Evertec Stock Earnings Reports

Key points for investors: EVERTEC reported a strong Q1 2026 with revenue of $247.9M (+8% YoY, +~5% constant currency), adjusted EBITDA of ~$97M (+9% YoY) and adjusted EPS of $0.90 (+3% YoY). Management closed the Dimensa acquisition, positioning EVERTEC as a larger financial SaaS provider in Latin America; Dimensa is expected to be neutral to slightly accretive in 2026 with synergies beginning in 2027. Latin America was the main growth driver (reported +32% YoY; ~+24% constant currency), helped by the full quarter contribution from Tecnobank and a Brazilian real tailwind. Puerto Rico operations remained resilient (moderate Merchant Acquiring growth, ATH Movil strength), while Business Solutions declined ~9% driven largely by the 10% discount to Popular and a prior-year one-time sale. Management raised 2026 guidance: reported revenue $1.073B–$1.085B (13.8%–15% constant currency growth range), adjusted EBITDA margin target ~39%–40%, and adjusted EPS growth of 6.6%–9.9% (5.2%–8.6% on a constant currency basis). Balance sheet and capital allocation: liquidity ~ $460M pre-Dimensa close, net debt / TTM adj. EBITDA ~2.15x (within 2–3x target), repurchased ~700k shares (~$20M) in Q1 with ~$130M remaining authorization, and continued dividend program. Management highlighted active M&A discipline and pipeline, focus on integration/execution (Dimensa, Sinqia, Tecnobank), ongoing investments (capex ~ $90M expected for the year) and potential margin/growth benefits from AI initiatives. Key near-term risks/considerations: FX volatility (both tailwinds and headwinds across markets), ongoing impacts from the Popular discount, higher statutory taxes in LatAm, and integration/timing of Dimensa synergies (not assumed in 2026 guidance).