Operator: Good afternoon, everyone, and welcome to EVERTEC, Inc.’s First Quarter 2026 Earnings Conference Call. Today’s conference call is being recorded. At this time, I would like to turn the call over to Loyda Montes Santiago of Investor Relations. Please go ahead.

Loyda Montes Santiago: Thank you, and good afternoon. With me today are Morgan M. Schuessler, our President and Chief Executive Officer, and Karla Cruz-Jusino, Chief Financial Officer. Before we begin, I would like to remind everyone that this call may contain forward-looking statements and should be considered in conjunction with cautionary statements contained in our earnings release and the company’s most recent periodic SEC report. During today’s call, management will provide certain information that will constitute non-GAAP financial measures under SEC rules, such as constant currency revenue, adjusted EBITDA, adjusted net income, and adjusted earnings per common share. Reconciliations to GAAP measures and certain additional information are also included in today’s earnings release and related supplemental slides, which are available in the Investor Relations section of our company’s website at evertecinc.com. I will now turn the call over to Morgan M. Schuessler.

Morgan M. Schuessler: Thanks, Loyda, and good afternoon, everyone. I am pleased to announce strong first quarter results that demonstrate continued execution against our strategic priorities and momentum across our core markets. Today, I will begin with an overview of our M&A framework and how it is translating into value creation across our portfolio, including the closing of the DIMENSA acquisition and an update on Sinqia and Tecnobank. Each of these reflects a different phase of the same strategy: acquiring, integrating, and scaling high-quality assets. I will then review our Q1 performance before turning the call over to Karla for a more detailed discussion of our financial results. Let me start by outlining how we think about M&A.

Our framework is a disciplined approach built around a clearly defined set of criteria. First, we focus on scalable assets with transferable capabilities, which allow us to drive efficient growth while minimizing incremental costs and simplifying integration. Second, client overlap and regional footprint are also key considerations. We look to expand our services with the right financial institutions and retailers while leveraging the attractive growth characteristics of businesses with core operations across Latin America. Finally, we prioritize high-quality revenue and strong underlying economics, emphasizing profitable business models supported by recurring or volume-based revenue, with clear opportunities for accelerating growth and expanding margin over time.

Consistent with that framework, I am pleased to announce that we have successfully closed our previously announced acquisition of DIMENSA. Strategically, this acquisition represents an important step forward, positioning us amongst the largest financial SaaS providers in the market. DIMENSA adds a meaningful set of new client relationships, strengthens existing key partnerships, and significantly expands our opportunities within the region as we continue to build a comprehensive one-stop-shop portfolio of services. This acquisition simultaneously supports growth and efficiency, reinforcing our leadership in existing markets while expanding our presence into new segments. From a financial perspective, DIMENSA is expected to be neutral to slightly accretive in 2026, reflecting integration timing and financing cost.

We anticipate realizing synergies beginning in 2027, which should further enhance the earnings contribution over time. On a pro forma basis and inclusive of the synergies, the acquisition multiple compares favorably with EVERTEC, Inc.’s current valuation. Given we are only days into the acquisition, near-term focus is integration execution and building momentum through 2026 and beyond, as we expect DIMENSA to become an increasingly important contributor to our growth as we move forward. Turning to Sinqia, integration priorities remain focused on operational discipline, product rationalization, and go-to-market effectiveness. The commercial pipeline remains balanced between new customer wins and cross-sell opportunities, supported by our expanded product offering and modernization of existing platforms and the complementary acquisitions we have completed across Brazil.

While the competitive environment remains active, our scale, local expertise, and increasingly integrated offering continue to differentiate us. As we look ahead, our focus remains on driving operational efficiency and positioning the business for sustained margin improvement over time. Lastly, Tecnobank continues to validate our M&A strategy in Brazil, strengthening our local scale and capabilities while demonstrating our ability to integrate founder-led platforms and position them for sustainable growth, reinforcing confidence in our ability to execute strategic acquisitions in the region. Now turning to slide seven, I will cover some highlights from our first quarter results. Revenue for the quarter was approximately $247.9 million, an increase of 8% compared to the prior year, driven in part by the full-quarter contribution from the Tecnobank acquisition as well as organic growth across most of the company’s portfolio.

On a constant currency basis, revenue also reflected the continued stability in the underlying business momentum with approximately 5% year-over-year growth. Adjusted EBITDA for the quarter was approximately $97 million, up 9% year over year. Adjusted EBITDA margin was 39.1%, consistent with the prior year despite headwinds from the 10% discount to Popular and unfavorable foreign exchange dynamics. This performance reflects our continued focus on disciplined cost management and operational efficiency. Adjusted EPS was approximately $0.90, an increase of 3% from the prior year, driven by strong adjusted EBITDA growth and the lower share count reflecting the impact of the share repurchases completed during the current and prior year. From a capital allocation perspective, during the quarter, we paid approximately $3.1 million in dividends and repurchased approximately 700 thousand shares for a total of $20 million.

We exited the quarter with approximately $130 million remaining on our share repurchase program, providing us flexibility going forward. Our liquidity remains strong at approximately $460 million as of March 31, allowing us to execute on the DIMENSA acquisition. Let me now provide an update on Puerto Rico beginning on slide eight. Merchant acquiring revenue grew 2% year over year, driven by higher sales volume despite a modest decline in spread that was consistent with our expectations. Payment Services Puerto Rico grew 6% year over year, driven by transaction growth and continued strength in ATH Móvil, primarily ATH Móvil Business. Business Solutions revenue declined approximately $6 million, or 9% year over year, primarily reflecting the 10% discount to Popular as well as a one-time hardware and software sale executed during the prior year period.

Overall, economic conditions in Puerto Rico continue to remain stable, with positive trends in total employment and strong tourism performance. The unemployment rate remained at 5.6%, while consumer spending continued to demonstrate strength and stability. Turning to slide nine. In Latin America, revenue increased 32% year over year on a reported basis. Tecnobank delivered a strong full-quarter contribution in Q1, supporting revenue and EBITDA growth in Latin America and reinforcing the reacceleration we have been seeing in Brazil. We also benefited from continued organic growth across the region, including contribution from recent client wins. Results also benefited from a $6.8 million foreign exchange tailwind, primarily in Brazil. On a constant currency basis, our Latin America business grew 24% compared to the prior year.

In summary, we are pleased with our first quarter performance and the continued progress across our strategic initiatives. Our diversification into Latin America continues to drive growth. Our Puerto Rico business remains resilient. And our disciplined M&A strategy continues to deliver tangible results. We remain focused on sustainable organic growth, disciplined capital allocation, and long-term value creation. With that, I will now turn the call over to Karla Cruz-Jusino, who will provide more details on our Q1 results and discuss our updated outlook for the remainder of 2026.

Karla Cruz-Jusino: Thank you, Morgan, and good afternoon, everyone. Turning to slide 11, I will begin with a review of EVERTEC, Inc.’s first quarter results. Total revenue for the quarter was $247.9 million, an increase of approximately 8% compared to the prior year, driven by organic growth across most of our segments and the contribution from Tecnobank, which closed on October 1. On a constant currency basis, revenue growth would have been approximately 5%, with reported results this quarter benefiting from favorable foreign currency fluctuations primarily in Brazil. Adjusted EBITDA for the quarter increased to $97 million, up 9% year over year with a 39.1% margin, consistent with the prior year despite several known headwinds during the period.

These headwinds included the full impact of the 10% discount to Popular as well as higher-than-anticipated unfavorable foreign exchange dynamics, particularly in countries where our contracts are denominated in U.S. dollars while our expenses are in the local currency, including Uruguay and Costa Rica. Our ability to maintain margin stability in this environment reflects continued execution against our cost discipline initiatives and a strong focus on operational efficiency across the organization. We continue to actively manage expenses while supporting growth initiatives, which have allowed us to absorb these headwinds and deliver consistent profitability. Adjusted net income was $56 million, broadly consistent with the $56.3 million in the prior year, reflecting strong adjusted EBITDA performance.

This resulted in solid bottom line stability despite the anticipated increase in the adjusted effective tax rate to 10.9% for the quarter, driven by the continued growth in our Latin America operations, which are subject to higher statutory tax rates. Results also reflect higher operating depreciation and amortization as well as the impact of the 25% non-controlling interest from the Tecnobank acquisition. Adjusted EPS was $0.90, an increase of approximately 3% from the prior year, reflecting adjusted net income results and the benefit of a lower share count from repurchases completed during the current and prior periods. Moving to slide 12, I will now cover our first quarter results by segment. Beginning with merchant acquiring, revenue increased approximately 2% year over year to $448.4 million in sales volume.

Sales volume and transactions both grew approximately 4%, with growth driven by new high-volume merchants as well as from existing customers. As expected, we did see a modest decline in spread reflecting a change in the mix consistent with more recent trends, which was partially offset by higher non-transactional revenues from pricing initiatives implemented in the third quarter of prior year. Adjusted EBITDA for the segment was $19.5 million with an adjusted EBITDA margin of 40.3%, down approximately 240 basis points from the prior year. The margin decline was primarily driven by higher processing costs related to CPI increases in our Payment Puerto Rico segment. Overall, performance continues to demonstrate stable demand and healthy underlying transaction activity.

On slide 13 are the results for the Payment Services Puerto Rico and Caribbean segment. Revenue for the quarter was $58.4 million, an increase of approximately 6% year over year. Growth was driven by the continued strong performance in ATH Móvil, particularly ATH Móvil Business, which delivered double-digit growth in both volumes and transactions. We also saw solid growth in POS transactions, which increased approximately 8% year over year, supporting the overall segment performance. Results also benefited from higher services provided to our Latin America segment, reflecting organic growth and new client activity. These were partially offset by the 10% discount to Popular. Adjusted EBITDA was $34.7 million, an increase of approximately 11% from the prior year, with an adjusted EBITDA margin of 59.4%, an increase of approximately 240 basis points.

Margin expansion was driven by incremental volumes, including increased volumes across merchant acquiring and Latin America. Overall, the segment delivered strong year-over-year growth and continued to demonstrate its ability to scale. Turning to slide 14, I will cover our results for Latin America Payments and Solutions, which was the largest contributor to revenue and EBITDA growth during the quarter. Revenue for the quarter was $110.3 million, an increase of approximately 2% year over year. Currency tailwinds in the quarter benefited segment growth by approximately $6.8 million, or 8%, mainly driven by the appreciation of the Brazilian real. On a constant currency basis, revenue growth for the segment would have been approximately 24%. Growth was driven by the full-quarter contribution from the Tecnobank acquisition, continued strength in Brazil, solid performance from Granada, and overall organic growth across the region.

These were partially offset by the attrition impact from the MELI relationship, which will anniversary in the second quarter, and pricing actions to extend key client contracts. On a reported basis, adjusted EBITDA was $32.8 million, an increase of approximately 32% from the prior year, with an adjusted EBITDA margin of 29.7%, aligned with prior year. Adjusted EBITDA benefited from strong revenue growth but was partially offset by foreign currency headwinds from the higher-than-anticipated appreciation in markets such as Uruguay and Chile. Overall results reflect strong execution across the region, positioning the segment well for the remainder of the year. Moving to slide 15 are the results for our Business Solutions segment. Revenue for the quarter was $59.5 million, representing a decrease of approximately 9% from the prior year.

This decline was in line with our expectation and was primarily attributable to the 10% discount to Popular that began in October of last year, as well as a nonrecurring hardware and software sale completed during the prior-year quarter. Adjusted EBITDA was $21.6 million, slightly below the prior year, reflecting the impact of the 10% discount to Popular. Adjusted EBITDA margin increased approximately 240 basis points to 36.3%, mainly driven by lower expenses associated with the prior-year one-time hardware and software sale, which came in at lower margins, as well as lower operating costs tied to nonrecurring projects executed in the prior-year quarter and cost-saving initiatives implemented within the segment. Overall, segment profitability remained resilient, with margin expansion reflecting disciplined cost management and the absence of prior-year one-time items.

Moving to slide 16, you will see a summary of our corporate and other expenses. Adjusted EBITDA was negative $11.7 million for the quarter, representing 4.7% of total revenue, slightly below our expectations. Moving to slide 17, I will now review our cash flow performance. We continue to effectively manage our working capital, generating net cash from operating activities of $31.2 million during the quarter. Capital expenditures were $22.7 million for the quarter, reflecting ongoing investments to continue modernizing our platforms and enhancing our information security capabilities. During the first quarter, we paid down approximately $6 million in debt and returned approximately $23.1 million to shareholders through share repurchases and dividends.

We repurchased 683 thousand shares for $20 million during the quarter, and as of March 31, we had approximately $130 million remaining under our authorized share repurchase program available through 12/31/2027. Our ending cash balance for the quarter, excluding cash and settlement assets, was $314.5 million, a decrease of approximately $17.3 million compared to year-end 2025. Turning to slide 18, our net debt position at quarter end was $826.2 million, comprised of $1.1 billion in total long- and short-term debt offset by $290.9 million of unrestricted cash. Our weighted average interest rate was approximately 6%, a decrease of approximately 55 basis points year over year, reflecting the benefit from debt repricing actions executed during the prior year and lower interest rates.

Our net debt to trailing twelve months adjusted EBITDA was approximately 2.15 times, compared to 2.04 times a year ago, remaining at the lower end of our target leverage range of two to three times. This continues to reflect our disciplined approach to capital allocation and balance sheet management. As of March 31, and prior to closing the DIMENSA acquisition, our total liquidity, which excludes restricted cash and includes available borrowing capacity, was $450.3 million, slightly above the prior year. Turning now to our outlook for 2026 on slide 19. Based on our first quarter performance and the closing of the DIMENSA acquisition, we are increasing our full-year expectations. For 2026, we now expect reported revenue to be in the range of $1.073 billion to $1.085 billion, representing growth of 15.1% to 16.4% year over year.

This outlook includes approximately 135 basis points of foreign currency tailwinds, driven primarily by the current appreciation of the Brazilian real relative to the 2025 monthly average exchange rate. On a constant currency basis, we now expect revenues for 2026 to grow between 13.8% to 15%, an increase from our prior constant currency range of 8.7% to 10%. This outlook reflects two primary factors: the inclusion of DIMENSA following its closing, and the continued solid performance across our existing businesses, which remains largely in line with the assumptions we previously shared. Starting with the legacy business, we continue to have a positive outlook supported by sustained momentum across payments, resilient performance in Puerto Rico, and continued growth across key Latin American markets.

We are seeing consistent execution against our commercial and operational priorities, driven by a strong pipeline and disciplined cost management. As a result, our underlying assumptions for the core business remain intact, and in several areas are tracking modestly ahead of our initial expectations. With respect to DIMENSA, the updated outlook reflects the incremental revenue contribution from the acquisition. DIMENSA has strengthened our position in Latin America and aligns closely with our long-term strategic priorities. While the business currently operates at a modestly lower margin profile than our Latin America segment average, it has scale and strategic adjacencies that we expect to enhance our growth profile over time. For 2026, we are not assuming any synergies, as we expect the majority of cost and scale benefits to begin to materialize in 2027 and beyond.

At the segment level, for merchant acquiring, we continue to expect mid-single-digit growth in 2026, supported by stable transaction activity, sales volume, and the implementation of key merchants. In Payments Puerto Rico and Caribbean, we also continue to expect mid-single-digit growth, driven by continued strength in ATH Móvil and POS volume, including processing services provided to the Latin America segment, partially offset by the impact of the Popular discount. For Latin America Payments and Solutions, we now expect revenue to grow in the high 30s on a reported basis and mid-30s on a constant currency basis. Finally, in Business Solutions, we continue to expect revenue to decline in the low- to mid-single digits, reflecting the anticipated reset following the Popular discount.

Adjusted EPS is now expected to grow between 6.6% and 9.9% from the $3.62 reported for 2025, or between 5.2% and 8.6% on a constant currency basis. This outlook assumes an adjusted EBITDA margin of 39% to 40%. The updated range reflects the higher anticipated contribution from Latin America while continuing to incorporate the operating discipline and cost initiatives we have discussed in prior quarters. From an earnings perspective, our updated guidance assumes that DIMENSA will be neutral to slightly accretive in 2026, reflecting the balance between operating contributions, incremental interest expense, and integration timing. Below the line, our outlook reflects the post-transaction capital structure, financing costs, and related tax considerations.

We continue to expect our effective tax rate to remain within a range of approximately 11% to 12% for the full year. Capital expenditures are also expected to remain at approximately $90 million. In addition, we expect to continue returning capital to shareholders through dividends and, when appropriate, share repurchases. Overall, our increased 2026 outlook reflects confidence in the performance of our existing business and the strategic and financial contribution of DIMENSA. While our focus in 2026 remains on integration and execution, we continue to see meaningful long-term value creation opportunities. In summary, we delivered a solid first quarter, increased our full-year outlook, and remain well positioned to execute against our priorities for 2026, supported by a strong balance sheet, disciplined capital allocation, and continued focus on execution.

With that, operator, please open the line for questions.

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Operator: Thank you. We will now open the call for questions. The first question comes from an Analyst with Raymond James.

Analyst: Hey, good afternoon. I appreciate you taking the questions. I wanted to start on the updated outlook. I appreciate the color on the expected EPS impact from DIMENSA, but as we think about the $40 million raise to the midpoint of revenue, can you give us a more detailed sense of how much of that is driven by the deal versus some of those other factors you talked about?

Morgan M. Schuessler: Hey, thanks for the question. We do not break that out, as you know, historically, but let me give you a little bit of color on DIMENSA since you asked. We are extremely excited about the deal because this year it will be neutral to accretive, and our leverage ratio will still be 2.4 times or less. And in 2026, we have no synergy baked in. So what you are seeing in the guide does not include synergies, which we think we will realize in 2027 and 2028, which make the deal even more valuable. It is mostly, about 95%, recurring revenue. It gets us into two verticals we are not in today—insurance and risk—and then it also helps us double down on funds and banks. So we think there are a lot of synergies not only on the expense side, but also on the revenue side. But we cannot really break out the specifics on the numbers for the deal.

Analyst: I appreciate that and the extra color. And then just a quick follow-up on the corporate revenue headwind. It grew pretty meaningfully year over year. Can you provide some color on what drove this in the quarter? And to the extent you can give any expectations, is this the right run rate for the year, or do you expect it to step down as we progress throughout the year?

Karla Cruz-Jusino: Corporate revenue is impacted by, obviously, intercompany transactions that we have pulled out as part of some of the growth on some of our segments. So that is the expected run rate as we think about the next couple of quarters.

Morgan M. Schuessler: Very good. Did we lose you?

Analyst: That was all. Thanks. Appreciate it.

Morgan M. Schuessler: Thank you.

Operator: The next question comes from James Eric Friedman with Susquehanna.

James Eric Friedman: Hi. I am sorry for the background noise. I want to know, Morgan, in terms of your prepared remarks and the observation on slide four about the transferability of the acquired assets, could you elaborate on that? In particular, the transferability—like in which use cases have you had the most success so far in transferring the assets either regionally or to other verticals?

Morgan M. Schuessler: Yes, so what I would say is there are a couple of pieces to this. One is Sinqia specifically. A lot of what we have done in Brazil with Sinqia is primarily focused on the current market. We do have some products that we have exported, but it has been limited. PayStudio is the platform, Place to Pay is a platform, and Risk Center is a platform that we have localized throughout the region. That is what Santander is running on, that is what Banco de Chile is running on, Grupo Aval, and even BCR now in Costa Rica. Those are some of the platforms we have regionalized. In Brazil, we have done a good job of leveraging the platforms from a cross-sell perspective. Looking at this deal, they have four verticals; two of those verticals we are not in.

They are in the insurance business with about 65% of the market. With the insurance companies, they are dealing with the brokers, the underwriters, and the consumers. They also have a risk management product for financial institutions. We are able to cross-sell our products to their insurance and risk customers and vice versa. On the fund side, we have a similar product with very different customers. We have the mid-size banks, and they have the larger banks. In terms of transferring capabilities, we think we can take LOT45, which is one of our products that we acquired with Sinqia, and bolt it on to the DIMENSA product. That is where we can take these products in Brazil and bolt them together. DIMENSA has a set of clients we do not have, and we have a capability they do not have, so we can broaden the value proposition.

In that concept of transferability and platforms we can leverage across deals, we have those that we can leverage across the region, which are a lot of the payment products. Then within Brazil, we can combine some of these products that we have between Sinqia, DIMENSA, and Tecnobank, and there are large transferable client bases and integrations we can do to make these products work together.

James Eric Friedman: That is a great answer. And then I want to ask, at a higher level, about the prospects of inflation—maybe for Morgan or for Karla. Some of the other payments companies are talking about it. Could you share your perspective on how inflation impacts the business, whether it is wage inflation or gas inflation? Any commentary at a high level on inflation would be helpful. Thank you.

Morgan M. Schuessler: There are multiple impacts like in anybody’s business. The good thing is that some of our payments businesses are tied to the size of the ticket, so if there is inflation in some of our merchant acquiring businesses, we actually get a lift from that. We see incremental revenue. Also, some of our contracts, particularly with banks, are tied to CPI. The way that interacts and plays is that in some ways we benefit from inflation. But just like any other business, when there is inflation and it impacts our costs, those are costs we have to absorb. I think we have demonstrated that when we have significant cost increases across our base—whether it is the $18 million discount we had to pass to Popular or inflation in general—we have done a good job of managing it and keeping our margins at about the 40% level.

Operator: The next question comes from Vasundhara Govil with KBW.

Vasundhara Govil: Thank you for taking my questions. Morgan, a high-level one on AI. Given the market’s focus on potential for AI to reshape software economics, how do you think about that potential risk, and are you seeing appetite among financial institutions in Latin America to embed AI into their own workflows? How might that affect you?

Morgan M. Schuessler: Great question, Vasu. We are bullish on AI generally—around software development and the enterprise overall. This year we have been very focused on appropriate governance and experimentation to see where we think the biggest benefits are. There are three areas where we think we will see a big impact, and that is not baked into 2026 guidance. I think that will impact us in future years. Number one is efficiency; it will change our cost structure, and we can be much more efficient in certain areas. The second is growth—the ability to add new features to improve our products so that we can grow faster. And the third is quality—the ability to have better quality and better SLAs because AI is helping how we manage service.

Two examples: incident management—our Place to Pay product, which is our online gateway, is using AI to manage incidents. If there is a system problem, we can resolve the issue five to eight times faster using AI. It is better quality for our customers and keeps our systems up and running in a more durable way. On the growth perspective, in our Risk Center product—which users employ to monitor fraud—we are using AI to make it easier for users to interact with the software, so they do not have to know all the formulas to build logic. They can use natural language to create those rules more quickly. What we are seeing is 40% fewer alerts, meaning fewer false positives, and a 20% increase in fraud detection because the tools are easier to use and AI is flagging fraud more quickly.

We are seeing real use cases across all those areas. We think it will help margins, help us grow faster, and improve our quality and service management.

Vasundhara Govil: That is helpful. It does not sound like you think it is a big threat in terms of banks using AI themselves to disrupt some of the software products you offer today?

Morgan M. Schuessler: No. I understand that theory with some software and technology companies, but we are processing financial transactions where there is reconciliation involved, settlement between financial institutions, and risk management products. We think the products that we provide we will be able to provide more quickly and more cost effectively. We actually think AI is a catalyst and a tailwind for our business. I do not see it as a negative.

Vasundhara Govil: Thank you. That is very helpful color. And if I may ask a follow-up on the Banco de Chile partnership. I think last quarter you mentioned it is now operational. How is that tracking relative to your internal expectations, and how long before it ramps to its full run rate? How should we think about the revenue potential relative to the Santander relationship today?

Morgan M. Schuessler: Great question. The deals we have talked about on previous calls are going as expected. Any benefits we see in 2026 are already baked into the guidance. All of the projects we have announced as far as new clients are going as anticipated.

Operator: The next question comes from an Analyst with Deutsche Bank.

Analyst: Hey, thanks for the question. A follow-up on DIMENSA—I get that you do not break out the inorganic contribution, so let me ask about historical performance. The former owner of DIMENSA disclosed some numbers for 2025 and 2024 in Brazilian reals. Is there any accounting consideration with net-to-gross revenue or anything we need to keep in mind when looking at the historicals? And if you look at the 2024 to 2025 growth rate they disclosed, it was pretty healthy. Was that all organic, or did DIMENSA benefit from some inorganic contributions? Any sense of how DIMENSA had been performing, leaving aside what exactly is baked into the 2026 guide?

Morgan M. Schuessler: What I would say about DIMENSA is very similar to Sinqia. Some of their growth was M&A. If you look at their historical numbers, it includes some M&A. They did have some softness in their business a couple of years ago—just like we did—because of the general circumstances in Brazil. After Lula won, people were more cautious about IT spend, and they also had some legacy platforms that were outdated. Looking forward, we think there are cost synergies that are meaningful that we will take out in 2027—again, not included in 2026. We have talked to clients, and they are excited about us acquiring this asset because they want us to do with DIMENSA what we have done with Sinqia—modernizing the platforms so they can grow with the business—and they are looking forward to having multiple relationships with a vendor like Sinqia.

As I said earlier, we think there are a lot of cross-sell opportunities. DIMENSA has some of the biggest banks in the funds business. We can bolt on LOT45 to provide other capabilities using some of our other products. We think the revenue synergies and the growth tailwind from combining these products, modernizing them, and cross-selling are compelling.

Analyst: Got it, helpful. A higher-level one on capital allocation: You have done a bunch of acquisitions. Leverage is in a healthy spot, and you have about $130 million on the repurchase authorization. How should we think about prioritizing buybacks versus paying down debt versus other opportunities to continue building the business, especially in Latin America? Are there prospects for potential attractive deals you are looking at? How should we think about the priority of each of those in 2026?

Morgan M. Schuessler: Great question. We just bought DIMENSA and we just bought Tecnobank, so we are very focused on integrating those, and that is a key priority for us. As you know, we are now a little over 45%—closer to 46%—of our revenues outside of Puerto Rico, and a lot of that has been M&A. We will continue to focus on M&A, and we continue to have a healthy pipeline, but right now we are focused on DIMENSA and Tecnobank. We believe the stock is attractive, as you can tell by our previous buyback. We are opportunistic. We understand the stock price is low compared to where it has been over the last year or two, and we will continue to balance that as we look at capital allocation. But right now, we will focus on the deals we have and continue to consider buying stock.

Operator: The next question comes from Cristopher Kennedy with William Blair.

Cristopher Kennedy: Good afternoon. Thanks for taking the question. You provided some good updates on the economy in Puerto Rico. Any comments or observations on some of the markets outside of Puerto Rico that you can talk about, given macro uncertainties?

Morgan M. Schuessler: We do not have anything specific to call out. We are still confident in 2026, and even with some of the things that are going on in different markets, we do not see anything that we would specifically call out.

Cristopher Kennedy: Understood. And last call you talked about one of the biggest pipelines for the company. Can you talk about how the conversion of the pipeline is progressing?

Morgan M. Schuessler: Great question. Flipping to the organic side, we posted some pretty big deals—Banco de Chile, Grupo Aval, Financiera Oh!, among others we have talked about. We still have a very healthy organic pipeline, and we are optimistic this year that we will continue to have wins that we can announce throughout the year. Thanks for taking the questions.

Operator: Thank you. That does conclude the question and answer session. I would like to turn the floor to management for any closing comments.

Morgan M. Schuessler: I want to thank everybody for joining the call. We look forward to seeing you at conferences and speaking to you individually over the coming quarter. Everybody have a good night. Thank you.

Operator: Thank you. That concludes today’s conference. Thank you for attending today’s presentation. You may now disconnect your lines.

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EVERTEC INC

Q1 2026

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