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Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company reports financial performance based on its operating segments, Banks, Merchants, and Billers, and analyzes Segment Adjusted EBITDA as a measure of segment profitability.

The Company’s Chief Executive Officer is also the chief operating decision maker ("CODM"). The CODM, together with other senior management personnel, focus their review on consolidated financial information and the allocation of resources based on operating results, including revenues and Segment Adjusted EBITDA, for each segment, separate from corporate operations. No operating segments have been aggregated to form the reportable segments.

Banks. ACI provides payment solutions to large and mid-size banks globally for retail banking, real time, digital, and other payment services. These solutions transform banks’ complex payment environments to speed time to market, reduce costs, and deliver a consistent experience to customers across channels while enabling them to prevent and rapidly react to fraudulent activity. In addition, they enable banks to meet the requirements of different real-time payments schemes and to quickly create differentiated products to meet consumer, business, and merchant demands.

Merchants. ACI’s support of merchants globally includes Tier 1 and Tier 2 merchants, online-only merchants and the payment service providers, independent selling organizations, value-added resellers, and acquirers who service them. These customers operate in a variety of verticals, including general merchandise, grocery, hospitality, dining, transportation, and others. The Company's solutions provide merchants with a secure, omni-channel payments platform that gives them independence from third-party payment providers. They also offer secure solutions to online-only merchants that provide consumers with a convenient and seamless way to shop.

Billers. Within the billers segment, ACI provides electronic bill presentment and payment (“EBPP”) services to companies operating in the consumer finance, insurance, healthcare, higher education, utility, government, and mortgage categories. The solutions enable these customers to support a wide range of payment options and provide a convenient consumer payments experience that drives consumer loyalty and increases revenue.

Revenue is attributed to the reportable segments based upon customer. Expenses are attributed to the reportable segments in one of three methods: (1) direct costs of the segment, (2) labor costs that can be attributed based upon time tracking for individual projects, or (3) costs that are allocated. Allocated costs are generally marketing and sales related activities.

Segment Adjusted EBITDA is the measure reported to the CODM for purposes of making decisions on allocating resources and assessing the performance of the Company’s segments, and, therefore, Segment Adjusted EBITDA is presented in conformity with ASC 280, Segment Reporting. Segment Adjusted EBITDA is defined as earnings (loss) from operations before interest, income tax expense (benefit), depreciation and amortization (“EBITDA”) adjusted to exclude net other income (expense).

Corporate and unallocated expenses includes global facilities and information technology costs and long-term product roadmap expenses in addition to corporate overhead costs that are not allocated to reportable segments. The overhead costs relate to human resources, finance, legal, accounting, and merger and acquisition activity. These costs along with depreciation and amortization and stock-based compensation are not considered when management evaluates segment performance.
The following is selected financial data for the Company’s reportable segments for the periods indicated (in thousands):
Three Months Ended
June 30,		Six Months Ended
June 30,
2024202320242023
Revenue
Banks$143,649 $117,507 $249,078 $205,547 
Merchants38,017 36,508 73,745 71,289 
Billers191,813 169,310 366,675 336,165 
Total revenue$373,479 $323,325 $689,498 $613,001 
Segment Adjusted EBITDA
Banks$79,212 $51,622 $120,850 $76,303 
Merchants15,375 9,911 26,026 16,455 
Billers37,435 31,229 68,172 60,870 
Depreciation and amortization(27,586)(31,436)(55,195)(62,975)
Stock-based compensation expense(10,720)(5,414)(18,819)(10,715)
Corporate and unallocated expenses(40,015)(45,392)(77,773)(93,770)
Interest, net(14,518)(16,451)(29,519)(31,838)
Other, net1,156 (4,092)(869)(7,487)
Income (loss) before income taxes$40,339 $(10,023)$32,873 $(53,157)

Assets are not allocated to segments, and the Company’s CODM does not evaluate operating segments using discrete asset information.
The following is revenue by primary solution category for the Company’s reportable segments for the periods indicated (in thousands):
Three Months Ended June 30, 2024
BanksMerchantsBillersTotal
Primary Solution Categories
Bill Payments$— $— $191,813 $191,813 
Merchant Payments— 38,017 — 38,017 
Fraud Management9,187 — — 9,187 
Real-Time Payments26,429 — — 26,429 
Issuing and Acquiring108,033 — — 108,033 
Total$143,649 $38,017 $191,813 $373,479 
Three Months Ended June 30, 2023
BanksMerchantsBillersTotal
Primary Solution Categories
Bill Payments$— $— $169,310 $169,310 
Merchant Payments— 36,508 — 36,508 
Fraud Management12,153 — — 12,153 
Real-Time Payments26,499 — — 26,499 
Issuing and Acquiring78,855 — — 78,855 
Total$117,507 $36,508 $169,310 $323,325 
Six Months Ended June 30, 2024
BanksMerchantsBillersTotal
Primary Solution Categories
Bill Payments$— $— $366,675 $366,675 
Merchant Payments— 73,745 — 73,745 
Fraud Management20,694 — — 20,694 
Real-Time Payments51,177 — — 51,177 
Issuing and Acquiring177,207 — — 177,207 
Total$249,078 $73,745 $366,675 $689,498 
Six Months Ended June 30, 2023
BanksMerchantsBillersTotal
Primary Solution Categories
Bill Payments$— $— $336,165 $336,165 
Merchant Payments— 71,289 — 71,289 
Fraud Management21,508 — — 21,508 
Real-Time Payments45,897 — — 45,897 
Issuing and Acquiring138,142 — — 138,142 
Total$205,547 $71,289 $336,165 $613,001 
Three Months Ended
June 30,		Six Months Ended
June 30,
2024202320242023
Banks
Software as a service and platform as a service$11,709 $9,742 $22,227 $18,991 
License63,486 42,885 92,019 59,201 
Maintenance44,973 47,624 89,299 93,966 
Services23,481 17,256 45,533 33,389 
Total$143,649 $117,507 $249,078 $205,547 
Merchants
Software as a service and platform as a service$31,877 $30,648 $62,229 $59,498 
License2,096 1,786 3,536 3,801 
Maintenance3,760 3,743 7,188 7,480 
Services284 331 792 510 
Total$38,017 $36,508 $73,745 $71,289 
Billers
Software as a service and platform as a service$191,813 $169,286 $366,675 $336,117 
License— — — — 
Maintenance— 24 — 48 
Services— — — — 
Total$191,813 $169,310 $366,675 $336,165 

The following is the Company's revenue by geographic location for the periods indicated (in thousands):
Three Months Ended
June 30,		Six Months Ended
June 30,
2024202320242023
Revenue
United States$229,543 $205,199 $457,650 $406,468 
Other143,936 118,126 231,848 206,533 
Total$373,479 $323,325 $689,498 $613,001 

The following is the Company’s long-lived assets by geographic location for the periods indicated (in thousands):
June 30, 2024December 31, 2023
Long-lived Assets
United States$1,182,509 $1,216,158 
Other739,723 763,437 
Total$1,922,232 $1,979,595 

No single customer accounted for more than 10% of the Company’s consolidated revenues during the three and six months ended June 30, 2024 and 2023. No other country outside the United States accounted for more than 10% of the Company's consolidated revenues during the six months ended June 30, 2024 and 2023.