DIEBOLD NIXDORF, Inc Q1 FY2026 earnings call

Banking Strategy

• Supportive secular tailwinds in banking, focusing on branch efficiency and customer experience. Core ATM franchise strong, teller cash recyclers and branch automation gaining momentum. Expanding footprint in US and international markets, orchestrating transaction processing across touchpoints.

Retail Performance

• Strong Q1 revenue growth over 25% year-over-year. North America with major deployments and wins, Europe with solid point of sale performance. Smart Vision AI platform expanding store use cases.

Services Progress

• Margins modestly down due to investments, but service levels improving in North America. Field technician software rollout improving operations, Kaizen events in Asia-Pacific driving cost savings and revenue

Revenue grew 6% year-over-year to $888 million. Adjusted EBITDA increased 14% to $99 million. Backlog grew sequentially to approximately $790 million. In banking, core ATM franchise strong with teller cash recyclers and branch automation growing. Retail saw revenue up double digits, with North America having large pipeline and wins, Europe with strong point of sale. Smart Vision AI platform supporting multiple store use cases. Services had margins modestly down but service levels improving

Revenue expected range of 3.86 billion to 3.94 billion. Total gross margin to increase 25 to 50 basis points year over year, service margin to improve up to 50 basis points. Adjusted EBITDA projected range of $510 million to $535 million. Free cash flow forecast range of $255 to $270 million. Adjusted EPS range of $5.25 to $5.75. Q2 revenue expected to represent ~24% of full year, stronger second-half weighted contribution to adjusted EBITDA

Q: Talk about cadencing of EBITDA and color on North American retail.

A: Q2 expected slight growth in adjusted EBITDA. In retail, three significant wins in North America including fuel and convenience, grocer, pharmacy chain.

Q: More color on strong retail growth between Europe and North America.

A: North America grew 70% with targeted wins, Europe had extraordinary quarter with strong growth across product lines.

Q: Color on input costs like memory and fuel.

A: Memory cost impact mitigated by pricing and supply chain, fuel costs managed by efficient vehicles and routing software with fuel consumption down year over year.

Q: Update on 200 action points for OpEx reduction.

A: Still early days but holding OpEx flat in Q1, expecting down 1-2% by end of 2026