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Segment Information
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
In 2025, the Company made a change in organizational structure to align with its strategic direction. As a result of this change, the Company reassessed its segment reporting structure due to changes in leadership structure and how the Company's chief operating decision maker ("CODM") assesses the Company's performance and allocates resources. Beginning in the first quarter of 2025, the Company reported financial performance based on its new operating segments, Payment Software, which includes bank and merchant customers, and Biller. The Company continues to use Segment Adjusted EBITDA as a measure of segment profitability.

The Company’s Chief Executive Officer is also the chief operating decision maker. 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.
Payment Software. Payment Software drives payments orchestration for banks and merchants. ACI provides payment solutions to large and mid-size banks globally for retail banking, 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. ACI’s support of merchants globally includes Tier 1 and Tier 2 merchants (in-store and online), payment service providers, independent selling organizations, value-added resellers, and acquirers who service them. These customers operate in a variety of verticals, including general retail, grocery, hospitality, dining, travel and ticketing, fuel, telecommunications, and others. The Company's solutions provide merchants with a secure, omnichannel payments platform that gives them flexibility and independence. The Company also offers secure solutions to online-only merchants that provide consumers with a convenient and seamless way to shop.

Biller. Within the Biller segment, ACI provides electronic bill presentment and payment services to companies operating in the consumer finance, insurance, healthcare, higher education, utility, government, mortgage, subscription provider, and telecommunications 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. ACI also provides fraud abuse protection to its Biller customers leveraging its proven AI, human, and data capabilities.

Revenue is attributed to the reportable segments based upon customer and product. 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, including budget and forecast-to-actual variances, and, therefore, Segment Adjusted EBITDA is presented in conformity with ASC 280, Segment Reporting. Segment Adjusted EBITDA is defined as earnings 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 September 30, 2025
Payment SoftwareBillerTotal
Revenue$284,022 $198,337 $482,359 
Less:
Interchange (a)
— 135,253 135,253 
Global technology and innovation (b)
69,339 12,525 81,864 
Other segment items (c)
33,017 18,473 51,490 
Segment Adjusted EBITDA$181,666 $32,086 $213,752 
Reconciliation of income before income taxes
Depreciation and amortization(24,140)
Stock-based compensation expense(17,381)
Corporate and unallocated expenses(44,525)
Interest, net(11,135)
Other, net1,551 
Income before income taxes
$118,122 
Three Months Ended September 30, 2024
Payment SoftwareBillerTotal
Revenue
$272,151 $179,601 $451,752 
Less:
Interchange (a)
— 117,054 117,054 
Global technology and innovation (b)
60,600 12,169 72,769 
Other segment items (c)
30,896 19,458 50,354 
Segment Adjusted EBITDA$180,655 $30,920 $211,575 
Reconciliation of income before income taxes
Depreciation and amortization(31,515)
Stock-based compensation expense(11,346)
Corporate and unallocated expenses(46,128)
Interest, net(14,485)
Other, net(823)
Income before income taxes
$107,278 
Nine months ended September 30, 2025
Payment SoftwareBillerTotal
Revenue$664,090 $614,092 $1,278,182 
Less:
Interchange (a)
— 417,144 417,144 
Global technology and innovation (b)
199,183 37,763 236,946 
Other segment items (c)
93,402 56,419 149,821 
Segment Adjusted EBITDA$371,505 $102,766 $474,271 
Reconciliation of income before income taxes
Depreciation and amortization(72,226)
Stock-based compensation expense(45,419)
Corporate and unallocated expenses(135,546)
Interest, net(32,347)
Other, net18,898 
Income before income taxes
$207,631 
Nine months ended September 30, 2024
Payment SoftwareBillerTotal
Revenue
$594,974 $546,276 $1,141,250 
Less:
Interchange (a)
— 353,648 353,648 
Global technology and innovation (b)
179,153 35,955 215,108 
Other segment items (c)
88,290 57,581 145,871 
Segment Adjusted EBITDA$327,531 $99,092 $426,623 
Reconciliation of income before income taxes
Depreciation and amortization(86,710)
Stock-based compensation expense(30,165)
Corporate and unallocated expenses(123,901)
Interest, net(44,004)
Other, net(1,692)
Income before income taxes
$140,151 

(a) Interchange – Interchange costs include all payment card interchange fees, amounts payable to banks, and payment card processing fees associated with providing services to Biller customers.

(b) Global Technology & Innovation – (“GTI”) costs include the costs of maintaining software products, as well as the costs required to deliver, install, and support software at customer sites. It also includes maintenance costs, which are the efforts associated with providing the customer with upgrades, 24-hour help desk, post go-live (remote) support, and production-type support for software that was previously installed at a customer location. GTI includes costs to provide SaaS and PaaS services including our data center operations. Service costs including human resource and other incidental costs such as travel and training required for both pre go-live and post go-live support. Such efforts include project management, delivery, product customization and implementation, installation support, consulting, configuration, and on-site support. GTI also includes research and development expenses which are primarily human resource costs related to the creation of new products, improvements made to existing products, as well as compatibility with new operating system releases and generations of hardware.
(c) Other segment items – other includes selling and marketing, product management, third-party royalties and other cost of goods sold excluding interchange. Selling and marketing costs, which are the costs related to selling our products to current and prospective customers as well as the costs related to promoting the Company, its products and the research efforts required to measure customers’ future needs and satisfaction levels. Selling costs are primarily the human resource and travel costs related to the effort expended to license our products and services to current and potential clients within defined territories and/or industries as well as the management of the overall relationship with customer accounts. Selling costs also include the costs associated with assisting distributors in their efforts to sell our products and services in their respective local markets. Product management costs are primarily the human resource costs related to developing and documenting our product requirements.

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 September 30, 2025
Payment Software BillerTotal
Primary Solution Categories
Bill Payments$— $198,337 $198,337 
Merchant Payments50,951 — 50,951 
Fraud Management15,077 — 15,077 
Real-Time Payments34,679 — 34,679 
Issuing and Acquiring183,315 — 183,315 
Total$284,022 $198,337 $482,359 
Three Months Ended September 30, 2024
Payment Software BillerTotal
Primary Solution Categories
Bill Payments$— $179,601 $179,601 
Merchant Payments50,120 — 50,120 
Fraud Management18,451 — 18,451 
Real-Time Payments45,376 — 45,376 
Issuing and Acquiring158,204 — 158,204 
Total$272,151 $179,601 $451,752 
Nine Months Ended September 30, 2025
Payment Software BillerTotal
Primary Solution Categories
Bill Payments$— $614,092 $614,092 
Merchant Payments128,265 — 128,265 
Fraud Management39,812 — 39,812 
Real-Time Payments99,888 — 99,888 
Issuing and Acquiring396,125 — 396,125 
Total$664,090 $614,092 $1,278,182 
Nine Months Ended September 30, 2024
Payment Software BillerTotal
Primary Solution Categories
Bill Payments$— $546,276 $546,276 
Merchant Payments123,865 — 123,865 
Fraud Management39,145 — 39,145 
Real-Time Payments96,553 — 96,553 
Issuing and Acquiring335,411 — 335,411 
Total$594,974 $546,276 $1,141,250 
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
Payment Software
Software as a service and platform as a service$48,579 $43,766 $141,165 $128,222 
License161,957 157,429 303,161 252,984 
Maintenance51,420 47,559 150,483 144,046 
Services22,066 23,397 69,281 69,722 
Total$284,022 $272,151 $664,090 $594,974 
Biller
Software as a service and platform as a service$198,337 $179,601 $614,092 $546,276 
Total$198,337 $179,601 $614,092 $546,276 

The following is the Company's revenue by geographic location for the periods indicated (in thousands):
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
Revenue
United States$253,443 $241,054 $766,052 $698,704 
Other228,916 210,698 512,130 442,546 
Total$482,359 $451,752 $1,278,182 $1,141,250 

The following is the Company’s long-lived assets by geographic location for the periods indicated (in thousands):
September 30, 2025December 31, 2024
Long-lived Assets
United States$1,121,170 $1,169,965 
Other791,878 791,793 
Total$1,913,048 $1,961,758 

No single customer accounted for more than 10% of the Company's consolidated revenue during the three and nine months ended September 30, 2025 and 2024. The United Kingdom accounted for 12.0% of the Company's consolidated revenue during the three months ended September 30, 2024. No other country outside the United States accounted for more than 10% of the Company's consolidated revenues during the three and nine months ended September 30, 2025, and nine months ended September 30, 2024.