Western Union CO

Previous wording

Possible events or factors that could cause results or performance to differ materially from those expressed in our forward-looking statements include the following: (i) events or factors related to our business and industry, such as: changes in general economic conditions and economic conditions in the regions and industries in which we operate, including global economic downturns and trade disruptions, or significantly slower growth or declines in the money transfer, payment service, and other markets in which we operate, including downturns or declines related to interruptions in migration patterns, slowdowns in travel, or other events, such as public health emergencies, epidemics, or pandemics, civil unrest, war, terrorism, natural disasters, or non-performance by our banks, lenders, insurers, or other financial services providers; failure to compete effectively in the money transfer and payment service industry, including among other things, with respect to price or customer experience, with global and niche or corridor money transfer providers, banks and other money transfer and payment service providers, including digital, mobile and internet-based services, card associations, and card-based payment providers, and with digital currencies and related exchanges and protocols, and other innovations in technology and business models; geopolitical tensions, political conditions, armed conflicts or wars, and related actions, including trade restrictions, tariffs, and government sanctions, which may adversely affect our business and economic conditions as a whole, including interruptions of United States or other government relations with countries in which we have or are implementing significant business relationships with agents, clients, or other partners; deterioration in customer confidence in our business, or in money transfer and payment service providers generally; failure to maintain our agent network and business relationships under terms consistent with or more advantageous to us than those currently in place; our ability to adopt new technology and develop and gain market acceptance of new and enhanced services in response to changing industry and consumer needs or trends; the development, deployment, and use of artificial intelligence ("AI"), machine learning, and automated decision-making technologies in our operations, including risks relating to system performance, data quality, regulatory compliance, bias, or unintended outcomes; mergers, acquisitions, and the integration of acquired businesses and technologies into our Company, divestitures, and the failure to realize anticipated financial benefits from these transactions, and events requiring us to write down our goodwill; decisions to change our business mix; changes in, and failure to manage effectively, exposure to foreign exchange rates, including the impact of the regulation of foreign exchange spreads on money transfers; changes in tax laws, or their interpretation, any s…

Excerpt shortened here; the source contains the full paragraph.

Current wording

Possible events or factors that could cause results or performance to differ materially from those expressed in our forward-looking statements include the following: (i) events or factors related to our business and industry, such as: changes in general economic conditions and economic conditions in the regions and industries in which we operate, including global economic downturns and trade disruptions, or significantly slower growth or declines in the money transfer, payment service, and other markets in which we operate, including downturns or declines related to interruptions in migration patterns, slowdowns in travel, or other events, such as public health emergencies, epidemics, or pandemics, civil unrest, war, terrorism, natural disasters, or non-performance by our banks, lenders, insurers, or other financial services providers; failure to compete effectively in the money transfer and payment service industry, including among other things, with respect to price or customer experience, with global and niche or corridor money transfer providers, banks and other money transfer and payment service providers, including digital, mobile and internet-based services, card associations, and card-based payment providers, and with digital currencies and related exchanges and protocols, and other innovations in technology and business models; geopolitical tensions, political conditions, armed conflicts or wars, and related actions, including trade restrictions, tariffs, and government sanctions, which may adversely affect our business and economic conditions as a whole, including interruptions of United States or other government relations with countries in which we have or are implementing significant business relationships with agents, clients, or other partners; deterioration in customer confidence in our business, or in money transfer and payment service providers generally; failure to maintain our agent network and business relationships under terms consistent with or more advantageous to us than those currently in place; our ability to adopt new technology and develop and gain market acceptance of new and enhanced services in response to changing industry and consumer needs or trends; the development, deployment, and use of artificial intelligence ("AI"), machine learning, and automated decision-making technologies in our operations, including risks relating to system performance, data quality, regulatory compliance, bias, or unintended outcomes; factors relating to Western Union’s proposed acquisition of Intermex, including whether the transaction is completed on the anticipated terms and timeline or at all, receipt of regulatory approvals and satisfaction of other customary closing conditions, failure to realize anticipated financial benefits from the transaction, and risks related to continued availability of capital and changes in the capital markets, potential litigation or regulatory actions, and disruptions from the transaction that may ha…

Excerpt shortened here; the source contains the full paragraph.

Previous wording

On August 10, 2025, we entered into an agreement to purchase the entire share capital of International Money Express, Inc. (“Intermex”) for approximately $500 million in cash and repay all of Intermex's outstanding indebtedness under their revolving credit facility. This transaction is expected to close in the second quarter of 2026, subject to the satisfaction of customary closing conditions, including receipt of remaining regulatory approvals. Intermex is a leading omnichannel money transfer provider, focused primarily on the United States to Latin America and the Caribbean corridors, through a network of agent retail locations, Intermex-operated stores, its mobile app, and websites.

Current wording

On August 10, 2025, we entered into an agreement to purchase the entire share capital of International Money Express, Inc. (“Intermex”) for approximately $500 million in cash and repay all of Intermex’s outstanding indebtedness under their revolving credit facility. We anticipate closing the transaction as soon as reasonably practicable, subject to the satisfaction of customary closing conditions, including receipt of the remaining regulatory approval. Intermex is a leading omnichannel money transfer provider, focused primarily on the United States to Latin America and the Caribbean corridors, through a network of agent retail locations, Intermex-operated stores, its mobile app, and websites.

Previous wording

The following discussion of our consolidated results of operations and segment results refers to the three months ended March 31, 2026 compared to the same period in 2025. The results of operations should be read in conjunction with the discussion of our segment results of operations, which provides more detailed discussions concerning certain components of the Condensed Consolidated Statements of Income. All significant intercompany accounts and transactions between our segments have been eliminated. The below information has been prepared in conformity with generally accepted accounting principles in the United States of America (“GAAP”) unless otherwise noted. All amounts provided in this section are rounded to the nearest tenth of a million, except as otherwise noted. As a result, the percentage changes and margins disclosed herein may not recalculate precisely using the rounded amounts provided.

Current wording

The following discussion of our consolidated results of operations and segment results refers to the three and six months ended June 30, 2026 compared to the same periods in 2025. The results of operations should be read in conjunction with the discussion of our segment results of operations, which provides more detailed discussions concerning certain components of the Condensed Consolidated Statements of Income. All significant intercompany accounts and transactions between our segments have been eliminated. The below information has been prepared in conformity with generally accepted accounting principles in the United States of America (“GAAP”) unless otherwise noted. All amounts provided in this section are rounded to the nearest tenth of a million, except as otherwise noted. As a result, the percentage changes and margins disclosed herein may not recalculate precisely using the rounded amounts provided.

Previous wording

The following table sets forth our consolidated results of operations for the three months ended March 31, 2026 and 2025:

Current wording

The following table sets forth our consolidated results of operations for the three and six months ended June 30, 2026 and 2025:

Previous wording

Due to the significance of the effect that foreign exchange fluctuations against the United States dollar can have on our reported revenues, constant currency results have been provided in the table below for consolidated revenues. Constant currency revenues translate revenues denominated in foreign currencies to the United States dollar, net of the effect of foreign currency hedges, at rates consistent with those in the prior year. Constant currency measures are non-GAAP financial measures and are provided so that revenue can be viewed without the effect of fluctuations in foreign currency exchange rates, which is consistent with how management evaluates our revenue results and trends. We believe that these measures provide management and investors with information about revenue results and trends that eliminates currency volatility, thereby providing greater clarity regarding, and increasing the comparability of, our underlying results and trends. These disclosures are provided in addition to, and not as a substitute for, the percentage change in revenue on a GAAP basis for the three months ended March 31, 2026 compared to the corresponding period in the prior year. Other companies may calculate and define similarly labeled items differently, which may limit the usefulness of this measure for comparative purposes.

Current wording

Due to the significance of the effect that foreign exchange fluctuations against the United States dollar can have on our reported revenues, constant currency results have been provided in the table below for consolidated revenues. Constant currency revenues translate revenues denominated in foreign currencies to the United States dollar, net of the effect of foreign currency hedges, at rates consistent with those in the prior year. Constant currency measures are non-GAAP financial measures and are provided so that revenue can be viewed without the effect of fluctuations in foreign currency exchange rates, which is consistent with how management evaluates our revenue results and trends. We believe that these measures provide management and investors with information about revenue results and trends that eliminates currency volatility, thereby providing greater clarity regarding, and increasing the comparability of, our underlying results and trends. These disclosures are provided in addition to, and not as a substitute for, the percentage change in revenue on a GAAP basis for the three and six months ended June 30, 2026 compared to the corresponding periods in the prior year. Other companies may calculate and define similarly labeled items differently, which may limit the usefulness of this measure for comparative purposes.

Previous wording

The following table sets forth our consolidated revenue results for the three months ended March 31, 2026 and 2025:

Current wording

The following table sets forth our consolidated revenue results for the three and six months ended June 30, 2026 and 2025:

Previous wording

Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, resulted in an increase to revenues of $12.7 million for the three months ended March 31, 2026, when compared to the corresponding period in the prior year.

Current wording

Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, resulted in a decrease to revenues of $2.5 million and an increase to revenues of $10.2 million for the three and six months ended June 30, 2026, respectively, when compared to the corresponding periods in the prior year.

Previous wording

For the three months ended March 31, 2026, revenues and adjusted revenues were primarily impacted by a decrease in transactions and revenues in the North America and Latin America and the Caribbean regions of our Consumer Money Transfer segment, partially offset by revenue growth in our Consumer Services segment, as further discussed below.

Current wording

For the three and six months ended June 30, 2026, revenues and adjusted revenues were primarily impacted by a decrease in transactions and revenues in the North America and Latin America and the Caribbean regions of our Consumer Money Transfer segment, partially offset by revenue growth in our Consumer Services segment and in the Middle East, Africa, and South Asia region of our Consumer Money Transfer segment, as further discussed below.

Previous wording

Cost of services primarily consists of agent commissions, which represented approximately 55% of total cost of services for the three months ended March 31, 2026 and 2025. For the three months ended March 31, 2026, cost of services increased compared to the corresponding period in the prior year primarily due to an increase in employee-related and other expenses associated with our Eurochange Limited (“Eurochange”) acquisition and other immaterial acquisitions that expanded our Company-operated locations, in addition to increases in direct transactional expenses including credit losses, agent commissions, and bank fees.

Current wording

Cost of services primarily consists of agent commissions, which represented approximately 55% of total cost of services for the three and six months ended June 30, 2026 and 2025. For the three and six months ended June 30, 2026, cost of services increased compared to the corresponding periods in the prior year primarily due to an increase in agent commissions, in addition to an increase in employee-related and real estate expenses associated with acquisitions that expanded our Company-operated locations.

Previous wording

Selling, general and administrative expenses increased for the three months ended March 31, 2026 when compared to the corresponding period in the prior year due to fluctuations in the United States dollar compared to foreign currencies and an increase in the costs for professional services.

Current wording

Selling, general, and administrative expenses increased for the three and six months ended June 30, 2026 when compared to the corresponding periods in the prior year due to fluctuations in the United States dollar compared to foreign currencies and higher compliance costs.

Previous wording

Total other expense, net increased for the three months ended March 31, 2026, when compared to the corresponding period in the prior year, primarily due to an increase in interest expense associated with our commercial paper borrowings.

Current wording

Total other expense, net increased for the three and six months ended June 30, 2026, when compared to the corresponding periods in the prior year, primarily due to an increase in interest expense associated with our borrowings, including our notes due in 2029.

Previous wording

Our effective tax rates on pre-tax income were 28.1% and 16.1% for the three months ended March 31, 2026 and 2025, respectively. For the three months ended March 31, 2026 compared to the corresponding period in the prior year, the effective tax rate increased primarily due to discrete expenses in the current period related to the reorganization of our international operations, compared to discrete benefits in the prior period.

Current wording

Our effective tax rates on pre-tax income were 19.6% and 23.6% for the three months ended June 30, 2026 and 2025, respectively, and 23.7% and 20.0% for the six months ended June 30, 2026 and 2025, respectively. For the three months ended June 30, 2026 compared to the corresponding period in the prior year, the effective tax rate decreased primarily due to discrete expenses in the prior period. For the six months ended June 30, 2026 compared to the corresponding period in the prior year, the effective tax rate increased primarily due to discrete expenses in the current period related to the reorganization of our international operations, compared to discrete benefits in the prior period.

Previous wording

During the three months ended March 31, 2026 and 2025, basic earnings per share were $0.21 and $0.37, respectively, and diluted earnings per share were $0.20 and $0.36, respectively. Outstanding options to purchase Western Union stock and unvested shares of restricted stock are excluded from basic shares outstanding. Diluted earnings per share reflects the potential dilution that could occur if outstanding stock options at the presented dates are exercised and shares of restricted stock have vested. Shares excluded from the diluted earnings per share calculation were 16.0 million and 14.0 million for the three months ended March 31, 2026 and 2025, respectively. The effect of these shares was anti-dilutive under the treasury stock method, as the assumed proceeds of the options and restricted stock per unit were above our average share price during the periods.

Current wording

During the three months ended June 30, 2026 and 2025, basic earnings per share were $0.25 and $0.37, respectively, and diluted earnings per share were $0.24 and $0.37, respectively. During the six months ended June 30, 2026 and 2025, basic earnings per share were $0.45 and $0.74, respectively, and diluted earnings per share were $0.45 and $0.73, respectively. Outstanding options to purchase Western Union stock and unvested shares of restricted stock are excluded from basic shares outstanding. Diluted earnings per share reflects the potential dilution that could occur if outstanding stock options at the presented dates are exercised and shares of restricted stock have vested. Shares excluded from the diluted earnings per share calculation were 18.8 million and 17.3 million for the three months ended June 30, 2026 and 2025, respectively, and 17.4 million and 15.7 million for the six months ended June 30, 2026 and 2025, respectively. The effect of these shares was anti-dilutive under the treasury stock method, as the assumed proceeds of the options and restricted stock per unit were above our average share price during the periods.

Previous wording

Earnings per share for the three months ended March 31, 2026 compared to the corresponding period in the prior year were impacted by the previously described factors impacting net income, partially offset by a lower number of average shares outstanding.

Current wording

Earnings per share for the three and six months ended June 30, 2026 compared to the corresponding periods in the prior year were impacted by the previously described factors impacting net income, partially offset by a lower number of average shares outstanding.

Previous wording

During the three months ended March 31, 2026 and 2025, we incurred expenses that are not included in the measurement of segment operating income provided to the Chief Operating Decision Maker (“CODM”) for purposes of performance assessment and resource allocation. These expenses are therefore excluded from our segment operating income results. Refer to Part I, Item 1, Financial Statements, Note 14, Segments for further discussion.

Current wording

During the three and six months ended June 30, 2026 and 2025, we incurred expenses that are not included in the measurement of segment operating income provided to the Chief Operating Decision Maker (“CODM”) for purposes of performance assessment and resource allocation. These expenses are therefore excluded from our segment operating income results. Refer to Part I, Item 1, Financial Statements, Note 14, Segments for further discussion.

Previous wording

The following table sets forth the components of segment revenues as a percentage of the consolidated totals for the three months ended March 31, 2026 and 2025:

Current wording

The following table sets forth the components of segment revenues as a percentage of the consolidated totals for the three and six months ended June 30, 2026 and 2025:

Previous wording

The following table sets forth our Consumer Money Transfer segment results of operations for the three months ended March 31, 2026 and 2025:

Current wording

The following table sets forth our Consumer Money Transfer segment results of operations for the three and six months ended June 30, 2026 and 2025:

Previous wording

Transaction volume is the primary generator of revenue in our Consumer Money Transfer segment. A Consumer Money Transfer transaction constitutes the transfer of funds to a designated recipient utilizing one of our consumer money transfer services. The geographic split for transactions and revenue in the table that follows is determined based upon the region where the money transfer is initiated. Included in each region’s transaction and revenue percentages in the tables below are Branded Digital transactions for the three months ended March 31, 2026 and 2025. Where reported separately in the discussion below, Branded Digital consists of all transactions and revenue included under the definition provided above.

Current wording

Transaction volume is the primary generator of revenue in our Consumer Money Transfer segment. A Consumer Money Transfer transaction constitutes the transfer of funds to a designated recipient utilizing one of our consumer money transfer services. The geographic split for transactions and revenue in the table that follows is determined based upon the region where the money transfer is initiated. Branded Digital transactions are included in each region’s metrics in the tables below. Where reported separately in the tables below, Branded Digital consists of all transactions and revenue included under the definition provided above.

Previous wording

The table below sets forth regional revenues as a percentage of our Consumer Money Transfer revenue for the three months ended March 31, 2026 and 2025:

Current wording

The table below sets forth regional revenues as a percentage of our Consumer Money Transfer revenue for the three and six months ended June 30, 2026 and 2025:

Previous wording

Our consumers transferred $27.0 billion and $25.8 billion in cross-border principal for the three months ended March 31, 2026 and 2025, respectively. Consumer Money Transfer cross-border principal is the amount of consumer funds transferred to a designated recipient in a country or territory that differs from the country or territory from which the transaction was initiated. Consumer Money Transfer cross-border principal is a metric used by management to monitor and better understand the growth in our underlying business relative to competitors, as well as changes in our market share of global remittances.

Current wording

Our consumers transferred $27.2 billion and $26.7 billion in cross-border principal for the three months ended June 30, 2026 and 2025, respectively, and $54.2 billion and $52.5 billion in cross-border principal for the six months ended June 30, 2026 and 2025, respectively. Consumer Money Transfer cross-border principal is the amount of consumer funds transferred to a designated recipient in a country or territory that differs from the country or territory from which the transaction was initiated. Consumer Money Transfer cross-border principal is a metric used by management to monitor and better understand the growth in our underlying business relative to competitors, as well as changes in our market share of global remittances.

Previous wording

Consumer Money Transfer revenue decreased 3% and transactions remained flat for the three months ended March 31, 2026, compared to the corresponding period in the prior year. Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, positively impacted revenue by 3% for the three months ended March 31, 2026, compared to the corresponding period in the prior year.

Current wording

Consumer Money Transfer revenue decreased 2% and 3%, and transactions increased 3% and 2% for the three and six months ended June 30, 2026, respectively, compared to the corresponding periods in the prior year. Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, positively impacted revenue by 1% for both the three and six months ended June 30, 2026, compared to the corresponding periods in the prior year.

Previous wording

For the three months ended March 31, 2026, in our Consumer Money Transfer regions, NA revenue and transactions decreased, compared to the corresponding period in the prior year. The region was impacted by declines in revenues and transactions sent from and within the United States, which has been impacted by broader geopolitical and macroeconomic conditions, including impacts from immigration policies. For the three months ended March 31, 2026, our EU & CIS revenues increased primarily due to fluctuations in the United States dollar compared to foreign currencies in that region. For the three months ended March 31, 2026, our MEASA transactions increased, which was primarily driven by growth in the region's Branded Digital transactions, which have lower revenues per transaction. For the three months ended March 31, 2026, the revenue decline in LACA was primarily driven by decreases in Mexico and Brazil and was also impacted by broader geopolitical and macroeconomic conditions.

Current wording

For the three and six months ended June 30, 2026, in our Consumer Money Transfer regions, NA revenue and transactions decreased, compared to the corresponding periods in the prior year. The region was impacted by declines in revenues and transactions sent from and within the United States, which has been impacted by broader geopolitical and macroeconomic conditions, including impacts from immigration policies. For the three and six months ended June 30, 2026, the change in our EU & CIS region revenues was driven by increases in Italy, partially offset by decreases in the United Kingdom. For the three and six months ended June 30, 2026, our MEASA transactions increased, which was primarily driven by growth in the region’s Branded Digital transactions, which have lower revenues per transaction. For the three and six months ended June 30, 2026, the revenue decline in LACA was primarily driven by decreases in Mexico and Brazil and was also impacted by broader geopolitical and macroeconomic conditions. For the three and six months ended June 30, 2026, the revenue decline in APAC was primarily driven by decreases in Thailand, partially offset by growth in Singapore.

Previous wording

Beginning January 1, 2026, the remittance tax provisions of the One Big Beautiful Bill Act in the United States became effective. These provisions assess a 1% excise tax on certain remittances sent internationally from the United States that are funded with cash or a similar, physical instrument. In April 2026, the United States Department of Treasury and Internal Revenue Service issued proposed rules that seek to clarify the scope and application of the excise tax, subject to public comment and finalization of the rules. We are currently evaluating the potential impact the proposed rules could have on our business.

Current wording

Beginning January 1, 2026, the remittance tax provisions of the One Big Beautiful Bill Act in the United States became effective. These provisions assess a 1% excise tax on certain remittances sent internationally from the United States that are funded with cash or a similar, physical instrument. In April 2026, the United States Department of the Treasury and Internal Revenue Service issued proposed rules that seek to clarify the scope and application of the excise tax, subject to public comment and finalization of the rules. We are evaluating the potential impacts of the proposed rules and will be prepared to implement any changes required by the final rules.

Previous wording

Consumer Money Transfer operating income decreased for the three months ended March 31, 2026 compared to the corresponding period in the prior year due to a decrease in revenue, fluctuations between the United States dollar and foreign currencies, and an increase in the costs for professional services.

Current wording

Consumer Money Transfer operating income decreased for the three and six months ended June 30, 2026 compared to the corresponding periods in the prior year due to a decrease in revenue, fluctuations between the United States dollar and foreign currencies, and an increase in agent commissions and the costs for professional services.

Previous wording

The following table sets forth Consumer Services results for the three months ended March 31, 2026 and 2025:

Current wording

The following table sets forth Consumer Services results for the three and six months ended June 30, 2026 and 2025:

Previous wording

The following table sets forth our Consumer Services revenue results for the three months ended March 31, 2026 and 2025. Consumer Services segment adjusted revenue growth/(decline) is a non-GAAP financial measure, as further discussed in Revenues Overview above.

Current wording

The following table sets forth our Consumer Services revenue results for the three and six months ended June 30, 2026 and 2025. Consumer Services segment adjusted revenue growth/(decline) is a non-GAAP financial measure, as further discussed in Revenues Overview above.

Previous wording

Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, resulted in a decrease to Consumer Services revenues of $9.8 million for the three months ended March 31, 2026, when compared to the corresponding period in the prior year.

Current wording

Fluctuations in the United States dollar compared to foreign currencies, net of the impact of foreign currency hedges, resulted in decreases to Consumer Services revenues of $11.2 million and $21.0 million for the three and six months ended June 30, 2026, respectively, when compared to the corresponding periods in the prior year.

Previous wording

For the three months ended March 31, 2026 relative to the corresponding period in the prior year, Consumer Services GAAP and Adjusted revenues increased primarily due to revenue growth in our travel money and check acceptance services, including the benefit from Eurochange and other immaterial acquisitions, and growth in our cash-based bill payments services offered at retail locations in Argentina.

Current wording

For the three and six months ended June 30, 2026 compared to the corresponding periods in the prior year, Consumer Services GAAP and Adjusted revenues increased primarily due to revenue growth in our travel money and check acceptance services, including the benefit from acquisitions, and growth in our cash-based bill payments services offered at retail locations in Argentina.

Previous wording

Consumer Services operating income for the three months ended March 31, 2026 compared to the corresponding period in the prior year was negatively impacted by an increase in employee-related and other expenses associated with Eurochange and other immaterial acquisitions that expanded our Company-operated locations and increases in agent commissions and credit losses, partially offset by an increase in revenue.

Current wording

Consumer Services operating income for the three and six months ended June 30, 2026 compared to the corresponding periods in the prior year was negatively impacted by an increase in employee-related and real estate expenses associated with acquisitions that expanded our Company-operated locations and increases in agent commissions, partially offset by an increase in revenue. For the six months ended June 30, 2026 compared to the corresponding period in the prior year, Consumer Services operating income also decreased due to higher credit losses.

Previous wording

As of March 31, 2026 and December 31, 2025, we had Cash and cash equivalents of $909.2 million and $1,234.4 million, respectively.

Current wording

As of June 30, 2026 and December 31, 2025, we had Cash and cash equivalents of $919.8 million and $1,234.4 million, respectively.

Previous wording

Investment securities, net, classified within Settlement assets on the Condensed Consolidated Balance Sheets, were $1,446.5 million and $1,445.0 million as of March 31, 2026 and December 31, 2025, respectively, and consist primarily of highly-rated state and municipal debt securities. These investment securities are held in order to comply with state licensing requirements in the United States and are required to have credit ratings of “A-” or better from a major credit rating agency. Refer to Part I, Item 1, Financial Statements, Note 8, Settlement Assets and Obligations, for more details regarding investment securities.

Current wording

Investment securities, net, classified within Settlement assets on the Condensed Consolidated Balance Sheets, were $1,431.8 million and $1,445.0 million as of June 30, 2026 and December 31, 2025, respectively, and consist primarily of highly-rated state and municipal debt securities. These investment securities are held in order to comply with state licensing requirements in the United States and are required to have credit ratings of “A-” or better from a major credit rating agency. Refer to Part I, Item 1, Financial Statements, Note 8, Settlement Assets and Obligations, for more details regarding investment securities.

Previous wording

Cash provided by operating activities decreased to $109.0 million during the three months ended March 31, 2026, from $148.2 million in the corresponding period in the prior year. Cash provided by operating activities can be impacted by changes to our consolidated net income, in addition to fluctuations in our working capital balances, among other factors.

Current wording

Cash provided by operating activities increased to $213.9 million during the six months ended June 30, 2026, from $147.9 million in the corresponding period in the prior year, primarily due to lower income tax payments, partially offset by a decrease in income. Cash provided by operating activities can be impacted by changes to our consolidated net income, in addition to fluctuations in our working capital balances, among other factors.

Previous wording

As of March 31, 2026, we had outstanding borrowings at par value of $2,634.0 million. The majority of these outstanding borrowings consist of unsecured fixed-rate notes with maturities ranging from 2029 to 2040.

Current wording

As of June 30, 2026, we had outstanding borrowings at par value of $2,710.1 million. The majority of these outstanding borrowings consist of unsecured fixed-rate notes with maturities ranging from 2029 to 2040.

Previous wording

On January 9, 2026, we entered into the Delayed Draw Term Loan Facility, providing for an unsecured term loan facility in an aggregate amount of $800.0 million. We have until July 8, 2026 to draw upon the Delayed Draw Term Loan Facility, which matures on the third anniversary of the initial funding date. We have the option to increase the commitments under the Delayed Draw Term Loan Facility by an amount such that the commitments do not exceed $1.0 billion in the aggregate (after giving effect to any such increases). Any such increases would be subject to obtaining additional commitments from existing or new banks under the Delayed Draw Term Loan Facility. We may use the proceeds from the Delayed Draw Term Loan Facility to finance the cash consideration to purchase the entire share capital of Intermex and repay all of Intermex's outstanding indebtedness under their revolving credit facility.

Current wording

On January 9, 2026, we entered into the Delayed Draw Term Loan Facility, providing for an unsecured term loan facility in an aggregate amount of $800.0 million. On June 17, 2026, we amended the Delayed Draw Term Loan Facility to extend the commitment period. We have until November 10, 2026 to draw upon the Delayed Draw Term Loan Facility, which matures on the third anniversary of the initial funding date. We have the option to increase the commitments under the Delayed Draw Term Loan Facility by an amount such that the commitments do not exceed $1.0 billion in the aggregate (after giving effect to any such increases). Any such increases would be subject to obtaining additional commitments from existing or new banks under the Delayed Draw Term Loan Facility. We may use the proceeds from the Delayed Draw Term Loan Facility to finance the cash consideration to purchase the entire share capital of Intermex and repay all of Intermex’s outstanding indebtedness under their revolving credit facility.

Previous wording

Pursuant to our commercial paper program, we may issue unsecured commercial paper notes in an amount not to exceed $1.62 billion outstanding at any time, reduced to the extent of borrowings outstanding on our Revolving Credit Facility. Our commercial paper borrowings may have maturities of up to 397 days from date of issuance. Interest rates for borrowings are based on market rates at the time of issuance. We had $299.4 million of commercial paper borrowings outstanding as of March 31, 2026. Our commercial paper borrowings as of March 31, 2026 had a weighted-average annual interest rate of approximately 4.0% and a weighted-average term of approximately 4 days. Proceeds from our commercial paper borrowings were used for general corporate purposes and working capital needs.

Current wording

Pursuant to our commercial paper program, we may issue unsecured commercial paper notes in an amount not to exceed $1.62 billion outstanding at any time, reduced to the extent of borrowings outstanding on our Revolving Credit Facility. Our commercial paper borrowings may have maturities of up to 397 days from date of issuance. Interest rates for borrowings are based on market rates at the time of issuance. We had $199.8 million of commercial paper borrowings outstanding as of June 30, 2026. Our commercial paper borrowings as of June 30, 2026 had a weighted-average annual interest rate of approximately 4.1% and a weighted-average term of approximately 4 days. Proceeds from our commercial paper borrowings were used for general corporate purposes and working capital needs.

Previous wording

On March 9, 2026, we issued $450.0 million of 4.750% unsecured notes due June 15, 2029, payable semi-annually in arrears on June 15 and December 15 of each year, beginning on December 15, 2026 ("2029 Notes"). If a change of control triggering event occurs, holders of the 2029 Notes may require us to repurchase some or all of their notes at a price equal to 101% of the principal amount of their notes, plus any accrued and unpaid interest. We may redeem the 2029 Notes in whole or in part, at any time prior to May 15, 2029, at the greater of par or a price based on the applicable treasury rate plus 20 basis points. We may redeem the 2029 Notes at any time after May 15, 2029, at a price equal to par, plus accrued interest.

Current wording

On March 9, 2026, we issued $450.0 million of 4.750% unsecured notes due June 15, 2029. On May 5, 2026, we issued an additional $165.0 million of these notes ("2029 Notes"). Interest with respect to the 2029 Notes is payable semi-annually in arrears on June 15 and December 15 of each year, beginning on December 15, 2026. If a change of control triggering event occurs, holders of the 2029 Notes may require us to repurchase some or all of their notes at a price equal to 101% of the principal amount of their notes, plus any accrued and unpaid interest. We may redeem the 2029 Notes in whole or in part, at any time prior to May 15, 2029, at the greater of par or a price based on the applicable treasury rate plus 20 basis points. We may redeem the 2029 Notes at any time after May 15, 2029, at a price equal to par, plus accrued interest.

Previous wording

The total aggregate amount paid for purchased and developed software, contract costs, and purchases of property and equipment was $46.8 million and $24.4 million for the three months ended March 31, 2026 and 2025, respectively. Capital expenditures during these periods included investments in our information technology infrastructure. Amounts paid for new and renewed agent contracts vary depending on the terms of existing contracts as well as the timing of new and renewed contract signings.

Current wording

The total aggregate amount paid for purchased and developed software, contract costs, and purchases of property and equipment was $88.2 million and $53.4 million for the six months ended June 30, 2026 and 2025, respectively. Capital expenditures during these periods included investments in our information technology infrastructure. Amounts paid for new and renewed agent contracts vary depending on the terms of existing contracts as well as the timing of new and renewed contract signings.

Previous wording

On December 13, 2024, our Board of Directors authorized $1.0 billion of common stock repurchases with no expiration date. During the three months ended March 31, 2026 and 2025, 4.8 million and 7.0 million shares were repurchased under this authorization for $45.4 million and $75.0 million, respectively, excluding commissions, at an average cost of $9.48 and $10.76, respectively. As of March 31, 2026, $729.9 million remained available under this share repurchase authorization.

Current wording

On December 13, 2024, our Board of Directors authorized $1.0 billion of common stock repurchases with no expiration date. During the six months ended June 30, 2026 and 2025, 5.7 million and 14.8 million shares were repurchased under this authorization for $53.7 million and $149.7 million, respectively, excluding commissions, at an average cost of $9.35 and $10.08, respectively. As of June 30, 2026, $721.6 million remained available under this share repurchase authorization.

Previous wording

Our Board of Directors declared quarterly cash dividends of $0.235 per common share in the first quarter of 2026, representing $73.7 million in total dividends.

Current wording

Our Board of Directors declared quarterly cash dividends of $0.235 per common share in the first and second quarters of 2026, representing $147.0 million in total dividends.

Previous wording

As of March 31, 2026, our total amount of unrecognized income tax benefits was $61.8 million, including associated interest and penalties. The timing of any related cash payments for substantially all of these liabilities is inherently uncertain because the ultimate amount and timing of the settlement of such liabilities are affected by factors which are variable and outside our control.

Current wording

As of June 30, 2026, our total amount of unrecognized income tax benefits was $62.3 million, including associated interest and penalties. The timing of any related cash payments for substantially all of these liabilities is inherently uncertain because the ultimate amount and timing of the settlement of such liabilities are affected by factors which are variable and outside our control.