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Segment Information (Tables)

9 Months Ended

Sep. 30, 2018

Segment Reporting [Abstract]

Information about Operations by Business Segments

The following tables set forth information about the Company’s operations by its four business segments for the periods indicated:

	Three months ended September 30, 2018
(In thousands)	Payment Services - Puerto Rico & Caribbean				Payment Services - Latin America				Merchant Acquiring, net				Business Solutions				Corporate and Other (1)				Total
Revenues	$	28,951			$	18,907			$	24,486			$	48,831			$	(9,158	)		$	112,017
Operating costs and expenses	13,021				18,890				14,160				30,983				2,602				79,656
Depreciation and amortization	2,505				2,337				427				3,398				7,121				15,788
Non-operating income (expenses)	602				3,834				—				12				(3,080		)		1,368
EBITDA	19,037				6,188				10,753				21,258				(7,719		)		49,517
Compensation and benefits (2)	207				363				196				485				1,117				2,368
Transaction, refinancing and other fees (3)	—				—				(1		)		1				215				215
Adjusted EBITDA	$	19,244			$	6,551			$	10,948			$	21,744			$	(6,387	)		$	52,100

(1) Corporate and Other consists of corporate overhead, certain leveraged activities, other non-operating expenses and intersegment eliminations.  Intersegment eliminations predominantly reflect the $9.2 million processing fee from Payments Services - Puerto Rico and Caribbean to Merchant Acquiring and cost transfer fees from Corporate and Other to Payment Services Latin America for leveraged services and management fees.

(2) Primarily represents share-based compensation, other compensation expense and severance payments.

(3) Primarily represents fees and expenses associated with corporate transactions as defined in the Credit Agreement and the elimination of non-cash equity earnings from our 19.99% equity investment in Consorcio de Tarjetas Dominicanas S.A., net of cash dividends received.

	Three months ended September 30, 2017
(In thousands)	Payment Services - Puerto Rico & Caribbean				Payment Services - Latin America				Merchant Acquiring, net				Business Solutions				Corporate and Other (1)				Total
Revenues	$	25,225			$	17,432			$	21,555			$	46,275			$	(7,762	)		$	102,725
Operating costs and expenses	16,219				21,396				19,444				31,620				5,238				93,917
Depreciation and amortization	2,259				2,608				618				4,024				7,097				16,606
Non-operating income (expenses)	567				1,732				—				—				(1,952		)		347
EBITDA	11,832				376				2,729				18,679				(7,855		)		25,761
Compensation and benefits (2)	205				139				216				781				1,007				2,348
Transaction, refinancing and other fees (3)	3,160				3,221				6,464				—				757				13,602
Adjusted EBITDA	$	15,197			$	3,736			$	9,409			$	19,460			$	(6,091	)		$	41,711

(1) Corporate and Other consists of corporate overhead, certain leveraged activities, other non-operating expenses and intersegment eliminations.  Intersegment eliminations predominantly reflect the $7.8 million processing fee from Payments Services - Puerto Rico and Caribbean to Merchant Acquiring and cost transfer fees from Corporate and Other to Payment Services Latin America for leveraged services and management fees.

(2) Primarily represents share-based compensation, other compensation expense and severance payments.

(3) Primarily represents fees and expenses associated with corporate transactions as defined in the Credit Agreement, the elimination of non-cash equity earnings from our 19.99% equity investment in Consorcio de Tarjetas Dominicanas S.A., net of cash dividends received and an impairment charge and contractual fee accrual for a third party software solution that was determined to be commercially unviable.

	Nine months ended September 30, 2018
(In thousands)	Payment Services - Puerto Rico & Caribbean				Payment Services - Latin America				Merchant Acquiring, net				Business Solutions				Corporate and Other (1)				Total
Revenues	$	84,162			$	58,534			$	73,829			$	145,985			$	(26,872	)		$	335,638
Operating costs and expenses	39,084				55,357				41,413				90,349				12,879				239,082
Depreciation and amortization	7,230				7,035				1,268				10,437				21,413				47,383
Non-operating income (expenses)	1,969				7,048				8				378				(6,913		)		2,490
EBITDA	54,277				17,260				33,692				66,451				(25,251		)		146,429
Compensation and benefits (2)	885				1,080				746				1,609				6,350				10,670
Transaction, refinancing and other fees (3)	(250		)		—				—				1				2,986				2,737
Adjusted EBITDA	$	54,912			$	18,340			$	34,438			$	68,061			$	(15,915	)		$	159,836

(1) Corporate and Other consists of corporate overhead, certain leveraged activities, other non-operating expenses and intersegment eliminations.  Intersegment eliminations predominantly reflect the $26.9 million processing fee from Payments Services - Puerto Rico and Caribbean to Merchant Acquiring and cost transfer fees from Corporate and Other to Payment Services Latin America for leveraged services and management fees.

(2) Primarily represents share-based compensation, other compensation expense and severance payments.

(3) Primarily represents fees and expenses associated with corporate transactions as defined in the Credit Agreement and the elimination of non-cash equity earnings from our 19.99% equity investment in Consorcio de Tarjetas Dominicanas S.A., net of cash dividends received.

	Nine months ended September 30, 2017
(In thousands)	Payment Services - Puerto Rico & Caribbean				Payment Services - Latin America				Merchant Acquiring, net				Business Solutions				Corporate and Other (1)				Total
Revenues	$	78,821			$	43,369			$	67,546			$	142,944			$	(25,164	)		$	307,516
Operating costs and expenses	39,703				47,265				46,545				90,985				13,624				238,122
Depreciation and amortization	6,677				6,327				1,813				12,120				21,252				48,189
Non-operating income (expenses)	1,676				7,187				1				3				(5,625		)		3,242
EBITDA	47,471				9,618				22,815				64,082				(23,161		)		120,825
Compensation and benefits (2)	429				446				432				1,293				3,951				6,551
Transaction, refinancing and other fees (3)	2,500				3,221				6,464				—				1,439				13,624
Adjusted EBITDA	$	50,400			$	13,285			$	29,711			$	65,375			$	(17,771	)		$	141,000

(1) Corporate and Other consists of corporate overhead, certain leveraged activities, other non-operating expenses and intersegment eliminations.  Intersegment eliminations predominantly reflect the $25.2 million processing fee from Payments Services - Puerto Rico and Caribbean to Merchant Acquiring and cost transfer fees from Corporate and Other to Payment Services Latin America for leveraged services and management fees.

(2) Primarily represents share-based compensation, other compensation expense and severance payments.

(3) Primarily represents fees and expenses associated with corporate transactions as defined in the Credit Agreement, the elimination of non-cash equity earnings from our 19.99% equity investment in Consorcio de Tarjetas Dominicanas S.A., net of cash dividends received and an impairment charge and contractual fee accrual for a third party software solution that was determined to be commercially unviable.

Reconciliation of Income from Operations to Consolidated Net Income

The reconciliation of EBITDA to consolidated net income is as follows:

	Three months ended September 30,								Nine months ended September 30,
(In thousands)	2018				2017				2018				2017
Total EBITDA	$	49,517			$	25,761			$	146,429			$	120,825
Less:
Income tax expense (benefit)	3,302				(4,840		)		10,349				1,248
Interest expense, net	7,352				7,853				22,375				21,894
Depreciation and amortization	15,788				16,606				47,383				48,189
Net Income	$	23,075			$	6,142			$	66,322			$	49,494

X

- Definition

Tabular disclosure of the reconciliation of profit (loss) from reportable segments to the consolidated income (loss) before income tax expense (benefit) and discontinued operations. Includes, but is not limited to, reconciliation after income tax if income tax is allocated to the reportable segment.

+ References

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-Publisher FASB
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-Topic 280
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Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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