Euronet Worldwide Withdraws First Quarter 2020 Guidance in Response to COVID-19 Impact

LEAWOOD, Kan., March 20, 2020 (GLOBE NEWSWIRE) -- Euronet Worldwide, Inc. ("Euronet" or the "Company") (NASDAQ:EEFT), a leading global financial technology solutions and payments provider, announced today the withdrawal of its previously announced first quarter 2020 outlook due to the evolving impact of the novel coronavirus (COVID-19) on the global economy. 

“Most importantly, our thoughts are with those impacted by this virus and we appreciate the medical professionals, government officials and volunteers who are working to address this unprecedented event,” stated Michael J. Brown, Euronet’s Chairman and Chief Executive Officer. “The health of our employees, partners, customers, and fellow citizens is our first priority and we will continue to work to ensure we operate safely, while continuing to run our business as best we can in this environment.” 

“As we continue to navigate this evolving and challenging event, we believe it is prudent to provide an update on the impact we are seeing across our business,” continued Mr. Brown. “We are fortunate that our business is well diversified on a product basis across a global footprint.  Moreover, the strength of a strong balance sheet and leading-edge technology enable us to be a dependable service provider to our customers and stability for our employees.   I remain confident that our strategy continues to be sound, that our employees are resilient and that we will emerge from this transitory event ready to move forward with our long-term growth plans.”

The EFT segment is seeing declines in international transactions as travel has been impacted by the closing of borders across the World and domestic transactions as certain governments have implemented more significant restrictions on population movements within the country or state. 

The epay segment has experienced certain pockets of pressure on transactions where population movement restrictions have been implemented while other areas have experienced increases in transaction volume and size of transaction driven by increased consumer usage of mobile devices and streaming and gaming applications, generally resulting in overall mild impacts in the epay business at this time.

The Money Transfer Segment has seen certain stronger than expected volume in the first few weeks of March due to customers taking advantage of volatility in foreign exchange rates; however, the Company anticipates that this is likely temporary and as workers are impacted by the closing of certain businesses, the money transfer transactions may likely be impacted.