The real-time digital payment software and solutions provider also reported that total revenue in the quarter fell 2 percent from Q1 2020 to $285 million, attributing the fall mainly to headwinds from the coronavirus pandemic.
ACI Worldwide reported that merchant segment revenue rose 22 percent to $39 million, while merchant segment earnings before interest, taxes, depreciation and amortization (EBITDA) surged by 129 percent from Q1 2020. The company also said biller segment revenue fell 2 percent to $151 million, as biller segment EBITDA grew by 13 percent. It said bank segment revenue dropped by 9 percent to $96 million, attributing the fall mainly to pandemic-related delays in purchasing decisions by bank clients, while bank segment EBITDA fell 12 percent, according to the announcement.
The company concluded the quarter with cash on hand of $185 million in addition to $459 million available through its credit facility. It also paid down $25 million in debt during the quarter, according to the announcement.
All in, ACI Worldwide reported a net loss of $2 million in Q1 2021, marking a large improvement from a net loss of $24 million in Q1 2020.
The company also reported $45 million in adjusted EBITDA in Q1 2021, up from $38 million in Q1 2020.
“ACI’s focus on execution continues to pay off, as demonstrated by our first quarter results. Despite significant and expected pandemic-related headwinds, new contract signings, revenue and adjusted EBITDA were above our expectations in the quarter,” ACI Worldwide President and CEO Odilon Almeida said in the announcement.
The news comes as the pandemic has dramatically heightened dependence on real-time and digital payments, bringing about a 41 percent jump in real-time payment transactions between 2019 and 2020.
To that end, a recent report from ACI Worldwide and GlobalData determined that over 70.3 billion real-time payments were processed last year.
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