Deluxe Corp Q3 2024 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Lance Vitanza - TD Cowen - Analyst : Thanks guys. Can you hear me? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 06, 2024 / 10:00PM, DLX.N - Q3 2024 Deluxe Corp Earnings Call

Question: Lance Vitanza - TD Cowen - Analyst : Oh Great Thanks. So, first off, nice job on the EBITDA and Cash flow and I appreciate the improving tone in merchant services and data solutions all the same. I was a little disappointed to see total revenue down on a like for like basis. I know it was just down but it wasn't up. So my question, I'm kind of a two partner here, Barry as, as we think about 2025 and obviously I'm not expecting guidance here. But how confident are you that you can see consolidated revenue growth for the full year? Obviously, I appreciate you've got some businesses that are growing nicely. You've also got some businesses that are facing some secular headwinds. So I just wanted to get your temperature there and then maybe for Chip, you mentioned the Investor Day a couple of times if you could perhaps go back and remind us what when we lay out the long term growth expectations for each of your four sectors and then factoring in the size of those businesses as we exit 2024 what should we expect for consolidated growth in 2025 if it turns out to be a normal year? And I just, I don't have the math in my fingertips. Is it 2%? Is it 4%? Is it more, is it less any colour there would be would be very helpful. Thank you.

Question: Lance Vitanza - TD Cowen - Analyst : That's super helpful guys. Thanks, and great execution. Take care.

Question: Charlie Strasser - CJS Securities. - Analyst : Hi, good evening.

Question: Charlie Strasser - CJS Securities. - Analyst : Hey, our margin was pretty strong actually in the quarter, despite kind of revenue being in line. nearly 20% there in the quarter. Can you shed a little bit lighter on the drivers behind that. I know you said mix and expense reductions, but maybe a little bit more colour on that as well. And then moreover, data margins were very strong, maybe in your commentary for my questions she shed some more colour on that too.

Question: Charlie Strasser - CJS Securities. - Analyst : That's very helpful. Thank you and Chip, just switch gears a little bit to the balance sheet. You made some commentary about the debt and some of your term maturities with rates lower going lower and heading in the right direction your thought more to you kind of tackle that sooner rather than later.

Question: Charlie Strasser - CJS Securities. - Analyst : Appreciate that. Thank you. Very much.

Question: Will Brunemann - Northcoast Research - Analyst : Hey guys, how's it going? So I was going to ask, hey, I was going to ask, are you guys seeing any changes in the competitive environment or any pricing pressure in the merchant business? And then if you're able to, could you possibly provide us any colour on how transaction growth has looked within the business as well?

Question: Will Brunemann - Northcoast Research - Analyst : Okay. Thank you. And then just one more. So, we were curious, if there was an increase in Bank M&A with the new administration in office, what kind of impact would that have on the check business?

Question: Will Brunemann - Northcoast Research - Analyst : All right, thank you guys so much. I appreciate it.

Question: Marc Riddick - Sidoti & Company, LLC - Analyst : It's better when I'm not muted. Hey there, good evening, guys. I wanted to touch a little bit on I guess check was ahead on both the revenue and margin relative to where I was. I was sort of curious as to what you're seeing as far as was there any pick up a discretionary spend or a revenue mix that might have been helpful. I know that that certainly the expense management and productivity was key. But I was wondering it from a, from a client behaviour standpoint, if you're seeing much change relative to where we were earlier in the year.

Question: Marc Riddick - Sidoti & Company, LLC - Analyst : Great. And then it's been about a year now since North Star was introduced initially on the call and then more broadly in the at the investor event, I was wondering now that sort of, we're a year in and probably slide 7 is probably my favourite slide in the deck as far as all the pieces involved. I was wondering if there are any areas that you sort of look at among those, those opportunities and sort of see maybe a different level of optimism upside things of that nature where you are now versus maybe six months ago or so, seeing as though there's so many different pieces that are that are part of the plan. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. NOVEMBER 06, 2024 / 10:00PM, DLX.N - Q3 2024 Deluxe Corp Earnings Call

Question: Marc Riddick - Sidoti & Company, LLC - Analyst : Excellent. Thank you very much.