Financial Data and Key Metrics Changes - The company generated positive free cash flow for the third consecutive quarter, achieving $13 million in Q2, marking the first time in its history for positive cash flow in the first half of the year [26][20] - Gross margins expanded by 50 basis points year over year and 120 basis points sequentially, driven by a favorable product mix and pricing discipline [7][22] - Adjusted EBITDA for Q2 was $111 million, with a sequential margin growth of 180 basis points [25][21] Business Line Data and Key Metrics Changes - In Banking, revenue increased by $50 million sequentially, with gross margin up 140 basis points year over year and 180 basis points sequentially [27][28] - Retail saw sequential growth in order entry, revenue, and backlog in Q2, although gross margin decreased by 70 basis points sequentially and 190 basis points year over year [29][30] - The company reported a product backlog of approximately $980 million at the end of Q2, up from $900 million at the end of Q1, with a 10% year-over-year growth in product orders [21][6] Market Data and Key Metrics Changes - The company is capitalizing on the $32 billion banking and retail automation market, with strong demand for advanced ATMs and AI-driven checkout solutions [9][10] - In the Middle East, the introduction of dual power ATMs has opened new customer opportunities, while in India, compact and energy-efficient ATMs are expected to drive growth [11][12][56] Company Strategy and Development Direction - The company is focused on a three-year growth plan, emphasizing disciplined growth and profitability through branch automation and AI-driven solutions [8][9] - The strategy includes local manufacturing to enhance service capabilities and reduce costs, particularly in North America and India [14][56] - The company aims to maintain a strong balance sheet while targeting nearly doubling free cash flow generation by 2027 [34][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving the higher end of revenue, adjusted EBITDA, and free cash flow guidance for the year, supported by strong demand and backlog [31][33] - The company anticipates a recovery in the retail business in the second half of the year, driven by ongoing projects and a growing pipeline in North America [30][38] - Management highlighted the importance of continuous improvement and lean operations to enhance productivity and customer satisfaction [16][18] Other Important Information - The company repurchased $30 million worth of shares during the quarter, reflecting its commitment to returning capital to shareholders [7][34] - The effective non-GAAP tax rate for the year is expected to be in the range of 40% to 45%, with a long-term goal of reducing it to the low to mid-30s by 2027 [32][75] Q&A Session Summary Question: Confidence in retail business recovery - Management noted a higher mix of point of sale revenue impacting margins but expressed optimism about sequential improvements in revenue and operating profit [43][44] Question: Teller Cash Recyclers (TCR) adoption rates - Management indicated that they are in the third or fourth inning of TCR adoption, with significant opportunities for cross-selling between ATMs and teller services [50][53] Question: Indian market opportunities - The company is confident in achieving similar margins for compact ATMs in India, with a focus on growing the installed base and service annuity [56][57] Question: Retail and product gross margin expectations - Management expects improvements in retail margins in Q3 and Q4, driven by growth efforts and new software features [58][59] Question: Impact of tariffs on costs - Management clarified that the reduction in tariff impact is due to localized manufacturing and operational efficiencies [62][64]

Core Viewpoint - Diebold Nixdorf, Incorporated reported quarterly earnings of $0.6 per share, missing the consensus estimate of $0.61 per share, and showing a decline from $1.16 per share a year ago, indicating a negative earnings surprise of -1.64% [1] Financial Performance - The company posted revenues of $915.2 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 3.28%, but down from $939.7 million year-over-year [2] - Over the last four quarters, Diebold Nixdorf has not surpassed consensus EPS estimates, although it has topped revenue estimates twice [2] Stock Performance - Diebold Nixdorf shares have increased approximately 30.6% since the beginning of the year, outperforming the S&P 500's gain of 7.1% [3] Future Outlook - The company's earnings outlook will be crucial for investors, including current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the next quarter is $1.05 on revenues of $986.8 million, and for the current fiscal year, it is $3.57 on revenues of $3.81 billion [7] Industry Context - The Internet - Software industry, to which Diebold Nixdorf belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable environment for stock performance [8]

Financial Performance & Strategy - The company generated positive free cash flow of $13 million in 2Q25 and $19 million in 1H25, maintaining a strong balance sheet with a net leverage ratio of 1.5x[10] - Backlog increased to approximately $980 million, supported by strong order entry growth of approximately 10% year-over-year[10] - The company is executing on an initial $100 million share repurchase authorization, with approximately $30 million repurchased in 2Q25, representing approximately 637,000 shares[10] - The company reaffirms its 2025 outlook and is trending toward the higher end of the range[10] - The company is targeting mid-single digit annual revenue growth rate by 2027, double-digit Adjusted EBITDA growth & ~15% margins by 2027, and plan to deliver $800 million in cumulative FCF from '25-27 and 60%+ FCF conversion in 2027[16] Segment Performance - Banking revenue increased sequentially, with total banking revenue reported as $679 million[45] - Banking gross profit increased sequentially, with total banking gross profit reported as $187 million, resulting in a gross margin of 27.5%[45,47] - Retail revenue increased sequentially, with total retail revenue reported as $236 million[51] - Retail gross profit increased sequentially, with total retail gross profit reported as $56 million, resulting in a gross margin of 23.7%[51,53] 2025 Guidance - The company reaffirms its 2025 guidance, expecting flat to low single-digit revenue growth, adjusted EBITDA between $470 million and $490 million, and free cash flow between $190 million and $210 million[56]

Group 1 - Diebold Nixdorf, Incorporated (DBD) closed at $56.07, reflecting a -1.92% change from the previous day, underperforming compared to the S&P 500's daily loss of 0.13% [1] - Prior to the latest trading session, shares of Diebold Nixdorf had gained 0.49%, lagging behind the Computer and Technology sector's gain of 4.69% and the S&P 500's gain of 3.39% [1] Group 2 - Diebold Nixdorf is scheduled to release its earnings report on August 6, 2025, with analysts expecting earnings of $0.61 per share, indicating a year-over-year decline of 47.41% [2] - The consensus estimate projects revenue of $886.1 million, reflecting a 5.7% decrease from the same quarter last year [2] Group 3 - For the full year, analysts expect earnings of $3.57 per share and revenue of $3.81 billion, representing changes of +57.27% and +1.6% respectively from the previous year [3] Group 4 - Recent changes to analyst estimates for Diebold Nixdorf should be noted, as they reflect short-term business trends and can indicate analysts' outlook on the company's health and profitability [4] Group 5 - Estimate revisions are correlated with near-term share price momentum, and the Zacks Rank system integrates these changes to provide a functional rating [5] Group 6 - Diebold Nixdorf currently holds a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate remaining unchanged over the last 30 days [6] Group 7 - Diebold Nixdorf is trading at a Forward P/E ratio of 16.01, which is below the industry average Forward P/E of 28.27, indicating a discount compared to its peers [7] Group 8 - The Internet - Software industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 72, placing it in the top 30% of over 250 industries [7][8]

Revenues are expected to be $886.1 million, down 5.7% from the year-ago quarter. Estimate Revisions Trend The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Diebold Nixdorf, Incorporated (DBD) is expected to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2025. This widely-k ...

Core Viewpoint - The average brokerage recommendation (ABR) for Diebold Nixdorf, Incorporated (DBD) is 1.00, indicating a Strong Buy based on recommendations from three brokerage firms, all of which are Strong Buy [2][5] Brokerage Recommendation Trends - The current ABR of 1.00 is derived from three Strong Buy recommendations, representing 100% of all recommendations [2] - Despite the Strong Buy recommendation, reliance solely on brokerage recommendations may not be wise, as studies show limited success in guiding investors to stocks with the best price increase potential [5][10] Zacks Rank and Its Importance - Zacks Rank categorizes stocks into five groups, from Zacks Rank 1 (Strong Buy) to Zacks Rank 5 (Strong Sell), and is based on earnings estimate revisions, which correlate strongly with near-term stock price movements [8][11] - The Zacks Rank is distinct from ABR, as it is a quantitative model that reflects timely earnings estimate revisions, while ABR may not be up-to-date [9][13] Current Earnings Estimates for DBD - The Zacks Consensus Estimate for Diebold Nixdorf, Incorporated remains unchanged at $3.57 for the current year, indicating steady analyst views on the company's earnings prospects [14] - The unchanged consensus estimate has resulted in a Zacks Rank 3 (Hold) for Diebold Nixdorf, suggesting caution despite the Buy-equivalent ABR [15]

Core Viewpoint - Diebold Nixdorf is set to release its second quarter 2025 financial results on August 6, 2025, before the market opens, with a conference call scheduled for the same day to discuss the results [1][2]. Group 1: Earnings Call Details - The earnings call will take place on August 6 at 8:30 a.m. ET, and will be accessible via a webcast [2]. - A press release summarizing the business and financial results, along with a presentation highlighting key points from the quarter, will be made available prior to the call [2]. - Registration for the earnings call is encouraged to avoid wait times, with individualized dial-in numbers provided upon registration [3]. Group 2: Company Overview - Diebold Nixdorf is a leader in automating and digitizing banking and shopping experiences, serving many of the world's top financial institutions and retailers [4]. - The company operates in over 100 countries and employs approximately 21,000 people globally [4].

Core Insights - Diebold Nixdorf has successfully implemented Interactive Teller Machines (ITMs) at Kuwait International Bank (KIB), enhancing customer service through a blend of self-service and personalized banking [1][3][4] Company Overview - Kuwait International Bank (KIB) operates under Islamic Shari'ah and has transitioned to this model since 2007, focusing on innovation and customer experience under the slogan "Bank for Life" [5][8] - Diebold Nixdorf is a global leader in banking technology, providing integrated solutions that connect digital and physical channels for financial institutions and retailers [10] Technology Implementation - The new ITMs are operational at select KIB branches, with plans for further installations, including DN Series® ATMs with video capabilities [3] - The ITMs allow customers to engage with live tellers via video, facilitating complex transactions outside traditional banking hours [3][4] Customer Services Offered - ITMs provide various services such as cash withdrawal and deposit over limits, check deposit and encashment, instant card printing and activation, services for visually impaired customers, and Civil ID updates [6] Strategic Partnerships - The implementation of ITMs was managed in collaboration with Axis Solutions, Diebold Nixdorf's licensed partner in Kuwait, highlighting a strategic partnership aimed at enhancing self-service banking [3][9] Market Positioning - KIB's investment in ITMs positions it as a competitive player in Kuwait's banking sector, redefining customer journeys and supporting digital infrastructure advancements [4][8]

Group 1: Company Performance - Diebold Nixdorf, Incorporated (DBD) ended the recent trading session at $55.43, demonstrating a +1.54% change from the preceding day's closing price, outpacing the S&P 500's 0.52% gain [1] - Shares of the company witnessed a gain of 12.37% over the previous month, beating the performance of the Computer and Technology sector with its gain of 9.55% and the S&P 500's gain of 5.95% [1] Group 2: Earnings Forecast - The company is predicted to post an EPS of $0.61, indicating a 47.41% decline compared to the equivalent quarter last year, with a consensus estimate anticipating revenue of $886.1 million, indicating a 5.7% downward movement from the same quarter last year [2] - For the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.57 per share and a revenue of $3.81 billion, indicating changes of +57.27% and +1.6%, respectively, from the former year [3] Group 3: Analyst Estimates and Rankings - Investors should pay attention to any latest changes in analyst estimates for Diebold Nixdorf, as positive estimate revisions are a sign of optimism about the business outlook [4] - The Zacks Rank system, which includes estimate changes, currently ranks Diebold Nixdorf at 3 (Hold), with the Zacks Consensus EPS estimate remaining unchanged over the last 30 days [6] Group 4: Valuation Metrics - Diebold Nixdorf is holding a Forward P/E ratio of 15.29, indicating a discount compared to its industry's Forward P/E of 28.26 [7] - The Internet - Software industry, part of the Computer and Technology sector, currently has a Zacks Industry Rank of 48, placing it in the top 20% of all 250+ industries [7][8]

Group 1 - Diebold Nixdorf, Incorporated has an average brokerage recommendation (ABR) of 1.00, indicating a Strong Buy based on three brokerage firms' recommendations, all of which are Strong Buy [2][5] - The ABR is calculated based on brokerage recommendations, but studies show limited success in guiding investors to stocks with the best price increase potential [5][10] - Brokerage analysts tend to exhibit a strong positive bias in their ratings, with five "Strong Buy" recommendations for every "Strong Sell" recommendation [6][10] Group 2 - The Zacks Rank, a proprietary stock rating tool, categorizes stocks from Zacks Rank 1 (Strong Buy) to Zacks Rank 5 (Strong Sell) and is an effective indicator of near-term stock price performance [8][11] - The Zacks Rank is driven by earnings estimate revisions, which are strongly correlated with near-term stock price movements, unlike the ABR which may not be up-to-date [11][13] - Diebold Nixdorf's Zacks Consensus Estimate for the current year remains unchanged at $3.57, leading to a Zacks Rank 3 (Hold) for the company [14][15]