Evertec Inc. Reports Strong Growth in 2025 Annual Report
Evertec Inc. (NYSE: EVTC), a leading full-service transaction-processing and financial technology provider, has released its 2025 annual report, showcasing substantial growth across all operational segments and geographic regions. The company reported total revenues of $931.8 million, marking a 10% increase from $845.5 million in 2024. This article delves into the key financial highlights, operational developments, and future prospects for Evertec.
1. Overview of Evertec
Headquartered in Puerto Rico, Evertec operates across Latin America and the Caribbean, offering a comprehensive suite of transaction-processing services. The company serves as one of the largest merchant acquirers in the region, managing the ATH network, which processes over ten billion transactions annually. Evertec's diversified service offerings enhance its competitive advantages, allowing it to provide tailored solutions to financial institutions and businesses alike.
2. Key Financial Highlights for 2025
Evertec's robust performance in 2025 can be attributed to organic growth across various segments, alongside contributions from strategic acquisitions. Below are the main financial highlights:
- Total Revenues: $931.8 million (up 10% from 2024)
- Net Income: $141.5 million, a significant increase from $112.6 million in 2024.
- Adjusted EBITDA: Not disclosed, but significant increases noted across segments.
Income Statement Summary
The following table summarizes the income statement for 2024 and 2025:
| Mar 2025 | Mar 2026 | |
|---|---|---|
Net Income | 112.6M | 141.5M |
Net Income to Non-controlling Interest | 2.15M | 2.97M |
Profit | 114.7M | 144.5M |
Net Income Continuing | 114.7M | 144.5M |
Income Tax Expense | 4.84M | 9.81M |
Pretax Income | 119.6M | 154.3M |
Non-operating Income | -46.04M | -32.06M |
Operating Income | 165.6M | 186.4M |
Revenue | 845.4M | 931.8M |
Costs and Expenses | 679.8M | 745.3M |
Cost of Revenue | 406.4M | 469.1M |
Operating Expenses | 273.4M | 276.2M |
Depreciation, Depletion & Amortization | 127.8M | 122.0M |
Selling, General & Administrative | 145.5M | 154.1M |
3. Revenue Growth by Geography
Evertec's revenue growth was notable in various geographic regions, particularly in Latin America, which saw a 21.74% increase due to the expansion of electronic payment solutions. The revenue breakdown by geography for 2025 is as follows:
- Latin America: $342.8 million
- Caribbean: $21.23 million
- Puerto Rico: $567.6 million
4. Segment Performance
Evertec operates through four primary segments: Payment Services - Puerto Rico & Caribbean, Latin America Payments and Solutions, Merchant Acquiring, and Business Solutions. The revenue growth in these segments for 2025 is summarized below:
- Payment Services - Puerto Rico & Caribbean: $223.3 million (up 4.5%)
- Latin America Payments and Solutions: $369.5 million (up 21.74%)
- Merchant Acquiring: $189.9 million (up 5.21%)
- Business Solutions: $250.1 million (up 2.5%)
Revenue by Products and Services
The product and service breakdown for Evertec in 2025 reflects a strong operational focus on transaction processing and monitoring fees, as well as software development. The revenue by products and services is as follows:
5. Operational Developments
Strategic Acquisitions
In October 2025, Evertec completed a significant acquisition by securing a 75% stake in Tecnobank Tecnologia Bancária S.A., a leading fintech vendor in Brazil. This acquisition is expected to bolster Evertec's offerings in the digital vehicle financing sector, aligning with the company’s goal to expand its market presence in Brazil.
Share Repurchase Authorization
In July 2025, Evertec's Board of Directors approved an increase in the share repurchase authorization, allowing for the repurchase of up to $150 million in common stock by the end of 2026. This initiative reflects the company's commitment to returning value to its shareholders.
6. Balance Sheet Overview
Evertec's balance sheet remains robust, with total assets amounting to $2.24 billion as of December 31, 2025. The company maintains a strong liquidity position, with cash and cash equivalents of $306 million.
| Mar 2025 | Mar 2026 | |
|---|---|---|
Total Assets | 1.85B | 2.24B |
Total Current Assets | 529.0M | 590.7M |
Cash and Equivalents | 273.6M | 305.9M |
Accounts Receivable | 137.5M | 164.3M |
Restricted Cash and Investments | 24.59M | 25.83M |
Prepaid Expenses | 61.38M | 68.46M |
Other Current Assets | 31.94M | 26.09M |
Total Non-current Assets | 1.32B | 1.65B |
Intangible Assets | 1.15B | 1.44B |
Long-term Investments | 35.36M | 39.17M |
Non-current Deferred Tax Assets | 33.87M | 45.38M |
Net PP&E | 62.05M | 64.35M |
Lease Assets | 10.13M | 38.21M |
Other Non-current Assets | 29.33M | 20.32M |
Total Liabilities and Equity | 1.85B | 2.24B |
Temporary Equity and Redeemable Non-controlling Interest | 43.46M | 89.15M |
Total Liabilities | 1.33B | 1.52B |
Total Current Liabilities | 279.6M | 285.0M |
Accounts Payable and Accrued Liabilities | 224.2M | 218.7M |
Current Debt | 30.09M | 39.74M |
Current Deferred Revenue | 25.3M | 26.6M |
Other Current Liabilities | -26K | -27K |
Total Non-current Liabilities | 1.05B | 1.24B |
Long-term Debt | 925.0M | 1.05B |
Non-current Deferred Revenue | 55M | 47M |
Non-current Deferred Tax Liabilities | 44.81M | 71.35M |
Other Non-current Liabilities | 33.81M | 72.87M |
Total Equity and Non-controlling Interests | 475.8M | 624.8M |
Total Equity | 472.5M | 621.6M |
Non-controlling Interests | 3.27M | 3.23M |
7. Cash Flow Statement
The net change in cash for Evertec in 2025 was a positive $33.48 million, reflecting operational efficiency and effective cash management strategies.
| Mar 2025 | Mar 2026 | |
|---|---|---|
Net Change in Cash | -29.07M | 33.48M |
Effect of Exchange Rate Changes | -18.29M | 16.26M |
Net Cash from Operating Activities | 260.0M | 227.0M |
Operating Profit | 114.7M | 144.5M |
Adjustment to Operating Profit | 145.2M | 82.44M |
Net Cash from Investing Activities | -118.2M | -238.2M |
Business & Interest in Affiliates | 36.03M | 144.4M |
Investments | -6.16M | 2.4M |
Productive Assets | 88.42M | 91.50M |
Other Investing Activities | 7K | 110K |
Net Cash from Financing Activities | -152.5M | 28.44M |
Debt | -34.48M | 128.8M |
Dividends | 12.87M | 12.78M |
Equity Issuance/Repurchase | -82.3M | -69.3M |
Other Financing Activities | -22.90M | -18.30M |
8. Conclusion
Evertec Inc. continues to demonstrate resilience and adaptability in a rapidly evolving transaction-processing landscape. With a solid financial foundation, strategic acquisitions, and an unwavering focus on electronic payment solutions, the company is well-positioned for future growth in the Latin American market. As consumer preferences shift towards digital solutions, Evertec's innovative approach and diversified offerings will likely further enhance its competitive edge in the industry.
