Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 02, 2022 | |
Entity Information [Line Items] | ||
Entity Registrant Name | EURONET WORLDWIDE, INC. | |
Entity File Number | 001-31648 | |
Entity Small Business | false | |
City Area Code | (913) | |
Local Phone Number | 327-4200 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Shell Company | false | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Central Index Key | 0001029199 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 49,581,198 | |
Entity Tax Identification Number | 74-2806888 | |
Entity Address, City or Town | Leawood, | |
Entity Address, Address Line One | 11400 Tomahawk Creek Parkway, | |
Entity Address, Address Line Two | Suite 300 | |
Entity Address, State or Province | KS | |
Entity Address, Postal Zip Code | 66211 | |
Entity Emerging Growth Company | false | |
Common Stock | ||
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 | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 1,014,859 | $ 1,260,466 |
ATM cash | 890,834 | 543,422 |
Restricted cash | 6,616 | 3,693 |
Settlement assets | 1,057,423 | 1,102,389 |
Trade accounts receivable, net of credit losses of $4,392 and $4,469 | 195,355 | 203,010 |
Prepaid expenses and other current assets | 344,219 | 195,443 |
Total current assets | 3,509,306 | 3,308,423 |
Operating right of use lease assets | 150,995 | 161,494 |
Property and equipment, net of accumulated depreciation of $527,234 and $532,631 | 332,856 | 345,381 |
Goodwill | 807,848 | 641,605 |
Acquired intangible assets, net of accumulated amortization of $185,145 and $185,054 | 197,281 | 97,793 |
Other assets, net of accumulated amortization of $64,197 and $62,349 | 197,232 | 189,580 |
Total assets | 5,195,518 | 4,744,276 |
Current liabilities: | ||
Settlement obligations | 1,057,423 | 1,102,389 |
Trade accounts payable | 184,155 | 193,529 |
Accrued expenses and other current liabilities | 478,820 | 367,692 |
Current portion of operating lease liabilities | 48,899 | 52,136 |
Short-term debt obligations and current maturities of long-term debt obligations | 450,319 | 821 |
Income taxes payable | 46,668 | 59,037 |
Deferred revenue | 63,260 | 77,037 |
Total current liabilities | 2,329,544 | 1,852,641 |
Debt obligations, net of current portion | 1,638,663 | 1,420,085 |
Operating lease obligations, net of current portion | 103,625 | 111,355 |
Deferred income taxes | 33,811 | 46,505 |
Other long-term liabilities | 70,733 | 58,166 |
Total liabilities | 4,176,376 | 3,488,752 |
Euronet Worldwide, Inc. stockholders’ equity: | ||
Preferred Stock, $0.02 par value. 10,000,000 shares authorized; none issued | ||
Common Stock, $0.02 par value. 90,000,000 shares authorized; shares issued 63,850,934 and 63,779,009 | 1,277 | 1,275 |
Additional paid-in-capital | 1,223,294 | 1,274,118 |
Treasury stock, at cost, shares issued 14,271,179 and 12,631,125 | (1,106,094) | (931,212) |
Retained earnings | 1,182,787 | 1,083,882 |
Accumulated other comprehensive loss | (281,858) | (172,582) |
Total Euronet Worldwide, Inc. stockholders’ equity | 1,019,406 | 1,255,481 |
Noncontrolling interests | (264) | 43 |
Total equity | 1,019,142 | 1,255,524 |
Total liabilities and equity | $ 5,195,518 | $ 4,744,276 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 4,392 | $ 4,469 |
Accumulated depreciation of property and equipment | 527,234 | 532,631 |
Accumulated amortization of intangible assets | 185,145 | 185,054 |
Accumulated amortization of other assets | $ 64,197 | $ 62,349 |
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 | 63,850,934 | 63,779,009 |
Treasury stock, shares | 14,271,179 | 12,631,125 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Revenues | $ 843,309 | $ 714,686 | $ 1,561,776 | $ 1,367,356 |
Operating expenses: | ||||
Direct operating costs, exclusive of depreciation | 500,662 | 470,816 | 958,815 | 905,332 |
Salaries and benefits | 131,308 | 121,071 | 258,073 | 236,739 |
Selling, general and administrative | 74,249 | 59,119 | 138,105 | 117,895 |
Depreciation and amortization | 36,013 | 33,559 | 69,003 | 66,820 |
Total operating expenses | 742,232 | 684,565 | 1,423,996 | 1,326,786 |
Operating income | 101,077 | 30,121 | 137,780 | 40,570 |
Other income (expense): | ||||
Interest income | 245 | 204 | 390 | 386 |
Interest expense | (8,862) | (9,457) | (14,996) | (18,646) |
Foreign currency exchange gain (loss), net | (14,698) | 116 | (20,160) | (3,916) |
Other gains, net | 192 | 31 | ||
Other expense, net | (23,315) | (9,137) | (34,574) | (22,145) |
Income before income taxes | 77,762 | 20,984 | 103,206 | 18,425 |
Income tax expense | (20,728) | (12,352) | (37,882) | (18,414) |
Net income | 57,034 | 8,632 | 65,324 | 11 |
Net income (loss) attributable to noncontrolling interests | 184 | 3 | 191 | (41) |
Net income (loss) attributable to Euronet Worldwide, Inc. | $ 57,218 | $ 8,635 | $ 65,515 | $ (30) |
Earnings per share attributable to Euronet Worldwide, Inc. stockholders: | ||||
Basic | $ 1,130 | $ 160 | $ 1.29 | $ 0 |
Diluted | $ 1,080 | $ 160 | $ 1.25 | $ 0 |
Weighted average shares outstanding: | ||||
Basic | 50,394,610 | 52,805,367 | 50,726,281 | 52,784,106 |
Diluted | 53,766,914 | 54,008,839 | 54,133,724 | 52,784,106 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Net income | $ 57,034 | $ 8,632 | $ 65,324 | $ 11 |
Translation adjustment | (88,278) | 12,686 | (109,392) | (30,215) |
Comprehensive income (loss) | (31,244) | 21,318 | (44,068) | (30,204) |
Comprehensive income (loss) attributable to noncontrolling interests | (263) | (8) | (307) | 4 |
Comprehensive income (loss) attributable to Euronet Worldwide, Inc. | $ (31,507) | $ 21,310 | $ (44,375) | $ (30,200) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interest |
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 | ||||||
Net income (loss) | (8,621) | (8,665) | 44 | ||||
Other comprehensive loss | (42,901) | (42,845) | (56) | ||||
Stock issued under employee stock plans | 2,854 | $ 1 | 3,335 | (482) | |||
Stock issued under employee stock plans, shares | 62,436 | ||||||
Share-based compensation | 8,492 | 8,492 | |||||
Balance at Mar. 31, 2021 | 1,405,727 | $ 1,268 | 1,240,273 | (703,514) | 1,004,490 | (137,059) | 269 |
Balance, shares at Mar. 31, 2021 | 52,796,485 | ||||||
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 | ||||||
Net income (loss) | 11 | ||||||
Other comprehensive loss | (30,215) | ||||||
Share-based compensation | 10,984 | ||||||
Balance at Jun. 30, 2021 | 1,439,496 | $ 1,269 | 1,252,456 | (703,247) | 1,013,125 | (124,384) | 277 |
Balance, shares at Jun. 30, 2021 | 52,822,254 | ||||||
Balance at Mar. 31, 2021 | 1,405,727 | $ 1,268 | 1,240,273 | (703,514) | 1,004,490 | (137,059) | 269 |
Balance, shares at Mar. 31, 2021 | 52,796,485 | ||||||
Net income (loss) | 8,632 | 8,635 | (3) | ||||
Other comprehensive loss | 12,686 | 12,675 | 11 | ||||
Stock issued under employee stock plans | 1,467 | $ 1 | 1,199 | 267 | |||
Stock issued under employee stock plans, shares | 25,769 | ||||||
Balance at Jun. 30, 2021 | 1,439,496 | $ 1,269 | 1,252,456 | (703,247) | 1,013,125 | (124,384) | 277 |
Balance, shares at Jun. 30, 2021 | 52,822,254 | ||||||
Balance at Mar. 31, 2021 | 1,405,727 | $ 1,268 | 1,240,273 | (703,514) | 1,004,490 | (137,059) | 269 |
Balance, shares at Mar. 31, 2021 | 52,796,485 | ||||||
Share-based compensation | 10,984 | ||||||
Balance at Jun. 30, 2022 | 1,019,142 | $ 1,277 | 1,223,294 | (1,106,094) | 1,182,787 | (281,858) | (264) |
Balance, shares at Jun. 30, 2022 | 49,579,755 | ||||||
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 | ||||||
Net income (loss) | 8,290 | 8,297 | (7) | ||||
Other comprehensive loss | (21,114) | (21,077) | (37) | ||||
Stock issued under employee stock plans | 2,132 | $ 1 | 1,989 | 142 | |||
Stock issued under employee stock plans, shares | 40,173 | ||||||
Share-based compensation | 9,803 | 9,803 | |||||
Repurchase of shares | (70,351) | (70,351) | |||||
Repurchase of shares, shares | (639,535) | ||||||
Adoption of ASU 2020-06 | (74,080) | ||||||
Adoption of ASU 2020-06 | ASU 2020-06 [Member] | (40,690) | 33,390 | |||||
Balance at Mar. 31, 2022 | 1,143,594 | $ 1,276 | 1,211,830 | (1,001,421) | 1,125,569 | (193,659) | (1) |
Balance, shares at Mar. 31, 2022 | 50,548,522 | ||||||
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 | ||||||
Net income (loss) | 65,324 | ||||||
Other comprehensive loss | (109,392) | ||||||
Repurchase of shares | $ (104,600) | ||||||
Repurchase of shares, shares | (1,000,000) | ||||||
Balance at Jun. 30, 2022 | $ 1,019,142 | $ 1,277 | 1,223,294 | (1,106,094) | 1,182,787 | (281,858) | (264) |
Balance, shares at Jun. 30, 2022 | 49,579,755 | ||||||
Balance at Mar. 31, 2022 | 1,143,594 | $ 1,276 | 1,211,830 | (1,001,421) | 1,125,569 | (193,659) | (1) |
Balance, shares at Mar. 31, 2022 | 50,548,522 | ||||||
Net income (loss) | 57,034 | 57,218 | (184) | ||||
Other comprehensive loss | (88,278) | (88,199) | (79) | ||||
Stock issued under employee stock plans | 1,250 | $ 1 | 1,322 | (73) | |||
Stock issued under employee stock plans, shares | 31,233 | ||||||
Share-based compensation | 10,142 | 10,142 | |||||
Repurchase of shares | (104,600) | ||||||
Balance at Jun. 30, 2022 | $ 1,019,142 | $ 1,277 | $ 1,223,294 | $ (1,106,094) | $ 1,182,787 | $ (281,858) | $ (264) |
Balance, shares at Jun. 30, 2022 | 49,579,755 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Cash Flows [Abstract] | ||
Net income | $ 65,324 | $ 11 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 69,003 | 66,820 |
Share-based compensation | 19,945 | 19,476 |
Unrealized foreign exchange loss, net | 20,160 | 3,916 |
Deferred income taxes | 3,407 | 1,271 |
Accretion of convertible debt discount and amortization of debt issuance costs | 2,351 | 10,012 |
Changes in working capital, net of amounts acquired: | ||
Income taxes payable, net | (9,390) | (785) |
Trade accounts receivable, including amounts in settlement assets | 58,157 | 136,121 |
Prepaid expenses and other current assets, including amounts in settlement assets | (153,256) | 136,331 |
Trade accounts payable, including amounts in settlement obligations | (119,462) | (213,158) |
Deferred revenue | (9,925) | (30) |
Accrued expenses and other current liabilities, including amounts in settlement obligations | 255,516 | 17,340 |
Changes in noncurrent assets and liabilities | (21,171) | (4,018) |
Net cash provided by operating activities | 180,659 | 173,307 |
Cash flows from investing activities: | ||
Acquisitions, net of cash acquired | (330,023) | |
Purchases of property and equipment | (53,052) | (45,076) |
Purchases of other long-term assets | (3,856) | (4,273) |
Other, net | (35) | 1,017 |
Net cash used in investing activities | (386,966) | (48,332) |
Cash flows from financing activities: | ||
Proceeds from issuance of shares | 3,732 | 5,271 |
Repurchase of shares | (175,287) | (943) |
Borrowings from revolving credit agreements | 4,049,100 | 1,606,100 |
Repayments of revolving credit agreements | (3,385,400) | (1,855,700) |
Net borrowings (repayments) from short-term debt obligations | 1,345 | (45) |
Other, net | (2,248) | (3,236) |
Net cash provided by (used in) financing activities | 491,242 | (248,553) |
Effect of exchange rate changes on cash and cash equivalents and restricted cash | (195,239) | (43,278) |
Increase (decrease) in cash and cash equivalents and restricted cash | 89,696 | (166,856) |
Cash and cash equivalents and restricted cash at beginning of period | 2,086,102 | 2,099,508 |
Cash and cash equivalents and restricted cash at end of period | 2,175,798 | 1,932,652 |
Supplemental disclosure of cash flow information: | ||
Interest paid during the period | 15,858 | 13,688 |
Income taxes paid during the period | $ 47,119 | $ 18,886 |
General
General | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL | ( 1 Organization Euronet Worldwide, Inc. (the "Company", "Euronet", "we" and "us") 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 Presentation The accompanying unaudited consolidated financial statements have been prepared from the records of the Company, in conformity with accounting principles generally accepted in the U.S. (“U.S. GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, such unaudited consolidated financial statements contain all adjustments (consisting only of normal recurring adjustments) necessary to fairly present the consolidated financial position and the results of operations, comprehensive income, changes in equity and cash flows for the interim periods. The unaudited consolidated financial statements should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2021 , including the notes thereto, set forth in our 2021 Annual Report on Form 10-K. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Significant items subject to such estimates and assumptions include computing income taxes, 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. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year ending December 31, 2022 . 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. |
Recently Issued and Adopted Acc
Recently Issued and Adopted Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
RECENTLY ISSUED AND ADOPTED ACCOUNTING PRONOUNCEMENTS | ( 2 In August 2020, the Financial Accounting Standards Board ("FASB") issued ASU 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" 815 2049 |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2022 | |
Acquisitions | |
ACQUISITIONS | ( 3 On March 15, 2022 we completed the acquisition of the Merchant Acquiring Business of Piraeus Bank ("PBMA"). The acquisition includes 205,000 POS terminals at 170,000 merchants throughout Greece, as well as Piraeus Bank’s online merchant acquiring business and expands our omnichannel payments strategy where we use our proprietary technology to provide cash, card-based acquiring solutions, alternative payment acquiring, online acquiring, tokenized payment services and other payment products. Additionally, the acquisition includes a long-term commercial framework agreement between Piraeus Bank and Euronet which includes collaborative product distribution, processing and customer referrals. The purchase price was €313.8 million, or approximately $346.2 million, which includes $331 million cash paid at closing plus $15.2 million of estimated contingent consideration for a ten earnout contingent on performance targets outlined in the commercial framework agreement. The contingent consideration is related to a percentage of the net fee income received during the ten period of the commercial framework agreement and there is no contractual maximum amount of consideration under this agreement. The initial accounting for this acquisition is not complete as of June 30, 2022. The purchase price was preliminarily allocated to the assets acquired and liabilities assumed, including identifiable intangible assets, based on their respective provisional fair values at the date of acquisition. Additional time is needed to refine and review the results of the valuation of assets and liabilities. The acquisition has been accounted for as a business combination 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 following table summarizes the preliminary fair values of the assets acquired and liabilities assumed as of the acquisition date. (in thousands) As of March 15, 2022 Other current assets $ 1,707 Settlement assets 78,718 Property and equipment 6,095 Acquired intangible assets 122,455 Total assets acquired $ 208,975 Trade accounts payable $ 1,499 Settlement liabilities 66,925 Accrued expenses and other current liabilities 5,929 Deferred revenue 500 Other long-term liabilities 99 Total liabilities assumed $ 74,952 Goodwill 212,183 Net assets acquired $ 346,206 Assets acquired, liabilities assumed, and consideration transferred were recorded at their estimated fair values on the acquisition date. The fair value measurements of intangible assets were based on significant inputs not observable in the market and represent Level 3 measurements within the fair value hierarchy. Level 3 inputs include discount rates that would be used by a market participant in valuing these assets, projections of revenues and cash flows, and customer attrition rates, among others. We acquired a customer relationship intangible asset with a preliminary fair value of $112.2 million that is being amortized on a straight-line basis over 15 years and a contract related intangible asset of $10.3 million that is being amortized on a straight-line basis over 10 years. Goodwill, with a preliminary value of $212.2 million, arising from the acquisition was included in the EFT Processing Segment. The factors that make up goodwill include synergies from combining PBMA operations and intangible assets that do not qualify for separate recognition. Goodwill and intangible assets associated with this acquisition are deductible for tax purposes. The results of PBMA operations are included in our consolidated results of operation, as part of our EFT Processing business segment, beginning on March 16, 2022. For the three and six months ended June 30, 2022, PBMA had $27.5 million and $31.2 million in revenue. The PBMA business is impacted by higher transaction volumes during the tourism season in the second and third quarters. |
Settlement Assets and Obligatio
Settlement Assets and Obligations | 6 Months Ended |
Jun. 30, 2022 | |
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. We record 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. We use our cash and cash equivalents to pay the face value of the payment service product upon presentation by the recipient. Cash received by Company agents and merchants generally becomes available to us 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 us. 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 us. 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. As of (in thousands) June 30, 2022 December 31, 2021 Settlement assets: Settlement cash and cash equivalents $ 213,649 $ 203,624 Settlement restricted cash 49,840 74,897 Accounts receivable, net of credit losses of $30,009 and $27,341 593,738 619,738 Prepaid expenses and other current assets 200,196 204,130 Total settlement assets $ 1,057,423 $ 1,102,389 Settlement obligations: Trade account payables $ 383,652 $ 461,135 Accrued expenses and other current liabilities 673,771 641,254 Total settlement obligations $ 1,057,423 $ 1,102,389 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 C ash Flows. As of (in thousands) June 30, 2022 December 31, 2021 June 30, 2021 December 31, 2020 Cash and cash equivalents $ 1,014,859 $ 1,260,466 $ 994,488 $ 1,420,255 Restricted cash 6,616 3,693 3,328 3,334 ATM cash 890,834 543,422 565,084 411,054 Settlement cash and cash equivalents 213,649 203,624 311,131 188,191 Settlement restricted cash 49,840 74,897 58,621 76,674 Cash and cash equivalents and restricted cash at end of period $ 2,175,798 $ 2,086,102 $ 1,932,652 $ 2,099,508 |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS' EQUITY | (5) STOCKHOLDERS' EQUITY Earnings (Loss) Per Share Basic earnings (loss) per share has been computed by dividing earnings (loss) available to common stockholders by the weighted average number of common shares outstanding during the respective period. Diluted earnings (loss) per share has been computed by dividing earnings (loss) available to common stockholders by the weighted average shares outstanding during the respective period, after adjusting for the potential dilution of options to purchase our common stock, assumed vesting of restricted stock and the assumed conversion of our convertible debt, if such conversion would be dilutive. The following table provides the computation of diluted earnings and diluted weighted average number of common shares outstanding: Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Computation Net income (loss) $ 57,218 $ 8,635 $ 65,515 $ (30 ) Add: Interest expense from assumed conversion of convertible notes, net of tax 1,098 — 2,113 — Net income (loss) for diluted earnings per share calculation $ 58,316 $ 8,635 $ 67,628 $ (30 ) Computation of diluted weighted average shares outstanding: Basic weighted average shares outstanding 50,394,610 52,805,367 50,726,281 52,784,106 Incremental shares from assumed exercise of stock options and vesting of restricted stock 590,486 1,203,472 625,625 — Incremental shares from assumed conversion of convertible debt 2,781,818 — 2,781,818 — Diluted 53,766,914 54,008,839 54,133,724 52,784,106 The table includes all stock options and restricted stock that are dilutive to our weighted average common shares outstanding during the period. The calculation of diluted earnings (loss) per share excludes stock options or shares of restricted stock that are anti-dilutive to our weighted average common shares outstanding of approximately 2,971,768 and 2,972,786 and 1,239,000 and 2,429,000 for the three and six months ended June 30, 2021, respectively. We issued Convertible Senior Notes ("Convertible Notes") due March 2049 on March 18, 2019. Our Convertible Notes currently have a settlement feature requiring us 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 our common stock or a combination thereof, at our option. We have stated our intent to settle any conversion of these notes by paying cash for the principal value and issuing common stock for any conversion premium; however, after adopting ASU 2020-06, 2.8 million incremental shares assumed for conversion of convertible notes shall be included in the dilutive earnings per share calculation, if dilutive, regardless of whether the market price trigger has been met. Therefore, our Convertible Notes were included in the calculation of diluted earnings (loss) per share if their inclusion was dilutive. The dilutive effect increases the more the market price exceeds the conversion price of $188.73 per share. See Note 9, Debt Obligations, to the consolidated financial statements for more information about the Convertible Notes. Share repurchases On February 26, 2020, we put a repurchase program in place to repurchase up to $250 million in value, but not more than 5.0 million shares of common stock through February 28, 2022. On December 8, 2021, we put a repurchase program in place to repurchase up to $300 million in value, but not more than 5.0 million shares of common stock through December 8, 2023. U nder the repurchase programs w of stock, or the three and six months ended June 30, 2022 , respectively . Re Accumulated Other Comprehensive Loss Accumulated other comprehensive loss consists entirely of foreign currency translation adjustments. We recorded foreign currency translation losses of $88.3 million and $109.4 million for the three and six months ended , respectively, and gain of $12.7 million and loss of $30.2 million for the same periods in 2021. There were no reclassifications of foreign currency translation into the consolidated statements of income for the three and six months ended June 30, 2022 and 2021 . |
Goodwill and Acquired Intangibl
Goodwill and Acquired Intangible Assets, Net | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND ACQUIRED INTANGIBLE ASSETS, NET | ( 6 A summary of acquired intangible assets and goodwill activity for the six months ended June 30, 2022 is presented below: (in thousands) Acquired Intangible Assets Goodwill Total Intangible Assets Balance as of December 31, 2021 $ 97,793 $ 641,605 $ 739,398 Increases (decreases): Acquisition 122,455 212,183 334,638 Amortization (13,325 ) — (13,325 ) Foreign currency exchange rate changes (9,642 ) (45,940 ) (55,582 ) Balance as of June 30, 2022 $ 197,281 $ 807,848 $ 1,005,129 Of the total goodwill balance of $807.8 million as of , $ 371.5 million relates to the Money Transfer Segment, $315.1 million relates to the EFT Processing Segment and the remaining $121.2 million relates to the epay Segment . million for the remainder of 2022, $23.7 million for 2023, $17.6 million for 2024, $14.4 million for 2025, $14.0 million for 2026 and $12.8 million for 2027. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ( 7 Accrued expenses and other current liabilities consist of the following: As of (in thousands) June 30, 2022 December 31, 2021 Accrued expenses $ 376,386 $ 285,098 Derivative liabilities 51,074 23,285 Accrued payroll expenses 48,098 55,162 Current portion of finance lease obligations 3,262 4,147 Total $ 478,820 $ 367,692 |
Deferred Revenues
Deferred Revenues | 6 Months Ended |
Jun. 30, 2022 | |
Deferred Revenue Disclosure [Abstract] | |
DEFERRED REVENUES | (8) DEFERRED We record deferred revenues when cash payments are received or due in advance of our performance. The decrease in the deferred revenue balance for the six months ended June 30, 2022 is the result of $20.2 million of cash payments received in the current year for which we have not yet satisfied the performance obligations, offset by $34.0 million of revenues recognized that were included in the deferred revenue balance as of December 31, 2021. |
Debt Obligations
Debt Obligations | 6 Months Ended |
Jun. 30, 2022 | |
Debt Obligations [Abstract] | |
DEBT OBLIGATIONS | 9) DEBT OBLIGATIONS Debt obligations consist of the following: As of (in thousands) June 30, 2022 December 31, 2021 Credit Facility: Revolving credit agreement $ 497,100 $ 283,400 Uncommitted Credit Agreements 450,000 — Convertible Debt: 0.75% convertible notes, unsecured, due 2049 525,000 468,235 1.375% Senior Notes, due 2026 628,920 682,080 Other obligations 396 920 Total debt obligations 2,101,416 1,434,635 Unamortized debt issuance costs (12,434 ) (13,729 ) Carrying value of debt 2,088,982 1,420,906 Short-term debt obligations and current maturities of long-term debt obligations (450,319 ) (821 ) Long-term debt obligations $ 1,638,663 $ 1,420,085 Credit Facility On October 17, 2018, the Company entered into an unsecured revolving credit agreement (the "Credit Facility") for $1.0 billion that expires on October 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 1.125% to 2.0% (or 0.175% to 1.0% for base rate loans). The Credit Facility allows for borrowings in Australian dollars, British pounds sterling, Canadian dollars, Czech koruna, Danish krone, euro, Hungarian forints, Japanese yen, New Zealand dollars, Norwegian krone, Polish zlotys, Swedish krona, Swiss francs and U.S. dollars. The Credit Facility conta $200 million sublimit for the issuance of letters of credit, a $50 million sublimit for U.S. dollar swingline loans, and a $90 million sublimit for certain foreign currencies swingline loans. The Credit Facility contains customary affirmative and negative covenants, events of default and financial covenants. The Company was in compliance with all debt covenants as of June 30, 2022 . Uncommitted On May 25, 2022, the Company entered into an Uncommitted Credit Agreement for $300 million, fully drawn and outstanding at June 30, 2022, for the sole purpose of providing vault cash for ATMs, that expires no later than November 30, 2022. Each loan bears interest at the rate per annum equal to the secured overnight financing rate (“SOFR”) plus 1.00%. The weighted-average interest rate from the loan inception date to June 30, 2022 was 1.900%. On June 24, 2022, the Company entered into an Uncommitted Loan Agreement for $ million, fully drawn and outstanding at June 30, 2022, June 23, 2023. Each loan is a Prime rate loan, a Bloomberg Short-term Bank Yield ("BSBY") rate loan or bears interest at the rate agreed to by the Bank and the Company at the time such loan is made. The weighted-average interest rate from the loan inception date to June 30, 2022 was 2.317%. Convertible Debt On March 18, 2019, the Company completed the sale of $525.0 million of Convertible Senior Notes ("Convertible Notes"). The Convertible Notes mature in March 2049 unless redeemed or converted prior to such date, and are convertible into shares of Euronet common stock at a conversion price of approximately $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 % of the principal amount of the Convertible Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the relevant repurchase date. Prior to the adoption of ASU 2020-06 as of January 1, 2022, in accordance with ASC 470-20-30-27, proceeds from the issuance of convertible debt was allocated between debt and equity components so that debt was discounted to reflect our nonconvertible debt borrowing rate. ASC 470-20-35-13 required the debt discount to be amortized over the period the convertible debt was expected to be outstanding as additional non-cash interest expense. The allocation resulted in an increase to additional paid-in capital of $99.7 million for the Convertible Notes. Contractual interest expense for the Convertible Notes was $1.0 million and $2.0 million for the three June 30, 2021 , respectively. Accretion expense for the Convertible Notes was $4.0 million and $7.9 million for the three and six months ended June 30, 2021. See Footnote 2, Recently Issued and Adopted Accounting Pronouncements, 1.375% Senior Notes due 2026 On May 22, 2019, the Company completed the sale of €600 million ( $669.9 million ) aggregate principal amount of Senior Notes that are due in May 2026 (the “Senior Notes”). The Senior Notes accrue interest at a rate of 1.375% per year, payable annually in arrears commencing May 22, 2020, until maturity or earlier redemption. As of June 30, 2022 , the Company has €600 million ( $628.9 million ) principal amount of the Senior Notes. In addition, the Company may redeem some or all of these notes on or after February 22, 2026 at their principal amount plus any accrued and unpaid interest. 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 June 30, 2022 and December 31, 2021 , borrowings under these arrangements were $0.4 million and $0.9 million , respectively. Debt Issuance Costs As of June 30, 2022, we had unamortized debt issuance costs of $1.8 million for the Credit Facility, $5.9 million for the Convertible Notes and $4.7 million for the Senior Notes that will be amortized through October 2023, March 2025 and May 2026, respectively. |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | (10) 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 , primarily due to either the relatively short duration of the contract term or the effects of fluctuations in currency exchange rates are reflected concurrently in earnings for both the derivative instrument and the transaction and have an offsetting effect. 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 , to offset the fluctuation in foreign currency exchange rates on the collection of money transfer funds between initiation of a transaction and its settlement. Due to the short duration of these contracts and the Company’s credit profile, the Company is generally not required to post collateral with respect to these foreign currency forward contracts. Most derivative contracts 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. T he Company had foreign currency forward contracts outstanding in the U.S. with a notional value of $304.5 million and $ 222.1 million . The foreign currency forward contracts consist primarily in Australian dollars, Canadian dollars, British pounds sterling, euro and Mexican pesos. In addition, the Company uses forward contracts, typically with maturities from a few days to less than one year, to offset foreign exchange rate fluctuations on certain short-term borrowings that are payable in currencies other than the U.S dollar. T he Company had foreign currency forward contracts outstanding with a notional value of $304.5 million and $216.1 million , primarily in euro. 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 $21.7 million and $44.2 million for the three and six months ended June 30, 2022 , respectively, compared to $19.9 million and $38.4 million for the same periods in 2021, 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 amount of foreign currency derivative customer contracts held by the Company in its xe operations as of June 30, 2022 and December 31, 2021 was approximately $0.9 billion and $1.0 billion The significant majority of customer contracts are written in major currencies such as the euro, U.S. dollar, British pounds sterling, Australian dollar and New Zealand dollar. Balance Sheet Presentation 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 June 30, 2022 December 31, 2021 Balance Sheet Location June 30, 2022 December 31, 2021 Derivatives not designated as hedging instruments Foreign currency exchange contracts Other current assets $ 65,802 $ 27,582 Other current liabilities $ (51,074 ) $ (23,285 ) The following tables summarize the gross and net fair value of derivative assets and liabilities as of June 30, 2022 and December 31, 2021 (in thousands): Offsetting of Derivative Assets Gross Amounts Not Offset in the Consolidated Balance Sheet As of June 30, 2022 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 $ 65,802 $ — $ 65,802 $ (35,062 ) $ (5,914 ) $ 24,826 As of December 31, 2021 Derivatives subject to a master netting arrangement or similar agreement $ 27,582 $ — $ 27,582 $ (14,875 ) $ (2,284 ) $ 10,423 Offsetting of Derivative Liabilities Gross Amounts Not Offset in the Consolidated Balance Sheet As of June 30, 2022 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 $ (51,074 ) $ — $ (51,074 ) $ 35,062 $ 1,850 $ (14,162 ) As of December 31, 2021 Derivatives subject to a master netting arrangement or similar agreement $ (23,285 ) $ — $ (23,285 ) $ 14,875 $ 640 $ (7,770 ) Income Statement Presentation The following table summarizes the location and amount of losses on derivatives in the Consolidated Statements of Income for the three and six months ended June 30, 2022 and 2021 : Amount of Loss Recognized in Income on Derivative Contracts (a) Location of Loss Recognized in Income on Derivative Contracts Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Foreign currency exchange contracts - Ria Operations Foreign currency exchange loss, net $ 8,064 $ 3,915 $ 12,369 $ 1,447 (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 11, Fair Value Measurements, for the determination of the fair values of derivatives. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | ( 11 Fair value measurements used in the unaudited 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 transaction 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: Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 – Valuations based on quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities. Level 3 – Unobservable inputs in which little or no market activity exists, therefore requiring an entity to develop its own assumptions about the inputs that market participants would use in pricing. The following table details financial assets and liabilities measured and recorded at fair value on a recurring basis: As of June 30, 2022 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 65,802 $ — $ 65,802 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (51,074) $ — $ (51,074) 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 ) Other Fair Value Disclosures 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 various 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 June 30, 2022 , the fair values of the Convertible Notes and Senior Notes were $513.6 million and $550.0 million , respectively, with carrying values of $525.0 million and $628.9 million , respectively. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | (12) SEGMENT INFORMATION Our reportable operating segments have been determined in accordance with ASC Topic 280, Segment Reporting ("ASC 280") . We currently operate in the following three reportable operating segments: 1) Through the EFT Processing Segment, we process transactions for a network of and POS terminals across Europe, the Middle East, Africa, Asia Pacific and the United States. We provide comprehensive electronic payment solutions consisting of ATM cash withdrawal services, ATM network participation, outsourced ATM and POS management solutions, credit, debit and prepaid card outsourcing, dynamic currency conversion, domestic and international surcharges and other value added services. Through this segment, we also offer a suite of integrated electronic financial transaction software solutions for electronic payment and transaction delivery systems. 2) T hrough the Segment, we provide distribution, processing and collection services for electronic payment products, and prepaid mobile airtime 3) Through the Money Transfer Segment, we provide 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. We also offer 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, we account for non-operating activity, share-based compensation expense, certain intersegment eliminations and the costs of providing corporate and other administrative services in our administrative division, "Corporate Services, Eliminations and Other." These services are not directly identifiable with our reportable operating segments. The following tables present our reportable segment results for the three and six months ended June 30, 2022 and 2021 : For the Three Months Ended (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 249,030 $ 227,706 $ 368,459 $ (1,886 ) $ 843,309 Operating expenses: Direct operating costs, exclusive of depreciation 123,758 173,655 205,063 (1,814 ) 500,662 Salaries and benefits 27,693 19,772 67,977 15,866 131,308 Selling, general and administrative 17,004 8,277 46,361 2,607 74,249 Depreciation and amortization 25,745 1,616 8,546 106 36,013 Total operating expenses 194,200 203,320 327,947 16,765 742,232 Operating income (loss) $ 54,830 $ 24,386 $ 40,512 $ (18,651 ) $ 101,077 For the Three Months Ended (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 113,482 $ 243,918 $ 359,308 $ (2,022 ) $ 714,686 Operating expenses: Direct operating costs, exclusive of depreciation 82,681 184,989 205,164 (2,018 ) 470,816 Salaries and benefits 24,098 19,775 62,710 14,488 121,071 Selling, general and administrative 9,799 9,772 38,326 1,222 59,119 Depreciation and amortization 22,240 2,147 9,026 146 33,559 Total operating expenses 138,818 216,683 315,226 13,838 684,565 Operating income $ (25,336 ) $ 27,235 $ 44,082 $ (15,860 ) $ 30,121 For the Six Months Ended June 30, 2022 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 394,601 $ 463,544 $ 707,425 $ (3,794 ) $ 1,561,776 Operating expenses: Direct operating costs, exclusive of depreciation 217,095 351,975 393,460 (3,715 ) 958,815 Salaries and benefits 52,937 39,949 135,202 29,985 258,073 Selling, general and administrative 28,118 17,717 87,398 4,872 138,105 Depreciation and amortization 48,088 3,312 17,388 215 69,003 Total operating expenses 346,238 412,953 633,448 31,357 1,423,996 Operating income $ 48,363 $ 50,591 $ 73,977 $ (35,151 ) $ 137,780 For the Six Months Ended June 30, 2021 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 200,558 $ 486,221 $ 684,208 $ ( 3,631 ) $ 1,367,356 Operating expenses: Direct operating costs 152,293 367,622 389,042 ( 3,625 ) 905,332 Salaries and benefits 47,669 39,144 123,250 26,676 236,739 Selling, general and administrative 21,761 18,792 74,442 2,900 117,895 Depreciation and amortization 44,267 4,271 17,989 293 66,820 Total operating expenses 265,990 429,829 604,723 26,244 1,326,786 Operating income (loss) $ ( 65,432 $ 56,392 $ 79,485 $ ( 29,875 ) $ 40,570 The following table presents our total assets by reportable segment: Total Assets as of (in thousands) June 30, 2022 December 31, 2021 EFT Processing $ 2,463,591 $ 1,682,680 epay 727,248 1,234,074 Money Transfer 1,679,328 1,621,726 Corporate Services, Eliminations and Other 325,351 205,796 Total $ 5,195,518 $ 4,744,276 The following table presents our revenues disaggregated by segment and region. Sales and usage-based taxes are excluded from revenues. We believe disaggregation by segment and region best depicts how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors. The disaggregation of revenues by segment and region is based on management's assessment of segment performance together with allocation of financial resources, both capital and operating support costs, on a segment and regional level. Both segments and regions benefit from synergies achieved through concentration of operations and are influenced by macro-economic, regulatory and political factors in the respective segment and region. For the Three Months Ended June 30, 2022 For the Six Months Ended June 30, 2022 (in thousands) EFT Processing epay Money Transfer Total EFT Processing epay Money Transfer Total Europe $ 199,275 $ 140,293 $ 148,561 $ 488,129 $ 296,474 $ 290,687 $ 288,670 $ 875,831 North America 16,635 32,960 179,656 229,251 33,803 65,604 338,388 437,795 Asia Pacific 32,316 40,984 27,091 100,391 62,751 81,783 53,709 198,243 Other 804 13,469 13,151 27,424 1,573 25,470 26,658 53,701 Eliminations — — — (1,886) — — — (3,794 ) Total $ 249,030 $ 227,706 $ 368,459 $ 843,309 $ 394,601 $ 463,544 $ 707,425 $ 1,561,776 For the Three Months Ended June 30, 2021 For the Six Months Ended June 30, 2021 (in thousands) EFT Processing epay Money Transfer Total EFT Processing epay Money Transfer Total Europe $ 73,109 $ 160,560 $ 149,606 $ 383,275 $ 119,971 $ 325,468 $ 282,445 $ 727,884 North America 15,203 34,601 170,324 220,128 29,669 68,442 322,626 420,737 Asia Pacific 25,035 38,377 26,524 89,936 50,729 72,695 54,993 178,417 Other 135 10,380 12,854 23,369 189 19,616 24,144 43,949 Eliminations — — — ( 2,022 ) — — — ( 3,631 ) Total $ 113,482 $ 243,918 $ 359,308 $ 714,686 $ 200,558 $ 486,221 $ 684,208 $ 1,367,356 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | ( 13 Our effective income tax rate was 26.7 % and 36.7 for the three and six months ended June 30, 2022 , respectively, compared to 58.9% and 99.9% for t he three and six months ended . Our effective income tax rate for the months ended June 30, 2022 was higher than the applicable statutory income tax rate of 21 % a s a result of certain foreign earnings being subject to higher local statutory tax rates, the non-recognition of tax benefits from losses in certain foreign countries where we have a limited history of profitable earnings and as a result of an increase in the valuation allowance in certain jurisdictions relating to the reversal of tax benefits recognized in the first quarter of 2021 for continuing net operating losses . |
Commitments
Commitments | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS | (14) COMMITMENTS As of June 30, 2022 , we had $80.4 million of stand-by letters of credit/bank guarantees issued on our behalf, of which $53.8 million are outstanding under the Credit Facility. The remaining stand-by letters of credit/bank guarantees are collateralized by $3.4 million of cash deposits held by the respective issuing banks. Under certain circumstances, we grant guarantees in support of obligations of subsidiaries. As of June 30, 2022 , we had granted off balance sheet guarantees for cash in various ATM networks amounting to $10.5 million over the terms of the cash supply agreements and performance guarantees amounting to approximately $41.2 million over the terms of agreements with our customers. From time to time, we enter 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. Our 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, we are responsible for damage to ATMs and theft of ATM network cash. As of June 30, 2022 , the balance of such cash used in our ATM networks for which we were responsible was approximately $477.9 million . We maintain insurance policies to mitigate this exposure; In connection with contracts with financial institutions in the EFT Processing Segment, we are responsible for losses suffered by our customers and other parties as a result of the breach of our computer systems, including in particular, losses arising from fraudulent transactions made using information stolen through our processing systems. We maintain insurance policies to mitigate this exposure; In connection with the license of proprietary systems to customers, we provide 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; We have entered into purchase and service agreements with vendors and consulting agreements with providers of consulting services, pursuant to which we have agreed to indemnify certain of such vendors and consultants, respectively, against third-party claims arising from our 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, we have 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 us, we have 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 us, we have 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 We have entered into agreements with certain third parties, including banks that provide fiduciary and other services to us or our benefit plans. Under such agreements, we have agreed to indemnify such service providers for third-party claims relating to carrying out their respective duties under such agreements. We are also required to meet minimum capitalization and cash requirements of various regulatory authorities in the jurisdictions in which we have operations. We have obtained surety bonds in compliance with money transfer licensing requirements of the applicable governmental authorities. To date, we are not aware of any significant claims made by the indemnified parties or third parties to guarantee agreements with us and, accordingly, no liabilities were recorded as of June 30, 2022 or December 31, 2021 . |
Litigation and Contingencies
Litigation and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Loss Contingency, Information about Litigation Matters [Abstract] | |
LITIGATION AND CONTINGENCIES | ( 15 From time to time, we are a party to legal or regulatory proceedings arising in the ordinary course of our 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 on our consolidated financial condition or results of operations. In accordance with U.S. GAAP, we record 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. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
LEASES | (16) LEASES We enter into operating leases for ATM sites, office spaces, retail stores and equipment. Our 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. We recognize 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 our sole discretion. The depreciable life of assets and leasehold improvements are limited by the expected lease terms. We also have a unilateral termination right for most of the ATM site leases. Since we are not reasonably certain not to exercise termination options, p ayments for ATM site leases with termination options subject to the short-term lease exemption are expensed in the period incurred and corresponding leases are excluded from the right of use lease asset and lease liability balances. Certain of our 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 non-cancelable operating leases (with initial lease terms in excess of one year) as of June 30, 2022 are: As of June 30, 2022 Maturity of Lease Liabilities (in thousands) Operating Leases (1) Remainder of 2022 $ 23,650 2023 40,041 2024 30,569 2025 21,923 2026 15,380 Thereafter 25,379 Total lease payments $ 156,942 Less: imputed interest (4,418 ) Present value of lease liabilities $ 152,524 (1) Operating lease payments reflect our current fixed obligations under the operating lease agreements. Lease expense recognized in the Consolidated Statements of Income is summarized as follows: Lease Expense (in thousands) Income Statement Classification Three Months Ended June 30, 2022 Three Months Ended June 30, 2021 Six Months Ended June 30, 2022 Six Months Ended June 30, 2021 Operating lease expense Selling, general and administrative and Direct operating costs $ 13,027 $ 14,146 $ 26,544 $ 28,004 Short-term and variable lease expense Selling, general and administrative and Direct operating costs 30,212 26,921 59,935 49,471 Total lease expense $ 43,239 $ 41,067 $ 86,479 $ 77,475 Other information about lease amounts recognized in the consolidated financial statements is summarized as follows: Lease Term and Discount Rate of Operating Leases As of June 30, 2022 Weighted- average remaining lease term (years) 4.9 W eighted- average discount rate 2.3 % The following table presents supplemental cash flow and non-cash information related to leases. Other Information (in thousands) Six Months Ended June 30, 2022 Six Months Ended June 30, 2021 Cash paid for amounts included in the measurement of lease liabilities (a) $ 26,116 $ 26,321 Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: ROU assets obtained in exchange for new operating lease liabilities $ 21,492 $ 49,270 |
Recently Issued And Adopted A_2
Recently Issued And Adopted Accounting Pronouncements (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Recently issued and adopted accounting pronouncements | In August 2020, the Financial Accounting Standards Board ("FASB") issued ASU 2020-06, "Accounting for Convertible Instruments and Contracts in an Entity's Own Equity" 815 2049 |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Acquisitions | |
Summary of the preliminary fair values of the assets acquired and liabilities assumed as of the acquisition date | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed as of the acquisition date. (in thousands) As of March 15, 2022 Other current assets $ 1,707 Settlement assets 78,718 Property and equipment 6,095 Acquired intangible assets 122,455 Total assets acquired $ 208,975 Trade accounts payable $ 1,499 Settlement liabilities 66,925 Accrued expenses and other current liabilities 5,929 Deferred revenue 500 Other long-term liabilities 99 Total liabilities assumed $ 74,952 Goodwill 212,183 Net assets acquired $ 346,206 |
Settlement Assets and Obligat_2
Settlement Assets and Obligations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Settlement Assets [Abstract] | |
Schedule of settlement assets and liabilities | As of (in thousands) June 30, 2022 December 31, 2021 Settlement assets: Settlement cash and cash equivalents $ 213,649 $ 203,624 Settlement restricted cash 49,840 74,897 Accounts receivable, net of credit losses of $30,009 and $27,341 593,738 619,738 Prepaid expenses and other current assets 200,196 204,130 Total settlement assets $ 1,057,423 $ 1,102,389 Settlement obligations: Trade account payables $ 383,652 $ 461,135 Accrued expenses and other current liabilities 673,771 641,254 Total settlement obligations $ 1,057,423 $ 1,102,389 |
Schedule of cash and cash equivalents restricted cash | As of (in thousands) June 30, 2022 December 31, 2021 June 30, 2021 December 31, 2020 Cash and cash equivalents $ 1,014,859 $ 1,260,466 $ 994,488 $ 1,420,255 Restricted cash 6,616 3,693 3,328 3,334 ATM cash 890,834 543,422 565,084 411,054 Settlement cash and cash equivalents 213,649 203,624 311,131 188,191 Settlement restricted cash 49,840 74,897 58,621 76,674 Cash and cash equivalents and restricted cash at end of period $ 2,175,798 $ 2,086,102 $ 1,932,652 $ 2,099,508 |
Stocholders' Equity (Tables)
Stocholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Stockholders' Equity Note [Abstract] | |
Schedule of computation of diluted weighted average number of common shares outstanding | Three Months Ended June 30, Six Months Ended June 30, 2022 2021 2022 2021 Computation Net income (loss) $ 57,218 $ 8,635 $ 65,515 $ (30 ) Add: Interest expense from assumed conversion of convertible notes, net of tax 1,098 — 2,113 — Net income (loss) for diluted earnings per share calculation $ 58,316 $ 8,635 $ 67,628 $ (30 ) Computation of diluted weighted average shares outstanding: Basic weighted average shares outstanding 50,394,610 52,805,367 50,726,281 52,784,106 Incremental shares from assumed exercise of stock options and vesting of restricted stock 590,486 1,203,472 625,625 — Incremental shares from assumed conversion of convertible debt 2,781,818 — 2,781,818 — Diluted 53,766,914 54,008,839 54,133,724 52,784,106 |
Goodwill and Acquired Intangi_2
Goodwill and Acquired Intangible Assets, Net (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of acquired intangible assets and goodwill activity | A summary of acquired intangible assets and goodwill activity for the six months ended June 30, 2022 is presented below: (in thousands) Acquired Intangible Assets Goodwill Total Intangible Assets Balance as of December 31, 2021 $ 97,793 $ 641,605 $ 739,398 Increases (decreases): Acquisition 122,455 212,183 334,638 Amortization (13,325 ) — (13,325 ) Foreign currency exchange rate changes (9,642 ) (45,940 ) (55,582 ) Balance as of June 30, 2022 $ 197,281 $ 807,848 $ 1,005,129 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of accrued expenses and other current liabilities | Accrued expenses and other current liabilities consist of the following: As of (in thousands) June 30, 2022 December 31, 2021 Accrued expenses $ 376,386 $ 285,098 Derivative liabilities 51,074 23,285 Accrued payroll expenses 48,098 55,162 Current portion of finance lease obligations 3,262 4,147 Total $ 478,820 $ 367,692 |
Debt Obligations (Tables)
Debt Obligations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Obligations [Abstract] | |
Schedule of debt obligations | As of (in thousands) June 30, 2022 December 31, 2021 Credit Facility: Revolving credit agreement $ 497,100 $ 283,400 Uncommitted Credit Agreements 450,000 — Convertible Debt: 0.75% convertible notes, unsecured, due 2049 525,000 468,235 1.375% Senior Notes, due 2026 628,920 682,080 Other obligations 396 920 Total debt obligations 2,101,416 1,434,635 Unamortized debt issuance costs (12,434 ) (13,729 ) Carrying value of debt 2,088,982 1,420,906 Short-term debt obligations and current maturities of long-term debt obligations (450,319 ) (821 ) Long-term debt obligations $ 1,638,663 $ 1,420,085 |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of fair value of the derivative instruments as recorded in the Consolidated Balance Sheets | Asset Derivatives Liability Derivatives Fair Value Fair Value (in thousands) Balance Sheet Location June 30, 2022 December 31, 2021 Balance Sheet Location June 30, 2022 December 31, 2021 Derivatives not designated as hedging instruments Foreign currency exchange contracts Other current assets $ 65,802 $ 27,582 Other current liabilities $ (51,074 ) $ (23,285 ) |
Schedule of offsetting assets and liabilities | Offsetting of Derivative Assets Gross Amounts Not Offset in the Consolidated Balance Sheet As of June 30, 2022 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 $ 65,802 $ — $ 65,802 $ (35,062 ) $ (5,914 ) $ 24,826 As of December 31, 2021 Derivatives subject to a master netting arrangement or similar agreement $ 27,582 $ — $ 27,582 $ (14,875 ) $ (2,284 ) $ 10,423 Offsetting of Derivative Liabilities Gross Amounts Not Offset in the Consolidated Balance Sheet As of June 30, 2022 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 $ (51,074 ) $ — $ (51,074 ) $ 35,062 $ 1,850 $ (14,162 ) As of December 31, 2021 Derivatives subject to a master netting arrangement or similar agreement $ (23,285 ) $ — $ (23,285 ) $ 14,875 $ 640 $ (7,770 ) |
Schedule of amount of gains and losses on derivatives in the Consolidated Statements of Income | Amount of Loss Recognized in Income on Derivative Contracts (a) Location of Loss Recognized in Income on Derivative Contracts Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2022 2021 2022 2021 Foreign currency exchange contracts - Ria Operations Foreign currency exchange loss, net $ 8,064 $ 3,915 $ 12,369 $ 1,447 (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. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial assets and liabilities measured and recorded at fair value on a recurring basis | The following table details financial assets and liabilities measured and recorded at fair value on a recurring basis: As of June 30, 2022 (in thousands) Balance Sheet Classification Level 1 Level 2 Level 3 Total Assets Foreign currency exchange contracts Other current assets $ — $ 65,802 $ — $ 65,802 Liabilities Foreign currency exchange contracts Other current liabilities $ — $ (51,074) $ — $ (51,074) 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 ) |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Schedule of reportable segment results | The following tables present our reportable segment results for the three and six months ended June 30, 2022 and 2021 : For the Three Months Ended (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 249,030 $ 227,706 $ 368,459 $ (1,886 ) $ 843,309 Operating expenses: Direct operating costs, exclusive of depreciation 123,758 173,655 205,063 (1,814 ) 500,662 Salaries and benefits 27,693 19,772 67,977 15,866 131,308 Selling, general and administrative 17,004 8,277 46,361 2,607 74,249 Depreciation and amortization 25,745 1,616 8,546 106 36,013 Total operating expenses 194,200 203,320 327,947 16,765 742,232 Operating income (loss) $ 54,830 $ 24,386 $ 40,512 $ (18,651 ) $ 101,077 For the Three Months Ended (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 113,482 $ 243,918 $ 359,308 $ (2,022 ) $ 714,686 Operating expenses: Direct operating costs, exclusive of depreciation 82,681 184,989 205,164 (2,018 ) 470,816 Salaries and benefits 24,098 19,775 62,710 14,488 121,071 Selling, general and administrative 9,799 9,772 38,326 1,222 59,119 Depreciation and amortization 22,240 2,147 9,026 146 33,559 Total operating expenses 138,818 216,683 315,226 13,838 684,565 Operating income $ (25,336 ) $ 27,235 $ 44,082 $ (15,860 ) $ 30,121 For the Six Months Ended June 30, 2022 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 394,601 $ 463,544 $ 707,425 $ (3,794 ) $ 1,561,776 Operating expenses: Direct operating costs, exclusive of depreciation 217,095 351,975 393,460 (3,715 ) 958,815 Salaries and benefits 52,937 39,949 135,202 29,985 258,073 Selling, general and administrative 28,118 17,717 87,398 4,872 138,105 Depreciation and amortization 48,088 3,312 17,388 215 69,003 Total operating expenses 346,238 412,953 633,448 31,357 1,423,996 Operating income $ 48,363 $ 50,591 $ 73,977 $ (35,151 ) $ 137,780 For the Six Months Ended June 30, 2021 (in thousands) EFT Processing epay Money Transfer Corporate Services, Eliminations and Other Consolidated Total revenues $ 200,558 $ 486,221 $ 684,208 $ ( 3,631 ) $ 1,367,356 Operating expenses: Direct operating costs 152,293 367,622 389,042 ( 3,625 ) 905,332 Salaries and benefits 47,669 39,144 123,250 26,676 236,739 Selling, general and administrative 21,761 18,792 74,442 2,900 117,895 Depreciation and amortization 44,267 4,271 17,989 293 66,820 Total operating expenses 265,990 429,829 604,723 26,244 1,326,786 Operating income (loss) $ ( 65,432 $ 56,392 $ 79,485 $ ( 29,875 ) $ 40,570 The following table presents our total assets by reportable segment: Total Assets as of (in thousands) June 30, 2022 December 31, 2021 EFT Processing $ 2,463,591 $ 1,682,680 epay 727,248 1,234,074 Money Transfer 1,679,328 1,621,726 Corporate Services, Eliminations and Other 325,351 205,796 Total $ 5,195,518 $ 4,744,276 |
Schedule of Company's revenues disaggregated by segment and region | For the Three Months Ended June 30, 2022 For the Six Months Ended June 30, 2022 (in thousands) EFT Processing epay Money Transfer Total EFT Processing epay Money Transfer Total Europe $ 199,275 $ 140,293 $ 148,561 $ 488,129 $ 296,474 $ 290,687 $ 288,670 $ 875,831 North America 16,635 32,960 179,656 229,251 33,803 65,604 338,388 437,795 Asia Pacific 32,316 40,984 27,091 100,391 62,751 81,783 53,709 198,243 Other 804 13,469 13,151 27,424 1,573 25,470 26,658 53,701 Eliminations — — — (1,886) — — — (3,794 ) Total $ 249,030 $ 227,706 $ 368,459 $ 843,309 $ 394,601 $ 463,544 $ 707,425 $ 1,561,776 For the Three Months Ended June 30, 2021 For the Six Months Ended June 30, 2021 (in thousands) EFT Processing epay Money Transfer Total EFT Processing epay Money Transfer Total Europe $ 73,109 $ 160,560 $ 149,606 $ 383,275 $ 119,971 $ 325,468 $ 282,445 $ 727,884 North America 15,203 34,601 170,324 220,128 29,669 68,442 322,626 420,737 Asia Pacific 25,035 38,377 26,524 89,936 50,729 72,695 54,993 178,417 Other 135 10,380 12,854 23,369 189 19,616 24,144 43,949 Eliminations — — — ( 2,022 ) — — — ( 3,631 ) Total $ 113,482 $ 243,918 $ 359,308 $ 714,686 $ 200,558 $ 486,221 $ 684,208 $ 1,367,356 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Schedule of future minimum lease payments under non-cancelable operating leases | Future minimum lease payments under non-cancelable operating leases (with initial lease terms in excess of one year) as of June 30, 2022 are: As of June 30, 2022 Maturity of Lease Liabilities (in thousands) Operating Leases (1) Remainder of 2022 $ 23,650 2023 40,041 2024 30,569 2025 21,923 2026 15,380 Thereafter 25,379 Total lease payments $ 156,942 Less: imputed interest (4,418 ) Present value of lease liabilities $ 152,524 (1) Operating lease payments reflect our current fixed obligations under the operating lease agreements. |
Schedule of lease expense recognized in consolidated statements of income | Lease expense recognized in the Consolidated Statements of Income is summarized as follows: Lease Expense (in thousands) Income Statement Classification Three Months Ended June 30, 2022 Three Months Ended June 30, 2021 Six Months Ended June 30, 2022 Six Months Ended June 30, 2021 Operating lease expense Selling, general and administrative and Direct operating costs $ 13,027 $ 14,146 $ 26,544 $ 28,004 Short-term and variable lease expense Selling, general and administrative and Direct operating costs 30,212 26,921 59,935 49,471 Total lease expense $ 43,239 $ 41,067 $ 86,479 $ 77,475 |
Schedule of Lease Term and Discount Rate of Operating Leases | Other information about lease amounts recognized in the consolidated financial statements is summarized as follows: Lease Term and Discount Rate of Operating Leases As of June 30, 2022 Weighted- average remaining lease term (years) 4.9 W eighted- average discount rate 2.3 % |
Schedule of supplemental cash flow and non-cash information related to leases | The following table presents supplemental cash flow and non-cash information related to leases. Other Information (in thousands) Six Months Ended June 30, 2022 Six Months Ended June 30, 2021 Cash paid for amounts included in the measurement of lease liabilities (a) $ 26,116 $ 26,321 Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: ROU assets obtained in exchange for new operating lease liabilities $ 21,492 $ 49,270 |
Recently Issued And Adopted A_3
Recently Issued And Adopted Accounting Pronouncements (Details Textual) - ASU 2020-06 [Member] shares in Millions, $ in Millions | 1 Months Ended |
Aug. 31, 2020 USD ($) shares | |
Recently Issued And Adopted Accounting Pronouncements [Line Items] | |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Debt Discounts, before Tax Amount | $ 56.8 |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Equity, Tax Amount | 15 |
Additional Paid-in Capital | |
Recently Issued And Adopted Accounting Pronouncements [Line Items] | |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Equity, before Tax Amount | 99.7 |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Equity, Tax Amount | 25.6 |
Retained Earnings | |
Recently Issued And Adopted Accounting Pronouncements [Line Items] | |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Equity, before Tax Amount | 42.9 |
Accounting for convertible instruments, Debt Modification, Increase (Decrease) in Equity, Tax Amount | $ 10.6 |
Treasury Stock | |
Recently Issued And Adopted Accounting Pronouncements [Line Items] | |
Incremental shares from assumed conversion of convertible debt | shares | 2.8 |
Aquisitions (Details)
Aquisitions (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Mar. 15, 2022 | Dec. 31, 2021 |
Acquisitions | |||
Goodwill | $ 807,848 | $ 641,605 | |
Piraeus Bank Merchant Acquiring [Member] | |||
Acquisitions | |||
Other current assets | 1,707 | ||
Settlement assets | 78,718 | ||
Property and equipment | 6,095 | ||
Acquired intangible assets | 122,455 | ||
Total assets acquired | 208,975 | ||
Trade accounts payable | 1,499 | ||
Settlement liabilities | 66,925 | ||
Accrued expenses and other current liabilities | 5,929 | ||
Deferred revenue | 500 | ||
Other long-term liabilities | 99 | ||
Total liabilities assumed | 74,952 | ||
Goodwill | 212,183 | $ 212,200 | |
Net assets acquired | $ 346,206 |
Acquisitions (Details Textuals)
Acquisitions (Details Textuals) $ in Thousands, € in Millions | 3 Months Ended | 6 Months Ended | |||||
Mar. 15, 2022 EUR (€) | Mar. 15, 2022 USD ($) terminal merchant | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Acquisitions | |||||||
Goodwill | $ 807,848 | $ 807,848 | $ 641,605 | ||||
Operating (loss) income | 101,077 | $ 30,121 | 137,780 | $ 40,570 | |||
Revenues | 843,309 | $ 714,686 | $ 1,561,776 | $ 1,367,356 | |||
Piraeus Bank Merchant Acquiring [Member] | |||||||
Acquisitions | |||||||
Number of point of sale terminals acquisition | terminal | 205,000 | ||||||
Number of merchants at point of sale terminals acquisition | merchant | 170,000 | ||||||
Business acquisition, purchase price | € 313.8 | $ 346,200 | |||||
Payments to Acquire Businesses, cash paid | 331,000 | ||||||
Contingent consideration | $ 15,200 | ||||||
Period of earnout contingent on performance targets | 10 years | 10 years | |||||
Contractual maximum amount of consideration | no contractual maximum amount of consideration under this agreement. | ||||||
Acquired intangible assets | 122,455 | $ 122,455 | |||||
Goodwill | $ 212,200 | 212,183 | 212,183 | ||||
Revenues | $ 27,500 | $ 31,200 | |||||
Piraeus Bank Merchant Acquiring [Member] | Customer Relationships [Member] | |||||||
Acquisitions | |||||||
Acquired intangible assets | $ 112,200 | ||||||
Amortization method | straight-line | ||||||
Intangible asset, useful life | 15 years | 15 years | |||||
Piraeus Bank Merchant Acquiring [Member] | Contract related intangible asset [Member] | |||||||
Acquisitions | |||||||
Acquired intangible assets | $ 10,300 | ||||||
Amortization method | straight-line | ||||||
Intangible asset, useful life | 10 years | 10 years |
Settlement Assets and Obligat_3
Settlement Assets and Obligations (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Settlement Assets [Abstract] | ||||
Settlement cash and cash equivalents | $ 213,649 | $ 203,624 | $ 311,131 | $ 188,191 |
Settlement restricted cash | 49,840 | 74,897 | $ 58,621 | $ 76,674 |
Accounts receivable | 593,738 | 619,738 | ||
Prepaid expenses and other current assets | 200,196 | 204,130 | ||
Total settlement assets | 1,057,423 | 1,102,389 | ||
Settlement obligations: | ||||
Trade account payables | 383,652 | 461,135 | ||
Accrued expenses and other current liabilities | 673,771 | 641,254 | ||
Total settlement obligations | $ 1,057,423 | $ 1,102,389 |
Settlement Assets and Obligat_4
Settlement Assets and Obligations (Details 1) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Dec. 31, 2020 |
Settlement Assets [Abstract] | ||||
Cash and cash equivalents | $ 1,014,859 | $ 1,260,466 | $ 994,488 | $ 1,420,255 |
Restricted cash | 6,616 | 3,693 | 3,328 | 3,334 |
ATM cash | 890,834 | 543,422 | 565,084 | 411,054 |
Settlement cash and cash equivalents | 213,649 | 203,624 | 311,131 | 188,191 |
Settlement restricted cash | 49,840 | 74,897 | 58,621 | 76,674 |
Cash and cash equivalents and restricted cash at end of period | $ 2,175,798 | $ 2,086,102 | $ 1,932,652 | $ 2,099,508 |
Settlement Assets and Obligat_5
Settlement Assets and Obligations (Details Textual) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Settlement Assets [Abstract] | ||
Allowance for doubtful other receivables, current | $ 30,009 | $ 27,341 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Computation of diluted earnings: | ||||
Net income (loss) | $ 57,218 | $ 8,635 | $ 65,515 | $ (30) |
Add: Interest expense from assumed conversion of convertible notes, net of tax | 1,098 | 2,113 | ||
Net income (loss) for diluted earnings per share calculation | $ 58,316 | $ 8,635 | $ 67,628 | $ (30) |
Computation of diluted weighted average shares outstanding: | ||||
Basic weighted average shares outstanding | 50,394,610 | 52,805,367 | 50,726,281 | 52,784,106 |
Incremental shares from assumed exercise of stock options and vesting of restricted stock | 590,486 | 1,203,472 | 625,625 | |
Incremental shares from assumed conversion of convertible debt | 2,781,818 | 2,781,818 | ||
Diluted weighted average shares outstanding | 53,766,914 | 54,008,839 | 54,133,724 | 52,784,106 |
Stockholders' Equity (Details T
Stockholders' Equity (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 15 Months Ended | |||||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Dec. 08, 2021 | Feb. 26, 2020 | Mar. 18, 2019 | |
Equity, Class of Treasury Stock [Line Items] | ||||||||
Weighted average common shares outstanding | 2,971,768 | 1,239,000 | 2,972,786 | 2,429,000 | ||||
Conversion price | $ 188.73 | |||||||
Foreign currency translation gain | $ 88,300 | $ 109,400 | $ 30,200 | $ 12,700 | ||||
Share Repurchase Plan [Member] | ||||||||
Equity, Class of Treasury Stock [Line Items] | ||||||||
Stock repurchase program, authorized amount | $ 300,000 | $ 250,000 | ||||||
Stock repurchase program, number of shares authorized | 5,000,000 | 5,000,000 | ||||||
Stock repurchased | $ 104,600 | $ 175,000 |
Goodwill and Acquired Intangi_3
Goodwill and Acquired Intangible Assets, Net (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2022 USD ($) | |
Acquired Intangible Assets | |
Acquired Intangible Assets, Balance | $ 97,793 |
Increases (decreases): | |
Acquisition | 122,455 |
Amortization | (13,325) |
Foreign currency exchange rate changes | (9,642) |
Acquired Intangible Assets, Balance | 197,281 |
Goodwill | |
Goodwill, Balance | 641,605 |
Increases (decreases): | |
Acquisition | 212,183 |
Amortization | |
Foreign currency exchange rate changes | (45,940) |
Goodwill, Balance | 807,848 |
Total Intangible Assets | |
Total Intangible Assets, Balance | 739,398 |
Increases (decreases): | |
Acquisition | 334,638 |
Amortization | 13,325 |
Foreign currency exchange rate changes | (55,582) |
Total Intangible Assets, Balance | $ 1,005,129 |
Goodwill and Acquired Intangi_4
Goodwill and Acquired Intangible Assets, Net (Details Textual) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Schedule of Finite and Indefinite Lived Intangible Assets [Line Items] | ||
Finite-lived intangible asset, expected amortization, remainder of 2022 | $ 13,900 | |
Finite-lived intangible asset, expected amortization, 2023 | 23,700 | |
Finite-lived intangible asset, expected amortization, 2024 | 17,600 | |
Finite-lived intangible asset, expected amortization, 2025 | 14,400 | |
Finite-lived intangible asset, expected amortization, 2026 | 14,000 | |
Finite-lived intangible asset, expected amortization, 2027 | 12,800 | |
Goodwill | 807,848 | $ 641,605 |
Goodwill [Member] | ||
Schedule of Finite and Indefinite Lived Intangible Assets [Line Items] | ||
Goodwill | 807,800 | |
EFT Processing Segment [Member] | ||
Schedule of Finite and Indefinite Lived Intangible Assets [Line Items] | ||
Goodwill | 315,100 | |
Money Transfer Segment [Member] | ||
Schedule of Finite and Indefinite Lived Intangible Assets [Line Items] | ||
Goodwill | 371,500 | |
Epay Segment [Member] | ||
Schedule of Finite and Indefinite Lived Intangible Assets [Line Items] | ||
Goodwill | $ 121,200 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accrued expenses | $ 376,386 | $ 285,098 |
Derivative liabilities | 51,074 | 23,285 |
Accrued payroll expenses | 48,098 | 55,162 |
Current portion of finance lease obligations | 3,262 | 4,147 |
Total | $ 478,820 | $ 367,692 |
Deferred Revenue (Details)
Deferred Revenue (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Deferred Revenue Disclosure [Abstract] | ||
Decrease in deferred revenue | $ 20.2 | |
Deferred revenue, revenue recognized | $ 34 |
Debt Obligations (Details)
Debt Obligations (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Revolving credit agreement | $ 497,100,000 | $ 283,400,000 |
Uncommitted credit agreements | 450,000,000 | |
Convertible Debt | 525,000 | |
Senior notes (in USD) | 628,900 | |
Other obligations | 396,000 | 920,000 |
Total debt obligations | 2,101,416,000 | 1,434,635,000 |
Unamortized debt issuance costs | (12,434,000) | (13,729,000) |
Carrying value of debt | 2,088,982,000 | 1,420,906,000 |
Short-term debt obligations and current maturities of long-term debt obligations | (450,319,000) | (821,000) |
Long-term debt obligations | 1,638,663,000 | 1,420,085,000 |
Due 2049 [Member] | ||
Debt Instrument [Line Items] | ||
Convertible Debt | 525,000,000 | 468,235,000 |
Due 2026 [Member] | ||
Debt Instrument [Line Items] | ||
Senior notes (in USD) | $ 628,920,000 | $ 682,080,000 |
Debt Obligations (Details Textu
Debt Obligations (Details Textual) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||||
Mar. 18, 2019 | Oct. 17, 2018 | Jun. 24, 2022 | May 25, 2022 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | May 22, 2019 | |
Debt Instrument [Line Items] | ||||||||||
Uncommitted credit agreements expire date | Nov. 30, 2022 | |||||||||
Senior notes (in USD) | $ 628,900 | $ 628,900 | ||||||||
Conversion price | $ 188.73 | |||||||||
Debt instrument, convertible, carrying amount of equity component | 99,700,000 | 99,700,000 | ||||||||
Debt instrument, interest rate during period | 100% | 1% | ||||||||
Line of credit facility, expiration date | Oct. 17, 2023 | |||||||||
Line of credit, current | 400,000 | 400,000 | $ 900,000 | |||||||
Uncommitted Credit Agreements | 450,000,000 | 450,000,000 | ||||||||
Uncommitted Credit Agreement [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Sale purpose of cash | $ 300,000,000 | |||||||||
Weighted-average interest rate | 1.90% | |||||||||
Uncommitted Loan Agreement [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Sale purpose of cash | $ 150,000,000 | |||||||||
Weighted-average interest rate | 2.317% | |||||||||
Line of Credit [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of credit facility, maximum borrowing capacity | 200,000,000 | 200,000,000 | ||||||||
Unamortized debt issuance costs | 1,800 | 1,800 | ||||||||
Due 2049 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Sale of convertible senior notes | $ 525,000,000 | |||||||||
Interest expense, debt | $ 1,000,000 | $ 2,000,000 | ||||||||
Amortization of debt discount (premium) | 4,000,000 | |||||||||
Unamortized debt issuance costs | 5,900 | 5,900 | ||||||||
Senior Notes, 1.375 Percent due 2026 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior notes (in USD) | $ 628,900,000 | $ 628,900,000 | $ 669,900,000 | |||||||
Long-term debt, percentage bearing fixed interest, percentage rate | 1.375% | 1.375% | ||||||||
Unamortized debt issuance costs | $ 4,700 | $ 4,700 | ||||||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, applicable margin | 1.125% | |||||||||
Minimum [Member] | Base Rate [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, applicable margin | 0.175% | |||||||||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, applicable margin | 2% | |||||||||
Maximum [Member] | Base Rate [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, applicable margin | 1% | |||||||||
Swingline loans [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of credit facility, maximum borrowing capacity | 50,000,000 | $ 50,000,000 | ||||||||
Foreign Swingline Loans [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Uncommitted Credit Agreements | $ 90,000,000 | |||||||||
Unsecured Debt [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of credit facility, maximum borrowing capacity | $ 1,000,000,000 | |||||||||
Euro Member Countries, Euro | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior notes (in USD) | $ 600,000,000 | $ 600,000,000 | ||||||||
Euro Member Countries, Euro | Senior Notes, 1.375 Percent due 2026 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Senior notes (in USD) | $ 600,000,000 |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities (Details) - Foreign Exchange Contracts [Member] - Not Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Prepaid Expenses and Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency exchange contracts | $ 65,802 | $ 27,582 |
Accrued expenses and other current liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Foreign currency derivative instruments, liability at fair value | $ (51,074) | $ (23,285) |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities (Details 1) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Derivative Assets, Gross Amounts of Recognized Assets | $ 65,802 | $ 27,582 |
Derivative Assets, Gross Amounts Offset in the Consolidated Balance Sheet | ||
Derivative Assets, Net Amounts Presented in the Consolidated Balance Sheet | 65,802 | 27,582 |
Derivative Assets, Financial Instruments | (35,062) | (14,875) |
Derivative Assets, Cash Collateral Received | (5,914) | (2,284) |
Derivative Assets, Net Amounts | 24,826 | 10,423 |
Derivative Liabilities, Gross Amounts of Recognized Liabilities | (51,074) | (23,285) |
Derivative Liabilities, Gross Amounts Offset in the Consolidated Balance Sheet | ||
Derivative Liabilities, Net Amounts Presented in the Consolidated Balance Sheet | (51,074) | (23,285) |
Derivative Liabilities, Financial Instruments | 35,062 | 14,875 |
Derivative Liabilities, Cash Collateral Paid | 1,850 | 640 |
Derivative Liabilities, Net Amounts | $ (14,162) | $ (7,770) |
Derivative Instruments and He_5
Derivative Instruments and Hedging Activities (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Ria Operations [Member] | Foreign Exchange Contract [Member] | ||||
Derivative Instruments, Loss [Line Items] | ||||
Gain (loss) on foreign currency derivative instruments not designated as hedging instruments | $ 8,064 | $ 3,915 | $ 12,369 | $ 1,447 |
Derivative Instruments and He_6
Derivative Instruments and Hedging Activities (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Xe Operations [Member] | Foreign Exchange Contracts [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative asset, notional amount | $ 900,000,000 | $ 900,000,000 | $ 1,000,000,000 |
United States of America, Dollars | Ria Operations [Member] | Foreign Exchange Contracts [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative asset, notional amount | 304,500,000 | 304,500,000 | 222,100,000 |
Euro Member Countries, Euro | Ria Operations [Member] | Foreign Exchange Contracts [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative asset, notional amount | 304,500,000 | $ 304,500,000 | $ 216,100,000 |
Maximum [Member] | Ria Operations [Member] | Foreign Exchange Contracts [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign currency forward contract term | 14 days | ||
Trading Revenue [Member] | Xe Operations [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign currency exchange margin | 19,900 | $ 38,400 | |
Trading Revenue [Member] | Xe Operations [Member] | Foreign Exchange Contracts [Member] | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Foreign currency exchange margin | $ 21,700,000 | $ 44,200,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | $ 65,802 | $ 27,582 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (51,074) | (23,285) |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | ||
Foreign Currency Contracts, Liability, Fair Value Disclosure | ||
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | 65,802 | 27,582 |
Foreign Currency Contracts, Liability, Fair Value Disclosure | (51,074) | (23,285) |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign Currency Contract, Asset, Fair Value Disclosure | ||
Foreign Currency Contracts, Liability, Fair Value Disclosure |
Fair Value Measurements (Deta_2
Fair Value Measurements (Details Textual) | Jun. 30, 2022 USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Convertible Debt, Fair Value Disclosures | $ 513,600 |
Convertible Debt | 525,000 |
Senior notes (in USD) | 628,900 |
Fair Value, Inputs, Level 2 [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Notes Payable, Fair Value Disclosure | $ 550,000 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Total revenues | $ 843,309 | $ 714,686 | $ 1,561,776 | $ 1,367,356 |
Operating expenses: | ||||
Direct operating costs | 500,662 | 470,816 | 958,815 | 905,332 |
Salaries and benefits | 131,308 | 121,071 | 258,073 | 236,739 |
Selling, general and administrative | 74,249 | 59,119 | 138,105 | 117,895 |
Depreciation and amortization | 36,013 | 33,559 | 69,003 | 66,820 |
Total operating expenses | 742,232 | 684,565 | 1,423,996 | 1,326,786 |
Operating income | 101,077 | 30,121 | 137,780 | 40,570 |
EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 249,030 | 113,482 | 394,601 | 200,558 |
Operating expenses: | ||||
Direct operating costs | 123,758 | 82,681 | 217,095 | 152,293 |
Salaries and benefits | 27,693 | 24,098 | 52,937 | 47,669 |
Selling, general and administrative | 17,004 | 9,799 | 28,118 | 21,761 |
Depreciation and amortization | 25,745 | 22,240 | 48,088 | 44,267 |
Total operating expenses | 194,200 | 138,818 | 346,238 | 265,990 |
Operating income | 54,830 | (25,336) | 48,363 | (65,432) |
Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 227,706 | 243,918 | 463,544 | 486,221 |
Operating expenses: | ||||
Direct operating costs | 173,655 | 184,989 | 351,975 | 367,622 |
Salaries and benefits | 19,772 | 19,775 | 39,949 | 39,144 |
Selling, general and administrative | 8,277 | 9,772 | 17,717 | 18,792 |
Depreciation and amortization | 1,616 | 2,147 | 3,312 | 4,271 |
Total operating expenses | 203,320 | 216,683 | 412,953 | 429,829 |
Operating income | 24,386 | 27,235 | 50,591 | 56,392 |
Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | 368,459 | 359,308 | 707,425 | 684,208 |
Operating expenses: | ||||
Direct operating costs | 205,063 | 205,164 | 393,460 | 389,042 |
Salaries and benefits | 67,977 | 62,710 | 135,202 | 123,250 |
Selling, general and administrative | 46,361 | 38,326 | 87,398 | 74,442 |
Depreciation and amortization | 8,546 | 9,026 | 17,388 | 17,989 |
Total operating expenses | 327,947 | 315,226 | 633,448 | 604,723 |
Operating income | 40,512 | 44,082 | 73,977 | 79,485 |
Corporate Services, Eliminations and Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total revenues | (1,886) | (2,022) | (3,794) | (3,631) |
Operating expenses: | ||||
Direct operating costs | (1,814) | (2,018) | (3,715) | (3,625) |
Salaries and benefits | 15,866 | 14,488 | 29,985 | 26,676 |
Selling, general and administrative | 2,607 | 1,222 | 4,872 | 2,900 |
Depreciation and amortization | 106 | 146 | 215 | 293 |
Total operating expenses | 16,765 | 13,838 | 31,357 | 26,244 |
Operating income | $ (18,651) | $ (15,860) | $ (35,151) | $ (29,875) |
Segment Information (Details 1)
Segment Information (Details 1) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Segment Reporting Information [Line Items] | ||
Total | $ 5,195,518 | $ 4,744,276 |
EFT Processing Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Total | 2,463,591 | 1,682,680 |
Epay Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Total | 727,248 | 1,234,074 |
Money Transfer Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Total | 1,679,328 | 1,621,726 |
Corporate Services, Eliminations and Other [Member] | ||
Segment Reporting Information [Line Items] | ||
Total | $ 325,351 | $ 205,796 |
Segment Information (Details 2)
Segment Information (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 843,309 | $ 714,686 | $ 1,561,776 | $ 1,367,356 |
EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 249,030 | 113,482 | 394,601 | 200,558 |
Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 227,706 | 243,918 | 463,544 | 486,221 |
Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 368,459 | 359,308 | 707,425 | 684,208 |
Europe [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 488,129 | 383,275 | 875,831 | 727,884 |
Europe [Member] | EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 199,275 | 73,109 | 296,474 | 119,971 |
Europe [Member] | Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 140,293 | 160,560 | 290,687 | 325,468 |
Europe [Member] | Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 148,561 | 149,606 | 288,670 | 282,445 |
North America [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 229,251 | 220,128 | 437,795 | 420,737 |
North America [Member] | EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 16,635 | 15,203 | 33,803 | 29,669 |
North America [Member] | Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 32,960 | 34,601 | 65,604 | 68,442 |
North America [Member] | Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 179,656 | 170,324 | 338,388 | 322,626 |
Asia Pacific [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 100,391 | 89,936 | 198,243 | 178,417 |
Asia Pacific [Member] | EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 32,316 | 25,035 | 62,751 | 50,729 |
Asia Pacific [Member] | Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 40,984 | 38,377 | 81,783 | 72,695 |
Asia Pacific [Member] | Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 27,091 | 26,524 | 53,709 | 54,993 |
Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 27,424 | 23,369 | 53,701 | 43,949 |
Other [Member] | EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 804 | 135 | 1,573 | 189 |
Other [Member] | Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 13,469 | 10,380 | 25,470 | 19,616 |
Other [Member] | Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 13,151 | 12,854 | 26,658 | 24,144 |
Eliminations [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | (1,886) | (2,022) | (3,794) | (3,631) |
Eliminations [Member] | EFT Processing Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | ||||
Eliminations [Member] | Epay Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | ||||
Eliminations [Member] | Money Transfer Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues |
Segment Information (Details Te
Segment Information (Details Textual) | 6 Months Ended |
Jun. 30, 2022 | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Income Taxes (Details)
Income Taxes (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | ||||
Effective income tax rate | 26.70% | 58.90% | 36.70% | 99.90% |
Federal statutory income tax rate | 21% | 21% | 21% |
Commitments (Details)
Commitments (Details) | Jun. 30, 2022 USD ($) |
Other Commitments [Line Items] | |
Collateralized cash deposits | $ 10,500 |
Guarantor obligations, maximum exposure, undiscounted | 477,900 |
Guarantee Type, Other [Member] | |
Other Commitments [Line Items] | |
Letters of credit outstanding, amount | 53,800 |
Performance Guarantee [Member] | |
Other Commitments [Line Items] | |
Letters of credit outstanding, amount | 80,400 |
Collateralized cash deposits | 41,200 |
Indemnification Agreement [Member] | |
Other Commitments [Line Items] | |
Letters of credit outstanding, amount | $ 3,400 |
Leases (Details)
Leases (Details) $ in Thousands | Jun. 30, 2022 USD ($) | [1] |
Leases [Abstract] | ||
Remainder of 2022 | $ 23,650 | |
2023 | 40,041 | |
2024 | 30,569 | |
2025 | 21,923 | |
2026 | 15,380 | |
Thereafter | 25,379 | |
Total lease payments | 156,942 | |
Less: imputed interest | 4,418 | |
Present value of lease liabilities | $ 152,524 | |
[1] Operating lease payments reflect our current fixed obligations under the operating lease agreements. |
Leases (Details 1)
Leases (Details 1) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | ||||
Operating lease expense | $ 13,027 | $ 14,146 | $ 26,544 | $ 28,004 |
Short-term and variable lease expense | 30,212 | 26,921 | 59,935 | 49,471 |
Total lease expense | $ 43,239 | $ 41,067 | $ 86,479 | $ 77,475 |
Leases (Details 2)
Leases (Details 2) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Weighted- average remaining lease term (years) | 4 years 10 months 24 days |
Weighted- average discount rate | 2.30% |
Leases (Details 3)
Leases (Details 3) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | ||
Leases [Abstract] | |||
Cash paid for amounts included in the measurement of lease liabilities | $ 26,116 | [1] | $ 26,321 |
Supplemental non-cash information on lease liabilities arising from obtaining ROU assets: | |||
ROU assets obtained in exchange for new operating lease liabilities | $ 21,492 | $ 49,270 | |
[1]Included in Net cash provided by operating activities on the Company's Consolidated Statements of Cash Flows. |