Evertec 4% revenue drops to $117.9M in 2Q20
Evertec Inc. today announced results for the second quarter ended June 30, 2020, which reflected a revenue decrease of 4% to $117.9 million, compared with $122.5 million in the prior year.
The revenue decline in the quarter reflected a slowdown in transactions resulting from COVID-19 with sequential monthly recovery as businesses reopened in Puerto Rico partially offset by revenue benefit from new services in the business solutions segment.
“We were encouraged to see transaction volumes improve sequentially throughout the quarter as businesses re-open in Puerto Rico,” said Evertec CEO Mac Schuessler. “Additionally, we continued to focus on new innovative solutions such as launching our contactless payment solution and expanding our gateway product in Latin America to further accelerate the consumer preference for digital solutions.”
Schuessler said despite the near-term pandemic impact on Evertec’s results, the company produced $87 million in operating cash flow year-to-date, $11 million ahead of prior year.
“We believe that our resilient business model, strong product set, and dedicated team position us well to build momentum over the longer term as we execute on our strategic plans,” he said.
For the six months ended June 30, the company also reported a revenue drop of 1% to $239.9 million.
Evertec officials said that due to the “evolving environment and continued uncertainties resulting from the economic impact globally of the COVID-19 pandemic, the company is not providing guidance for 2020.”