Skip to content
    VYX
    Earnings call· Jun 2026(Q2 FY26)

    NCR Voyix Q2 FY26 earnings call VYX

    Aug 5, 2026 Source

    Executive summary

    NCR Voyix Corporation Q2 FY26 — VCP Adoption and Recurring Revenue Growth

    NCR Voyix delivered a solid quarter, marked by continued progress in VCP adoption and a strategic shift towards recurring revenue. The company is leveraging AI and automation to accelerate deployments and enhance its integrated cloud-native platform, which is resonating with customers seeking enterprise-wide transformation. While navigating macroeconomic pressures and hardware installation delays, NCR Voyix maintained its full-year guidance, signaling confidence in its software-centric, subscription-based model.

    Highlights

    5

    • Recurring revenue increased 3% and adjusted EBITDA increased 5% compared to the prior year.

    • VCP contracts represent $286 million of remaining contract value, up 65% year-over-year.

    • 10 of the 25 signed VCP customers are live across more than 2,000 lanes, with another 1,000 expected by end of September.

    • Retail recurring revenue grew 6%, driven by 15% growth in recurring software revenue.

    • Adjusted EBITDA margin expanded 460 basis points to 18.7%, reflecting the hardware transition and efficiency actions.

    Concerns

    4

    • Total revenue decreased 21% to $523 million, reflecting the transition of the hardware business.

    • Restaurant revenue declined 6% (excluding hardware impact), driven by lower-than-anticipated hardware installations and continued softness in SMB.

    • Non-GAAP EPS of $0.17 per share was flat year-over-year due to a higher tax rate, as the prior year benefited from a one-time tax benefit.

    • Restaurant adjusted EBITDA decreased 15% to $58 million, and margin decreased 380 basis points excluding the hardware impact.

    Guidance & targets

    5
    CategoryTargetConfidence
    Full year 2026 Revenue
    $2.188 billion to $2.303 billion
    high materiality
    High
    Full year 2026 Adjusted EBITDA
    $432 million to $447 million
    high materiality
    High
    Full year 2026 Adjusted EPS
    $0.89 and $0.92
    high materiality
    High
    Corporate Expenses
    relatively consistent
    low materiality
    Medium
    Capital Expenditures
    similar to 2025
    medium materiality
    Medium

    Segment performance

    2
    SegmentRevenueYoYQoQMargin
    Retail
    Reported revenue decreased due to hardware transition, but underlying revenue and recurring software revenue showed strong growth. Adjusted EBITDA and margin expanded significantly, partly due to the hardware transition and efficiency actions.
    Revenue (excluding hardware transition): increased 4%Recurring revenue: grew 6%Recurring software revenue: grew 15%Adjusted EBITDA: increased 20%Adjusted EBITDA margin: 26.6%Adjusted EBITDA margin (excluding hardware impact): increased 350 bpsNew customers: more than 40 (mid-market)Platform sites: increased 8%Payment sites: increased 13%
    		$365 million-20%—$97 million
    Restaurants
    Reported revenue declined due to hardware transition. Excluding this, revenue declined due to lower hardware installations, SMB softness, and Brazil divestiture. Adjusted EBITDA and margin decreased when excluding the hardware impact, reflecting revenue decline and mix.
    Revenue (excluding hardware transition): declined 6% or $10 millionEnterprise and mid-market recurring revenue: increased 6%Services revenue: grew 9%Software revenue (excluding Brazil divestiture): grew 3%Adjusted EBITDA: decreased 15%Adjusted EBITDA margin: 36.7%Adjusted EBITDA margin (excluding hardware impact): decreased 380 bpsNew customers: over 100Platform sites: increased 12%Payment sites: decreased 1%
    		$158 million-23%—$58 million

    Operational metrics

    19
    Total revenue (excluding hardware impact)
    1%increased YoY
    Q2 FY26

    Reflects growth after adjusting for the hardware business transition.

    Recurring revenue
    3%increased YoY
    Q2 FY26

    Overall recurring revenue growth.

    Software recurring revenue
    6%increased YoY
    Q2 FY26

    Growth in software recurring revenue.

    Services recurring revenue
    1%increased YoY
    Q2 FY26

    Growth in services recurring revenue.

    Platform sites
    85,000increased 10%
    Q2 FY26

    Primarily represents legacy point-of-sale applications tied to subscription contracts.

    Payment sites
    8,500increased 2%
    Q2 FY26

    Total payment sites.

    Adjusted EBITDA
    $98 millionincreased 5%
    Q2 FY26

    Adjusted EBITDA for the quarter.

    Adjusted EBITDA margin
    18.7%expanded 460 bps
    Q2 FY26

    Reflective of hardware transition, revenue growth and efficiency actions.

    Adjusted EBITDA margin (excluding hardware impact)
    80 bpsexpanded YoY
    Q2 FY26

    Adjusted EBITDA margin expansion excluding the impact of the hardware transition.

    Non-GAAP EPS
    $0.17flat YoY
    Q2 FY26

    Flat year-over-year due to a higher tax rate as the prior year period benefited from a one-time tax benefit.

    GAAP EPS
    -$0.03
    Q2 FY26

    Primarily due to restructuring and transformation in addition to stock-based compensation and amortization of intangibles.

    VCP contracts Remaining Contract Value (RCV)
    $286 millionup 65% YoY
    Q2 FY26

    Total remaining contract value for VCP contracts.

    Corporate expenses
    $57 million
    Q2 FY26

    Corporate expenses for the quarter.

    Restructuring outflows
    $30 million
    Q2 FY26

    Lower than expected due to a delayed $24 million payment for litigation, subsequently paid in July.

    Capital expenditures
    $41 million
    Q2 FY26

    Investment in capital expenditures.

    Shares repurchased
    $11 million
    Q2 FY26

    Amount of common shares repurchased during the quarter.

    Net leverage
    2x
    Q2 FY26

    Net leverage position.

    Nonrecurring revenue share
    17%
    Q2 FY26

    Percentage of total revenue that is nonrecurring.

    Recurring revenue share
    83%
    Q2 FY26

    Percentage of total revenue that is recurring.

    Industry KPIs

    8
    MetricValueDetails
    Capacity CAPEX$41 millionUSD
    Revenue growth1%%
    Bookings billings$286 millionUSD
    Pricing model mix—
    Customer account countmore than 40 (Retail); over 100 (Restaurants)customers
    Large deal new logo metrics20%%
    Operating FCF margin rule of 4018.7%%
    Ai product adoption monetizationAI agents

    Orderbook & backlog

    1
    VCP contracts Remaining Contract Value$286 millionQ2 FY26

    up 65% YoY

    Represents multiyear contracts to existing and new customers; revenue recognized over time.

    Product announcements

    3
    ProductTypeDetails
    Aloha Nextlaunch
    VCP application portfoliolaunch
    AI featuresexpansion

    Deals & partnerships

    8
    LC FoodVoyix supply chain agreement

    Signed a Voyix supply chain agreement with LC Food in the U.S.

    Leading reverse vending providerRecurring services agreement

    Signed a recurring services agreement in Germany with a leading reverse vending provider.

    Large home improvement retailerVoyix POS agreement

    Signed a Voyix POS agreement with a large home improvement retailer in Colombia and Chile.

    VoyagerExpand fleet card acceptance through Voyix Connect

    Signed a new agreement with Voyager to expand fleet card acceptance through Voyix Connect.

    Pizza RanchAloha Next and Voyix Pay adoption

    Signed an agreement with Pizza Ranch, making them the first new enterprise customer to adopt Aloha Next, including Voyix Pay.

    Major global QSR brandNew engagement to support technology

    Secured a new engagement with a major global QSR brand to support their technology in the U.S. and Canada.

    Leading global coffee chainRenewed relationship

    Renewed relationship with a leading global coffee chain.

    Largest restaurant operators in Asia PacificModernize Aloha point-of-sale environment and centralized data management

    Signed an agreement with one of the largest restaurant operators in Asia Pacific to modernize Aloha POS and centralize data across multiple countries and brands.

    Risks & headwinds

    5
    Higher tax rateQ2 FY26

    Non-GAAP EPS flat year-over-year

    Mitigation: Prior year benefited from a one-time tax benefit, implying current rate is normalized.

    Hardware installation delaysQ2 FY26, likely into next year

    Lower-than-anticipated hardware installations; restaurant revenue declined 6% (ex-hardware)

    Mitigation: Customers delaying refreshes due to cautiousness and memory chip costs; new VCP platform allows customers to 'sweat' existing assets longer, accelerating software adoption.

    SMB segment softnessQ2 FY26

    Continued softness

    Mitigation: Launching 'store-in-a-box' solution (Aloha Next) to align with SMB buying behavior and address cost sensitivity and simplicity of deployment.

    Macroeconomic pressure on restaurantsOngoing

    Pressure on labor, food, insurance, and energy costs; longer buying journeys for technology spend

    Mitigation: Focusing on ROI-driven value proposition with Aloha Next and the wider platform strategy, emphasizing efficiency, automation, and data insights.

    Litigation payment delayQ2 FY26 (paid in July)

    $24 million payment delayed

    Mitigation: Payment was subsequently made in July, resolving the short-term impact on Q2 free cash flow.

    What to watch in Q3 FY26

    5

    VCP customer lives

    By end of September (Q3 FY26)
    Current10 of 25 signed customers live across 2,000+ lanes
    TargetAnother 1,000 lanes live in production

    Why it matters

    Indicates acceleration of VCP adoption and conversion of signed contracts into active usage, driving recurring revenue.

    We now have 10 of the 25 signed VCP customers live across more than 2,000 lanes and expect another 1,000 lanes live in production by the end of September.

    Q&A highlights

    8

    Are you seeing VCP adoption accelerate, and how do AI and automation for installs quicken booking to revenue?

    Management confirmed strong customer excitement for VCP, noting 20% of signed customers are new logos. AI agents analyze existing environments to automate configuration migration, significantly accelerating deployments and reducing costs, especially for large, complex customers. Remote installations are now possible, reducing deployment times dramatically.

    “The rate at which you can get a customer live after adoption, either migrated from our existing software or moving to the new -- net new customers moving to our platform really depends on the customer size and complexity.”

    asked by Kartik Mehta · answered by Nick East

    2 min read6 chapters

    Detailed Narrative

    01

    Voyix Commerce Platform (VCP) Momentum

    NCR Voyix is building strong momentum with its Voyix Commerce Platform (VCP), having signed 25 contracts since mid-2025, reflecting robust demand from both existing and new customers. Currently, 10 of these signed VCP customers are live across over 2,000 lanes, with an additional 1,000 lanes expected to go live by the end of September. Customer engagement is increasingly focused on enterprise-wide platform transformation, moving beyond individual products, as VCP offers integrated cloud-native software, payments, and services.

    02

    AI and Automation in Deployments

    The company is leveraging AI and automation to significantly enhance deployment efficiency. AI agents are used to analyze existing customer environments, seamlessly migrating configurations, application settings, and operational data to the VCP, leading to faster deployments and lower implementation costs. This approach has enabled a fully remote VCP POS installation for a large European grocery retailer in roughly half the traditional time, with expectations to reduce remote installation times to less than one hour per store, boosting deployment capacity and reducing costs.

    03

    Retail Business Performance and Expansion

    The retail business signed over 40 new mid-market customers during the quarter, with platform sites increasing 8% and payment sites increasing 13%. Recurring revenue grew 6%, driven by a 15% increase in recurring software revenue. Key wins include a Voyix supply chain agreement with LC Food, extending capabilities into food distribution, a recurring services agreement in Germany, and a Voyix POS agreement with a large home improvement retailer in Latin America, expanding the platform's footprint.

    04

    Restaurant Business Evolution and Aloha Next

    The restaurant business secured over 100 new customers, with platform sites up 12%. Enterprise and mid-market recurring revenue increased 6%, supported by 9% services growth and 3% software growth (excluding a Brazil divestiture). The formal launch of Aloha Next at the NRA show generated positive customer reaction, translating into active customer lives and a growing pipeline. A significant agreement with Pizza Ranch for Aloha Next and Voyix Pay across 200+ locations validates the platform's market-leading technology.

    05

    Strategic Shift to Recurring Revenue Model

    NCR Voyix's strategic transition is evident in its financial structure, with 83% of Q2 revenue being recurring, a significant improvement following the hardware business transition. New contracts are structured as multiyear fixed agreements with CPI or CPI-plus clauses, moving away from one-time📎 licenses and professional services. This shift is expected to continue improving margins and increase the percentage of recurring revenue as more customers convert to the new VCP applications.

    06

    Hardware Environment and Customer Refresh Cycles

    The company observed customer cautiousness on project work and hardware refreshes, particularly in the restaurant segment, partly due to higher memory chip costs. While this led to lower-than-anticipated hardware installations, the new VCP platform is designed to extend the life of existing hardware assets, allowing customers to delay refreshes without compromising security or functionality. Management expects these delays to be temporary, anticipating a eventual need for hardware upgrades.

    AI-generated summary of the company’s earnings call. Not investment advice.