NCR Atleos Corp (NATL) 2023 Q4 法說會逐字稿

Good day, and welcome to the NCR Atleos Q4 Fiscal Year '23 Earnings Call. Today's conference is being recorded.

美好的一天，歡迎參加 NCR Atleos '23 財年第 4 季財報電話會議。今天的會議正在錄製中。

At this time, I'd like to turn the conference over to Brendan Metrano. Please go ahead.

這次，我想把會議交給 Brendan Metrano。請繼續。

Good morning, and thank you for joining the NCR Atleos earnings call for the fourth quarter of 2023. Joining me on the call today are Tim Oliver, President and CEO; Paul Campbell, CFO; and Stuart MacKinnon, Chief Operating Officer.

早安，感謝您參加 NCR Atleos 2023 年第四季財報電話會議。今天與我一起參加電話會議的有總裁兼執行長 Tim Oliver；保羅‧坎貝爾，財務長；和營運長 Stuart MacKinnon。

Tim will start this morning with an overview of fourth quarter financial and operational results, followed with an update on objectives for 2024. Next, Paul will provide an in-depth review of our results and the 2024 outlook. Then we'll move to Q&A.

Tim 今天早上將首先概述第四季度的財務和營運業績，然後介紹 2024 年目標的最新情況。接下來，Paul 將對我們的業績和 2024 年前景進行深入回顧。然後我們將進入問答環節。

Before we get started, let me remind you that our presentation and discussions will include forward-looking statements. These statements reflect our current expectations and beliefs and are subject to risks and uncertainties that could cause actual results to differ materially from those expectations. These risks and uncertainties are described in today's materials and our periodic filings with the SEC, including our annual report.

在我們開始之前，請允許我提醒您，我們的演示和討論將包含前瞻性陳述。這些陳述反映了我們目前的預期和信念，並受到風險和不確定性的影響，可能導致實際結果與這些預期有重大差異。這些風險和不確定性在今天的材料和我們向 SEC 定期提交的文件（包括我們的年度報告）中進行了描述。

On today's call, we'll also be discussing certain non-GAAP financial measures. These non-GAAP measures are described and reconciled to their GAAP counterparts in the presentation materials and on the Investor Relations page of our website.

在今天的電話會議上，我們還將討論某些非公認會計準則財務指標。這些非 GAAP 衡量標準在簡報資料和我們網站的投資者關係頁面上進行了描述，並與 GAAP 衡量標準進行了協調。

A replay of this call will be available later today on our website investor.ncratleos.com. With that, I'll turn the call over to Tim.

今天晚些時候，我們將在我們的網站 Investor.ncratleos.com 上提供本次電話會議的重播。這樣，我會將電話轉給提姆。

Thank you, Brendan, and thanks to all of you joining us this morning. We appreciate your interest in Atleos.

謝謝你，布倫丹，也感謝今天早上加入我們的所有人。我們感謝您對 Atleos 的興趣。

The summary slide on Page 6 describes a very busy 2023, capped by a strong fourth quarter that sets a solid jumping-off point for NCR Atleos in our first full year as a separate company. Importantly, our performance in the second half of 2023 and our current outlook for 2024 are both consistent with the modeling that we use during the separation process for discussions with both debt and equity investors.

第 6 頁的摘要幻燈片描述了非常繁忙的 2023 年，第四季度表現強勁，為 NCR Atleos 作為獨立公司的第一個全年奠定了堅實的起點。重要的是，我們 2023 年下半年的業績和目前對 2024 年的展望都與我們在與債務和股權投資者討論的分離過程中使用的模型一致。

In the fourth quarter, we posted solid year-over-year revenue growth, with particular strength in our transaction-driven and in our services businesses, that both benefit from our increasingly successful strategy to generate more revenue per machine from our base of 600,000 ATMs.

第四季度，我們實現了同比穩健的收入成長，尤其是我們的交易驅動業務和服務業務，這都受益於我們日益成功的策略，即從600,000 台ATM 機的基礎上為每台機器創造更多收入。

The fourth quarter finished out a year of exceptional execution on 3 different fronts. First, we completed the separation of a 140-year-old company into 2 industry leaders with clear strategies and strong competitive positions. Second, we overcame the potential for distraction and the sheer magnitude of the work associated with the spin, and delivered financial results that were well ahead of our 2023 annual budget. And finally, we made significant strategic progress by growing both our ATM-as-a-Service business by 30% to over 20,000 machines and by adding new FI partners and new countries to the network.

第四季在三個不同方面為一年的卓越執行畫上了圓滿的句號。首先，我們完成了將一家擁有140年歷史的公司拆分為兩家策略清晰、競爭地位強大的產業領導者。其次，我們克服了分散注意力的可能性以及與旋轉相關的工作量，並實現了遠遠超出 2023 年年度預算的財務表現。最後，我們取得了重大策略進展，將 ATM 即服務業務成長了 30%，機器數量超過 20,000 台，並在網路中增加了新的金融機構合作夥伴和新的國家。

I'm extremely grateful for the diligence, the fortitude and the dedication of our global NCR Atleos team. And I'm very appreciative of the patience and support our customers showed us as we navigated a very challenging but rewarding year.

我非常感謝我們全球 NCR Atleos 團隊的勤奮、毅力和奉獻精神。我非常感謝客戶在我們度過充滿挑戰但收穫豐富的一年時所展現的耐心和支持。

Based on the company's strong performance throughout this year and the momentum we carried into 2024, today, we announced 2024 guided ranges that are consistent with the preliminary targets highlighted in our December 5 investor update call. Paul will offer additional comments in a few minutes.

基於該公司今年全年的強勁表現以及我們在 2024 年保持的勢頭，今天，我們宣布了 2024 年指導範圍，該範圍與我們 12 月 5 日投資者更新電話會議中強調的初步目標一致。保羅將在幾分鐘內提供更多評論。

Slide 7 summarizes highlights from the fourth quarter. In Self-Service Banking, we activated over 2,000 ATM-as-a-Service units during the quarter and achieved our goal of finishing the year with over 20,000 active as-a-service units. Activations in Q4 included 1,650 units for Santander in the U.K. We also closed over 20 ATM-as-a-Service deals, including 8 new ATM-as-a-Service customers and 12 extensions with existing satisfied customers.

投影片 7 總結了第四季的亮點。在自助銀行業務方面，我們在本季啟動了 2,000 多個 ATM 即服務單元，並實現了年底時啟動的 ATM 即服務單元超過 20,000 個的目標。第四季的啟動包括英國桑坦德銀行的 1,650 個單位。我們還完成了 20 多項 ATM 即服務交易，包括 8 個新的 ATM 即服務客戶和 12 個與現有滿意客戶的延期。

Selling success allowed us to finish the year with good backlog to support our 2024 revenue. The customer pipeline remains robust, and our fully outsourced ATM solution continues to gain traction globally, and our ability to efficiently onboard and effectively serve our clients improves with each signing and subsequent activation.

銷售的成功使我們能夠以良好的積壓來支持我們 2024 年的收入。客戶管道仍然強勁，我們完全外包的 ATM 解決方案繼續在全球範圍內獲得關注，並且我們高效地入職和有效服務客戶的能力隨著每次簽約和後續激活而提高。

The Network business had an impressive fourth quarter as well. Top line growth was strong across most regions as our shared banking utility strategy continued to attract higher and more lucrative transaction volumes. The strong value proposition of the Allpoint network continues to resonate with financial institutions, including the leading non-bank FIs.

網路業務第四季的表現也令人印象深刻。由於我們的共享銀行公用事業策略持續吸引更高、更有利可圖的交易量，大多數地區的收入成長強勁。 Allpoint 網路強大的價值主張繼續引起金融機構（包括領先的非銀行金融機構）的共鳴。

For example, we recently announced that American Express selected the Allpoint ATM network to expand surcharge-free access in its business and consumer checking customers across the United States. Other notable financial institutions that joined the network in the fourth quarter included Morgan Stanley Wealth and Texas Bank.

例如，我們最近宣布美國運通選擇 Allpoint ATM 網路來擴大其在美國各地的企業和消費者支票客戶的免附加費存取。其他在第四季加入此網路的著名金融機構包括摩根士丹利財富銀行和德州銀行。

We also continued to expand our unique blue-chip retail partner network, with the addition of retail segment leaders like QuikTrip, Total petro stations and ASDA.

我們也持續擴大我們獨特的藍籌零售合作夥伴網絡，增加了 QuikTrip、Total 加油站和 ASDA 等零售領域的領導者。

Cash withdrawal transactions across the network grew 8% year-over-year, including 12% growth in the important surcharge-free withdrawals. And we again dispensed record amounts of cash.

全網提現交易量較去年同期成長8%，其中重要免附加費提現交易量成長12%。我們再次發放了創紀錄數量的現金。

We continued to optimize network efficiency and tactically rationalize some underperforming locations. The combined effect of strong transaction growth, favorable transaction mix and improved efficiency generated more than 20% adjusted EBITDA growth in the fourth quarter.

我們繼續優化網路效率，並對一些表現不佳的地點進行戰術性合理化。強勁的交易成長、有利的交易組合和效率提高的綜合效應使第四季度調整後的 EBITDA 成長超過 20%。

Turning to Slide 8. While Paul will walk you through the specific financial targets for 2024, I want to spend a couple of minutes on key goals and objectives that we have cascaded through the entire organization that should enable competitive, strategic and financial success in 2024.

轉向幻燈片8。雖然Paul 將引導您了解2024 年的具體財務目標，但我想花幾分鐘時間討論我們在整個組織中級聯的關鍵目標和目標，這些目標應在2024 年實現競​​爭、戰略和財務成功。

Our operating plan for 2024 is structured around 3 objectives: one, differentiate and grow; two, optimize scarce resource deployment; and three, successfully complete the separation.

我們 2024 年的營運計畫圍繞著 3 個目標：一是差異化和成長；二、優化稀缺資源配置；三是順利完成分離。

First, in an environment where the number of ATMs is relatively stable, growth will come from capturing more transactions on our fleet of 80,000 ATMs, or from generating incremental service revenues from the 520,000 machines in our FI customers' fleets. We will differentiate the experience in our devices with more functionality, better customer interfaces and leading reliability. We will evolve our hardware, innovate our product offering, augment functionality, and drive 24/7 availability with very limited downtime.

首先，在 ATM 數量相對穩定的環境中，成長將來自於我們 80,000 台 ATM 機群中捕獲更多交易，或來自於我們 FI 客戶機群中 520,000 台機器產生的增量服務收入。我們將透過更多功能、更好的客戶介面和領先的可靠性來打造與眾不同的設備體驗。我們將改進我們的硬體、創新我們的產品、增強功能並在非常有限的停機時間內推動 24/7 可用性。

Now a pure-play ATM company with a singular focus, we can invest in our products and in our service capability to secure and extend our leadership position.

現在，我們是一家專注於單一業務的純 ATM 公司，我們可以投資我們的產品和服務能力，以確保並擴大我們的領導地位。

Second, we will optimize the allocation of scarce people, capital expense and operating expense resources. The call on capital will always exceed capacity. We have implemented screening processes that prioritize speed to market and nearer-term revenue generation, followed by more robust project management and return models that are monitored and course corrected more frequently. Frequent measurement and clear accountability will result in higher realized returns and more rapid conversion to top line growth.

二是優化稀缺人才、資本支出、營運費用資源配置。資本的需求永遠超過能力。我們實施了篩選流程，優先考慮上市速度和近期創收，然後是更強大的專案管理和回報模型，並更頻繁地進行監控和修正。頻繁的衡量和明確的責任將帶來更高的已實現回報並更快地轉化為收入成長。

Emphasizing continuous improvement as part of our culture will buttress what has been a project-based cost productivity effort across manufacturing and services to become a repeatable annual process. And now that we are a smaller company, we are simplifying our business model and reducing our indirect cost structure.

強調持續改善作為我們文化的一部分，將支援製造和服務領域基於專案的成本生產力工作，成為可重複的年度流程。現在我們是一家規模較小的公司，我們正在簡化我們的業務模式並減少我們的間接成本結構。

And finally, we will successfully complete the separation of Atleos from NCR Voyix. Although the spin transaction was finalized on October 16 of last year, efforts to fully separate operations, systems, and even geographies, is still ongoing. A few of our businesses have yet to transfer to us due to the lengthy administrative processes in certain countries, which we expect to resolve in the second quarter of this year.

最後，我們將成功完成 Atleos 與 NCR Voyix 的分離。儘管分拆交易已於去年10月16日敲定，但完全分離營運、系統甚至地理的努力仍在進行中。由於某些國家/地區的行政流程冗長，我們的一些業務尚未轉移給我們，我們預計將在今年第二季解決。

There is also a multitude of transitional service and commercial agreements between Atleos and Voyix. I'm working closely with David and his Voyix team to optimize economic outcomes fairly, adjudicated issues and wind down transition service agreements as quickly as possible to minimize duplicate costs or dissynergies.

Atleos 和 Voyix 之間也簽訂了大量過渡服務和商業協議。我正在與 David 和他的 Voyix 團隊密切合作，公平地優化經濟成果、裁決問題並儘快結束過渡服務協議，以最大限度地減少重複成本或不協同效應。

We have a great company that just completed a remarkable year. And we have good reason to anticipate a bright future for NCR Atleos. With that, Paul, over to you.

我們擁有一家偉大的公司，剛剛度過了非凡的一年。我們有充分的理由期待 NCR Atleos 的光明未來。保羅，接下來就交給你了。

Thank you, Tim, and thanks to all of you for joining us today. As Tim noted, the fourth quarter was our first reporting period as a stand-alone company, and the work of separating from legacy NCR is ongoing. This, coupled with the use of assumptions, difference in basis of accounting for pre-separation periods and different post-separation capital structure cause us to view the full year 2023 results as less relevant for assessing the company's post-separation fundamental performance. Therefore, my comments today will focus on fourth quarter 2023 results which more closely align to our post-separation operations and reporting.

謝謝提姆，也謝謝大家今天加入我們。正如 Tim 指出的那樣，第四季度是我們作為獨立公司的第一個報告期，與傳統 NCR 的分離工作正在進行中。再加上假設的使用、分拆前會計基礎的差異以及分拆後資本結構的不同，導致我們認為 2023 年全年業績與評估公司分拆後基本業績的相關性較低。因此，我今天的評論將重點放在 2023 年第四季的業績，該業績與我們分離後的營運和報告更加一致。

Also, there are some items related to the separation transaction that impact the comparability of the fourth quarter results with the prior year period. Firstly, operations in 11 countries were temporarily delayed in separating from legacy NCR due to local processes of setting up NCR Atleo's legal entities. Under [carve-out] accounting, these operations were included in the fourth quarter 2022 results but not in the fourth quarter of 2023. This created an artificial headwind on the fourth quarter of 2023 of approximately $40 million of revenue and $9 million of EBITDA. Of these 11 countries, 4 transferred during Q4 2023 and the balance are expected to transfer by early Q2 2024.

此外，還有一些與分拆交易相關的項目影響了第四季業績與去年同期的可比性。首先，由於在當地設立 NCR Atleo 法人實體的流程，11 個國家的業務因與傳統 NCR 分離而暫時延遲。根據[剝離]會計，這些業務包含在2022 年第四季的業績中，但不包含在2023 年第四季的業績中。這給了2023 年第四季帶來了約4000 萬美元的收入和900萬美元的EBITDA 人為阻力。在這 11 個國家中，有 4 個國家在 2023 年第四季度進行了轉移，其餘國家預計將在 2024 年第二季度初進行轉移。

Secondly, in successfully separating from legacy NCR, NCR Atleos had dissynergies of approximately $11 million in Q4 2023. Given these factors, in addition to non-GAAP results that we typically provide when discussing quarterly financial results, in certain instances I will refer to normalized metrics that adjust for these items noted to improve comparability with prior period results. Note that we rely on non-GAAP results internally, along with other KPIs, to track underlying performance of the business.

其次，在成功脫離傳統NCR 的過程中，NCR Atleos 在2023 年第四季度產生了約1100 萬美元的協同效應。考慮到這些因素，除了我們在討論季度財務業績時通常提供的非GAAP 業績外，在某些情況下，我將參考標準化績效針對這些項目進行調整的指標旨在提高與前期結果的可比性。請注意，我們內部依靠非 GAAP 結果以及其他 KPI 來追蹤業務的基本績效。

Turning to Slide 10 and a review of the fourth quarter. Total company revenue increased 3% year-over-year to $1.1 billion. After normalizing for items that impacted comparability with prior year, we estimate total revenue would have grown approximately 7%. The continued progress of our recurring revenue model drove 10% growth in recurring revenue to $777 million and increased the mix of recurring revenue to 71%, up from 67% in the prior year period.

轉向幻燈片 10 並回顧第四季。公司總營收年增 3%，達到 11 億美元。在對影響與上一年可比性的項目進行標準化後，我們估計總收入將成長約 7%。我們的經常性收入模式的持續進步推動經常性收入成長 10%，達到 7.77 億美元，並將經常性收入組合從去年同期的 67% 提高到 71%。

Moving to the right. Fourth quarter adjusted EBITDA was $178 million, compared to $187 million in the prior year, with adjusted EBITDA margin of 16.2% and 17.6%, respectively. The decrease in the adjusted EBITDA and the EBITDA margin was primarily attributable to the delayed countries and Q4 2023 dissynergies. On a normalized basis, we estimate fourth quarter 2023 adjusted EBITDA would have grown year-over-year by approximately 7%.

向右移動。第四季調整後 EBITDA 為 1.78 億美元，去年同期為 1.87 億美元，調整後 EBITDA 利潤率分別為 16.2% 和 17.6%。調整後 EBITDA 和 EBITDA 利潤率的下降主要歸因於國家延遲和 2023 年第四季的綜效。在正常化的基礎上，我們預計 2023 年第四季調整後 EBITDA 將年增約 7%。

Moving down the P&L, depreciation and amortization and other expense were relatively similar to the prior year period. The most significant difference was external interest expense, which increased $69 million due to the $2.9 billion debt we issued as part of the separation, with external debt and associated interest expense in prior periods fully attributed to legacy NCR.

從損益表來看，折舊和攤提以及其他費用與去年同期相對相似。最顯著的差異是外部利息支出，由於我們在分拆過程中發行了 29 億美元債務，外部利息支出增加了 6,900 萬美元，而前期的外債和相關利息支出完全歸因於遺留 NCR。

Fourth quarter effective tax rate was approximately 28%, and the fully diluted average share count was 73.4 million compared to 70.6 million assumed for the pre-split historical period. The increase reflects dilution from restricted share units and options outstanding during the fourth quarter of 2023, which were not in effect prior to the separation. Fourth quarter diluted adjusted earnings per share was $0.69, and we had a net use of approximately $80 million (sic) [$60 million] of free cash flow due to payments related to the separation transaction and working capital timing.

第四季有效稅率約為 28%，完全稀釋後的平均股票數量為 7,340 萬股，而分割前歷史期間的假設為 7,060 萬股。這一增長反映了 2023 年第四季已發行的限制性股票單位和選擇權的稀釋，這些在分拆之前並未生效。第四季攤薄調整後每股收益為 0.69 美元，由於與分拆交易和營運資金安排相關的付款，我們淨使用了約 8000 萬美元（原文如此）[6000 萬美元]的自由現金流。

Moving to Slide 11. The Self-Service Banking was most impacted by the delayed countries, making fourth quarter comparisons inconsistent. So my comments will focus on normalizing these to provide a meaningful comparison.

前往投影片 11。自助銀行業務受延遲國家的影響最大，導致第四季度的比較不一致。因此，我的評論將集中於將這些標準化，以提供有意義的比較。

Starting in the upper left, fourth quarter revenue decreased 3% over the prior year period on a reported basis. On a normalized basis, we estimate revenue would have increased by approximately 2% over the prior year period. Adjusted EBITDA was $146 million, with adjusted EBITDA margin rate of 22%, compared to $159 million and 23% in the prior year. The varies in adjusted EBITDA and adjusted EBITDA margin was primarily attributable to the impact of delayed legal entities and dissynergies mentioned earlier. This is partially offset by lower SG&A costs in the current year. On a normalized basis, we estimate adjusted EBITDA would have increased approximately 1% over the prior year period.

從左上角開始，第四季營收按報告數據比去年同期下降 3%。在正常化的基礎上，我們估計營收將比去年同期成長約 2%。調整後 EBITDA 為 1.46 億美元，調整後 EBITDA 利潤率為 22%，而前一年為 1.59 億美元，調整後 EBITDA 利潤率為 23%。調整後 EBITDA 和調整後 EBITDA 利潤率的差異主要歸因於前面提到的法律實體延遲和綜效的影響。這被本年度較低的銷售、管理和管理成本所部分抵銷。在正常化的基礎上，我們估計調整後的 EBITDA 將比去年同期成長約 1%。

Moving to KPIs at the bottom of the slide. Excluding the separation-related impacts, we saw continued sequential progress on our strategic KPIs. As Tim noted earlier, we finished the quarter and year with over 20,000 ATM-as-a-Service units, which translates to a 43% increase of units over the prior year. This is consistent with our goal for the year.

轉到幻燈片底部的 KPI。排除與離職相關的影響，我們看到我們的策略 KPI 持續取得連續進展。正如 Tim 之前指出的那樣，我們在本季度和本年度結束時擁有超過 20,000 個 ATM 即服務單位，這意味著單位數量比上一年增加了 43%。這與我們今年的目標是一致的。

Annual recurring revenue, or ARR, in the bottom right shows a slight decline, which again was caused by the delayed countries. On a normalized basis, this would have been above $1.6 billion and aligns to the consistent sequential growth trend from our focus on driving sustainable recurring revenue.

右下角的年度經常性收入（ARR）略有下降，這也是由國家延遲造成的。在正常化的基礎上，這一數字將超過 16 億美元，並且符合我們專注於推動永續經常性收入的持續連續成長趨勢。

Some additional information to help track ATM-as-a-Service progress. ATM-as-a-Service revenue accounted for approximately 6.5% of Self-Service Banking segment revenues in the fourth quarter and increased 56% over the prior year period. We added over 2,000 ATM-as-a-Service units during the quarter.

一些有助於追蹤 ATM 即服務進度的附加資訊。第四季度，ATM 即服務收入約佔自助銀行部門營收的 6.5%，比去年同期成長 56%。本季我們增加了 2,000 多個 ATM 即服務單位。

Moving to Slide 12 and our Network segment. We saw another very strong performance in the Network segment. Starting at the top, revenue increased 8% over the prior year period in the fourth quarter, led by high single-digit growth in withdrawal volumes. Withdrawal growth was broad-based with North America up 5% and international up 10%. International growth benefited from the agreement with ASDA implemented in the fourth quarter. Importantly, higher-margin surcharge-free transactions grew faster than surcharge transactions.

前往投影片 12 和我們的網路部分。我們在網路領域看到了另一個非常強勁的表現。從頂部開始，第四季的營收比去年同期成長了 8%，提款量出現高個位數成長。提款成長廣泛，北美成長 5%，國際成長 10%。國際成長受益於第四季度實施的與 ASDA 的協議。重要的是，利潤率較高的免附加費交易的成長速度快於附加費交易。

Moving to the chart on the right. Adjusted EBITDA of $100 million represents margin expansion of 380 basis points over the prior year period, or 31% of revenue. Around half of EBITDA margin rate expansion was driven by incremental volume and higher margin mix. The other half was related to separation accounting treatment for in Q4 2022.

轉到右側的圖表。調整後 EBITDA 為 1 億美元，意味著利潤率較上年同期成長 380 個基點，佔營收的 31%。約一半的 EBITDA 利潤率擴張是由增量和更高的利潤率組合推動的。另一半則與 2022 年第四季的離職會計處理有關。

Our Network strategy is focused on growing transaction volume on a relatively fixed base of units, including adding users like Banco Sabadell and adding transaction types like Fiserv, both expanded relationships announced recently.

我們的網路策略專注於在相對固定的單位基礎上增加交易量，包括增加 Banco Sabadell 等用戶和添加 Fiserv 等交易類型，這兩項業務最近都宣布擴大了合作關係。

Key metrics at the bottom of the slide highlight how well the business has been doing. On the left, you can see that we have continued to optimize our ATM portfolio, finishing the quarter with flat 83,000 units. The chart on the right shows the last 12 months average revenue per unit or ARPU was up 7% over the prior year period in the fourth quarter, another proof point in the execution of our strategy to increasingly monetize our existing network of ATMs.

幻燈片底部的關鍵指標突顯了業務的表現。在左側，您可以看到我們繼續優化 ATM 產品組合，本季結束時 ATM 數量持平 83,000 台。右圖顯示，過去 12 個月第四季每單位平均收入 (ARPU) 比去年同期成長了 7%，這是我們執行策略的另一個證明，即不斷利用現有 ATM 網路實現貨幣化。

Moving to Slide 13. Starting on the left with comments on the remaining reporting segments. Technology & Telecom segment revenue and adjusted EBITDA were down year-over-year due to the exit country delays and a reduction in activity for some of our larger customers in Q4 2023. The Other segment represents legacy NCR Voyix exited geographies and commercial agreements between NCR Atleos and NCR Voyix. Other revenue increased over prior year period, benefiting from services we performed from NCR Voyix post separation, which would have been intercompany prior to separation. Unallocated corporate costs increased 11% to $83 million due to dissynergies and higher foreign exchange related other expense.

前往投影片 13。從左側開始，對其餘報告部分進行評論。由於退出國家/地區的延遲以及2023 年第四季度我們一些較大客戶的活動減少，技術和電信部門的收入和調整後的EBITDA 同比下降。其他部門代表傳統NCR Voyix 退出的地區以及NCR 之間的商業協議Atleos 和 NCR Voyix。其他收入比上年同期有所增加，這得益於我們在分離後從 NCR Voyix 提供的服務，這些服務在分離之前是公司間的。由於協同效應和外匯相關其他費用增加，未分配的企業成本增加了 11%，達到 8,300 萬美元。

On the right-hand side is an overview of the year-end financial position. We have ample liquidity with over $700 million of cash and credit. We finished the quarter with a little over $3 billion in debt and $2.6 billion of net debt. Our leverage was approximately 3.6x based on trailing 12-month adjusted EBITDA. Capital allocation priorities are unchanged from our December 5 investor update call, and we plan to review recommendations with our Board in Q2.

右側是年終財務狀況的概覽。我們擁有充足的流動性，擁有超過 7 億美元的現金和信貸。本季末，我們的債務略高於 30 億美元，淨債務為 26 億美元。根據過去 12 個月的調整後 EBITDA，我們的槓桿約為 3.6 倍。資本配置優先事項與我們 12 月 5 日的投資者更新電話會議相比沒有變化，我們計劃在第二季與董事會一起審查建議。

Turning to Slide 14 and our financial outlook for 2024. I'll start with full year targets. We expect total company revenues to be in the range of $4.2 billion to $4.4 billion, adjusted EBITDA of $770 million to $800 million, and diluted adjusted EPS of $2.90 to $3.20, and free cash flow of $170 million to $230 million.

轉向幻燈片 14 和我們 2024 年的財務展望。我將從全年目標開始。我們預計公司總營收將在42 億美元至44 億美元之間，調整後EBITDA 為7.7 億美元至8 億美元，稀釋調整後每股收益為2.90 美元至3.20 美元，自由現金流為1.7 億美元至2.3 億美元。

At a segment level, we expect Self-Service Banking revenue of approximately $2.6 billion with adjusted EBITDA margin of 26% to 27%. Network revenue of approximately $1.3 billion with adjusted EBITDA margin of 26.5% to 27.5%. T&T segment revenue of approximately $200 million with adjusted EBITDA margin of approximately 20%. Other revenue of approximately $200 million with 6% to 7% adjusted EBITDA margin. Unallocated corporate cost should be 6.5% to 7% of total company revenue.

在細分市場層面，我們預期自助銀行業務收入約為 26 億美元，調整後 EBITDA 利潤率為 26% 至 27%。網路營收約 13 億美元，調整後 EBITDA 利潤率為 26.5% 至 27.5%。 T&T 部門營收約 2 億美元，調整後 EBITDA 利潤率約 20%。其他收入約 2 億美元，調整後 EBITDA 利潤率為 6% 至 7%。未分配的公司成本應占公司總收入的6.5%至7%。

Other relevant assumptions include interest expense of approximately $290 million and an effective tax rate of approximately 26% and fully diluted average share count of 75.3 million.

其他相關假設包括約 2.9 億美元的利息支出、約 26% 的有效稅率以及 7,530 萬股完全稀釋後的平均股數。

For the first quarter of 2023, we expect total company revenues to be in the range of $1 billion to $1.05 billion, adjusted EBITDA of $150 million to $160 million, adjusted EPS of $0.30 to $0.40 per share. We expect free cash flow will be positive. Our Q1 2024 guidance fully accounts for the impact of the headwind of the remaining 7 delayed legal entities which have not transferred at the end of Q4 2023. The Q1 2024 impact of these delays is expected to be approximately $15 million of revenue and approximately $5 million of EBITDA. We do not expect any material impact beyond Q1 2024.

對於 2023 年第一季度，我們預計公司總營收將在 10 億美元至 10.5 億美元之間，調整後 EBITDA 為 1.5 億美元至 1.6 億美元，調整後每股收益為 0.30 美元至 0.40 美元。我們預計自由現金流將為正值。我們的2024 年第一季指引充分考慮了截至2023 年第四季末尚未轉讓的其餘7 個延遲法人實體的逆風影響。這些延遲對2024 年第一季的影響預計約為1500 萬美元的收入和約500 萬美元的收入息稅折舊攤提前利潤 (EBITDA)。我們預計 2024 年第一季之後不會產生任何重大影響。

At a segment level, we expect the first quarter Self-Service Banking revenue to be approximately $615 million with adjusted EBITDA margin of 22% to 23%. Network revenue of approximately $[315] million with adjusted EBITDA margin of 24.5% to 25.5%. T&T revenue of approximately $40 million with adjusted EBITDA margin of approximately 20%. Other revenue of approximately $60 million with adjusted EBITDA margin in the low single digits. Unallocated corporate costs should be between 6.5% and 7% of total company revenue.

在細分市場層面，我們預計第一季自助銀行業務收入約為 6.15 億美元，調整後 EBITDA 利潤率為 22% 至 23%。網路收入約為[315]百萬美元，調整後的 EBITDA 利潤率為 24.5% 至 25.5%。 T&T 營收約 4,000 萬美元，調整後 EBITDA 利潤率約 20%。其他收入約 6,000 萬美元，調整後 EBITDA 利潤率僅為個位數。未分配的公司成本應占公司總收入的 6.5% 至 7%。

Other assumptions include interest expense of $75 million to $80 million, effective tax rate of approximately 26%, and fully diluted average share count of 73.9 million shares.

其他假設包括 7,500 萬至 8,000 萬美元的利息支出、約 26% 的有效稅率以及 7,390 萬股的完全稀釋平均股數。

Note that we have posted quarterly segment results for 2022 and 2023 in the Presentations section of our Investor Relations website. This can be used as a baseline for modeling our financial outlook.

請注意，我們已在投資者關係網站的演示部分發布了 2022 年和 2023 年的季度分部業績。這可以用作我們財務前景建模的基準。

In closing, in Q4, NCR Atleos delivered a strong performance, was a very complex quarter to compare due to the separation event related actions and transactions and the different accounting basis between periods. I look forward to a fresh start in 2024 with minimal transaction-related references and to focusing on discussing the strong momentum and results from our 2 key segments.

最後，NCR Atleos 在第四季度表現強勁，由於與分離事件相關的行動和交易以及不同時期之間的會計基礎不同，這是一個非常複雜的季度。我期待 2024 年有一個新的開始，盡量減少與交易相關的參考，並重點討論我們兩個關鍵領域的強勁勢頭和成果。

With that, I turn it back to you, Tim.

說到這裡，我把它轉回給你，提姆。

Thanks, Paul. Good work. So 2023 was an eventful exhausting and rewarding year. The business logic that inspired the separation of NCR and the creation of Atleos is proving out to be correct. As a pure-play company with leading positions in everything that we do, our tactical and strategic plans are clear and focused. Our team is energized and our customers want to buy more from us.

謝謝，保羅。幹得好。因此，2023 年是忙碌又收穫豐富的一年。事實證明，促使 NCR 分離並創建 Atleos 的商業邏輯是正確的。作為一家在我們所做的一切領域都處於領先地位的純粹公司，我們的戰術和戰略計劃清晰且重點突出。我們的團隊充滿活力，我們的客戶希望從我們這裡購買更多產品。

We are confident that reigniting innovation, prudently allocating capital and gracefully completing the separation of our company will drive strong financial performance, enhance competitive positioning and the faster uptake of our service and shared financial utility strategies. And importantly for this audience, the recognition of a more valuable NCR Atleos.

我們相信，重新激發創新、審慎分配資本以及優雅地完成公司的分拆，將推動強勁的財務業績、增強競爭地位以及更快地採用我們的服務和共享金融公用事業策略。對觀眾來說，重要的是對更有價值的 NCR Atleos 的認可。

With that, we're happy to take your questions.

因此，我們很樂意回答您的問題。

(Operator Instructions)

（操作員說明）

Operator, just before we go to questions, this is Paul Campbell here. I just want to clarify. I misquoted the free cash flow number. It's approximately $60 million use of free cash flow rather than $80 million. So a slight misstatement there. [Firstly not 10x out]. We can go to questions now.

接線員，就在我們開始提問之前，我是保羅·坎貝爾。我只是想澄清一下。我錯誤引用了自由現金流數字。自由現金流的使用量約為 6000 萬美元，而不是 8000 萬美元。所以這裡有一個輕微的錯誤陳述。 [首先不是 10 倍]。我們現在可以開始提問了。

We'll take our first question from Matt Summerville from D.A. Davidson.

我們將回答來自 D.A. 的 Matt Summerville 的第一個問題。戴維森。

You've got Canyon Hayes on for Matt Summerville. I was just wondering if we could get a little bit more of a finer point. I was curious as to the kind of the headwind to revenues and EBITDA due to the as-a-service changeover in fourth quarter. And then also what's baked into the guide for 2024. Kind of on that same line. I'm just curious what sort of levers we had with respect to the free cash flow update. And I've got a follow-up.

坎寧海斯 (Canyon Hayes) 飾演馬特薩默維爾 (Matt Summerville)。我只是想知道我們是否可以得到更多的細節。我很好奇第四季的即服務轉變對營收和 EBITDA 造成的不利影響。然後還有 2024 年指南中的內容。有點類似。我只是好奇我們在自由現金流更新方面有什麼樣的槓桿。我還有後續行動。

Okay. So for the impact on Q4, it was around $10 million of impact. Most of the units we put on were asset-light in Q4.

好的。因此，對於第四季度的影響，影響約為 1000 萬美元。第四季我們投放的單位大部分都是輕資產。

So, what was the second question?

那麼，第二個問題是什麼？

Impact in 2024.

2024 年的影響。

Impact in 2024 is around -- between $80 million and $100 million.

2024 年的影響約為 8,000 萬至 1 億美元。

Great. And I was curious if you could touch on the kind of the levers up and down on the free cash flow forecast.

偉大的。我很好奇你是否能談談自由現金流預測的上下槓桿類型。

The levers on the '24 forecast. Primarily, we'll -- we put them in the [bids] before. So essentially, we're working on the capital deployed. So we'll meet around the capital, as Tim said, we're going to monitor our spend and focus on the projects that bring the payback earlier than the future period.

24 年預測的槓桿。首先，我們將－我們之前將它們放入[投標]中。所以本質上，我們正​​在努力部署資本。因此，我們將在首都附近會面，正如蒂姆所說，我們將監控我們的支出，並專注於那些能夠在未來時期之前帶來回報的項目。

And then it's driving our working capital, making sure that we can make improvements in our days receivable outstanding in particular and tightening up on inventory.

然後它推動了我們的營運資本，確保我們能夠改善應收帳款週轉天數，特別是並收緊庫存。

Yes. Historically, we've been a modest user of working capital as we grew. We don't think we need to do that going forward. Our new revenue streams caused us to actually have -- to convert revenue to receivables more quickly. I think that will be helpful.

是的。從歷史上看，隨著我們的發展，我們一直是營運資本的適度使用者。我們認為未來不需要這樣做。我們的新收入來源使我們能夠更快地將收入轉化為應收帳款。我認為這會有幫助。

I also think that we -- the primary lever we have is how much CapEx we spend on growth. And while I don't want to ever have to constrain that, I think it's the best way to redeploy capital, if necessary, would. We've got built into our budget a pretty significant use of cash to drive the ATM-as-a-Service business. I think it's sufficient to support the year and to support the units and the forecast. So I feel good about the free cash flow forecast. But it's CapEx and it's working capital.

我還認為，我們擁有的主要槓桿是我們在成長上花費了多少資本支出。雖然我不想限制這一點，但我認為這是重新部署資本的最佳方式（如果有必要的話）。我們在預算中投入了大量現金來推動 ATM 即服務業務。我認為這足以支持今年、支援單位和預測。所以我對自由現金流預測感覺良好。但這是資本支出和營運資金。

Great. And I was wondering if we could get a little bit of a regional view of the ATM market and, correspondingly, what we think that industry units did in '23 and what the expectation is for '24 in terms of volume?

偉大的。我想知道我們是否可以對 ATM 市場有一些區域性的了解，相應地，我們認為行業單位在 23 年做了什麼，以及對 24 年數量的預期是什麼？

Yes, Canyon, we have not gotten back -- we sort of rely on some of the industry analysts to give us a view of what the market does. So we haven't really gotten the '23 view of sort of ATM units sold internationally across all of the vendors. Our volume has been fairly consistent internationally in all of the regions.

是的，Canyon，我們還沒有回來——我們有點依賴一些行業分析師來讓我們了解市場的趨勢。因此，我們還沒有真正了解所有供應商在國際上銷售的 ATM 設備的 23 年情況。我們在國際上所有地區的銷售量都相當一致。

Fairly consistent with what we said on Investor Day, we expect the market to be sort of flat to 1% up in terms of units sold. We have some upcoming sort of tailwinds, I guess, you could say, in terms of people getting ready to refresh the machines they bought 6 or 7 years ago during the Windows 7 migration. So we expect 2024 to be sort of fairly consistent with '23 in terms of total units.

與我們在投資者日所說的相當一致，我們預計市場銷量將持平至 1%。我想，你可以說，我們即將迎來一些順風車，人們準備更新他們在 Windows 7 遷移期間購買的 6 或 7 年前的機器。因此，我們預期 2024 年的總單位數將與 23 年相當一致。

Yes. And I think another comment there Stuart, is that hardware is now becoming less and less a proportion of our total revenue, is now into the high -- to the teens. And we're more increasingly becoming a consumer of our own hardware through our ATM-as-a-Service business and our Network business. So it's not a -- it's important, we're tracking it, but it's becoming a less dependent revenue stream for us.

是的。我認為史都華的另一個評論是，硬體現在在我們總收入中所佔的比例越來越小，現在已經到了青少年的高點。透過我們的 ATM 即服務業務和網路業務，我們越來越多地成為我們自己的硬體的消費者。所以這不是——這很重要，我們正在追蹤它，但它正在成為我們依賴程度較低的收入來源。

And we'll go next to Michael O'Brien from Wolfe Research.

接下來我們請來自沃爾夫研究中心的麥可‧奧布萊恩。

So a few quick ones here. So regarding your outlook for 2024, I'd like to know your macro view going into the year and how that affects the ATM-as-a-Service ramp-up that we're expecting. Obviously, we're seeing some pressure in regional banks and so forth. So I'm wondering if you guys are seeing that on your end with the ATM-as-a-Service initiatives.

所以這裡有一些快速的。因此，關於您對 2024 年的展望，我想知道您對這一年的巨集觀看法，以及這將如何影響我們預期的 ATM 即服務的成長。顯然，我們看到地區銀行等面臨一些壓力。所以我想知道你們是否透過 ATM 即服務計劃看到了這一點。

Michael, no, not at all. We've got -- we're seeing robust volumes in Q4. The ATM-as-a-Service, I think Tim mentioned earlier, that we've got about 1/3 of our deployments planned for 2024 already in backlog and just working on getting these put into the ground. But we're not seeing any pressure from the regional bank dialogues. We see that as a potential opportunity for us as banks look to cut their costs, then we can come in, as we said in our Investor Day, we believe we can save them money and generate more profit for ourselves. So this is -- it's something we're watching closely, but we see it as an upside.

邁克爾，不，一點也不。我們在第四季度看到了強勁的銷售量。 ATM 即服務，我想 Tim 之前提到過，我們計劃在 2024 年部署的大約 1/3 已經積壓，正在努力將這些部署落實到位。但我們沒有看到來自地區銀行對話的任何壓力。我們認為這對我們來說是一個潛在的機會，因為銀行希望削減成本，然後我們就可以介入，正如我們在投資者日所說，我們相信我們可以為他們節省資金並為自己創造更多利潤。所以這是我們正在密切關注的事情，但我們認為這是一個好處。

Great. And so are you guys still on track for about 35,000 units for year-end?

偉大的。那麼，你們是否仍有望在年底實現約 35,000 輛的銷量？

Yes, we're tracking to 30,000 to 35,000 by the end of this year, just depending on how many get deployed before we cut off the year this year.

是的，我們預計到今年年底將達到 30,000 到 35,000 個，具體取決於我們在今年截止之前部署了多少個。

So, or to say it differently -- say it differently, if we don't hit 35,000, it won't be for lack of demand. It will be the ability to install quickly enough.

所以，或者換句話說，如果我們沒有達到 35,000，那並不是因為需求不足。這將是安裝足夠快的能力。

And there are no further questions in the queue at this time.

目前隊列中沒有其他問題。

Excellent. Well, thank you for those who did ask questions. We hope to have a bigger audience as we go forward. I know some folks are thinking about picking up coverage soon.

出色的。嗯，謝謝那些提出問題的人。我們希望隨著我們的前進，能有更多的觀眾。我知道有些人正在考慮盡快接受報道。

We appreciate your interest in the story. We believe strongly in it. And have a great quarter. We'll talk to you 90 days from now.

我們感謝您對這個故事的興趣。我們堅信這一點。並祝您度過愉快的季度。我們將在 90 天後與您聯繫。

And that does conclude today's conference. Thank you for your participation. You may now disconnect.

今天的會議到此結束。感謝您的參與。您現在可以斷開連線。