News

Cardtronics raises 2012 forecast on strong Q1 results

May 1, 2012

Cardtronics Inc. announced yesterday afternoon its financial and operational results for the first quarter of 2012 and, based on better-than-expected numbers, raised its forecast for the year.

Key year-over-year statistics for the first quarter of 2012 include:

• Consolidated revenues of $191.0 million, up by 38 percent.
• 18 percent organic growth, driven by U.S. same-store withdrawal transaction growth of 11 percent in the quarter.
• 20 percent growth from acquisitions completed during 2011.
• Adjusted Net Income per diluted share of 38 cents, up by 41 percent from 27 cents.
• Adjusted EBITDA of $44.5 million, up by 33 percent from $33.5 million.
• GAAP net income of $9.8 million or 22 cents per diluted share, up from $6.5 million or 15 cents per diluted share.

"We had a very strong quarter on the top-line, with organic growth driven by record same-store transaction growth in our U.S. operations," said Cardtronics CEO Steve Rathgaber. " … Additionally, we had a very productive quarter on the new relationships front, executing several new long-term contracts with premier retailers in multiple geographies. With these recent contract wins, we continue to demonstrate to merchant retailers our industry-leading execution capabilities and our ability to drive foot traffic to their locations."

Highlights from the quarter included:

• The strongest quarterly U.S. same-store withdrawal transaction growth in the company's operating history.
• Further expansion into Canada as a result of the company's relationship with 7-Eleven. This includes the addition of 472 ATMs to the Cardtronics portfolio and potential for additional growth as exclusive ATM service provider to all 7-Eleven stores in Canada.
• Installation of ATMs in 350 Valero stores by the end of April 2012 under a previously announced contract; the company expects to complete  an additional 620 planned installations by end of the second quarter.
• Installation of 160 ATMs by the end of April per a contract with a major U.K. gas and convenience store operator in the U.K.; an additional 600 installations (out of a total of 1,000) are slated for completion by year-end.
• The addition of 650 new Cardtronics-owned ATMs in the U.S. and U.K. in the first quarter.
• The addition of bank branding in approximately 400 locations during the quarter.

Based on first quarter performance, the company updated its previous financial guidance for 2012 as follows:

• Revenues of $755.0 million to $770.0 million.
• Overall gross margins of approximately 31.2 percent to 31.8 percent.
• Adjusted EBITDA of $182.5 million to $189.5 million.
• Adjusted Net Income of $1.58 to $1.64 per diluted share, based on approximately 43.9 million weighted average diluted shares outstanding.
• Capital expenditures of approximately $70.0 million, net of non-controlling interests.

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