Fourth Quarter 2020 Results

(1)

Fourth Quarter 2020 Results

(2)

Forward Looking Statements and Non-GAAP Measures

This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and are intended to be covered by the safe harbor provisions thereof. Forward-looking statements can be identified by words such as “project,” “believe,” “estimate,” “expect,” “future,” “anticipate,” “intend,” “contemplate,” “foresee,”

“would,” “could,” “plan,” and similar expressions that are intended to identify forward-looking statements, which are generally not historical in nature.

The information in this presentation is based upon our current expectations as of the date hereof unless otherwise noted.

Our actual future business and financial performance may differ materially and adversely from our expectations expressed in any forward-looking statements. We undertake no obligation to revise or publicly update our forward-looking statements or this presentation for any reason unless required by law. Although our expectations and beliefs are based on reasonable assumptions, actual results may differ materially. The factors that may affect our results are listed in certain of our press releases and disclosed in the Company’s most recent Form 10-K and updated or supplemented in the Company’s most recent 10-Q and other public filings with the SEC.

In addition, this presentation includes certain non-GAAP financial measures as defined under SEC Regulation G. The reasons we believe such measures are useful together with a reconciliation of those measures to the most directly comparable U.S.

GAAP measures have been included in the appendix to the presentation.

(3)

3

Key Messages

1 The pandemic highlighted the strength, resilience, and value of Cardtronics’ network, capabilities, and employees

Free cash flows remain strong and durable;

recent investments have re-baselined our capital efficiency

Technology investments are delivering efficiencies, opening new business opportunities, and accelerating product development

3 4

The trend of bank branch transformation is accelerating, and our value proposition for Financial Institutions and Fintechs has never been stronger

2 5 Announced definitive agreement to be acquired by NCR on January 25, 2021;

excited about combined capabilities and service offerings for our partners

(4)

Q4 2020 Highlights

Financial Highlights:

Revenues of $275 million, down 19% compared to the fourth quarter of 2019

• Growth of 14% in bank-branding and surcharge-free revenues, led by new branding arrangements and Allpoint

• U.S. same-store withdrawal decrease of 4%, due to pandemic-related lockdowns Adjusted EBITDA of $81 million, up 3%, on a constant currency basis, from Q4 2019

• Adjusted EBITDA margin of 30%, compared to 23% in Q4 2019

• Adjusted EBITDA positively impacted in Q4 2020 by U.K. business rates recovery of $23 million Adjusted net income per diluted share of $0.64, compared to $0.70 in Q4 2019

Generated adjusted free cash flow of $25 million, compared to $31 million in Q4 2019 Net Debt reduction of $28 million during Q4 2020

Recent Business Highlights:

Added several Fintechs to the Allpoint ATM network of convenient and surcharge-free ATMs, including Ahead Financials, a LendUp Global company;

Clair; and Marqeta

Signed new managed services agreement with First Midwest Bank to operate approximately 160 ATMs, including branch and off-premise ATMs Expanded branding relationship with Citizens Bank for nearly 200 ATMs at CVS locations in the Detroit area

Deployed over 2,500 new ATMs in Q4, including over 1,500 in the U.S. and over 300 in South Africa

Enabled proprietary neoterm

^TM

software on over 20,000 ATMs by the end of 2020

(5)

5

2020 Full Year Financial Highlights

Revenues of $1.09 billion, down 19% compared to 2019 Adjusted EBITDA of $264 million, down 15%, on a constant currency basis, from 2019

• Adjusted EBITDA margin of 24%, compared to 23% in 2019

• Adjusted EBITDA positively impacted for full year 2020 by U.K. business rates recovery of $35 million

Adjusted net income per diluted share of $1.69, compared to $2.52 in 2019

Generated adjusted free cash flow of $142 million, compared to $150 million in 2019

Net Debt reduction of $101 million during the year

Solid Adjusted Free Cash Flow

(Figures in $ millions)

$74

$118

$150 $142

2017 2018 2019 2020

(6)

2020 U.S. Withdrawal Transaction Trends

Q4 transactions were solid in the face of pandemic-related

restrictions that were reintroduced in

many U.S. markets;

transactions in early 2021 positively

impacted by

stimulus payments

Same-store YoY % Change

U.S. same-store includes Company-Owned U.S. ATMs excluding managed services which registered withdrawals for 12 consecutive months preceding and including each quarter in 2020.

6%

-28%

-8%

1%

-4%

2%

-40%

-30%

-20%

-10%

0%

10%

Jan-Mar 15 2020

Mar 16-31 2020

Q2 2020

Q3 2020

Q4 2020

Jan-Feb 15

2021

(7)

7 2020 U.K. Withdrawal Transaction Trends

Increased social

restrictions across the U.K. beginning in

November are

continuing in Q1 2021, negatively impacting transactions; however, average cash

dispensed per

transaction increased nearly 15% during the fourth quarter from the prior year

Same-store YoY % Change

U.K. same-store includes U.K. ATMs registering withdrawals for 12 consecutive months preceding and including each quarter in 2020, excluding those ATMs that have changed between free-to-use and pay-to-use and those ATMs that have moved from internal to through-the-wall or vice-versa.

-3%

-44%

-50%

-33% -36%

-45%

-60%

-50%

-40%

-30%

-20%

-10%

0%

Jan-Mar 15 2020

Mar 16-31 2020

Q2 2020

Q3 2020

Q4 2020

Jan-Feb 15

2021

(8)

Fintech Partners Driving Meaningful Growth

New Partnerships and Growth with Fintechs Driving New Revenue Streams in the Digital Economy

Recently added several new Fintechs to the Allpoint ATM network of convenient and

surcharge-free ATMs, including Ahead Financials, a LendUp Global company; Clair; and Marqeta

In each sequential quarter of 2020, Fintech volumes have accounted for a growing share of Allpoint withdrawals (currently ~5%)

Allpoint has become the partner of choice with Fintechs

― Convenient, on-demand network

― National, retail-based footprint

― Surcharge-free access solution that Fintechs need and their customers want

― End-to-end solution drives premium customer experience Convenient, secure, and surcharge-free access to cash remains very important to Fintechs’ customers and critical to Fintechs’

customer engagement and growth plans 100%

125%

150%

175%

200%

225%

250%

Q1 2020 Q2 2020 Q3 2020 Q4 2020

2020 Fintech Allpoint Withdrawal Volume Growth

(Indexed to Q1 2020)

(9)

9 Cardtronics’ Proprietary Solutions Drive Surcharge-Free Growth

Bank-branding and surcharge-free network revenues continue to grow, driven by Cardtronics’ unique

solutions that financial institutions want and consumers need

2020 strength in financial institution sales continued into Q4 with new partnerships and growing new opportunities

Major financial institutions discussed branch closures frequently in 2020

+7% YoY

+20% YoY +10%

YoY

$ in millions

Growth rates in Q2, Q3, and Q4 2020 impacted by pandemic and lockdowns

+14% YoY

$44 $46 $44 $45 $46

$49

$54 $56

$55 $54

$58

$64

Q1 Q2 Q3 Q4

Bank-branding and surcharge-free network revenues ⁽¹⁾

2018 2019 2020

1. Certain reclassification adjustments have been made between Bank-branding and surcharge-free network revenues and Managed services and processing revenues from Q1 2018 through Q3 2020 to ensure consistency with current year presentation and management’s current views concerning the classification of revenues. These reclassifications had no effect on the total reported ATM operating revenues in the Consolidated Statements of Operations.

(10)

Technology Enhancements Delivering Value

Deployed proprietary software on over 20,000 of our ATMs

Our next generation terminal management enables:

― Cost effective, rapid development of new products and services

― Ability for the ATM to provide additional kiosk functionality including mobile API integration

― Better availability, data analytics and consumer behavior data allowing us to refine and target offers

― Customized user experiences, tailored by retailer, financial institution, or cardholder

― Centralized deployment of updates, reducing costs, enhancing compliance and security capabilities

― Industry-leading security provided by our proprietary solutions

― Migration to alternative solutions to Windows (operating system agnostic)

(11)

11 $0

$50

$100

$150

$200

$250

$300

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Strong, Consistent Free Cash Flow

Capital Deployment

24 months ended September, 2020

Strong focus on operations, coupled with technology enhancements, delivered strong Free Cash Flow despite the pandemic

1. Net Cash Flow from Operations excluding change in restricted cash liabilities.

2. Adjusted free cash flow as disclosed in our periodic SEC filings.

Capex

$142mm ⁽²⁾ 2020 Adj. Free Cash Flow

Capex as %

of Rev. 11% 12% 9% 10% 12% 10% 10% 8% 9% 8%

Adj. Cash Flow from Operations ⁽¹⁾

$ in millions

(12)

Demand for Cash Remains Strong across Our Markets

Total U.S. cash in circulation broke $2 trillion in August for the first time, growing >10% YoY every month since May Cardtronics’ U.S. cash dispensed was up 5% in 2020, compared to 2019

Year-over-year U.S. cash in circulation grew 15% for each month during Q4 2020

¹

Order for currency notes by the Federal Reserve Board in 2021

“heavily influenced by the COVID-19 pandemic, as the Federal Reserve has experienced unprecedented demand for

currency…Unlike in past years when the major driver of the print order was replacement of unfit notes shredded at Reserve Banks, an increase in net payments drives the FY 2021 print order”

¹

Current consumer sentiment supports cash use

²

― Underbanked consumers are increasing cash use within their overall payments mix

― 83% of consumers agree/neutral with statement “cash is safe to use”

― 54% prefer cash for <$10

― 90% of consumers agree with or are neutral toward the statement “allowing people to pay in cash is important for society”

2%

5%

2019 2020

Cardtronics Cash Dispensed in the U.S.

Growth Year-over-Year

(13)

13 As Reported Constant Currency

Total Revenues Adj. EBITDA Total Revenues Adj. EBITDA

Q4 ‘19 Q4 ‘20 ∆ Q4 ‘19 Q4 ‘20 ∆ Q4 ‘19 Q4 ‘20 ∆ Q4 ‘19 Q4 ‘20 ∆

North America $219 $190 ^(13%) $53 $54 ^2% $219 $190 ^(13%) $53 $54 ^2%

% Margin 24.2% 28.4% 24.2% 28.5%

Europe & Africa

⁽¹⁾

$97 $66 ^(32%) $28 $35 ^22% $97 $64 ^(34%) $28 $34 ^20%

% Margin 29.3% 52.7% 29.3% 53.0%

Australia & New Zealand $25 $20 ^(19%) $6 $3 ^(40%) $25 $19 ^(24%) $6 $3 ^(44%)

% Margin 23.2% 17.3% 23.2% 17.3%

Region Subtotal

⁽¹⁾

$341 $276 ^(19%) $87 $92 ^6% $341 $273 ^(20%) $87 $91 ^5%

Corporate, Eliminations

& Other ($2) ($1) ^N/A ($9) ($11) ^N/A ($2) ($1) ^N/A ($9) ($10) ^N/A

Consolidated Total

⁽¹⁾

$339 $275 ^(19%) $78 $81 ^4% $339 $272 ^(20%) $78 $81 ^3%

% Margin 23.1% 29.6% 23.1% 29.6%

Business Segment Financial Highlights – Fourth Quarter 2020

1. Adjusted EBITDA positively impacted in Q4 2020 by U.K. business rates recovery of $23 million.

(14)

As Reported Constant Currency

Total Revenues Adj. EBITDA Total Revenues Adj. EBITDA

2019 2020 ∆ 2019 2020 ∆ 2019 2020 ∆ 2019 2020 ∆

North America $863 $762 ^(12%) $217 $196 ^(10%) $863 $763 ^(12%) $217 $196 ^(10%)

% Margin 25.1% 25.7% 25.1% 25.6%

Europe & Africa

⁽¹⁾

$396 $266 ^(33%) $108 $93 ^(15%) $396 $267 ^(33%) $108 $92 ^(15%)

% Margin 27.3% 34.8% 27.3% 34.6%

Australia & New Zealand $100 $72 ^(28%) $20 $13 ^(37%) $100 $72 ^(28%) $20 $13 ^(36%)

% Margin 19.7% 17.4% 19.7% 17.4%

Region Subtotal

⁽¹⁾

$1,360 $1,100 ^(19%) $345 $301 ^(13%) $1,360 $1,102 ^(19%) $345 $300 ^(13%) Corporate, Eliminations

& Other ($11) ($6) ^N/A ($37) ($37) ^N/A ($11) ($6) ^N/A ($37) ($37) ^N/A

Consolidated Total

⁽¹⁾

$1,349 $1,094 ^(19%) $308 $264 ^(14%) $1,349 $1,096 ^(19%) $308 $263 ^(15%)

% Margin 22.8% 24.1% 22.8% 24.0%

Business Segment Financial Highlights – Full Year 2020

(15)

15

Q4 2020 North America Highlights

Growth in Adjusted EBITDA led by bank-branding and surcharge-free revenues

13% total revenue decline in Q4, impacted by increased restrictions more recently implemented as a result of the pandemic

• Growth of 14% in bank-branding and surcharge-free revenues, led by new branding arrangements and Allpoint

• U.S. same-store withdrawal decrease of 4% in Q4, primarily as a result of declines in surcharge transactions Adjusted EBITDA up 2%, driven by improved operating costs and higher margin revenue growth

Adjusted EBITDA margin increased ~430 basis points from prior year

Added several Fintechs to the Allpoint ATM network of convenient and surcharge-free ATMs, including Ahead Financials, a LendUp Global company;

Clair; and Marqeta

Signed new managed services agreement with First Midwest Bank to operate approximately 160 ATMs, including branch and off-premise ATMs Expanded branding relationship with Citizens Bank for nearly 200 ATMs at CVS locations in the Detroit area

Total Revenues Adjusted EBITDA

(Figures in $ millions) (Figures in $ millions)

(As Reported) (Constant-Currency) (As Reported) (Constant-Currency)

$219 $190 $190

Q4 '19 Q4 '20 Q4 '20 CC

$53 $54 $54

Q4 '19 Q4 '20 Q4 '20 CC

(16)

$190

$219

Q4'19 Canada & Mexico

ATM Op. Revenue North America

ATM Product & U.S.

Processing U.S.

Surcharge U.S.

Surcharge-Free, Q4'20

North America Revenue Bridge – Q4 2019 to Q4 2020

(8%)

(1%) (2%) 5% (13%)

Growth in proprietary Surcharge-Free Revenues driving EBITDA growth despite declines

in lower margin Canadian and U.S. Surcharge revenue

(17)

17

Q4 2020 Europe & Africa Highlights

Despite the pandemic’s impact on transactions, U.K. business rate recoveries drove strong EBITDA results

Revenues down 34%, constant-currency, driven by same-store transaction declines in the U.K., Germany, and Spain

• Most countries reintroduced significant pandemic-related restrictions during the quarter, which remain in effect

• Travel, tourism, and many activities remain heavily impacted

• ATM Operating Revenue in South Africa grew over 25%, constant currency, driven by new ATM placements

Adjusted EBITDA up $6mm, constant-currency, driven by ~$23mm benefit in the U.K. from recovery of business rate taxes, compared to the prior year, partially offset by transaction declines

Over 300 new ATM installations in South Africa, the most of any quarter to date

Total Revenues Adjusted EBITDA

(Figures in $ millions) (Figures in $ millions)

$97

$66 $64

Q4 '19 Q4 '20 Q4 '20 CC

$28

$35 $34

Q4 '19 Q4 '20 Q4 '20 CC

(18)

Q4 2020 Australia & New Zealand Highlights

Operational actions maintaining profitability and cash flows despite transaction declines related to the pandemic

Total revenues down 24%, constant-currency, as a result of transaction declines related to effects from the pandemic

Transaction declines in Q4 were similar to Q3; however, December transactions at essential locations exceeded pre-pandemic levels

Contract extensions and new ATM additions across several partners

Total Revenues Adjusted EBITDA

$25

$20 $19

Q4 '19 Q4 '20 Q4 '20 CC

$6

$3 $3

Q4 '19 Q4 '20 Q4 '20 CC

(19)

19 Q4 Full Year

X

2019 ^{% of Total} 2020 ^{% of Total} 2019 ^{% of Total} 2020 ^{% of Total}

Surcharge revenues

⁽¹⁾

148.5 ^46.1% 95.0 ^36.7% 601.8 ^47.0% 425.8 ^40.9%

Interchange revenues

⁽¹⁾

86.2 ^26.8% 68.9 ^26.6% 351.1 ^27.4% 271.3 ^26.1%

Bank-branding and surcharge-free

network revenues

⁽¹⁾

55.8 ^17.3% 63.7 ^24.6% 204.5 ^16.0% 230.3 ^22.1%

Managed services and processing revenues

⁽¹⁾

31.6 ^9.8% 31.3 ^12.1% 123.7 ^9.7% 113.4 ^10.9%

Total ATM operating revenues $322.0 ^100.0% $259.0 ^100.0% $1,281.1 ^100.0% $1,040.8 ^100.0%

Total ATM Operating Revenues

Decrease in ATM operating revenues driven by transaction declines related to the COVID-19 pandemic across all geographies 14% growth in bank-branding and surcharge-free revenues, led by new branding arrangements and Allpoint

Transaction-based declines in Managed services and processing revenues mostly offset by growth in fixed revenues associated with new managed services arrangements related to financial institution outsourcing in the U.S.

1. Certain reclassification adjustments have been made among Surcharge, Interchange, Bank-branding and surcharge-free network, and Managed services and processing revenues from Q1 2019 through Q3 2020 to ensure consistency with current year presentation and management’s current views concerning the classification of revenues. These reclassifications had no effect on the total reported ATM operating revenues in the Consolidated Statements of Operations.

(20)

Total Cost of ATM Operating Revenues

Q4 Full Year

2019 % of Rev 2020 % of Rev 2019 % of Rev 2020 % of Rev

Merchant commissions 96.9 ^28.6% 66.2 ^24.1% 390.1 ^28.9% 295.9 ^27.0%

Vault cash rental 17.2 ^5.1% 15.7 ^5.7% 70.4 ^5.2% 61.5 ^5.6%

Other costs of cash 22.9 ^6.8% 21.2 ^7.7% 91.5 ^6.8% 89.1 ^8.1%

Repairs and maintenance 18.3 5.4% 18.3 6.6% 73.7 5.5% 71.2 6.5%

Communications 6.3 ^1.8% 6.5 ^2.4% 26.7 ^2.0% 25.6 ^2.3%

Transaction processing 5.7 ^1.7% 3.5 ^1.3% 23.1 ^1.7% 15.6 ^1.4%

Employee costs 20.1 ^5.9% 20.2 ^7.3% 80.0 ^5.9% 70.1 ^6.4%

Other expenses 19.9 ^5.9% (8.5) ^(3.1%) 74.9 ^5.5% 24.0 ^2.2%

Total cost of ATM operating revenues $207.3 ^61.2% $143.1 ^52.1% $830.4 ^61.5% $652.9 ^59.7%

Decrease in merchant commissions, vault cash rental, and transaction processing driven by lower transactions and operational measures

Decrease in full year employee costs driven by furloughs and temporary salary reductions for all employees during Q2 2020 Other expenses for Q4 2020 reflects ~$23mm benefit in the U.K. from recovery of business rate taxes, compared to the prior year, and full year benefit of approximately $35 million; other expenses also impacted by reduced cash depot costs in the U.K.

(21)

21

Selling, General, & Administrative Expenses

Decrease in full year employee costs driven by furloughs and temporary compensation reductions for employees

Decrease in other costs driven by reduced travel and other corporate items

Q4 Full Year

2019 ^{% of} _Rev 2020 ^{% of} _Rev 2019 ^{% of} _Rev 2020 ^{% of} _Rev

Share Based Compensation 5.1 ^1.5% 5.8 ^2.1% 19.5 ^1.4% 20.8 ^1.9%

Employee Costs 24.4 ^7.2% 23.9 ^8.7% 98.4 ^7.3% 86.5 ^7.9%

Professional Fees 6.8 ^2.0% 7.3 ^2.7% 27.6 ^2.0% 25.4 ^2.3%

Other 9.3 ^2.7% 7.7 ^2.8% 32.0 ^2.4% 27.4 ^2.5%

Total Selling, General & Administrative Expenses $45.6 ^13.5% $44.7 ^16.3% $177.5 ^13.2% $160.1 ^14.6%

(22)

Strong Focus on Cash Flow, Resulting in Debt Reduction, Solid Capital Structure, and Liquidity

($ in mm) Maturity Rate Q4’20

Revolver

($600 mm) Sep 2024 L

⁽¹⁾

+ 150 -

Term Loan B

⁽³⁾

June 2027 L

⁽²⁾

+ 400 498 5.50% Senior Notes

⁽³⁾

May 2025 5.50% 300

Total Debt

⁽³⁾

$798

Cash

⁽⁴⁾

(174)

Net Debt $623

Total Net Leverage Ratio

⁽⁵⁾

2.5x

1) When drawn, interest rates primarily tied to U.S. or U.K. LIBOR.

2) Interest rates primarily tied to U.S. 1 month LIBOR, with a 1% floor.

3) Displayed value reflects the principal face value of the remaining notes outstanding.

4) Cash and cash equivalents excluding restricted cash.

Key Balance Sheet Stats Capital Deployment

January 1, 2018 to December 31, 2020

Growth, Maintenance

&

Infrastructure Capex

$323 Million Net Debt

Decrease

$285 Million

Financing Costs, Acquisitions, & Other, Net

$733 million adjusted net cash provided by operating activities ⁽⁶⁾ from 2018-2020

Share Repurchases

$67

Million

(23)

23 Appendix

(24)

Forward Looking Statements

This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and are intended to be covered by the safe harbor provisions thereof. Forward-looking statements can be identified by words such as “project,” “believe,” “estimate,”

“expect,” “future,” “anticipate,” “intend,” “contemplate,” “foresee,” “would,” “could,” “plan,” and similar expressions that are intended to identify forward-looking statements, which are generally not historical in nature. These forward-looking statements are based on management’s current expectations and beliefs concerning future developments and their potential effect on the Company. While management believes that these forward-looking statements are reasonable as and when made, there can be no assurance that future developments affecting the Company will be those that are anticipated.

All comments concerning the Company’s expectations for future revenues and operating results are based on its estimates for its existing operations and do not include the potential impact of any future acquisitions. The Company’s forward-looking statements involve significant risks and uncertainties (some of which are beyond its control) and assumptions that could cause actual results to differ materially from its historical experience and present expectations or projections. Known material factors that could cause actual results to differ materially from those in the forward-looking statements include:

• the Company’s ability to respond to business cycles, seasonality, and other outside factors such as extreme weather, natural disasters, health emergencies, including the COVID-19 outbreak, that has adversely affect our business, and may in the future have a material adverse impact on our business;

• the Company’s financial outlook and the financial outlook of the automated teller machines and multi-function financial services kiosks (collectively, “ATMs”) industry and the continued usage of cash by consumers at rates near historical patterns;

• the impact of macroeconomic conditions, including the future impacts of the COVID-19 outbreak on global economic conditions, which is highly uncertain and difficult to predict;

• the Company’s ability to respond to recent and future network and regulatory changes;

• the Company’s ability to manage cybersecurity risks and protect against cyber-attacks and manage and prevent cyber incidents, data breaches or losses, or other business disruptions;

• the Company’s ability to respond to changes implemented by networks and how they determine interchange, scheduled and potential reductions in the amount of net interchange that it receives from global and regional debit networks due to pricing changes implemented by those networks as well as changes in how issuers route their ATM transactions over those networks;

• the Company’s ability to renew its existing merchant relationships on comparable or improved economic terms and add new merchants;

• changes in interest rates and foreign currency rates;

• the Company’s ability to successfully manage its existing international operations and to continue to expand internationally;

• the Company’s ability to manage concentration risks with and changes in the mix of key customers, merchants, vendors, and service providers;

• the Company’s ability to maintain appropriate liquidity;

• the Company’s ability to prevent thefts of cash and maintain adequate insurance;

• the Company’s ability to provide new ATM solutions to retailers and financial institutions including the demand for any such new ATM solutions as well as its ability to place additional banks’ brands on ATMs currently deployed;

• the Company’s ATM vault cash rental needs, including potential liquidity issues with its vault cash providers and its ability to continue to secure vault cash rental agreements in the future and once secured, on reasonable economic terms;

• the Company’s ability to manage the risks associated with its third-party service providers failing to perform their contractual obligations;

• the Company’s ability to renew its existing third-party service provider relationships on comparable or improved economic terms;

• the Company’s ability to successfully implement and evolve its corporate strategy;

• the Company’s ability to compete successfully with new and existing competitors;

• the Company’s ability to meet the service levels required by its service level agreements with its customers;

• the additional risks the Company is exposed to in its United Kingdom (“U.K.”) cash-in-transit business;

• the Company’s ability to pursue, complete, and successfully integrate acquisitions, strategic alliances, or joint ventures;

• the impact of changes in laws, including tax laws that could adversely affect the Company’s business and profitability;

• the impact of, or uncertainty related to, the U.K.’s exit from the European Union, including any material adverse effect on the tax, tax treaty, currency, operational, legal, human, and regulatory regime and macro-economic environment to which it will be subject to as a U.K. company;

• the Company’s ability to adequately maintain and upgrade its ATM fleet to address changes in industry standards, regulations and consumer behavior patterns;

• the Company’s ability to retain its key employees and maintain good relations with its employees; and

• the Company’s ability to manage the fluctuation of its operating results, including as a result of the foregoing and other risk factors included in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019, as updated by the Company’s Quarterly Report on Form 10- Q for the quarter ended September 30, 2020, and those set forth from time-to-time in other filings with the Securities and Exchange Commission.

In addition, actual results may vary materially from those expressed or implied by forward-looking statements based on a number of factors related to the proposed acquisition of the Company by NCR Corporation, including, without limitation:

• statements regarding the Company’s plans to manage its business through the COVID-19 pandemic and the health and safety of its customers and employees;

• the expected impact of the COVID-19 pandemic on the Company’s operating goals and actions to manage these goals;

• expectations regarding cost and revenue synergies; expectations regarding the Company’s cash flow generation, cash reserve, liquidity, financial flexibility and impact of the COVID-19 pandemic on the Company’s employee base;

• expectations regarding the Company’s ability to capitalize on market opportunities;

• the Company’s financial outlook;

• the effect of the announcement of the proposed transaction on the ability of the Company to retain and hire key personnel and maintain relationships with customers, suppliers and others with whom the Company does business, or on the Company’s operating results and business generally;

• risks that the proposed transaction disrupts current plans and operations and the potential difficulties in employee retention as a result of the proposed transaction;

• the outcome of any legal proceedings related to the proposed transaction;

• the occurrence of any event, change or other circumstances that could give rise to the termination of the acquisition agreement;

• the ability of the parties to consummate the proposed transaction on a timely basis or at all;

• the satisfaction of the conditions precedent to consummation of the proposed transaction, including the ability to secure regulatory and shareholder approvals on the terms expected, at all or in a timely manner;

• the ability of the Company to implement its plans, forecasts and other expectations with respect to its business after the completion of the proposed transaction and realize expected benefits;

• business disruption following the proposed transaction;

• and the potential benefits of an acquisition of the Company.

For additional information regarding known material factors that could cause the Company’s actual results to differ from its projected results, see Part I. Item 1A. Risk Factors in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2019, as updated by the Company’s

(25)

25

Disclosure of Non-GAAP Financial Information

In order to assist readers of our consolidated financial statements in understanding the operating results that Management uses to evaluate the business and for financial planning purposes, the Company presents the following non-GAAP measures as a complement to financial results prepared in accordance with U.S. GAAP: Adjusted Gross Profit, Adjusted Gross Margin, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income, Adjusted Tax Rate, Adjusted Net Income per diluted share, Adjusted Net Cash Provided by Operating Activities, Adjusted Free Cash Flow, and certain other results presented on a constant- currency basis. Management believes that the presentation of these measures and the identification of notable, non-cash, non-operating costs, and/or (if applicable in a particular period) certain costs not anticipated to occur in future periods enhance an investor’s understanding of the underlying trends in the Company’s business and provide for better comparability between periods in different years. In addition, Management presents Net Debt as a measure of our financial condition. Management believes that these measures are relevant and provide useful information widely used by analysts, investors and other interested parties in the Company’s industry to provide a baseline for evaluating and comparing our operating performance, financial condition and, in the case of free cash flow, our liquidity results. Management uses these non-GAAP financial measures in managing and measuring the performance of the business, including setting and measuring incentive-based compensation for management.

The non-GAAP financial measures presented herein should not be considered in isolation or as a substitute for operating income, net income, cash flows from operating, investing, or financing activities, or other income or cash flow measures prepared in accordance with GAAP. Reconciliations of the non-GAAP financial measures used herein to the most directly comparable GAAP financial measures are presented in tabular form in this appendix. In addition, the non-GAAP measures that are used by the Company are not defined in the same manner by all companies and therefore may not be comparable to other similarly titled

measures of other companies.

• Adjusted Gross Profit represents total revenues less the total cost of revenues, excluding depreciation, accretion, and amortization of intangible assets. Adjusted Gross Margin is calculated by dividing Adjusted Gross Profit by total revenues.

• EBITDA adds net interest expense, income tax expense (benefit), depreciation and accretion, amortization of deferred financing costs and note discounts, amortization of intangible assets, and certain costs not anticipated to occur in future periods to net income. Adjusted EBITDA and Adjusted EBITDA Margin exclude the items excluded from EBITDA as well as share-based compensation expense, certain other income and expense amounts, acquisition related expenses, gains or losses on disposal and impairment of assets, certain non-operating expenses (if applicable in a particular period), and includes an adjustment for noncontrolling interests. Depreciation and accretion expense and amortization of intangible assets are excluded from Adjusted EBITDA and Adjusted EBITDA margins as these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures, and the methods by which the assets were acquired. Adjusted EBITDA margin is calculated as Adjusted EBITDA divided by total revenues.

• Adjusted Net Income represents net income computed in accordance with U.S. GAAP, before amortization of intangible assets, deferred financing costs and note discount, gains or losses on disposal and

impairment of assets, share-based compensation expense, certain other income and expense amounts, acquisition related expenses, certain non-operating expenses, and (if applicable in a particular period) certain costs not anticipated to occur in future periods (together, the “Adjustments”). The non-GAAP tax rate used to calculate Adjusted Net Income was approximately 16.3% and 18.0% for the three and twelve months ended December 31, 2020, and 22.4% and 23.1% for the three and twelve months ended December 31, 2019 respectively. The non-GAAP tax rates represent the U.S. GAAP tax rate for the period as adjusted by the estimated tax impact of the items adjusted from the measure and excluding non-recurring impacts of tax rate changes and valuation allowances. Adjusted Net Income per diluted share is calculated by dividing Adjusted Net Income by weighted average diluted shares outstanding.

• Adjusted Net Cash Provided by Operating Activities is defined as cash provided by operating activities less the impact of changes in restricted cash due to the timing of payments of restricted cash liabilities.

• Adjusted Free Cash Flow is defined as Adjusted Net Cash Provided by Operating Activities less payments for capital expenditures, including those financed through direct debt, but excluding acquisitions. The Adjusted Free Cash Flow measure does not take into consideration certain financing activities and other non-discretionary cash requirements such as mandatory principal payments on portions of the Company’s long-term debt.

• Net Debt represents the principal amount of current and long-term debt outstanding less cash and cash equivalents. The carrying value of current and long-term debt is reconciled to the principal amount by adding the unamortized debt issuance costs and discounts.

• Management calculates certain GAAP as well as non-GAAP measures on a constant-currency basis using the average foreign currency exchange rates applicable in the corresponding period of the previous year and applying these rates to the measures in the current reporting period to assess performance and eliminate the effect foreign currency exchange rates have on comparability between periods.

(26)

Consolidated Results: Reconciliation of Non-GAAP Items

Notes:

1) For the three and twelve months ended December 31, 2019, includes a goodwill impairment of $7.3 million on the Canada reporting unit.

2) Includes foreign currency translation gains/losses, the revaluation of the estimated acquisition related contingent consideration, and other non-operating costs.

3) Noncontrolling interest adjustment made such that Adjusted EBITDA includes only the Company’s ownership interest in the Adjusted EBITDA of one of the Company's Mexican subsidiaries.

4) For the three and twelve months ended December 31, 2020, costs include investment banking, legal and professional fees and certain other administrative costs incurred in connection with the proposed acquisition of the Company.

5) For the three and twelve months ended December 31, 2020, our restructuring expenses included costs incurred in conjunction with facility closures, workforce reductions and other related charges. For the three and twelve months ended December 31, 2019, our restructuring expenses included workforce reductions, costs incurred in conjunction with facility closures, professional fees and other related charges.

6) The results for the three and twelve month periods ended December 31, 2020, include business rate tax recoveries of

$23.3 million and $35.1 million, respectively, classified as a cost reduction within Cost of ATM operating revenues.

7) Amounts exclude a portion of the expenses incurred by one of the Company's Mexican subsidiaries to account for the amounts allocable to the noncontrolling interest shareholders.

8) For the three and twelve month periods ended December 31, 2020, the non-GAAP tax rates used to calculate Adjusted Net Income were 16.3% and 18.0%, respectively.

For the three and twelve months ended December 31, 2019, the non-GAAP tax rates used to calculate Adjusted Net Income were 22.4% and 23.1%, respectively. These figures represent the Company’s GAAP tax rate as adjusted for the net tax effects related to the items excluded from Adjusted Net Income and excluding non-recurring impacts Three Months Ended December 31, Twelve Months Ended December 31,

2020 2019 2020 2019

Net income attributable to controlling interests and

available to common shareholders $9,579 $12,620 $19,144 $48,274

Adjustments:

Interest expense, net 10,735 6,339 37,097 26,604

Amortization of deferred financing costs and note discount 1,935 3,448 12,161 13,447

Redemption costs for early extinguishment of debt - - 3,018 -

Income tax expense 4,827 5,742 452 16,522

Depreciation and accretion expense 35,864 31,032 133,210 130,676

Amortization of intangible assets 6,712 11,854 31,874 49,261

EBITDA $69,652 $71,035 $236,956 $284,784

Add back:

Loss on disposal and impairment of assets⁽¹⁾ 2,297 8,552 4,144 11,653

Other income ⁽²⁾ (8,426) (8,950) (18,077) (18,404)

Noncontrolling interests ⁽³⁾ 17 12 59 58

Share-based compensation expense 6,121 5,595 22,264 20,962

Acquisition related expenses ⁽⁴⁾ 8,836 - 8,836 -

Restructuring expenses ⁽⁵⁾ 2,886 1,882 9,443 8,928

Adjusted EBITDA⁽⁶⁾ $81,383 $78,126 $263,625 $307,981

Depreciation and accretion expense ⁽⁷⁾ 35,864 31,031 133,210 130,675

Interest expense, net 10,735 6,339 37,097 26,604

Income tax expense ⁽⁸⁾ 5,670 9,130 16,817 34,877

Adjusted Net Income $29,114 $31,626 $76,501 $115,825

Adjusted Net Income per share – basic $0.65 $0.71 $1.72 $2.54

Adjusted Net Income per share – diluted $0.64 $0.70 $1.69 $2.52

Weighted average shares outstanding – basic 44,490,234 44,619,307 44,537,467 45,514,703

Weighted average shares outstanding – diluted 45,396,522 45,288,321 45,397,494 46,015,334

Figures in $ thousands, except share and per share amounts

(27)

27 Business Segment Results: Reconciliation of Constant-Currency Items

CONSOLIDATED Three Months Ended December 31,

2020 2019 % Change

GAAPU.S.

Foreign Currency

Impact Constant –

Currency U.S.

GAAP U.S.

GAAP Constant – Currency

ATM operating revenues $259,020 ($2,719) $256,301 $322,039 (19.6%) (20.4%)

ATM product sales and other

revenues 15,787 (166) 15,621 16,768 (5.9%) (6.8%)

Total revenues $274,807 ($2,885) $271,922 $338,807 (18.9%) (19.7%)

NORTH AMERICA Three Months Ended December 31,

2020 2019 % Change

GAAPU.S.

Impact ^{Constant –}Currency U.S.

GAAP U.S.

ATM operating revenues $177,823 ($60) $177,762 $204,777 (13.2%) (13.2%)

revenues 12,567 (18) 12,550 14,536 (13.5%) (13.7%)

Total revenues $190,390 ($78) $190,312 $219,313 (13.2%) (13.2%)

EUROPE AND AFRICA Three Months Ended December 31,

2020 2019 % Change

GAAPU.S.

Impact Constant -

GAAP U.S.

revenues 2,765 (114) 2,651 2,106 31.3% 25.9%

Total revenues $65,749 ($1,472) $64,277 $97,216 (32.4%) (33.9%)

AUSTRALIA AND NEW ZEALAND Three Months Ended December 31,

2020 2019 % Change

GAAPU.S.

GAAP U.S.

GAAP Constant –

Currency

revenues 454 (34) 420 181 n/m n/m

Total revenues $20,094 ($1,335) $18,759 $24,745 (18.8%) (24.2%)

Figures in $ thousands

(28)

Business Segment Results: Reconciliation of Constant-Currency Items

CONSOLIDATED Twelve Months Ended December 31,

2020 2019 % Change

GAAPU.S.

GAAP U.S.

ATM operating revenues $1,040,779 $2,041 $1,042,820 $1,281,106 (18.8%) (18.6%) ATM product sales and other

revenues 53,220 180 53,400 68,299 (22.1%) (21.8%)

Total revenues $1,093,999 $2,221 $1,096,220 $1,349,405 (18.9%) (18.8%)

NORTH AMERICA Twelve Months Ended December 31,

2020 2019 % Change

GAAPU.S.

Impact ^{Constant –}Currency U.S.

GAAP U.S.

ATM operating revenues $717,451 $1,141 $718,592 $803,955 (10.8%) (10.6%)

revenues 44,702 126 44,828 59,559 (24.9%) (24.7%)

Total revenues $762,153 $1,267 $763,420 $863,514 (11.7%) (11.6%)

EUROPE AND AFRICA Twelve Months Ended December 31,

2020 2019 % Change

GAAPU.S.

Impact Constant -

GAAP U.S.

ATM operating revenues $258,322 $626 $258,948 $388,091 (33.4%) (33.3%)

revenues 7,624 86 7,710 8,229 (7.4%) (6.3%)

Total revenues $265,946 $712 $266,658 $396,320 (32.9%) (32.7%)

AUSTRALIA AND NEW ZEALAND Twelve Months Ended December 31,

2020 2019 % Change

GAAPU.S.

GAAP U.S.

GAAP Constant - Currency

ATM operating revenues $70,952 $274 $71,226 $99,552 (28.7%) (28.5%)

ATM product sales and other Figures in $ thousands

(29)

29 Business Segment Results: Reconciliation of Constant- Currency Items

Three Months Ended December 31,

2020 2019 % Change

Non -

GAAP⁽¹⁾ Foreign Currency

Currency Non -

GAAP⁽¹⁾ Non -

GAAP⁽¹⁾ Constant - Currency (In thousands)

Adjusted EBITDA $ 81,383 $ (788) $ 80,595 $ 78,126 4.2% 3.2%

Adjusted Net Income $ 29,114 $ (188) $ 28,926 $ 31,626 (7.9%) (8.5%)

Adjusted Net Income per share – diluted ⁽²⁾ $ 0.64 $ ― $ 0.64 $ 0.70 (8.6%) (8.6%)

(1) As reported on the Company’s Reconciliation of Net Income Attributable to Controlling Interests and Available to Common Shareholders to EBITDA, Adjusted EBITDA, and Adjusted Net Income. See Disclosure of Non-GAAP Financial Information in this presentation for further discussion.

(2) Adjusted Net Income per diluted share is calculated by dividing Adjusted Net Income by the weighted average diluted shares outstanding of 45,396,522 and 45,288,321 for the three months ended December 31, 2020 and 2019, respectively, and 45,397,494 and 46,015,334 for the twelve months ended December 31, 2020 and 2019, respectively.

Twelve Months Ended December 31,

2020 2019 % Change

Non -

GAAP⁽¹⁾ Foreign Currency

Currency Non -

GAAP⁽¹⁾ Non -

GAAP⁽¹⁾ Constant - Currency (In thousands)

Adjusted EBITDA $ 263,625 $ (386) $ 263,239 $ 307,981 (14.4%) (14.5%)

Adjusted Net Income $ 76,501 $ (550) $ 75,951 $ 115,825 (34.0%) (34.4%)

Adjusted Net Income per share – diluted ⁽²⁾ $ 1.69 $ ($0.02) $ 1.67 $ 2.52 (32.9%) (33.7%)

(30)

Consolidated Results: Reconciliation of Non-GAAP Items

Notes:

1) The Company presents the Total cost of revenues in the Company’s Consolidated Statements of Operations exclusive of depreciation and accretion, and amortization of intangible assets.

Adjusted Gross Margin Three Months Ended December 31, Three Months Ended December 31,

(In thousands) (In thousands)

2020 2019 2020 2019

Total revenues $274,807 $338,807 $1,093,999 $1,349,405

Total cost of revenues ⁽¹⁾ 155,115 220,732 692,651 884,679

Total depreciation, accretion, and amortization of intangible

assets excluded from total cost of revenues 35,547 34,088 133,115 146,385

Gross profit (inclusive of depreciation, accretion, and

amortization of intangible assets) $84,145 $83,987 $268,233 $318,041

Gross Margin (inclusive of depreciation, accretion, and

amortization of intangible assets) 30.6% 24.8% 24.5% 23.6%

Total depreciation, accretion, and amortization of intangible

assets excluded from gross profit $35,547 $34,088 $133,115 $146,385

Adjusted Gross Profit (exclusive of depreciation, accretion,

and amortization of intangible assets) $119,692 $118,075 $401,348 $464,426

Adjusted Gross Margin (exclusive of depreciation, accretion, and

amortization of intangible assets) 43.6% 34.9% 36.7% 34.4%

Adjusted Free Cash Flow Three Months Ended December 31, Twelve Months Ended December 31,

(In thousands) (In thousands)

2020 2019 2020 2019

Net cash provided by (used in) operating activities $94,148 ($27,033) $282,349 $204,659

Restricted cash settlement activity⁽¹⁾ (38,861) 93,111 (49,534) 70,482

Adjusted net cash provided by operating activities 55,287 66,078 232,815 275,141

Net cash used in investing activities, excluding acquisitions ⁽²⁾ (30,048) (34,587) (91,142) (124,906)

Adjusted free cash flow $25,239 $31,491 $141,673 $150,235

Notes:

1) Restricted cash settlement activity represents the change in our restricted cash excluding the portion of the change that is attributable to foreign exchange and disclosed as part of the effect of exchange rate changes on cash, cash equivalents, and restricted cash in our Consolidated Statements of Cash Flows. Restricted cash largely consists of amounts collected on behalf of, but not yet remitted to, certain of the Company’s merchant customers or third-party service providers that are pledged for a particular use or restricted to support these obligations. These amounts can fluctuate significantly period to period based on the number of days for which settlement to the merchant has not yet occurred or day of the week on which a quarter ends.

2) Capital expenditures are primarily related to organic growth projects, including the purchase of ATMs for both new and existing ATM management agreements, technology and product development, investments in infrastructure, ongoing refreshment of ATMs and operational assets and other related type activities in the normal course of business.

Additionally, capital expenditure amounts for one of

(31)

31

Consolidated Results: Reconciliation of Net Debt

Notes:

1) The Term Loan Facility due June 2027 (the "Term Loan") with a face value of $497.5 million is presented net of unamortized discounts and capitalized debt issuance costs of $16.5 million as of December 31, 2020. Mandatory payments in the next twelve months total $5.0 million and are presented in the Current portion of long- term debt line of the Company's Consolidated Balance Sheet as of December 31, 2020. The Company entered into the Term Loan in June 2020 and a portion of the proceeds were used to repay outstanding borrowings under the Company’s revolving credit facility and retire the 1.00% Convertible Senior Notes.

2) The 5.50% Senior Notes due May 2025 with a face value of $300.0 million are presented net of unamortized capitalized debt issuance costs of $2.8 million and

$3.5 million as of December 31, 2020 and December 31, 2019, respectively.

3) The 1.00% Convertible Senior Notes due December 2020 (the "Convertible Notes") with a face value of $287.5 million as of December 31, 2019, are presented net of unamortized discounts and capitalized debt issuance costs of $11.8 million as of December 31, 2019. During the quarter ended June 30, 2020, the Company repurchased and cancelled $171.9 million in principal amount of Convertible Notes.

On November 30, 2020, the Company repaid the remaining $115.6 million outstanding principal balance.

As of December 31, (in thousands)

2020 2019

Current and Long-Term Debt

Revolving credit facility due September 2024 $ ― $ 167,227

Term Loan Facility due June 2027 ⁽¹⁾ 480,985 ―

5.50% Senior Notes due May 2025⁽²⁾ 297,192 296,545

1.00% Convertible senior notes due December 2020⁽³⁾ ― 275,703

Total Current and Long-term Debt $ 778,177 $ 739,475

Less: Current portion (5,000) ―

Total Long-term debt $ 773,177 $ 739,475

Reconciliation of Current and Long-Term Debt to Net Debt:

Total Current and Long-term Debt 778,177 739,475

Add: Unamortized discounts and capitalized debt issuance costs 19,323 15,252

Less: Cash and cash equivalents (174,242) (30,115)

Net Debt $ 623,258 $ 724,612

(32)

Key Operating Metrics

Three Months Ended December 31, Twelve Months Ended December 31,

2020 2019 % Change 2020 2019 % Change

Average number of transacting ATMs⁽¹⁾:

North America 43,175 43,765 (1.3%) 42,737 43,388 (1.5%)

Europe & Africa 21,985 23,923 (8.1%) 22,090 23,875 (7.5%)

Australia & New Zealand 5,919 7,024 (15.7%) 5,850 7,373 (20.7%)

Total Company-owned⁽²⁾ 71,079 74,712 (4.9%) 70,677 74,636 (5.3%)

North America 11,704 13,811 (15.3%) 11,828 13,998 (15.5%)

Europe & Africa 175 234 n/m 185 241 n/m

Total Merchant-owned 11,879 14,045 (15.4%) 12,013 14,239 (15.6%)

Managed Services and Processing:

North America⁽³⁾ 188,125 199,889 (5.9%) 184,558 176,828 4.4%

Australia & New Zealand 1,464 1,773 (17.4%) 1,573 1,762 (10.7%)

Total Managed services and processing⁽²⁾ 189,589 201,662 (6.0%) 186,131 178,590 4.2%

Total average number of transacting ATMs 272,547 290,419 (6.2%) 268,821 267,465 0.5%

Total transactions (in thousands):

ATM operations 224,700 295,207 (23.9%) 917,936 1,219,085 (24.7%)

Managed services and processing, net 322,522 350,585 (8.0%) 1,248,309 1,427,329 (12.5%)

Total transactions⁽⁴⁾ 547,222 645,792 (15.3%) 2,166,245 2,646,414 (18.1%)

Total cash withdrawal transactions (in thousands):

ATM operations⁽⁴⁾ 144,711 196,095 (26.2%) 590,353 807,190 (26.9%)

Per ATM per month amounts (excludes managed services and processing):

Cash withdrawal transactions⁽⁴⁾ 581 736 (21.0%) 595 756 (21.3%)

ATM operating revenues ⁽⁵⁾ $941 $1,113 (15.5%) $956 $1,105 (13.5%)

Cost of ATM operating revenues ^{(5) (6)} 527 729 (27.7%) 617 731 (15.6%)

ATM adjusted operating gross profit ^{(5) (6)} $414 $384 7.8% $339 $374 (9.4%)

Notes:

(1) The average number of transacting ATMs presented above represents an average of the ATMs

transacting in the respective months of 2020 and 2019. The 2020 counts do not include ATMs at casinos, theme parks, malls, education facilities, tourist-focused sites and other ATM sites that were temporarily closed and not transacting during 2020 as a result of the Pandemic.

(2) Company-owned ATMs that are deployed under managed services agreements are classified under Managed services and processing.

(3) In May 2019, the Company completed the

acquisition of ATM processing contracts to provide transaction processing services for approximately 62,000 ATMs. This transaction added approximately 40,000 ATMs to the average number of transacting ATMs for the year ended December 31, 2019.

(4) Total transactions, total cash withdrawal

transactions, and total transactions per ATM per month were adversely impacted by the Pandemic, particularly in the U.K. where average transactions per ATM exceed our Company average.

(5) ATM operating revenues and Cost of ATM operating revenues relating to managed services, processing, ATM equipment sales and other ATM-related services are not included in this calculation. The Cost of ATM operating revenues in the year ended December 31, 2020 includes business rate tax recoveries totaling $35.1 million.

(6) Amounts presented exclude the effect of depreciation, accretion, and amortization of

intangible assets, which is reported separately in the Consolidated Statements of Operations of the 10-K.

For additional information, see 10-K Item 8. Financial Statements and Supplementary Data, Note 1. Basis of Presentation and Summary of Significant Accounting Policies – (d) Cost of ATM Operating Revenues

(33)

33

Key Operating Metrics

As of December 31,

2020 2019 % Change

Ending number of transacting ATMs⁽¹⁾:

North America 43,423 43,562 (0.3%)

Europe & Africa 21,721 23,992 (9.5%)

Australia & New Zealand 6,025 6,928 (13.0%)

Total Company-owned⁽²⁾ 71,169 74,482 (4.4%)

North America 10,970 13,621 (19.5%)

Europe & Africa 168 232 (27.6%)

Total Merchant-owned 11,138 13,853 (19.6%)

Managed Services and Processing:

North America 185,041 196,681 (5.9%)

Australia & New Zealand 1,463 1,757 (16.7%)

Total Managed services and processing⁽²⁾ 186,504 198,438 (6.0%)

Total ending number of transacting ATMs 268,811 286,773 (6.3%)

Notes:

(1) The ending number of transacting ATMs presented in the table includes only those ATMs transacting during the months of December 2020 and 2019. The 2020 counts do not include ATMs at casinos, theme parks, malls, education facilities, tourist-focused sites and other ATM sites that were temporarily closed during December 2020 as a result of the Pandemic. The Company estimates that during the month of December 2020, approximately 20,100 ATMs were not transacting due to the Pandemic including approximately 4,400 ATMs, 2,900 ATMs, and 12,800 ATMs in the Company-owned, Merchant-owned, and Managed services and processing arrangement types, respectively. In total, we estimate that the number of ATMs that we service exceeds 285,000.

(2) Company-owned ATMs that are deployed under managed services agreements are classified under Managed services and processing.