Euronet Worldwide, Inc. delivers a comprehensive suite of payment and transaction processing and distribution services globally. Their clientele spans financial institutions, agents, ...
Euronet Worldwide, Inc. (NASDAQ: EEFT) is a leading provider of secure electronic financial transaction solutions, headquartered in Leawood, Kansas, with European headquarters in Budapest, Hungary. Founded in 1994 by Michael J. Brown, who currently serves as Chairman, CEO, and President, the company began by installing the first independent, non-bank-owned ATM ...Euronet Worldwide, Inc. (NASDAQ: EEFT) is a leading provider of secure electronic financial transaction solutions, headquartered in Leawood, Kansas, with European headquarters in Budapest, Hungary. Founded in 1994 by Michael J. Brown, who currently serves as Chairman, CEO, and President, the company began by installing the first independent, non-bank-owned ATM network in Central Europe, starting with 300 ATMs. Since then, it has grown into a global payments infrastructure company with over 10,800 employees and a significant presence in more than 175 countries.
The company operates through three core divisions. The EFT Processing segment offers electronic payment solutions including ATM cash withdrawal and deposit services, network participation, outsourced ATM and POS management, card issuing and merchant acquiring, currency conversion, fraud prevention, and tax refund services. It operates or services a network of approximately 42,713 ATMs and around 438,000 POS terminals. The epay segment focuses on the distribution and processing of prepaid products, such as mobile airtime, gift cards, and other electronic payment solutions, with a network of about 775,000 POS terminals. The Money Transfer segment provides consumer-to-consumer and account-to-account transfers, bill payments, check cashing, foreign currency exchange, and mobile top-ups, leveraging a network of approximately 510,000 money transfer locations.
Financially, Euronet has demonstrated strong performance with a market capitalization of about $2.74 billion as of late 2024. The company's revenue per share is $115.52, and it maintains a healthy gross profit margin of 33.8%, with net profit margin of 6.6%. Euronet's EBITDA margin is notably high at 30.1%, reflecting efficient operations. The company's enterprise value stands at $4.35 billion, with a price-to-earnings ratio of 9.94, suggesting potential undervaluation. Notably, Euronet has a debt-to-equity ratio of 2.28, indicating higher financial leverage, but its interest coverage ratio of 7.06 suggests manageable interest obligations. The company does not pay dividends, focusing instead on reinvestment and growth.
Under the leadership of Michael J. Brown, a veteran with over three decades in the industry, Euronet has expanded through strategic acquisitions and organic growth. The company emphasizes financial inclusion and innovation, continuously developing new payment technologies and services. Euronet is recognized as an industry leader, having been named the second fastest growing technology company by various business publications. With a strong global footprint and a commitment to secure, convenient electronic transactions, Euronet is well-positioned to capitalize on the growing demand for digital payments and cross-border money movement.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$4.2B
+6.4%
+9.5%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$309.5M
+1.1%
+106.4%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+41.3%
+3.0%
-68.3%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+12.5%
-1.0%
+73.8%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+7.3%
-4.9%
+88.4%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$410.8M
-33.3%
+74.4%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+9.7%
-37.3%
+76.6%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
166.5%
-1.8%
+2.2%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.11x
-11.5%
+7.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Day. Thank you for standing by. Welcome to Euronet Worldwide's second quarter 2026 earnings call conference. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you will need to press star one one on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star one one again. Please be advised that today's conference is being recorded. It is now my pleasure to introduce your host, Ms. Stephanie Taylor, Head of Investor Relations for Euronet Worldwide. Thank you. Ms. Taylor, you may now begin.
Stephanie Taylor: Thank you, Tyler. Good morning, and welcome to Euronet's second quarter 2026 earnings conference call. On the call, we have Mike Brown, our Chairman and CEO, and Rick Weller, our CFO. Before we begin, I need to call your attention to the forward-looking statements disclaimer on the second slide of the PowerPoint presentation we will be making today. Statements made on this call that confirm Euronet or its management's intentions, expectations or predictions of further performance are forward-looking statements. Euronet's actual results may vary materially from those anticipated in these forward-looking statements as a result of a number of factors that are listed on the second slide of our presentation. In addition, the PowerPoint presentation includes a reconciliation of the non-GAAP financial measures we will be using during the call to their most comparable GAAP measures. I'll turn the call over to our Chairman and CEO, Mike Brown.
Mike Brown: Thank you, Stephanie. Good morning, everybody, and thank you for joining us. I'll begin my comments on slide number four. During the second quarter, our results demonstrated the resilience of Euronet's diversified business model and our ability to execute against our long-term growth strategy. Second quarter adjusted EPS increased 10%, marking our fifth consecutive quarter of double-digit earnings growth. Our digital accelerators once again represented our primary growth driver during the quarter, with revenue growing 31% year-over-year for the second quarter and 35% year to date. While we experienced some softness in certain parts of the business and made some additional investments into digital, the continued momentum in our accelerators highlights the benefits of our diversified model and digital initiatives. We also continued to see a very positive response to the CoreCard platform, highlighted by the signing of a credit card processing agreement with Unibanca, one of Peru's leading bank processors. Finally, we continued to return capital to shareholders, repurchasing about $50 million worth of Euronet shares during the quarter. Overall, we are pleased with our ability to navigate an evolving macro environment and remain focused on executing our strategy, managing capital prudently and …