--- title: "ACI Worldwide Q2 2026 earnings: Payment Software lifts margins and guidance" type: "News" locale: "en" url: "https://longbridge.com/en/news/295089613.md" description: "ACI Worldwide reported Q2 2026 revenue of $430.4 million, up 7% YoY, with GAAP diluted EPS rising to $0.31. Payment Software drove margin expansion, while Biller profitability faced pressure. The company raised full-year revenue and adjusted EBITDA guidance by $5 million each end, citing strong pipeline performance. Operating cash flow increased significantly to $70.8 million. Despite lower quarterly bookings, management maintains high-single-digit growth expectations for Biller revenue in 2026." datetime: "2026-08-06T10:20:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295089613.md) - [en](https://longbridge.com/en/news/295089613.md) - [zh-HK](https://longbridge.com/zh-HK/news/295089613.md) --- # ACI Worldwide Q2 2026 earnings: Payment Software lifts margins and guidance ACI Worldwide (NASDAQ: ACIW) reported Q2 2026 revenue of $430.4 million, up 7% year over year, while GAAP diluted EPS increased to $0.31 from $0.12. Adjusted EBITDA rose 12% to $90.8 million, and net adjusted EBITDA margin expanded to 34% from 32% as Payment Software operating leverage outweighed weaker Biller profitability. ## Core financial results Revenue grew faster than operating expenses, which increased about 5% to $385.8 million. That lifted GAAP operating income by approximately 28%, while net income also benefited from total other expense narrowing to $5.7 million from $17.0 million. License revenue increased to $68.8 million from $56.7 million, outpacing the 5% growth in recurring revenue to $336 million. Quarterly operating cash flow also rose faster than revenue. Metric Q2 2026 Q2 2025 YoY change Revenue $430.4 million $401.3 million 7% GAAP operating income $44.6 million $34.9 million About 28% GAAP operating margin 10.4% 8.7% About 1.7 pp GAAP net income $31.8 million $12.2 million About 161% GAAP diluted EPS $0.31 $0.12 About 158% Adjusted diluted EPS $0.54 Not stated 54% Adjusted EBITDA $90.8 million $80.9 million 12% Net adjusted EBITDA margin 34% 32% 2 pp Operating cash flow $70.8 million $49.8 million About 42% Net adjusted EBITDA margin is calculated using revenue excluding pass-through interchange revenue, rather than total reported revenue. ## Payment Software gains offset Biller margin pressure Payment Software was the main source of profit expansion. Revenue increased 9% on a reported basis and 7% in constant currency, led by large expansions with renewing Issuing and Acquiring customers. Biller revenue increased, but revenue net of interchange and segment profitability declined against a demanding prior-year comparison. Segment metric Q2 2026 YoY change Main factor Payment Software revenue $196 million 9% Issuing and Acquiring growth Payment Software adjusted EBITDA $94 million 12% Operating leverage and expense discipline Payment Software net adjusted EBITDA margin 48% Up from 46% Revenue growth exceeded cost growth Biller revenue $234 million 5% Reported and constant-currency growth Biller revenue net of interchange $68 million (3%) Strong prior-year onboarding and transaction comparison Biller adjusted EBITDA $35 million (13%) Lower net revenue, discrete expenses and Speedpay ONE investment Biller net adjusted EBITDA margin 51% Down from 56% Lower net revenue and continued investment Within Payment Software, Issuing and Acquiring revenue rose 33% in constant currency. Payments Intelligence and Merchant Payments each grew 3% in constant currency, while Real-Time Payments revenue declined to $23 million because of renewal timing. ## Bookings lagged current-period revenue Q2 net new annual recurring revenue bookings fell 25% to $18 million as strength in Biller was offset by the timing of expected Payment Software contracts. Trailing-12-month net new ARR bookings were $68 million, down 15%. New license and services bookings increased 2% to $59 million for the quarter, but the trailing-12-month total declined 12% to $255 million. ACI still expects full-year growth in both booking categories, making the timing and completion of anticipated contracts an important second-half measure. ## Cash flow, liquidity and capital allocation Operating cash flow was $70.8 million for the quarter and $135.0 million for the first six months of 2026, compared with $49.8 million and $128.0 million, respectively, in the prior-year periods. The distinction matters because the quarterly increase was considerably larger than the year-to-date improvement. ACI ended June with $167 million in cash and $826 million of debt. Net debt leverage was 1.2 times adjusted EBITDA, and total cash plus available credit-facility liquidity was $540 million. The company repurchased approximately 948,000 shares for $41 million during Q2. First-half repurchases totaled 2.5 million shares for $107 million, leaving approximately $349 million under the authorization. Management continues to target full-year repurchases equal to 50% to 60% of operating cash flow, subject to market conditions. ## 2026 guidance ACI raised both ends of its full-year revenue and adjusted EBITDA ranges by $5 million, citing first-half performance and pipeline strength. The company also maintained a back-end-loaded second-half outlook because of the timing of high-margin Payment Software license renewals. Metric Latest guidance Previous guidance Change Full-year revenue $1.895 billion-$1.925 billion $1.890 billion-$1.920 billion Both ends raised by $5 million Full-year adjusted EBITDA $545 million-$560 million $540 million-$555 million Both ends raised by $5 million Q3 revenue $417 million-$427 million Not provided New quarterly guidance Q3 adjusted EBITDA $90 million-$95 million Not provided New quarterly guidance ACI expects approximately 40% of second-half revenue in Q3 and 60% in Q4. That concentration increases the importance of renewal timing and fourth-quarter execution. ## Management perspective Management highlighted the first two U.S. customer signings for ACI Connetic after enabling the cloud-native platform across eight major U.S. payment networks. ACI continues to invest in Connetic to support longer-term organic growth, although the company did not quantify its expected revenue contribution. Based on new business wins and current transaction trends, management maintained its expectation for high-single-digit full-year Biller revenue growth despite the segment’s 5% Q2 growth and lower net revenue. ## Risks investors should monitor - **Bookings conversion:** Quarterly net new ARR and both trailing-12-month booking measures declined, increasing reliance on contracts expected later in 2026. - **Back-end-loaded revenue:** About 60% of second-half revenue is expected in Q4 because of Payment Software renewal timing, creating execution and forecasting concentration. - **Biller profitability:** Revenue net of interchange fell 3%, while adjusted EBITDA declined 13% and margin contracted five percentage points. - **Investment requirements:** Continued spending on ACI Connetic and Speedpay ONE may weigh on expenses before those platforms generate a disclosed financial contribution. ## Summary ACI Worldwide’s Q2 results combined 7% revenue growth with faster adjusted EBITDA and operating-income growth, primarily because Payment Software delivered operating leverage. Biller profitability and recent booking trends were less favorable, but stronger first-half performance supported higher full-year revenue and adjusted EBITDA guidance. Second-half contract timing, Q4 revenue concentration and Biller margin performance are the main operating points to monitor. 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