) Accrued expenses and other current liabilities (80 ) Total liabilities assumed $ (6,870 ) Goodwill 35,540 Net assets acquired $ 92,502 |
Restricted Cash (Tables)
Restricted Cash (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Restricted Cash [Abstract] | |
Schedule of restricted cash balances | As of December 31, (in thousands) 2021 2020 Cash held in trust and/or cash held on behalf of others $ 3,693 $ 3,334 Restricted cash $ 3,693 $ 3,334 Cash held in trust and/or cash held on behalf of others $ 62,077 $ 64,489 Collateral on bank credit arrangements and other 12,820 12,185 Restricted cash included within settlement assets $ 74,897 $ 76,674 Total Restricted Cash $ 78,590 $ 80,008 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property and Equipment, Net [Abstract] | |
Schedule of property and equipment, net of accumulated depreciation and amortization | As of December 31, (in thousands) 2021 2020 ATMs $ 560,310 $ 554,508 POS terminals 31,321 33,258 Vehicles and office equipment 75,331 75,936 Computers and software 210,363 203,883 Land and buildings 687 1,285 878,012 868,870 Less accumulated depreciation (532,631 ) (490,429 ) Total $ 345,381 $ 378,441 |
Goodwill and Acquired Intangi_2
Goodwill and Acquired Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Acquired Intangible Assets Net [Abstract] | |
Schedule of intangible assets | As of December 31, 2021 As of December 31, 2020 (in thousands) Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Customer relationships $ 176,024 $ (103,713 ) $ 186,749 $ (99,131 ) Trademarks and trade names 45,445 (32,596 ) 46,762 (31,327 ) Software 60,118 (47,485 ) 61,602 (42,772 ) Non-compete agreements 1,260 (1,260 ) 1,980 (1,980 ) Total $ 282,847 $ (185,054 ) $ 297,093 $ (175,210 ) |
Schedule of goodwill and amortizable intangible assets | (in thousands) Acquired Intangible Assets Goodwill Total Intangible Assets Balance as of January 1, 2020 $ 141,847 $ 743,823 $ 885,670 Increases (decreases): Acquisitions (see footnote 6) 1,575 (265) 1,310 Impairment (2,048) (104,554 ) (106,602) Amortization (22,867 ) — (22,867 ) Other (primarily changes in foreign currency exchange rates) 3,376 26,817 30,193 Balance as of December 31, 2020 121,883 665,821 787,704 Increases (decreases): Amortization (23,059 ) — (23,059 ) Other (primarily changes in foreign currency exchange rates) (1,031 ) (24,216 ) (25,247 ) Balance as of December 31, 2021 $ 97,793 $ 641,605 $ 739,398 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accrued Expenses and Other Current Liabilities [Abstract] | |
Schedule of accrued expenses and other current liabilities | As of December 31, (in thousands) 2021 2020 Accrued expenses $ 285,098 $ 288,996 Derivative liabilities 23,285 65,905 Accrued payroll expenses 55,162 42,717 Current portion of finance lease obligations 4,147 6,403 Total $ 367,692 $ 404,021 |
Debt Obligations (Tables)
Debt Obligations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of debt obligations | As of December 31, (in thousands) 2021 2020 Credit Facility: Revolving credit agreement $ 283,400 $ 270,400 Convertible Debt: 0.75% convertible notes, unsecured, due 2049 468,235 452,228 1.375% Senior Notes, due 2026 682,080 732,840 Other obligations 920 850 Total debt obligations $ 1,434,635 $ 1,456,318 Unamortized debt issuance costs (13,729 ) (17,932 ) Carrying value of debt $ 1,420,906 $ 1,438,386 Short-term debt obligations and current maturities of long-term debt obligations (821 ) (797 ) Long-term debt obligations $ 1,420,085 $ 1,437,589 |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments and Hedging Activities [Abstract] | |
Schedule of derivative instruments in statement of financial position fair value | Asset Derivatives Liability Derivatives Fair Value Fair Value (in thousands) Balance Sheet Location December 31, 2021 December 31, 2020 Balance Sheet Location December 31, 2021 December 31, 2020 Derivatives not designated as hedging instruments Foreign currency exchange contracts Other current assets $ 27,582 $ 80,879 Other current liabilities $ (23,285 ) $ (65,905 ) |
Schedule of offsetting assets and liabilities | Offsetting of Derivative Assets Gross Amounts Not Offset in the Consolidated Balance Sheet As of December 31, 2021 Gross Amounts of Recognized Assets Gross Amounts Offset in the Consolidated Balance Sheet Net Amounts Presented in the Consolidated Balance Sheet Financial Instruments Cash Collateral Received Net Amounts Derivatives subject to a master netting arrangement or similar agreement $ 27,582 $ — $ 27,582 $ (14,875 ) $ (2,284 ) $ 10,423 As of December 31, 2020 Derivatives subject to a master netting arrangement or similar agreement $ 80,879 $ — $ 80,879 $ (44,893 ) $ (2,778 ) $ 33,208 Offsetting of Derivative Liabilities Gross Amounts Not Offset in the Consolidated Balance Sheet As of December 31, 2021 Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Consolidated Balance Sheet Net Amounts Presented in the Consolidated Balance Sheet Financial Instruments Cash Collateral Paid Net Amounts Derivatives subject to a master netting arrangement or similar agreement $ (23,285 ) $ — $ (23,285 ) $ 14,875 $ 640 $ (7,770 ) As of December 31, 2020 Derivatives subject to a master netting arrangement or similar agreement $ (65,905 ) $ — $ (65,905 ) $ 44,893 $ 12,272 $ (8,740 ) |
Schedule of derivative instruments gain (loss) | Amount of Gain (Loss) Location of Gain (Loss) Recognized in Income on Derivative Contracts Year Ended December 31, (in thousands) 2021 2020 2019 Foreign currency exchange contracts - Ria Operations Foreign currency exchange gain (loss), net $ 1,618 $ (1,499 ) $ 62 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Schedule of future minimum lease payments | As of December 31, 2021 Maturity of Lease Liabilities (in thousands) Operating Leases (1) 2022 $ 48,412 2023 37,368 2024 27,827 2025 19,172 2026 12,620 Thereafter 22,819 Total lease payments 168,218 Less: imputed interest (4,727 ) Present value of lease liabilities $ 163,491 |
Schedule of lease expense recognized in consolidated statements of income | Lease Expense (in thousands) Income Statement Classification Year ended December 31, 2021 Year ended December 31, 2020 Operating lease expense Selling, general and administrative and Direct operating costs $ 55,613 $ 83,102 Short-term and variable lease expense Selling, general and administrative and Direct operating costs 115,963 69,711 Total lease expense $ 171,576 $ 152,813 |
Schedule of other information about lease amounts recognized in consolidated financial statements | Lease Term and Discount Rate of Operating Leases As of December 31, 2021 Weighted- average remaining lease term (years) 4.9 Weighted- average discount rate 2.24 |
Schedule of supplemental cash flow and non-cash information related to leases | Other Information (in thousands) Year ended December 31, 2021 Year ended December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities (a) $ 51,464 $ 79,447 Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: ROU assets obtained in exchange for new operating lease liabilities $ 69,073 $ 77,728 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of income before income tax domestic and foreign | Year Ended December 31, (in thousands) 2021 2020 2019 Income before taxes: United States $ (4,775 ) $ 40,323 $ 44,290 Foreign 140,450 (32,152 ) 389,517 Total income before income taxes $ 135,675 $ 8,171 $ 433,807 |
Schedule of components of income tax expense (benefit) | Year Ended December 31, (in thousands) 2021 2020 2019 Current tax expense (benefit): U.S. $ 2,810 $ 2,605 $ (4,885 ) Foreign 59,874 39,270 83,792 Total current 62,684 41,875 78,907 Deferred tax expense (benefit): U.S. 12,269 (16,100 ) (8,424 ) Foreign (9,865 ) (14,300 ) 16,629 Total deferred 2,404 (30,400 ) 8,205 Total tax expense $ 65,088 $ 11,475 $ 87,112 |
Schedule of effective income tax rate reconciliation | Year Ended December 31, (dollar amounts in thousands) 2021 2020 2019 U.S. federal income tax expense at applicable statutory rate $ 28,492 $ 1,716 $ 91,099 Tax effect of: State income tax expense at statutory rates, net of U.S. federal income tax 1,516 347 5,101 Non-deductible expenses 538 1,887 2,896 Share-based compensation (3,524 ) (6,446 ) (2,875 ) Other permanent differences (2,047 ) 3,828 (864 ) Difference between U.S. federal and foreign tax rates 7,438 7,002 12,281 Provision in excess of statutory rates 2,879 (6,491) 3,565 Change in federal and foreign valuation allowance 26,673 (4,238) 2,144 Impairment of goodwill and acquired intangibles assets — 22,053 — GILTI, net of tax credits 3,900 — 6,471 U.S. Tax Reform - transition tax and rate change — — (25,728 ) Tax credits (1,122 ) (3,518 ) (4,500 ) Other 345 (4,665 ) (2,478 ) Total income tax expense $ 65,088 $ 11,475 $ 87,112 Effective tax rate 48.0 % 140.4 % 20.1 % |
Schedule of deferred tax assets and liabilities | As of December 31, (in thousands) 2021 2020 Deferred tax assets: Tax loss carryforwards $ 65,862 $ 45,609 Share-based compensation 9,743 6,771 Accrued expenses 19,907 22,243 Property and equipment 11,949 10,835 Goodwill and intangible amortization 9,353 7,614 C ontract costs 9,921 — Intercompany notes 6,077 7,689 Accrued revenue 7,541 34,663 Tax credits 65,388 Lease accounting 42,381 39,962 Foreign exchange 8,283 19,160 Other 14,616 14,230 Gross deferred tax assets 270,900 274,164 Valuation allowance (100,489 ) (77,563 ) Net deferred tax assets 170,411 196,601 Deferred tax liabilities: Intangible assets related to purchase accounting (11,763 ) (12,854 ) Goodwill and intangible amortization (30,339 ) (24,763 ) Accrued expenses (21,495 ) (43,971 ) Intercompany notes (10,388 ) (10,396 ) Accrued interest (34,175 ) (30,932 ) Capitalized research and development (6,376 ) (6,352 ) Property and equipment (15,597 ) (18,295 ) Accrued revenue (2,073 ) (1,829 ) Lease accounting (42,381 ) (39,962 ) Foreign exchange (1,211 ) (10,880 ) Other (3,971 ) (6,826 ) Total deferred tax liabilities (179,769 ) (207,060 ) Net deferred tax liabilities $ (9,358 ) $ (10,459 ) |
Summary of operating loss carryforwards | (in thousands) Gross Tax Effected Year ending December 31, 2022 $ 3,960 $ 749 2023 2,296 533 2024 3,153 711 2025 21,012 4,664 2026 21,767 4,843 Thereafter 25,465 6,501 Unlimited 189,670 45,792 Total $ 267,323 $ 63,793 |
Schedule of reconciliation of beginning and ending amount of unrecognized tax benefit | Year Ended December 31, (in thousands) 2021 2020 Beginning balance $ 39,785 $ 44,535 Additions based on tax positions related to the current year 3,815 7,331 Additions for tax positions of prior years — — Reductions for tax positions of prior years (1,998 ) (1,349 ) Settlements — (10,127 ) Statute of limitations expiration (612 ) (605 ) Ending balance $ 40,990 $ 39,785 |
Schedule of income tax examinations | Jurisdictions Periods U.S. (Federal) 2014 through 2021 Germany 2016 through 2021 Greece 2013 through 2021 Spain 2015 through 2021 U.K. 2018 through 2021 |
Valuation and Qualifying Acco_2
Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule of valuation and qualifying accounts | Year Ended December 31, (in thousands) 2021 2020 2019 Beginning balance-credit losses $ 41,727 $ 27,938 $ 24,287 Additions-charged to expense 9,721 19,469 10,095 Amounts written off (21,662 ) (7,842 ) (6,179 ) Other (primarily changes in foreign currency exchange rates) 2,024 2,162 (265 ) Ending balance-credit losses $ 31,810 $ 41,727 $ 27,938 |
Stock Plans (Tables)
Stock Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of stock options activity | Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (thousands) Balance at December 31, 2020 (1,497,567 shares exercisable) 4,091,293 $ 94.88 Granted 532,979 $ 116.55 Exercised (296,363 ) $ 26.41 Forfeited/Canceled (17,831 ) $ 119.80 Expired (877 ) $ 16.39 Balance at December 31, 2021 4,309,201 $ 102.19 7.2 $ 97,425 Exercisable at December 31, 2021 1,466,983 $ 78.19 4.5 $ 65,770 Vested and expected to vest at December 31, 2021 1,963,940 $ 90.29 5.5 $ 68,162 |
Schedule of the fair value using the Black-Scholes-Merton option-pricing model | Year ended December 31, 2021 2020 2019 Volatility 39.3 % 35.6 % 29.3 % Risk-free interest rate - weighted average 1.2 % 0.6 % 2.1 % Risk-free interest rate - range 0.5% to 1.21 % 0.31% to 1.17 % (a) Dividend yield — % — % — % Assumed forfeitures 8.0 % 8.0 % 8.0 % Expected lives 4.6 years 7.1 years 5.2 years Weighted-average fair value (per share) $ 39.99 $ 48.21 $ 43.96 (a) At the date of grant, the risk fee rate for stock options awarded in 2019 was 1.7% |
Schedule of restricted stock activity | Number of Shares Weighted Average Grant Date Fair Value Per Share Nonvested at December 31, 2020 485,510 $ 126.62 Granted 191,184 $ 117.35 Vested (107,700 ) $ 115.85 Forfeited (33,890 ) $ 98.18 Nonvested at December 31, 2021 535,104 $ 127.96 |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Information [Abstract] | |
Schedule of reportable segment results | For the Year Ended December 31, 2021 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 591,138 $ 1,011,482 $ 1,400,957 $ (8,134) $ 2,995,443 Operating expenses: Direct operating costs 354,254 760,891 793,218 (8,096) 1,900,267 Acquired contract cost impairment — — 38,634 — 38,634 Salaries and benefits 98,584 79,451 255,816 50,988 484,839 Selling, general and administrative 47,832 39,602 157,955 6,544 251,933 Depreciation and amortization 90,969 8,501 35,739 545 135,754 Total operating expenses 591,639 888,445 1,281,362 49,981 2,811,427 Operating income (expense) $ (501) $ 123,037 $ 119,595 $ (58,115) $ 184,016 Other income (expense) Interest income 664 Interest expense (38,198) Foreign currency exchange loss, net (10,866) Other gains, net 59 Total other expense, net (48,341) Income before income taxes $ 135,675 Segment assets as of December 31, 2021 $ 1,682,680 $ 1,234,074 $ 1,621,726 $ 205,796 $ 4,744,276 For the Year Ended December 31, 2020 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 468,726 $ 835,517 $ 1,183,849 $ (5,392 ) $ 2,482,700 Operating expenses: Direct operating costs 302,637 630,391 649,033 (5,362 ) 1,576,699 Salaries and benefits 91,526 64,769 213,511 34,336 404,142 Selling, general and administrative 35,388 35,789 142,161 8,276 221,614 Goodwill and acquired intangible assets impairment 21,861 — 84,741 — 106,602 Depreciation and amortization 84,025 7,890 34,694 412 127,021 Total operating expenses 535,437 738,839 1,124,140 37,662 2,436,078 Operating income (expense) $ (66,711) $ 96,678 $ 59,709 $ (43,054 ) $ 46,622 Other income (expense) Interest income 1,040 Interest expense (36,604 ) Foreign currency exchange gain, net (3,756) Other gains, net 869 Total other expense, net (38,451 ) Income before income taxes $ 8,171 Segment assets as of December 31, 2020 $ 1,541,610 $ 1,135,204 $ 1,755,651 $ 494,246 $ 4,926,711 For the Year Ended December 31, 2019 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 888,712 $ 769,329 $ 1,096,226 $ (4,158 ) $ 2,750,109 Operating expenses: Direct operating costs 397,132 576,757 586,730 (4,136 ) 1,556,483 Salaries and benefits 87,603 61,540 208,792 36,809 394,744 Selling, general and administrative 35,518 35,054 133,068 8,304 211,944 Depreciation and amortization 71,819 6,774 32,846 305 111,744 Total operating expenses 592,072 680,125 961,436 41,282 2,274,915 Operating income (expense) $ 296,640 $ 89,204 $ 134,790 $ (45,440 ) $ 475,194 Other income (expense) Interest income 1,969 Interest expense (36,237 ) Foreign currency exchange loss, net 2,701 Other gains, net (9,820) Total other expense, net (41,387 ) Income before income taxes $ 433,807 Segment assets as of December 31, 2019 $ 1,914,144 $ 962,671 $ 1,560,136 $ 220,715 $ 4,657,666 |
Schedule of property and equipment and total assets | Revenues Total Assets For the year ended December 31, as of December 31, as of December 31, (in thousands) 2021 2020 2019 2021 2020 2021 2020 United States $ 805,028 $ 725,135 $ 716,576 $ 59,469 $ 55,573 $ 1,040,190 $ 1,255,983 Germany 631,550 533,999 518,146 32,126 38,808 901,724 797,627 Spain 157,766 118,934 189,104 50,321 61,563 317,199 291,254 United Kingdom 143,914 118,024 135,006 13,783 20,150 371,090 402,587 Italy 130,095 92,006 130,929 18,279 21,225 207,347 231,548 Poland 93,654 89,688 130,104 24,091 33,087 201,506 206,016 India 173,154 123,343 113,146 32,705 26,126 206,378 182,073 France 166,655 119,265 94,352 7,038 2,731 134,981 112,335 Greece 61,627 39,705 79,716 10,815 13,252 80,778 78,439 Malaysia 50,039 73,541 74,948 1,998 2,319 91,813 115,448 Australia 46,851 46,062 51,686 2,791 1,575 56,275 68,577 New Zealand 56,480 47,368 47,611 3,949 3,772 231,468 254,580 Other 478,630 355,630 468,785 88,016 98,260 903,527 930,244 Total foreign 2,190,415 1,757,565 2,033,533 285,912 322,868 3,704,086 3,670,728 Total $ 2,995,443 $ 2,482,700 $ 2,750,109 $ 345,381 $ 378,441 $ 4,744,276 $ 4,926,711 |
Financial Instruments and Fai_2
Financial Instruments and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements [Abstract] | |
Schedule of financial assets measured and recorded at fair value | As of December 31, 2021 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 27,582 $ — $ 27,582 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (23,285 ) $ — $ (23,285 ) As of December 31, 2020 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 80,879 $ — $ 80,879 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (65,905 ) $ — $ (65,905 ) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies and Practices (Details) | 12 Months Ended |
Dec. 31, 2021 | |
ATMs or ATM upgrades [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
ATMs or ATM upgrades [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 7 years |
Computers and software [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Computers and software [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
POS terminals [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
POS terminals [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Vehicles and office equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Vehicles and office equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Leasehold improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, estimated useful lives | Over the lesser of the lease term or estimated useful life |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies and Practices (Details 1) | 12 Months Ended |
Dec. 31, 2021 | |
Minimum [Member] | Non-compete agreements [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 2 years |
Minimum [Member] | Trademarks and trade names [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 2 years |
Minimum [Member] | Software [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 3 years |
Minimum [Member] | Customer relationships [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 6 years |
Maximum [Member] | Non-compete agreements [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 5 years |
Maximum [Member] | Trademarks and trade names [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 20 years |
Maximum [Member] | Software [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 10 years |
Maximum [Member] | Customer relationships [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived intangible assets, Useful life | 20 years |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies and Practices (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | $ 2,995,443 | $ 2,482,700 | $ 2,750,109 |
EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 591,138 | 468,726 | 888,712 |
epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 1,011,482 | 835,517 | 769,329 |
Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 1,400,957 | 1,183,849 | 1,096,226 |
Europe [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 1,666,118 | 1,324,766 | 1,622,372 |
Europe [Member] | EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 420,181 | 313,953 | 724,163 |
Europe [Member] | epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 669,297 | 561,514 | 524,907 |
Europe [Member] | Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 576,640 | 449,299 | 373,302 |
North America [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 870,865 | 778,905 | 759,493 |
North America [Member] | EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 63,368 | 56,447 | 35,461 |
North America [Member] | epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 139,759 | 144,613 | 151,016 |
North America [Member] | Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 667,738 | 577,845 | 573,016 |
Asia Pacific [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 370,228 | 323,643 | 330,485 |
Asia Pacific [Member] | EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 107,020 | 98,313 | 129,060 |
Asia Pacific [Member] | epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 158,122 | 100,917 | 76,491 |
Asia Pacific [Member] | Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 105,086 | 124,413 | 124,934 |
Other [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 96,366 | 60,778 | 41,917 |
Other [Member] | EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 569 | 13 | 28 |
Other [Member] | epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 44,304 | 28,473 | 16,915 |
Other [Member] | Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 51,493 | 32,292 | 24,974 |
Eliminations [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | 8,134 | (5,392) | (4,158) |
Eliminations [Member] | EFT Processing [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | |||
Eliminations [Member] | epay [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues | |||
Eliminations [Member] | Money Transfer [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Revenues |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies and Practices (Details Textual) - USD ($) | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Subsequent Event [Line Items] | |||||
Non-cash impairment charge | $ 38,600,000 | ||||
Deferred contract costs | 96,400,000 | $ 96,400,000 | $ 143,500,000 | ||
Deferred revenue recognized | 54,500,000 | ||||
Amortization related costs | 33,300,000 | $ 17,200,000 | $ 6,900,000 | ||
Cash payments | $ 58,200,000 | $ 58,200,000 | |||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Increase in retained earnings | $ 42.9 | ||||
Decrease in debt discounts | 56.8 | ||||
Decrease to additional paid-in capital | $ 99,700,000 |
Settlement Assets and Obligat_3
Settlement Assets and Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Settlement assets: | |||
Settlement cash and cash equivalents | $ 203,624 | $ 188,191 | |
Settlement restricted cash | 74,897 | 76,674 | $ 49,168 |
Account receivables | 619,738 | 641,955 | |
Prepaid expenses and other current assets | 204,130 | 234,055 | |
Total settlement assets | 1,102,389 | 1,140,875 | |
Settlement obligations: | |||
Trade account payables | 461,135 | 571,175 | |
Accrued expenses and other current liabilities | 641,254 | 569,700 | |
Total settlement obligations | $ 1,102,389 | $ 1,140,875 |
Settlement Assets and Obligat_4
Settlement Assets and Obligations (Details 1) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Settlement Assets [Abstract] | |||
Cash and cash equivalents | $ 1,260,466,000 | $ 1,420,255,000 | $ 786,081,000 |
Restricted cash | 3,693,000 | 3,334,000 | 34,301,000 |
ATM cash | 543,422,000 | 411,054,000 | 665,641,000 |
Settlement cash and cash equivalents | 203,624,000 | 188,191,000 | 282,188,000 |
Settlement restricted cash | 74,897,000 | 76,674,000 | 49,168,000 |
Cash and cash equivalents and restricted cash at end of period | $ 2,086,102 | $ 2,099,508 | $ 1,817,379 |
Settlement Assets and Obligat_5
Settlement Assets and Obligations (Details Textual) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Settlement Assets [Abstract] | ||
Account receivables, net of credit loss allowance | $ 27,341 | $ 35,800 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Computation of diluted weighted average shares outstanding | |||
Basic | 52,585,674 | 52,659,551 | 53,449,834 |
Incremental shares from assumed exercise of stock options and vesting of restricted stock | 943,902 | 1,464,053 | |
Diluted weighted average shares outstanding | 53,529,576 | 52,659,551 | 54,913,887 |
Stockholders' Equity (Details T
Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||
Feb. 26, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 08, 2021 | Mar. 31, 2020 | Mar. 18, 2019 | Mar. 11, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||||
Conversion price | $ 147.24 | $ 188.73 | ||||||
Other comprehensive income (loss), foreign currency transaction and translation adjustment, net of tax | $ (78,466) | $ 70,794 | $ (13,894) | |||||
Stock repurchase program, number of shares authorized to be repurchased | 5,000,000 | |||||||
Stock repurchase program authorized amount | $ 300,000 | |||||||
Repurchase of shares | $ 227,764 | $ 239,763 | $ 70,876 | |||||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | ||||||
Preferred stock, shares issued | 0 | 0 | ||||||
Preferred stock, shares outstanding | 0 | |||||||
Antidilutive securities excluded from computation of earnings per share, amount | 1,668,000 | 2,073,000 | 380,000 | |||||
Foreign currency translation gain (loss) | $ 78,500 | |||||||
Foreign currency transaction gain | $ 70,800 | |||||||
Foreign currency transaction loss | $ 13,900 | |||||||
Share Repurchase Plan [Member] | ||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||||||
Stock repurchase program, number of shares authorized to be repurchased | 10,000,000 | |||||||
Stock repurchase program authorized amount | $ 375,000 | $ 120,000 | ||||||
Stock Repurchase Program Number of Authorized not to be Purchased | $ 250,000 | |||||||
Stock Repurchase Program Number of Shares Authorized not to be Purchased | 5,000,000 | |||||||
Repurchase of shares | $ 227,800 | $ 239,800 | $ 70,900 |
Acquisitions (Details)
Acquisitions (Details) $ in Thousands | Nov. 30, 2019USD ($) |
Business Acquisition [Line Items] | |
Cash and cash equivalents | $ 5,325 |
Trade accounts receivable | 2,167 |
Other current assets | 798 |
Property and equipment | 16,542 |
Intangible assets | 39,000 |
Total assets acquired | 63,832 |
Trade accounts payable | (6,790) |
Accrued expenses and other current liabilities | (80) |
Total liabilities assumed | (6,870) |
Goodwill | 35,540 |
Net assets acquired | $ 92,502 |
Acquisitions (Details Textual)
Acquisitions (Details Textual) € in Millions, $ in Millions | 1 Months Ended | |||
Mar. 31, 2021EUR (€) | Mar. 31, 2021USD ($) | Nov. 30, 2019USD ($)Item | Dec. 31, 2021USD ($) | |
Acquisitions [Abstract] | ||||
Number of ATMs in operation at acquired entity | Item | 1,800 | |||
Purchase price of acquired entity in cash | € 300 | $ 360 | $ 92.5 | |
Intangible assets | $ 39 | |||
Goodwill | $ 35.5 | |||
Acquired finite-lived intangible assets, useful life | 20 years |
Restricted Cash (Details)
Restricted Cash (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Total Restricted Cash | $ 78,590 | $ 80,008 | |
Restricted cash included within settlement assets | 74,897 | 76,674 | $ 49,168 |
Restricted cash | 3,693 | 3,334 | $ 34,301 |
Collateral on bank credit arrangements and other [Member] | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Restricted cash included within settlement assets | 12,820 | 12,185 | |
Cash held in trust and/or cash held on behalf of others [Member] | |||
Restricted Cash and Cash Equivalents Items [Line Items] | |||
Restricted cash included within settlement assets | 62,077 | 64,489 | |
Restricted cash | $ 3,693 | $ 3,334 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 878,012 | $ 868,870 |
Less accumulated depreciation | (532,631) | (490,429) |
Total | 345,381 | 378,441 |
ATMs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 560,310 | 554,508 |
POS terminals [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 31,321 | 33,258 |
Vehicles and office equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 75,331 | 75,936 |
Computers and software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 210,363 | 203,883 |
Land and buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 687 | $ 1,285 |
Property and Equipment, Net (_2
Property and Equipment, Net (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property and Equipment, Net [Abstract] | |||
Depreciation and amortization expense | $ 104,700 | $ 96,100 | $ 83,500 |
Goodwill and Acquired Intangi_3
Goodwill and Acquired Intangible Assets, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated Amortization | $ (185,054) | $ (175,210) |
Gross Carrying Amount | 282,847 | 297,093 |
Customer relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 176,024 | 186,749 |
Accumulated Amortization | (103,713) | (99,131) |
Trademarks and trade names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 45,445 | 46,762 |
Accumulated Amortization | (32,596) | (31,327) |
Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 60,118 | 61,602 |
Accumulated Amortization | (47,485) | (42,772) |
Non-compete agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 1,260 | 1,980 |
Accumulated Amortization | $ (1,260) | $ (1,980) |
Goodwill and Acquired Intangi_4
Goodwill and Acquired Intangible Assets, Net (Details 1) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||
Balance | $ 141,847 | $ 121,883 | $ 141,847 |
Increases (decreases): | |||
Acquisitions | 1,575 | ||
Impairment | 2,048 | ||
Amortization | (23,059) | (22,867) | |
Other (primarily changes in foreign currency exchange rates) | 1,031 | 3,376 | |
Balance | 97,793 | 121,883 | |
Balance | 743,823 | 665,821 | 743,823 |
Increases (decreases): | |||
Acquisitions | (265) | ||
Impairment | 104,554 | ||
Amortization | |||
Other (primarily changes in foreign currency exchange rates) | 24,216 | 26,817 | |
Balance | 641,605 | 665,821 | |
Balance | 885,670 | 787,704 | 885,670 |
Increases (decreases): | |||
Acquisitions | 1,310 | ||
Impairment | $ (104,600) | 106,602 | |
Amortization | (23,059) | 22,867 | |
Other (primarily changes in foreign currency exchange rates) | 25,247 | 30,193 | |
Balance | $ 739,398 | $ 787,704 |
Goodwill and Acquired Intangi_5
Goodwill and Acquired Intangible Assets, Net (Details Textual) $ in Thousands | 6 Months Ended | 12 Months Ended | |||
Dec. 31, 2020USD ($) | Jun. 30, 2020USD ($)Item | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |||||
Future Amortization Expense, Year One | $ 21,700 | ||||
Future Amortization Expense, Year Two | 16,700 | ||||
Future Amortization Expense, Year Three | 9,900 | ||||
Future Amortization Expense, Year Four | 6,500 | ||||
Future Amortization Expense, Year Five | 6,100 | ||||
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||||
Acquired intangible assets, net of accumulated amortization of $185,054 and $175,210 | $ 121,883 | 97,793 | $ 121,883 | $ 141,847 | |
Finite-Lived Intangible Assets, Amortization Expense | (23,059) | (22,867) | |||
Other (primarily changes in foreign currency exchange rates) | 1,031 | 3,376 | |||
Goodwill | 665,821 | 641,605 | 665,821 | 743,823 | |
Goodwill and acquired intangible assets impairment | 106,602 | ||||
Other (primarily changes in foreign currency exchange rates) | 24,216 | 26,817 | |||
Total intangible assets, net, including goodwill | 787,704 | 739,398 | 787,704 | 885,670 | |
Acquisitions | 1,310 | ||||
Total intangible assets amortization expense | (23,059) | 22,867 | |||
Other (primarily changes in foreign currency exchange rates) | 25,247 | 30,193 | |||
Non-cash impairment charge for acquired intangible assets | 2,000 | ||||
Asset Impairment Charges | $ 104,600 | (106,602) | |||
Number of reporting units | Item | 6 | ||||
Goodwill [Member] | |||||
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||||
Finite-Lived Intangible Assets, Amortization Expense | $ (23,100) | (22,900) | $ (20,400) | ||
Goodwill | 641,600 | 641,600 | |||
Money Transfer [Member] | |||||
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||||
Goodwill | 392,300 | 392,300 | |||
Goodwill and acquired intangible assets impairment | 84,741 | ||||
Asset Impairment Charges | $ 82,700 | ||||
Number of reporting units | Item | 2 | ||||
Epay Segment [Member] | |||||
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||||
Goodwill | 129,100 | 129,100 | |||
Goodwill and acquired intangible assets impairment | |||||
Number of reporting units | Item | 1 | ||||
Eft Processing Segment [Member] | |||||
Goodwill and Finite-lived Intangible Assets Rollforward [Roll Forward] | |||||
Goodwill | $ 120,200 | 120,200 | |||
Goodwill and acquired intangible assets impairment | $ 21,861 | ||||
Asset Impairment Charges | $ 21,900 | ||||
Number of reporting units | Item | 3 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accrued Expenses and Other Current Liabilities [Abstract] | ||
Accrued expenses | $ 285,098 | $ 288,996 |
Derivative liabilities | 23,285 | 65,905 |
Accrued payroll expenses | 55,162 | 42,717 |
Current portion of finance lease obligations | 4,147 | 6,403 |
Total | $ 367,692 | $ 404,021 |
Debt Obligations (Details)
Debt Obligations (Details) $ in Thousands, € in Millions | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | May 22, 2019EUR (€) | May 22, 2019USD ($) |
Debt Instrument [Line Items] | ||||
Revolving credit agreements | $ 283,400 | $ 270,400 | ||
Convertible debt, carrying values | 468,200 | 682,100 | ||
Senior notes | 682,100 | 682,100 | € 600 | $ 669,900 |
Other debt obligations | 920 | 850 | ||
Total debt obligations | 1,434,635 | 1,456,318 | ||
Unamortized debt issuance costs | (13,729) | (17,932) | ||
Carrying value of debt | 1,420,906 | 1,438,386 | ||
Short-term debt obligations and current maturities of long-term debt obligations | (821) | (797) | ||
Long-term debt obligations | 1,420,085 | 1,437,589 | ||
Due 2049 [Member] | ||||
Debt Instrument [Line Items] | ||||
Convertible debt, carrying values | 468,235 | 452,228 | ||
Due 2026 [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior notes | $ 682,080 | $ 732,840 |
Debt Obligations (Details Textu
Debt Obligations (Details Textual) $ / shares in Units, $ in Thousands, € in Millions, shares in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
Sep. 17, 2020 | Mar. 18, 2019USD ($)$ / shares | Dec. 31, 2018 | Dec. 31, 2021USD ($)shares | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2021EUR (€) | Dec. 31, 2021USD ($)$ / shares | Dec. 31, 2020EUR (€) | Dec. 31, 2020USD ($) | Sep. 04, 2019USD ($) | May 22, 2019EUR (€) | May 22, 2019USD ($) | Oct. 17, 2018USD ($) | |
Debt Instrument [Line Items] | ||||||||||||||
Redemptions and conversions of convertible notes, net of tax | $ (20,467) | |||||||||||||
Repayments of Convertible Debt | $ 94,200 | |||||||||||||
Repayments of Debt | $ 49,000 | |||||||||||||
Senior Notes | € | € 600 | € 600 | ||||||||||||
Unamortized debt issuance costs | $ (13,729) | $ (17,932) | ||||||||||||
Due in 2022 | 800 | |||||||||||||
Due in 2023 | 283,500 | |||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 468,200 | |||||||||||||
thereafter | $ 682,100 | |||||||||||||
Line of Credit Facility, Interest Rate Description | LIBOR</span> plus <span style="border-left: none; border-right: none;">0.65</span>%" id="sjs-E13"><span style="border-left: none; border-right: none;">LIBOR</span> plus <span style="border-left: none; border-right: none;">0.65</span>% | |||||||||||||
Letter of credit, interest rate at period end | 1.10% | 1.10% | ||||||||||||
Letters of credit outstanding, amount | $ 84,200 | |||||||||||||
Conversion price | $ / shares | $ 188.73 | $ 147.24 | ||||||||||||
Debt Instrument, Face Amount | $ 1,000 | |||||||||||||
Debt Instrument, Convertible, Effective Interest Rate | 4.40% | |||||||||||||
Debt Instrument, Convertible, Interest Expense | 3,100 | |||||||||||||
Other debt, current | $ 900 | 900 | ||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||
Issuance of convertible notes, net of tax | 71,659 | |||||||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 1.375% | 1.375% | 1.375% | 1.375% | ||||||||||
Senior notes | $ 682,100 | 682,100 | € 600 | $ 669,900 | ||||||||||
Stock Issued During Period, Shares, Conversion of Convertible Securities | shares | 2.5 | |||||||||||||
Gain (Loss) on Extinguishment of Debt, before Tax | $ 9,800 | |||||||||||||
Debt instrument, description | (i) as of the end of each fiscal quarter ended on March 31, September 30 and December 31, a Consolidated Total Leverage Ratio not to be greater than 3.5 to 1.0; (ii) as of the end of each fiscal quarter ended on June 30, a Consolidated Total Leverage Ratio (as defined in the Credit Facility) not to be greater than 4.0 to 1.0; provided that, not more than two times prior to the expiration date, that a Material Acquisition has been consummated, for any period of four consecutive fiscal quarters following such Material Acquisition, the Consolidated Total Leverage Ratio will be not greater than 4.0 to 1.0 for fiscal quarters ended on March 31, September 30 and December 31 and not greater than 4.5 to 1.0 for fiscal quarters ended on June 30; provided, further, that following such four consecutive fiscal quarters for which the maximum Consolidated Total Leverage Ratio is increased, the maximum Consolidated Total Leverage Ratio shall revert to the levels set forth in clauses (i) and (ii) above for not fewer than two fiscal quarters before a subsequent Increase Notice is delivered to the syndicate of financial institutions; and (iii) a Consolidated Interest Coverage Ratio (as defined in the Credit Facility) not less than 4.0 to 1.0. Subject to meeting certain leverage ratio and liquidity requirements as contained in the unsecured credit agreement, the Company is permitted to pay dividends, repurchase common stock and repurchase subordinated debt. | |||||||||||||
Debt instrument, redemption, description | (i) on or after September 20, 2022 if the closing sale price of the Company's Common Stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which the Company provides notice of redemption and (ii) on or after March 20, 2025 and prior to the maturity date, regardless of the foregoing sale price condition, in each case at a redemption price equal to 100% of the principal amount of the Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. No sinking fund is provided for the Convertible Notes. In addition, if a fundamental change, as defined in the Indenture, occurs prior to the maturity date, holders may require the Company to repurchase for cash all or part of their Convertible Notes at a repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. | |||||||||||||
Cash | 1,000 | |||||||||||||
Principal amount of retired convertible notes | 352,400 | |||||||||||||
Consolidated interest coverage ratio, description | Under the Amendment, the Consolidated Total Leverage Ratio, as defined in the Credit Facility, was modified to reduce the amount of consolidated funded debt by the amount of cash and cash equivalents on the Company's consolidated balance sheet and the Consolidated Interest Coverage Ratio now includes a one-time option to reduce the ratio to 3.5 to 1.0 from 4.0 to 1.0 for a period of up to three consecutive quarters. | |||||||||||||
Accretion Expense | $ 16,000 | 15,300 | 11,600 | |||||||||||
Other Obligation Arrangements | 800 | |||||||||||||
Retired Convertible Notes [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||
Senior Notes, 1.375 Percent due 2026 [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Unamortized debt issuance costs | $ (5,400) | |||||||||||||
Debt Instrument, Convertible, Effective Interest Rate | 1.375% | |||||||||||||
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 1.375% | 1.375% | ||||||||||||
Line of Credit [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 689,300 | |||||||||||||
Letters of credit outstanding, amount | 57,300 | 60,800 | ||||||||||||
Line of Credit [Member] | Letter of Credit [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 200,000 | |||||||||||||
Common Stock [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Cash | 352,400 | |||||||||||||
Due 2026 [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Redemptions and conversions of convertible notes, net of tax | 34,200 | |||||||||||||
Amortization of Debt Discount (Premium) | 4,600 | |||||||||||||
Debt Instrument, Convertible, Interest Expense | 1,500 | |||||||||||||
Senior notes | 682,080 | $ 732,840 | ||||||||||||
Due 2049 [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Redemptions and conversions of convertible notes, net of tax | $ 25,600 | |||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $ 99,700 | |||||||||||||
Debt Issuance Costs, Gross | $ 12,800 | |||||||||||||
Debt Instrument, Face Amount | $ 525,000 | |||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 1.50% | 1.50% | ||||||||||||
Debt Instrument, Unamortized Discount | $ 56,800 | |||||||||||||
Debt Instrument, Convertible, Effective Interest Rate | 0.75% | |||||||||||||
Debt Instrument, Convertible, Interest Expense | $ 3,900 | $ 3,900 | ||||||||||||
U.S. dollar swingline loans [Member] | Line of Credit [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 50,000 | |||||||||||||
Foreign currencies swingline loans [Member] | Line of Credit [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 90,000 | |||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.125% | |||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.00% | |||||||||||||
Base rate [Member] | Minimum [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 0.175% | |||||||||||||
Base rate [Member] | Maximum [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | |||||||||||||
Unsecured Debt [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000 | |||||||||||||
Revolving Credit Facility [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Long-term Debt, Weighted Average Interest Rate, at Point in Time | 1.20% | 1.20% | ||||||||||||
BofA LoC [Member] | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100,000 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivative Instruments and Hedging Activities Disclosure Fair Value [Abstract] | ||
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Asset at Fair Value | $ 27,582 | $ 80,879 |
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | $ (23,285) | $ (65,905) |
Derivative Instruments and Fair
Derivative Instruments and Fair Value of Derivative Assets and Liabilities (Details 1) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivative Instruments Financial Information [Abstract] | ||
Gross Amounts of Recognized Assets | $ 27,582 | $ 80,879 |
Gross Amounts Offset in the Consolidated Balance Sheet | ||
Net Amounts Presented in the Consolidated Balance Sheet | 27,582 | 80,879 |
Derivative Asset, Not Offset, Financial Instruments | (14,875) | (44,893) |
Cash Collateral Received | (2,284) | (2,778) |
Derivatives Assets, Net Amounts | 10,423 | 33,208 |
Gross Amounts of Recognized Liabilities | (23,285) | (65,905) |
Gross Amounts Offset in the Consolidated Balance Sheet | ||
Net Amounts Presented in the Consolidated Balance Sheet | (23,285) | (65,905) |
Derivative Liability, Not Offset, Financial Instruments | 14,875 | 44,893 |
Cash Collateral Paid | 640 | 12,272 |
Derivative Liability, Net Amounts | $ (7,770) | $ (8,740) |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities (Details 2) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2018 | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) on Foreign Currency Derivative Instruments Not Designated as Hedging Instruments | [1] | $ 1,618 | $ 1,499 | $ 62 |
[1] | The Company enters into derivative contracts such as foreign currency exchange forwards and cross-currency swaps as part of its xe operations. These derivative contracts are excluded from this table as they are part of the broader disclosure of foreign currency exchange revenues for this business discussed above. |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities Derivative Financial Information (Details Textual) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2018 | |
Ria Operations [Member] | Foreign Exchange Contract [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative, Notional Amount | $ 222.1 | $ 246 | |
Corporate Operations [Member] | Foreign Exchange Contract [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative, Notional Amount | 216.1 | 454.3 | |
xe Operations [Member] [Domain] | Trading Revenue [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Trading Activity, Gain | 79.5 | 68.2 | $ 71.1 |
HiFX Operations [Member] | Foreign Exchange Contract [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative, Notional Amount | $ 1,000 | $ 1,300 | |
Maximum [Member] | Ria Operations [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign currency forward contract term | 14 days |
Leases (Details)
Leases (Details) $ in Thousands | Dec. 31, 2021USD ($) | [1] |
Leases [Abstract] | ||
2022 | $ 48,412 | |
2023 | 37,368 | |
2024 | 27,827 | |
2025 | 19,172 | |
2026 | 12,620 | |
Thereafter | 22,819 | |
Total lease payments | 168,218 | |
Less: imputed interest | (4,727) | |
Present value of lease liabilities | $ 163,491 | |
[1] | Operating lease payments reflect the Company's current fixed obligations under the operating lease agreements. |
Leases (Details 1)
Leases (Details 1) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | ||
Operating lease expense | $ 55,613 | $ 83,102 |
Short-term and variable lease expense | 115,963 | 69,711 |
Total lease expense | $ 171,576 | $ 152,813 |
Leases (Details 2)
Leases (Details 2) | Dec. 31, 2021 |
Leases [Abstract] | |
Weighted- average remaining lease term (years) | 4 years 10 months 24 days |
Weighted- average discount rate | 2.24% |
Leases (Details 3)
Leases (Details 3) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | ||
Leases [Abstract] | |||
Cash paid for amounts included in the measurement of lease liabilities | [1] | $ 51,464 | $ 79,447 |
Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: | |||
ROU assets obtained in exchange for new operating lease liabilities | $ 69,073 | $ 77,728 | |
[1] | Included in Net cash provided by operating activities on the Company's Consolidated Statements of Cash Flows. |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income before taxes: | |||
Total income before income taxes | $ 135,675 | $ 8,171 | $ 433,807 |
United States | |||
Income before taxes: | |||
Total income before income taxes | (4,775) | 40,323 | 44,290 |
Foreign | |||
Income before taxes: | |||
Total income before income taxes | $ 140,450 | $ (32,152) | $ 389,517 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income taxes [Line Items] | |||
Total current | $ 62,684 | $ 41,875 | $ 78,907 |
Total deferred | 2,404 | (30,400) | 8,205 |
Total tax expense | 65,088 | 11,475 | 87,112 |
U.S. | |||
Income taxes [Line Items] | |||
Total current | 2,810 | 2,605 | (4,885) |
Total deferred | 12,269 | (16,100) | (8,424) |
Foreign | |||
Income taxes [Line Items] | |||
Total current | 59,874 | 39,270 | 83,792 |
Total deferred | $ (9,865) | $ (14,300) | $ (16,629) |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
U.S. federal income tax expense at applicable statutory rate | $ 28,492 | $ 1,716 | $ 91,099 |
Tax effect of: | |||
State income tax expense at statutory rates, net of U.S. federal income tax | 1,516 | 347 | 5,101 |
Non-deductible expenses | 538 | 1,887 | 2,896 |
Share-based compensation | (3,524) | (6,446) | (2,875) |
Other permanent differences | (2,047) | 3,828 | (864) |
Difference between U.S. federal and foreign tax rates | 7,438 | 7,002 | 12,281 |
Provision in excess of statutory rates | 2,879 | (6,491) | 3,565 |
Change in federal and foreign valuation allowance | 26,673 | (4,238) | 2,144 |
Impairment of goodwill and acquired intangibles assets | 22,053 | ||
GILTI, net of tax credits | 3,900 | 6,471 | |
U.S. Tax Reform - transition tax and rate change | (25,728) | ||
Tax credits | (1,122) | (3,518) | (4,500) |
Other | 345 | (4,665) | (2,478) |
Income tax expense | $ 65,088 | $ 11,475 | $ 87,112 |
Effective tax rate | 48.00% | 140.40% | 20.10% |
Income Taxes (Details 3)
Income Taxes (Details 3) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets: | ||
Tax loss carryforwards | $ 65,862 | $ 45,609 |
Share-based compensation | 9,743 | 6,771 |
Accrued expenses | 19,907 | 22,243 |
Property and equipment | 11,949 | 10,835 |
Goodwill and intangible amortization | 9,353 | 7,614 |
Contract costs | 9,921 | |
Intercompany notes | 6,077 | 7,689 |
Accrued revenue | 7,541 | 34,663 |
Tax credits | 65,267 | 65,388 |
Lease accounting | 42,381 | 39,962 |
Foreign exchange | 8,283 | 19,160 |
Other | 14,616 | 14,230 |
Gross deferred tax assets | 270,900 | 274,164 |
Valuation allowance | (100,489) | (77,563) |
Net deferred tax assets | 170,411 | 196,601 |
Deferred tax liabilities: | ||
Intangible assets related to purchase accounting | (11,763) | (12,854) |
Goodwill and intangible amortization | (30,339) | (24,763) |
Accrued expenses | (21,495) | (43,971) |
Intercompany notes | (10,388) | (10,396) |
Accrued interest | (34,175) | (30,932) |
Capitalized research and development | (6,376) | (6,352) |
Property and equipment | (15,597) | (18,295) |
Deferred tax liabilities, accrued revenue | (2,073) | (1,829) |
Lease accounting | (42,381) | (39,962) |
Foreign exchange | (1,211) | (10,880) |
Other | (3,971) | (6,826) |
Total deferred tax liabilities | (179,769) | (207,060) |
Net deferred tax liabilities | $ (9,358) | $ (10,459) |
Income Taxes (Details 4)
Income Taxes (Details 4) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | ||
US Federal and Foreign [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | $ 267,323 | |
Operating Loss Carryforward, Tax Effected | 63,793 | |
US Federal and Foreign [Member] | Expiring in One Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 3,960 | |
Operating Loss Carryforward, Tax Effected | 749 | |
US Federal and Foreign [Member] | Expiring in Two Years [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 2,296 | |
Operating Loss Carryforward, Tax Effected | 533 | |
US Federal and Foreign [Member] | Expiring in Three Years [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 3,153 | |
Operating Loss Carryforward, Tax Effected | 711 | |
US Federal and Foreign [Member] | Expiring in Four Years [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 21,012 | |
Operating Loss Carryforward, Tax Effected | 4,664 | |
US Federal and Foreign [Member] | Expiring in Five Years [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 21,767 | |
Operating Loss Carryforward, Tax Effected | 4,843 | |
US Federal and Foreign [Member] | Expiring in More than Five Years [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 25,465 | |
Operating Loss Carryforward, Tax Effected | 6,501 | |
US Federal and Foreign [Member] | Not Subject to Expiration [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 189,670 | |
Operating Loss Carryforward, Tax Effected | $ 45,792 |
Income Taxes (Details 5)
Income Taxes (Details 5) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Beginning balance | $ 39,785 | $ 44,535 |
Additions based on tax positions related to the current year | 3,815 | 7,331 |
Additions for tax positions of prior years | ||
Reductions for tax positions of prior years | (1,998) | (1,349) |
Settlements | (10,127) | |
Statute of limitations expiration | (612) | (605) |
Ending balance | $ 40,990 | $ 39,785 |
Income Taxes (Details 6)
Income Taxes (Details 6) | 12 Months Ended |
Dec. 31, 2021 | |
2014 through 2021 [Member] | |
Statutory Accounting Practices [Line Items] | |
Income tax examinations | U.S. (Federal) |
2016 through 2021 [Member] | |
Statutory Accounting Practices [Line Items] | |
Income tax examinations | Germany |
2013 through 2021 [Member] | |
Statutory Accounting Practices [Line Items] | |
Income tax examinations | Greece |
2015 through 2021 [Member] | |
Statutory Accounting Practices [Line Items] | |
Income tax examinations | Spain |
2018 through 2021 [Member] | |
Statutory Accounting Practices [Line Items] | |
Income tax examinations | U.K. |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income taxes [Line Items] | ||||
Unrecognized tax benefits, income tax penalties and interest accrued | $ 7.2 | $ 6.2 | ||
Unrecognized tax benefits that would impact effective tax rate | 29.1 | 31.8 | ||
Net deferred tax assets | 37.7 | 27.4 | ||
Undistributed earnings of foreign subsidiaries indefinitely reinvested | $ 1,808.8 | |||
Operating loss carryforwards, description | The Company's state tax net operating loss carryforwards of $73.7 million will expire periodically from 2022 through 2040, U.S. foreign tax credit carryforwards of $61.6 million that will expire periodically from 2022 through 2030 and U.S. federal research and expenditure credit carryforwards of $3.3 million that will expire periodically from 2034 through 2038. | |||
Foreign tax credits | $ 61.6 | |||
Operating loss carryforwards | ||||
Net provisional tax expense | $ 25.7 | |||
Federal statutory income tax rate | 21.00% | 21.00% | 21.00% | |
Foreign [Member] | ||||
Income taxes [Line Items] | ||||
Operating loss carryforwards | $ 267.3 | $ 197.4 | ||
U.S. State [Member] | ||||
Income taxes [Line Items] | ||||
Operating loss carryforwards | $ 73.7 | $ 95.8 |
Valuation and Qualifying Acco_3
Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Beginning balance-credit losses | $ 41,727 | $ 27,938 | $ 24,287 |
Additions-charged to expense | 9,721 | 19,469 | 10,095 |
Amounts written off | (21,662) | (7,842) | (6,179) |
Other (primarily changes in foreign currency exchange rates) | 2,024 | 2,162 | (265) |
Ending balance-credit losses | $ 31,810 | $ 41,727 | $ 27,938 |
Stock Plans (Details)
Stock Plans (Details) - Stock Option [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Number of Shares, Outstanding balance | 4,309,201 | 4,091,293 |
Number of Shares, Granted | 532,979 | |
Number of Shares, Exercised | (296,363) | |
Number of Shares, Forfeited/Canceled | (17,831) | |
Number of Shares, Expired | (877) | |
Number of Shares, Exercisable | 1,466,983 | |
Number of Shares, Vested and expected to vest | 1,963,940 | |
Weighted Average Exercise Price, Outstanding balance | $ 102.19 | $ 94.88 |
Weighted Average Exercise Price, Granted | 116.55 | |
Weighted Average Exercise Price, Exercised | 26.41 | |
Weighted Average Exercise Price, Forfeited/Canceled | 119.8 | |
Weighted Average Exercise Price, Expired | 16.39 | |
Weighted Average Exercise Price, Exercisable | 78.19 | |
Weighted Average Exercise Price, Vested and expected to vest | $ 90.29 | |
Weighted Average Remaining Contractual Term (years), Outstanding balance | 7 years 2 months 12 days | |
Weighted Average Remaining Contractual Term (years), Exercisable | 4 years 6 months | |
Weighted Average Remaining Contractual Term (years), Vested and expected to vest | 5 years 6 months | |
Aggregate Intrinsic Value (thousands), Outstanding balance | $ 97,425 | |
Aggregate Intrinsic Value (thousands), Exercisable | 65,770 | |
Aggregate Intrinsic Value (thousands), Vested and expected to vest | $ 68,162 |
Stock Plans (Details 1)
Stock Plans (Details 1) - $ / shares | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Volatility - range | 40.00% | 37.00% | ||
Risk-free interest rate - range | 1.19% | 0.33% | ||
Expected lives | 4 years 6 months | 5 years | ||
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Risk-free interest rate - range | 0.50% | 0.31% | ||
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Risk-free interest rate - range | 1.21% | 1.17% | ||
Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||||
Volatility - range | 39.30% | 35.60% | 29.30% | |
Risk-free interest rate - weighted average | 1.20% | [1] | 0.60% | 2.10% |
Dividend yield | ||||
Assumed forfeitures | 8.00% | [1] | 8.00% | 8.00% |
Expected lives | 4 years 7 months 6 days | [1] | 7 years 1 month 6 days | 5 years 2 months 12 days |
Weighted-average fair value (per share) | $ 39.99 | [1] | $ 48.21 | $ 43.96 |
[1] | During 2020, the Company granted 1,350,000 options that were valued using a Monte Carlo simulation due to market performance conditions included in the option grant. The Monte Carlo simulation calculated a fair value per option of $26.90 using the following assumptions: volatility of 37.0%, risk-free interest rate of 0.33%, and a term of 5.0 years. |
Stock Plans (Details 2)
Stock Plans (Details 2) - Restricted Stock [Member] - $ / shares | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ||
Number of Shares, Nonvested | 535,104 | 485,510 |
Number of Shares, Granted | 191,184 | |
Number of Shares, Vested | (107,700) | |
Number of Shares, Forfeited | (33,890) | |
Weighted Average Grant Date Fair Value Per Share, Nonvested | $ 127.96 | $ 126.62 |
Weighted Average Grant Date Fair Value Per Share, Granted | 117.35 | |
Weighted Average Grant Date Fair Value Per Share, Vested | 115.85 | |
Weighted Average Grant Date Fair Value Per Share, Forfeited | $ 98.18 |
Stock Plans (Details 3)
Stock Plans (Details 3) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Volatility - range | 40.00% | 37.00% |
Risk-free interest rate - range | 1.19% | 0.33% |
Expected lives | 4 years 6 months | 5 years |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Risk-free interest rate - range | 0.50% | 0.31% |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ||
Risk-free interest rate - range | 1.21% | 1.17% |
Stock Plans (Details Textual)
Stock Plans (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 5,600,000 | 1,350,000 | ||
Allocated Share-based Compensation Expense | $ 36.5 | $ 22 | $ 21.4 | |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 4.1 | 2.1 | 4.9 | |
Proceeds from Stock Options Exercised | 7.8 | 15.8 | 13.1 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | $ 27.7 | $ 41.1 | 30.6 | |
employee service share-based compensation, nonvested awards, total compensation cost not yet recognized, total period for recognition | 2 years 7 months 6 days | |||
Options granted | 5,600,000 | 1,350,000 | ||
Fair value of option | $ 40.3 | $ 26.9 | ||
Expected lives | 4 years 6 months | 5 years | ||
Risk-free interest rate | 1.19% | 0.33% | ||
Volatility | 40.00% | 37.00% | ||
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options vesting period | 3 years | |||
Risk-free interest rate | 0.50% | 0.31% | ||
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options vesting period | 5 years | |||
Risk-free interest rate | 1.21% | 1.17% | ||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 17.3 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | $ 13.8 | $ 15.4 | $ 16.6 | |
Weighted Average Grant Date Fair Value Per Share, Granted | $ 117.35 | |||
Weighted Average Exercise Price, Granted | $ 115.85 | $ 117.97 | $ 145.93 | |
Performance-based Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 16.8 | |||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 2 years | |||
Time-based restricted stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 3 years | |||
Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 331,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 58.5 | |||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | 4 years | |||
Weighted Average Grant Date Fair Value Per Share, Granted | $ 1.7 | |||
Options granted | 331,000 | |||
Expected lives | 4 years 7 months 6 days | [1] | 7 years 1 month 6 days | 5 years 2 months 12 days |
Volatility | 39.30% | 35.60% | 29.30% | |
Number of Shares, Granted | 532,979 | |||
Weighted Average Exercise Price, Granted | $ 116.55 | |||
[1] | During 2020, the Company granted 1,350,000 options that were valued using a Monte Carlo simulation due to market performance conditions included in the option grant. The Monte Carlo simulation calculated a fair value per option of $26.90 using the following assumptions: volatility of 37.0%, risk-free interest rate of 0.33%, and a term of 5.0 years. |
Business Segment Information (D
Business Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 2,995,443 | $ 2,482,700 | $ 2,750,109 |
Operating expenses: | |||
Direct operating costs | 1,900,267 | 1,576,699 | 1,556,483 |
Acquired contract cost impairment | 38,634 | ||
Salaries and benefits | 484,839 | 404,142 | 394,744 |
Selling, general and administrative | 251,933 | 221,614 | 211,944 |
Goodwill and acquired intangible assets impairment | 106,602 | ||
Depreciation and amortization | 135,754 | 127,021 | 111,744 |
Total operating expenses | 2,811,427 | 2,436,078 | 2,274,915 |
Operating income (expense) | 184,016 | 46,622 | 475,194 |
Other income (expense) | |||
Interest income | 664 | 1,040 | 1,969 |
Interest expense | (38,198) | (36,604) | (36,237) |
Foreign Currency Transaction Loss, before Tax | 10,866 | ||
Other gains, net | 59 | 869 | (9,820) |
Gain (Loss) on Extinguishment of Debt | 9,831 | ||
Total other expense, net | (48,341) | (38,451) | (41,387) |
Income before income taxes | 135,675 | 8,171 | 433,807 |
Total Assets | 4,744,276 | 4,926,711 | 4,657,666 |
Eft Processing Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 591,138 | 468,726 | 888,712 |
Operating expenses: | |||
Direct operating costs | 354,254 | 302,637 | 397,132 |
Acquired contract cost impairment | |||
Salaries and benefits | 98,584 | 91,526 | 87,603 |
Selling, general and administrative | 47,832 | 35,388 | 35,518 |
Goodwill and acquired intangible assets impairment | 21,861 | ||
Depreciation and amortization | 90,969 | 84,025 | 71,819 |
Total operating expenses | 591,639 | 535,437 | 592,072 |
Operating income (expense) | (501) | (66,711) | 296,640 |
Other income (expense) | |||
Total Assets | 1,682,680 | 1,541,610 | 1,914,144 |
Epay Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,011,482 | 835,517 | 769,329 |
Operating expenses: | |||
Direct operating costs | 760,891 | 630,391 | 576,757 |
Acquired contract cost impairment | |||
Salaries and benefits | 79,451 | 64,769 | 61,540 |
Selling, general and administrative | 39,602 | 35,789 | 35,054 |
Goodwill and acquired intangible assets impairment | |||
Depreciation and amortization | 8,501 | 7,890 | 6,774 |
Total operating expenses | 888,445 | 738,839 | 680,125 |
Operating income (expense) | 123,037 | 96,678 | 89,204 |
Other income (expense) | |||
Total Assets | 1,234,074 | 1,135,204 | 962,671 |
Money Transfer [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,400,957 | 1,183,849 | 1,096,226 |
Operating expenses: | |||
Direct operating costs | 793,218 | 649,033 | 586,730 |
Acquired contract cost impairment | 38,634 | ||
Salaries and benefits | 255,816 | 213,511 | 208,792 |
Selling, general and administrative | 157,955 | 142,161 | 133,068 |
Goodwill and acquired intangible assets impairment | 84,741 | ||
Depreciation and amortization | 35,739 | 34,694 | 32,846 |
Total operating expenses | 1,281,362 | 1,124,140 | 961,436 |
Operating income (expense) | 119,595 | 59,709 | 134,790 |
Other income (expense) | |||
Total Assets | 1,621,726 | 1,755,651 | 1,560,136 |
Corporate Services, Eliminations and Other | |||
Segment Reporting Information [Line Items] | |||
Revenues | (8,134) | (5,392) | (4,158) |
Operating expenses: | |||
Direct operating costs | (8,096) | (5,362) | (4,136) |
Acquired contract cost impairment | |||
Salaries and benefits | 50,988 | 34,336 | 36,809 |
Selling, general and administrative | 6,544 | 8,276 | 8,304 |
Goodwill and acquired intangible assets impairment | |||
Depreciation and amortization | 545 | 412 | 305 |
Total operating expenses | 49,981 | 37,662 | 41,282 |
Operating income (expense) | (58,115) | (43,054) | (45,440) |
Other income (expense) | |||
Total Assets | $ 205,796 | $ 494,246 | $ 220,715 |
Business Segment Information _2
Business Segment Information (Details 1) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | |||
Revenues | $ 2,995,443 | $ 2,482,700 | $ 2,750,109 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 345,381 | 378,441 | |
Total Assets | 4,744,276 | 4,926,711 | 4,657,666 |
UNITED STATES | |||
Segment Reporting Information [Line Items] | |||
Revenues | 805,028 | 725,135 | 716,576 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 59,469 | 55,573 | |
Total Assets | 1,040,190 | 1,255,983 | |
Non-US | |||
Segment Reporting Information [Line Items] | |||
Revenues | 2,190,415 | 1,757,565 | 2,033,533 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 285,912 | 322,868 | |
Total Assets | 3,704,086 | 3,670,728 | |
GERMANY | |||
Segment Reporting Information [Line Items] | |||
Revenues | 631,550 | 533,999 | 518,146 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 32,126 | 38,808 | |
Total Assets | 901,724 | 797,627 | |
SPAIN | |||
Segment Reporting Information [Line Items] | |||
Revenues | 157,766 | 118,934 | 189,104 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 50,321 | 61,563 | |
Total Assets | 317,199 | 291,254 | |
UNITED KINGDOM | |||
Segment Reporting Information [Line Items] | |||
Revenues | 143,914 | 118,024 | 135,006 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 13,783 | 20,150 | |
Total Assets | 371,090 | 402,587 | |
ITALY | |||
Segment Reporting Information [Line Items] | |||
Revenues | 130,095 | 92,006 | 130,929 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 18,279 | 21,225 | |
Total Assets | 207,347 | 231,548 | |
POLAND | |||
Segment Reporting Information [Line Items] | |||
Revenues | 93,654 | 89,688 | 130,104 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 24,091 | 33,087 | |
Total Assets | 201,506 | 206,016 | |
INDIA | |||
Segment Reporting Information [Line Items] | |||
Revenues | 173,154 | 123,343 | 113,146 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 32,705 | 26,126 | |
Total Assets | 206,378 | 182,073 | |
FRANCE | |||
Segment Reporting Information [Line Items] | |||
Revenues | 166,655 | 119,265 | 94,352 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 7,038 | 2,731 | |
Total Assets | 134,981 | 112,335 | |
GREECE | |||
Segment Reporting Information [Line Items] | |||
Revenues | 61,627 | 39,705 | 79,716 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 10,815 | 13,252 | |
Total Assets | 80,778 | 78,439 | |
MALAYSIA | |||
Segment Reporting Information [Line Items] | |||
Revenues | 50,039 | 73,541 | 74,948 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 1,998 | 2,319 | |
Total Assets | 91,813 | 115,448 | |
AUSTRALIA | |||
Segment Reporting Information [Line Items] | |||
Revenues | 46,851 | 46,062 | 51,686 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 2,791 | 1,575 | |
Total Assets | 56,275 | 68,577 | |
NEW ZEALAND | |||
Segment Reporting Information [Line Items] | |||
Revenues | 56,480 | 47,368 | 47,611 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 3,949 | 3,772 | |
Total Assets | 231,468 | 254,580 | |
Other countries [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 478,630 | 355,630 | $ 468,785 |
Property and equipment, net of accumulated depreciation of $532,631 and $490,429 | 88,016 | 98,260 | |
Total Assets | $ 903,527 | $ 930,244 |
Financial Instruments and Fai_3
Financial Instruments and Fair Value Measurements (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Foreign currency exchange contracts, Other current assets | $ 27,582 | $ 80,879 |
Foreign currency exchange contracts, Other current liabilities | (23,285) | (65,905) |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Foreign currency exchange contracts, Other current assets | ||
Foreign currency exchange contracts, Other current liabilities | ||
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Foreign currency exchange contracts, Other current assets | 27,582 | 80,879 |
Foreign currency exchange contracts, Other current liabilities | (23,285) | (65,905) |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Foreign currency exchange contracts, Other current assets | ||
Foreign currency exchange contracts, Other current liabilities |
Financial Instruments and Fai_4
Financial Instruments and Fair Value Measurements (Details Textual) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value Measurements [Abstract] | ||
Convertible debt, carrying values | $ 468.2 | $ 682.1 |
Convertible debt, fair value | $ 589.3 | $ 696.1 |
Commitments (Details)
Commitments (Details) $ in Millions | Dec. 31, 2021USD ($) |
Guarantor Obligations [Line Items] | |
Letters of credit outstanding, amount | $ 84.2 |
Cash deposits held by issuing banks | 3.7 |
Guarantees amount | 11.4 |
Performance Guarantee [Member] | |
Guarantor Obligations [Line Items] | |
Guarantees amount | 51.7 |
Indemnification Agreement [Member] | |
Guarantor Obligations [Line Items] | |
Guarantees amount | $ 558.1 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | |||
Related party transaction, incurred expenses | $ 0.1 | $ 0.1 | $ 0.3 |