NCR Voyix (VYX) 21st Annual Needham Technology, Media, & Consumer Conference summary

Leadership transition and organizational changes

• CEO stepped in full-time in February 2023 after serving as Executive Chair, following the split from the ATM business and further divestitures of non-core assets.

• Headcount reduced by 20% to align with the smaller, more focused organization post-divestitures.

• Significant focus on internal infrastructure, cost management, and cleaning up the balance sheet, including paying off nearly $3 billion in debt and returning capital to investors.

• Approximately 10% of net proceeds from divestitures to be reinvested or returned to shareholders by year-end.

Product modernization and AI integration

• Major product overhaul began in late 2023, shifting from legacy products to a modern platform supporting over 50 applications.

• AI leveraged to accelerate modernization, enabling rapid transformation of legacy applications and enhancing customer offerings.

• AI seen as an additive, not a threat, with new AI-based features driving value and growth, especially through the Aloha Next application.

• Customers can build their own apps on the platform, with the company charging a toll for platform use.

Market demand and customer engagement

• Demand for modernized solutions is high, with over 200 demos and multiple customer labs conducted recently.

• 13% of recent Remaining Contract Value represents new customers, indicating growth beyond the existing base.

• Attrition rate remains extremely low at 1% of revenue, reflecting strong customer retention.

• International and U.S. markets show similar demand for modernization, driven by outdated infrastructure.