NCR Corp., which provides self-checkout kiosks and other technology to convenience-store chains, plans to separate its business lines into two public companies by the end of the year and has selected names for each new company.
NCR Voyix will be the name of its retail, hospitality and digital banking technology company, while its automated teller machine (ATM) and digital-currency-solutions business for the banking and payments industries will be called NCR Atleos, NCR’s CEO Michael Hayford said Wednesday, when the Atlanta-based company also announced second-quarter results.
“With the planned separation in sight, we will become two distinct and robust entities with market leading positions, each with ample opportunities for long-term growth,” Hayford said in a statement.
On NCR’s customer list are convenience-store chains Cumberland Farms, Daily’s, Kwik Trip, Mach 1, Parker’s, Pilot/Flying J, QuickChek, RaceTrac and Royal Farms, according to the company.
NCR’s second-quarter net income from continuing operations fell to $20 million from $35 million in the year-ago period, while revenue dipped about 1% to $1.986 billion from $1.997 billion in second-quarter 2022, the company said. Its recurring revenue rose 4% to $1.26 billion from $1.22 billion and generated 64% of its overall revenue in the second quarter, it said.
NCR’s retail business, one of its largest business lines, rose 2% to $576 millon from $562 million a year ago, the company said, while digital banking grew to $140 million, up 7% off a smaller revenue base of $131 million in second-quarter 2022.
In what will be called NCR Atleos, NCR reported self-service banking revenue of $661 million for the second quarter, down 3% from $679 million in the year-ago quarter.
“We delivered strong second-quarter results, marked by solid growth in recurring revenue, margin expansion and robust cash flow generation,” Hayford said. “We have made significant progress preparing for the separation into two public companies, which we anticipate will occur in the fourth quarter, and are in a strong financial position and carrying positive momentum.”
NCR’s self-checkouts (SCO) range in price from about $1,800 to $10,000 or more, depending on model and configuration, according to Scott Sykes, NCR’s executive director of corporate communications.
“Customers can choose between different models including full function, card-only, NCR Halo Checkout and SCO Essentials, withSCO Essentials providing the most cost-effective entry point at $1800 with no remodeling costs for incorporating into the store,” he said. Retailers using NCR’s technology generally save money over the long term because they don’t have to recreate catalog, inventory and pricing systems, he said.
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