DLX - Earnings call transcript Q2 2022

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, thank you for standing by, and welcome to the Deluxe Second Quarter 2022 Earnings Conference Call. [Operator Instructions] Today's call is being recorded.

We will begin with opening remarks and introductions. At this time, I would like to turn the conference over to your host, Vice President of Investor Relations, Tom Marabito. Please go ahead.

Thomas Morabito

welcome Deluxe and Earnings Quarter operator, Call. you, to Second the XXXX Thank

today's McCarthy, Financial is Chief me remarks, call Joining on questions. take Barry end today's and Bomar, we will the Executive Scott our our At Chief Officer. of prepared Officer; and President

associated the nature we will s company's not of and estimates financial our in this risks produce future Reform does Private are or risk about company's not uncertainties divestitures the COVID, Payment seen risk without the acquisitions Before strategy results cause to the or slide, other remind or that recent our First to differ synergies forward-looking or these that projections, like uncertainties, begin acquisitions and These management's limitation, defined anticipated comments that acquisition of intentions, and risks future projections. Securities could performance any of everyone materially including, Act results from to and the made Systems comments to on in be I'd as today risk American regarding expectations or subject Any are Litigation XXXX. consummated. actual any

cause is Additional XX, XX-K that results factors may from filings. in other projections and actual XXXX, information the differ year contained about to Form our December in our for ending company SEC

EPS, reconciliations our cash beginning to quarter with find like In should under this help your non-GAAP measures, additional most we XX to EBITDA, are filings including of of adjusted to and adjusted U.S. you flow. will non-GAAP release, EBITDA with on these and note GAAP. I including comparable call XX adjusted EPS the regarding EPS the would additional GAAP measures measures reconciliations financial will providing which presentation, modeling. of Slide adjusted also and this that we the SEC, to On free discuss today, our measures, the margin, disclosures our press presentation

Barry. over it turn to I'll Now

Barry McCarthy

morning, of everyone. growth good consecutive and X of Tom, year-over-year its healthy business fifth our quarter Deluxe Thanks, all delivered with segments. in sales-driven increases

deliver of consecutive a this year Importantly, now revenue company on performance track to seen we're growth, our by in over decade. not second sales-driven

Beyond revenue revenue a light services excluding Similar and payments Deluxe increased into nearly quarter, American to and increased doubt, demand this million first transformation data of ongoing exits the a One and success our XX% incremental shows model. to quarter, our from company and during trajectory strong. nearly business X%. First our revenue this the for and the Covering products remained quarter $XXX

we expect our Promotional actions. companies, strong margin We And disruption, also But to chain on minutes. our demonstrates despite business from to few the segments. durability other our cost the rate was while We which we supply these most pricing by XX.X% do is impact adjusted Solutions Like availability of and detail between adjusted inflationary the factors management, EBITDA a supply to effective moves, our increases going throughout year-over-year, of forward. pressures, these and impacted in an dollars experience in higher-margin improve price operations. across Scott the continue expect moderate EBITDA benefited having year. pressures of portion Total specifically inflation will increased volumes business which

business activity of of impacts business the with small in even our slowdown have from customers. Importantly, inflation, indications seen medium-sized we a not and

critical to are in role and Deluxer's fellow thank highlights, dedication sure be company. Before continued they Deluxe a a our for customers. And my into for to the I trusted the playing I commitment their to want data making go payments long-term segment and

highlights. Moving on to some segment revenue

this stable increased and nearly grew American, X%. strong quarter XXXX margins. our First performance XX% year-over-year driven in revenue was quarter, addition by of second the This segment with at which For nearly Payments the

has solid American and that a elevate American halo exceed consistently the our balance these First we've proven prior reminder, expectations. rates. Deluxe growth have is fundamental proven we that single-digit Since customer clearly As One like could acquisition, acquisition. strategic Deluxe model We've low acquisitions reputation, grower how America. works thesis a to real, was has model sheet First to But been trusted well our relationships all enabled now and the First deep proven the extends our

in increased Excluding we service as which a products. First our as particular, saw Deluxe payments growth strong lockbox. American, DPX X% product Exchange Payments Payment major offerings, our across nearly include growth saw strong our we revenue or and In payables

in payments had our business first be another This Cloud by growing and our Union, large we business, a on checks, and remote for and and DDM revenue our Paco which our union Solutions was signed including checks, history is X% capture this experienced becoming Michigan's cross-sell now also be exceed credit regional to record be Bank, remain branch how performance providing Cloud a works. business Deluxe also milestone as largest Similarly, payments great In Du service Guaco, Choice an XXXX. We'll services another merchant strategy example growth. existing not strong our for in XXX-year will driven One company. of providing quarter, largest in We of a and a to on data deposit revenue year-over-year, key terms a merchant business banks. wins, track double-digit Midwest new capture. one Credit access. of customer we'll

to meaningful such very platform Our security and continued These develop e-commerce, non-FI results the wins have high-tech investments key been sales the retail, further enabled into allowed clients others. positive. investments among has and have new expansion as have with and verticals, to relationship us led expansion and

diversifying deposits. have in Within and been non-mortgage-related areas. DBM. business checking new to we're our our changing nonmortgage demand to to and rate has driver success FIs, of sensitive a less seeing adjusting growth consumer in continue Anticipating business trends interest market We lending, these banking, and key meet success consumer

another not exits. growth excluding businesses driven divestitures was quarter had Promotional focus wins Solutions did and key into our Today, growth productional better we're Now businesses by announcing retail that on will model. profiles. strategic our cross-sell on Solutions the that business with to the nearly long-term year-over-year, improving segment. These line, fit strong we on The sold to us business benefited top our X% packaging allow margin as have our Solutions. plans Promotional within

Finally, strong our very cash-generating row, profitable check had quarter is X% a a trends. long-term which in industry better business year-over-year, third than growing significantly

in to high the Going rates expect forward, very we and marketplace. win to continue share renewal

growth our we which second transformation our this with quarter, the pleased through and In to data In summary, demonstrates addition, momentum expect on and we've previously. in clear revenue a new payments discussed particularly Print margins business strong into which our Demand we're technology, company. in a support our

full in We year the despite place supply delivery chain half pressures. and performance second of have plans solid inflationary and to ensure

it turn to who I'll Now will Scott, provide over performance. details financial more our on

Scott Bomar

morning, Barry, everyone. you, good and Thank

on highlights Let's for before moving to quarter the the through the go consolidated segments.

Adjusted investments, driven interest by decline last largely First revenue increase rates. million up in net disruptions ongoing from $X price acquisition from margin per facility, driven last due For million up within in million transaction year, of of of the the EBITDA during American and increase $XX.X call to growth. First solid center $XX.X quarter, in posted the acquisition actions from increased we XX.X% margin driven First and of the income Adjusted operating The segment, higher-margin and $X.XX web products offset the the acquisition pricing million, the $XX.X by gains leverage business partially this the strong increases. and second and by for by was rate quarter, American our the quarter in year's including Promotional revenue an at from acquisition of was of the in business chain revenue offset strong inflation, interest EBITDA from reported XX.X% exits We of quarter. incremental announced a from by quarter total rising American. down $XXX and X.X% million demand $XXX.X in sale revenue and previously Australian share Solutions an performance was our combination The year-over-year, revenue performance million, hosting not of expense products amortization GAAP and adjusted came included EBITDA second second XX.X%, supply a or year-over-year. technology X.X%

the We the of margin rates expand second half year. expect to in

quarter at adjusted from items $X.XX driven the by increased incremental EPS last depreciation was decrease $X.XX, The in down expense came operational quarter. Second previously and in interest well year's and as second amortization. as mentioned

driven Now turning second outperformance details. segment $XXX.X year-over-year American. the revenue grew largely by million, and acquisition of XX.X% our to First to quarter Payments

acquisition As year on comparables was a QX closed the June in X month. for XXXX, on we First prior the it reminder, American only so X,

Payments American, First increased revenue Excluding year-over-year. X.X%

First Including experienced payments American, adjusted with American's XX.X% strong First in In core year. last addition performance, also margin EBITDA consistent business. our growth we Payments to was

second American, First First American's Payments term, With accretive of than to the in doubled segment Longer but were more in the margins. our quarter, Payments adjusted range. has payments to modestly to company strong XX% addition dilutive we another expect overall EBITDA the margins Cloud XXXX, segment in margins single-digit the revenue had and to a for we growth deliver rate expect quarter. low high be Solutions size,

business $XX.X revenue year-over-year X% the million increased quarter. of to exits, segment Excluding the impact in

is exits, increased our with As be clients, approximately growth benefiting which expansion spend marketing delivered by includes DDM Cloud's was wins, by key from and relationship reported, meaningful that solutions, the year-over-year. customers. up and driven results to continues which sales impact X% from our record

into versus product add quarter to DDM We strong which verticals in adjusted lines, year should new points from growth business. continue the generate resulting in forward. prior EBITDA product revenue DDM growth to clients mix Cloud's solid margin new industry XXX XX.X% in and basis the due new to declined changes going to extending revenue

$XX single-digit business we from reflecting revenue see million growth, to XXXX, expect a For impact exits. low

new and quarter increases, We in Promotional $XXX.X year-over-year, X.X% by offset business wins segment. the to range. partially second Solutions mid-XX% expect million, driven was revenue sales low by margins adjusted up EBITDA pricing

Solutions from chain to result as revenue impact supply inflationary adjusted EBITDA lower was quarter revenue XX.X%, Promotional Commercial largely for the points, basis products X.X%. exits, XXX pressures quarter business the margin margin disruptions. second higher down and a of Solutions and Excluding grew due

revenue impact from our mentioned, and revenue to retail packaging Including EBITDA exit have a we previously in Promotional DSS, for exited of dollars. factors approximately $XXX.X the announced with the included generated in the with DSS businesses guidance. these in our EBITDA strengthen last $XX and the outpaced pricing about Barry in second our business Solutions, expectations. million in quarter million secular million actions as $XX new revenue X% the business long-term Checks of little our declines from year increased are very industry. see divestitures competitive in checks segment wins, expected will remainder margins the adjusted within to meaningful all second to sold year that consistent these EBITDA have impact XXXX. adjusted As We These half business, do anticipate our are updated negligible smaller of including segment improvements this to the

QX, are new customer activity the not As half level the to do year, is will case occurred these to continue results. the of We very lap in pleased of of with the begin for we expect outperformance in QX as second we this onboarding that remainder XXXX.

a result, by expect driven primarily comparables single-digit to for of remainder revenue QX low As the have declines in year the we tougher XXXX. the of

customers. XX.X% Second were driven performance and improvement quarter basis margin down addition from largely sequential first new by was points strong given EBITDA quarter a the This of adjusted the XXX inflationary margins year-over-year environment. reflected XX.X%, lower in the

with flow. cash the from a our Turning First to increased due billion, to to and last now we had sheet which We net American year continue quarter as debt billion $X.XX transaction. ended down debt level down pay balance levels $X.XX the of our

X.Xx end the Our net debt to quarter, at slightly X.Xx the was the XXXX. improved of ratio at end from adjusted EBITDA of

as the approximately long-term $XX.X capital Xx. down first overall taxes. higher second improve due provided activities flow half compared strategic second was to XXXX $X.X less to do quarter, operating the flow, of quarter year. half the the free target expect to changes as cash strong million expense and interest by in business, cash capital the We growth in cash defined driven second higher Our remains XXXX, the by expenditures, cash in from of working the Free million of

of per $X.XX will Board outstanding of XXXX, on all The XX, shares. shareholders X, payable record September to on on dividend XXXX. Our approved August quarterly all a regular dividend be share

to priorities are our invest dividends, growth, allocation return As a in value debt capital to our reminder, pay reduce shareholders. responsibly and our

guidance. Turning now to

American a and of inflation Given our prevailing continued partial growth the and rates, year our First prior constraints, revenue of impact impact other issues, conditions, supply includes strong supply inflation today, are things, labor guidance for XXXX. divestitures. is of chain disruptions supply updating chain and had and margin guidance we among that our the recent subject This on to, anticipated macroeconomic

For that expecting now the are mind full figures approximate. are in year all XXXX, following, the we keeping

rate an as-reported We equates are to business the to increasing our to XX% to impact XX%, X% growth revenue on growth of exits. excluding basis. XX% revenue This

into success quarter the XX.X payments higher-margin of transformation We demonstrate million margin and impact share to $XXX for capital of data supply Solutions business. our EBITDA $XX $XXX amortization we $XX in successful and the are of of and the This model. approximately acquisition rate our shares the to depreciation pressures half inflationary the company, on One higher-than-planned Deluxe We second outstanding XX%, our rate million. and adjusted take of executing Promotional modifying our now to full which questions. XX%, and goods Interest year ready believe plan chain ongoing XX.X% To adjusted but Average Operator, expenditures reflects a year. of is look forward our in of tax of expense million, million. the I amortization second on million margin to revenue. of disruptions summarize, results pass-through further count of are

Operator

Vitanza first Instructions] [Operator with Your from question Lance comes Cowen.

Lance Vitanza

very is set but to a me here. question Bear there want this because here. up, Thanks here coming much, question Lance I with

than dollar while dollar in had margin, well bit came revenue the of So forget EBITDA obviously was expected. in our about a ahead little expectations weaker in terms but terms, we

I to outperformance was rather seeing volume is that my hypotheses of when that the some point, probably revenue this, are that is a you'll pricing that, the XXXX extent base. and your I simply the higher an the extent And outperformance operating that the higher at structure. harder you're that presumably year, it's have by question worried So inflation, revenue better-than-expected year that reason costs than And let outperformance cost bodes is, price. dollars revenue back getting is be cover If at other comment point. how ease alone to want next to growing my revenues the I'm EBITDA to this seeing which on going volumes growing this you're better well on a of ask you'll than off of driven that next margin artifact then to for hand, much time

the curious price and case, agree am between on the you and the So with any do split premise. And outperformance. volume in I

Scott Bomar

Lance, Scott. this is

more So from nice coming saw similar to of than the first growth quarter, we half revenue a volume. even balance increased with slightly the

was And like so combination healthy . of felt pricing. we that a volume and

and we back of that optimistic Barry, we year but to certainly all and volumes is are about decent price see, to there feel the that like cautiously so think want half that? And look, you some not the the momentum it's do anything we'll add driven.

Barry McCarthy

X products all business slowed had piece business, was here. add growth, the had just for because in impact a place healthy this and I really the chain inflation X impact on the our really us thing revenue that, of that bit would businesses quarter, the other this But except supply X The in the of particular, margins. great Lance, promotional promotional

it us the of lot gives optimism So a future. for

Lance Vitanza

like came Okay. But a your of you regarding looks DU fruition? to around attractive that but I at that to seem the be that mentioned Great. embodiment that anything bend How how process -- July in first it Paco's the would there than July really And remarks, blush, ,did the any was would -- competitive Paco make over you was pricing cross-selling -- community, helpful. process then this, so color just perhaps X promotional strong potential. announcement need offer DU less the Barry, like or wonder there would

Barry McCarthy

with with thesis able And conversation part we We're again. relationship. the I a additional vanilla deal benefit hypothesis an the that had the investment can't have, relationship in And existing American. And well the And union. and as example over and that a straight-up it fruit for like we we're leveraging names. have of We and that First we it's by the their as for but products and of really strategic not expanded acquisitions doing American point multiple with few Deluxe because real pretty One get over was First enterprise only a is and bearing decision a this that the the And America. exists proving credit of that that proving proud to we're already true within relationship and to had use other that deals we and Deluxe the makers call of service the products extends transaction. First across offering existing even would it the

Lance Vitanza

your then, think activity I to Great. you Barry, that not wrong, Okay. get I And think from you slowdown. inflation in -- seeing not you're is small What I despite a And formed. right? don't seeing want new this new mentioned want you slowdown changes being there a you're business of I for but said fairly you're about the lots medium-sized You would of imagine critical which Any see formation, that pace and customers. you, businesses seeing?. to

Barry McCarthy

growing -- the of I business performance. Lance, message despite We our in see there's And just across the our we small think healthy don't just see lots messages -- see in don't just media, The it I is X in Yes. of we mean, overall, the all businesses. volumes, we sector. but of volume slowdown

trajectory. perhaps, is don't important our we in if see just interest our it don't today happen keep in volume the and rates inflation it. or just current could see We but Now going point it I think

Operator

line the CJS. of Charlie from comes question next Your with Strauzer

Charles Strauzer

more line the organic there. bit and on a top the growth Just little expanding

side, how that? behind year? as of and the drivers line how half volume that the is we QX on And should at near separately the we more longer especially top QX some term sustainable of think about at term, the for and growth Looking back look

Barry McCarthy

the works, we've to to -- delivering company that, customers that there's existing talking the revenue think of to company. been service become Very the We each One more quarters for And way growth we this second so Charlie, our A new and X but call volume, can consecutive revenue the of of and the the now is. about lockshift sell growth. Deluxe some future. a across consecutive for what sales-driven sustained aiming time organic is year organic on model while businesses, for the onboarding theme all specifically common we different for that drivers in product story meaning that them customers. sustainable

You in check. see wins the great we've had

see it in promo. You

you You and see business, see it business. it in our payments in our certainly cloud

sales-driven So you, and of I'd just, we that company be pretty and the it's the a it's growth have tell that and model the all company to the real broad-based proof forward. of think revenue segments, works evidence going across we trajectory changed

Charles Strauzer

That's the given before, the you half helpful. if you've of updated back year. did this for any And on I Scott, interest thoughts out but expense apologize give

Scott Bomar

Yes.

expense year. and guide million, we original we're the interest happening the so that is year. forecasted all hikes that obviously, the million see our $XX So of impact the $XX The rate now balance in guiding of for for includes from the

existing outstanding debt. variable a of As reminder, XX% our debt rate about is

the of for And driver so million the $X year. the that's increase

Charles Strauzer

on flow kind back I'll of half for level queue, of And thoughts back then for in of the cash this Great. just lastly get year. just me,

Scott Bomar

Yes.

flow the a us are of timing for cash So for the related. year point number low for reasons, QX many of represents which in

working quarter. we a flow growth quarter in for also free on revenue the the as had We strong cash such based saw capital on drag

the pick So back meaningfully the QX. flow particularly to half we up expect of do in year, in cash free see

Backer have QX. to as we as a Your up have and strong next so We timing-related expect team meaningfully, things, flow pick QX quarter there's flow cash example few with both an Sidoti. a a comes QX, question we do in bond from don't cash Marla in Operator

Marla Backer

be or kind applicable to what for rates, that current environment you? the you that might inflation, with the implications what with M&A think rather So do economic economic in of uncertainty interest has

Barry McCarthy

Marla.

the company America. been team and leading ago, -- to company. supplement then that growth which We we have you us have together not look that a And I transactions, a that feel And saw First time sales-driven would that. multiple a we multiple clear with strategic pretty were in make we transformation said also very very been be been don't our acquisitions, like we intend We've have, portfolio minute the we've making think, revenue with as to to do we so and disciplined driving we transactions. the accomplished

consider be something as functionality cetera. or that about extend and in, interest bring that already transaction we interest more second rates or will those best we and meet would difficult capability interest make opportunistic of internal and higher volume might next And we we're to rate to have the specifically, be help add that, obviously, Specifically, us of rates, or businesses rates volume our bring return would make for we shareholders And will don't more more hurdle today. achieve. features are the et decisions --

will eyes is a we help as keep will repayment and today, down. focused drive we to will forward. for be our opportunities So to horizon We than it going we're that meanwhile, drive but smart more debt which value reducing leverage well. shareholder the manageable think that And continue ratio, know on on very opportunistic

Marla Backer

your Okay. are you banking impact if seeing a you it service. growing awareness potentially adoption opportunity? And think of do might how as of And are, you

Barry McCarthy

puts bullish a very know pathway us are is playing payments over with alternatives horizon credit think But service. -- think parties on probably running strategic where XXX,XXX us little the midsize than we financial of of to we our think good in business, in the millions good for we're businesses And notion are over I more maybe a can on player have especially a in their about a we businesses, XXX term. actually of integrated are small because particularly we're those what time, banking that media. relationships there the that bit position small and as really on we card processing multiple to ultimately, there think for over services, reading And some that as be a that further So it's space, we today. intermediate the and we looking leverage that

Operator

question next King. David from CL Your comes Silver with

David Silver

a picture question. big of kind had I

kind couple But touched the more in on kind aspects you've around. are call disparate But customer? let's different years. think target over models from you of the pandemic pandemic, was locate and terms post the now how Are be market your they I spread other it. it the to kind kind shift tougher of to versus or mean, to you I how on adapt this you would a say, and your operate and your pandemic of go harder the wondering, versus of words, it I is of of In reach more past, looking to had to pre-pandemic landscape let's of had have makers, perspective, at way just post fly period. question or adjust out here you your business and of whatnot, decision

your business so say, a differently, maybe you versus how So let's are now year ago? or operating

Barry McCarthy

Deluxe of customers. Deluxe what David, and our is importance durability Sure. Deluxe the the model start focused very our is to the on model. of best would One I the and with the One bringing

a their So rather a help bundle of sell solutions customers' and the we trying put at product than together problems. go customer needs time, solve then instead that understand X to and the

in post-COVID of than were higher are different environment. demands they some a COVID, the inflation During

to the help we bundle And of we the customer so to offer of adjust products solve mix their a we -- that simply problems. that

So that's number one.

and couple actually of changes had One we bigger a person for we But it changes, course. model result to of the the is do years. COVID Whereas grow from the see in We response person, earlier be company bundle in now And obviously, to the been able We face-to-face. year, Exchange, that to the thing deliver and success our the which our we're visiting our able hundreds meeting the and So had and engage of and facilities of foundational the company into customers our offerings of and we great more can as we're notion market bringing -- best Deluxe seeing now and around able of the during participate. remotely. had in their the we're customers in we One offices an and their But model had every deeply of growing we and And help company problems. problems their is come inflationary its period many through them to with go shown so that through basic Deluxe, join the had a COVID and time. it's to we're customer and hadn't their in customers solve and how of durability that. Deluxe period,

David Silver

going how to maybe you're then aspects that just variable Great. And be. of the inflation or Okay. another question and cost are had about I durable that dealing with, in certain how particular,

base. might like look of the may also and But impacts that X, have I electricity element these cost over are words, moderate workers and base I expenses your durable lower But wonder yours. thinking forward where say, do and from elements inflation dealing you a if to now. right the the sticky are opportunity need, be or they not I'm at to the extent you move things some cost office But and you my year or to up of to going let's you're wages you think out more compensate if what reduce a period, that that or with? bit cost company you kind the where little a base, drive have a X- are currently the as X-year So tackling of and that mean, look travel the

Barry McCarthy

very be we'll we course, increases, as in to the in price the we limitations you we can level, and And of do on marketplace. price time provide are at Scott, happening able actually I'll will some double time. increase think before, kind to looking protection have between want you it, side you. know, highest over which David, And take some But level, able to that? continue proportionate us cost highest that . to of well. announce lag implement we're do what's time, Scott our to the profit think over we've check a start at I'll the we think double-click agreements. of But the as we a for sort we we continue at But to discussed let obviously, there's

Scott Bomar

mitigate if really our simply that an driving up seen, efficiency. lean to reengineering DNA . continuing continuous something to and we've Yes. we're to supply shift the and chain inflationary focus basis. organization is get over inflationary and value do areas time pressures should see built a watching around that's where our there's we down impacts have core focus to And Deluxe's better on but items specific we how certainly and on principles entire client

on have -- We have sourcing procurement make focused and we're a we pricing. at buying force heavy that world-class to sure

drive And so But independent the is that operate. environment. we to we figure it manage not in your created opportunities. certainly, inflationary that trying of always And item. just But point, durable certainly than that's others. productive. of day it's to the elements productivity. we're for inflationary same portfolio there's more and look line how live to every is That's some looking something how impacts out ways more to to get And that interesting are It's

on. have we're And a portion particular the else, so so focused it business, solve that's keenly in pressure to may of we somewhere we something see

David Silver

I of then discretionary view CapEx to immediate the I I more budget just road your for of more. always the element map But tend a are. view X And kind or -- Okay. good where good sign, as priorities personally,

you could X you if year. of if what discuss just capital budget then you just sustaining X budget me for this highlight million-or-so spend. the could biggest items portion remind the that Can And spending is? $XXX in that level that of -- So in or the discretionary

Scott Bomar

Sure.

capabilities, driving we is we this break capital is out marketplace. of would third to the than check that space. So next is in then data a but process what production. that technology position we and deploying to our for that's the continuing the our spend concentrated build capital in our big and investment high we're this a our Much both is our major the consider software of modernize don't And printing capital, capital technical businesses of into within more out replatforming growth and of have offerings some our spend year payments level data against it project where the manufacturing in of our payment in detail, half year

buckets. And forward push in printing investment investment its services so business. in big software are X and sort capabilities. It's our It's to those our Check the continuing data payments, of the

Operator

comes Your Lance next with from question Vitanza Cowen.

Lance Vitanza

to in if ask back just which jump normally made the there have noticed think of me the sequentially. down I I'm about how corporate And seasonal? want did reduction wondering it that helpful. you Any had And I on than really overhead was Or been? also higher sort half overhead, that was second about would number year would XQ be Let directionally the thinking corporate here. line? something should of we about color the there was

Scott Bomar

seasonality of some that. explains is part QX from There into QX Sure, Ann. that

is maybe talk from So been been benefits it QX by have conversation a That was explained of that that -- a during the have and have few COVID. Corporate entirely the paused perspective. employee million reintroduction dollars. up some about benefits let's year-over-year

focus is us basis efficiency a sales down as strong there. line. the exclude drive we've X percent heavy baseline, XX I how this year-over-year. in overhead points should corporate and this will we it, you that the growth, think tells the environment, about And taken cost which that is be for If of was in at flat, out end that that much fact, of conclude of year you It corporate of inflationary was to in their think with a timer, corporate year-over-year area revenue

earlier we're driving the that is around focused productivity, questions efficient there. and continuing to get corporate So always something on more to

Operator

this any Tom remarks. back for to At turn call I time, closing will the Morabito

Thomas Morabito

Erica. Thanks,

and . we and management I'd today, Financials Wells we joining again forward Fintech you August November Before Get in third for XXXX and August following speaking on with King's September Services results. X, XXXX on XX. Annual Seventh we share and be quarter in participating us a will mention Payments as Fintech Ideas Conference Thank like to X Technology our CL the Fargo Best Conference and to you conclude, Forum conferences. XXXX tomorrow, Susquehanna that carded, look

Operator

participating. for you Thank

this at disconnect time. may You

Deluxe (DLX) 6 Aug 222022 Q2 Earnings call transcript