10-Q · May 7, 2026
NCR Voyix reported Q1 2026 with revenue of $606 million, slightly below the estimate of $582 million, and an EPS of $(0.04) against expectations of $0.06. Total revenue decreased by 1% compared to the prior year, driven…
Earnings analysis · 10-Q
VYX earnings analysis
Filed August 5, 2026 · Our reading of the company's report
The latest report
NCR Voyix reported Q2 revenue of $523 million, down 21% year over year, primarily because the Hardware Business Transition shifted hardware sales from gross product revenue to net commission revenue beginning April 1,…
Read full summary
NCR Voyix reported Q2 revenue of $523 million, down 21% year over year, primarily because the Hardware Business Transition shifted hardware sales from gross product revenue to net commission revenue beginning April 1, 2026. Mix improvement supported a 710-basis-point increase in gross margin to 29.8%, operating income of $14 million versus $13 million, and 5% Adjusted EBITDA growth to $98 million. Cash flow improved sharply, but Restaurants weakened and the company retains $1.1 billion of debt versus $237 million of cash; GAAP EPS was not disclosed in the provided filing text.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
What stood out
-
Revenue declined YoY but improved sequentially
Q2 revenue was $523 million, down 21% from $660 million a year earlier, but increased sequentially from an implied $606 million in Q1 2026. The year-over-year decline largely reflects the April 1, 2026 move to net hardware commission accounting.
-
Material gross-margin expansion
Gross margin expanded 710 basis points to 29.8% from 22.7%, with gross profit rising 4% to $156 million from $150 million despite the $137 million revenue reduction. Service gross margin increased to 30.2% from 28.2%.
-
Profitability improved despite lower revenue
Operating income increased to $14 million from $13 million, lifting operating margin to 2.7% from 2.0%. Adjusted EBITDA rose 5% to $98 million and represented 18.7% of revenue, versus $93 million and 14.1%.
-
Revenue mix shifted toward recurring software/services
Recurring revenue increased 3% to $435 million and reached 83.2% of revenue, versus $421 million and 63.8% a year ago. Software and services revenue grew 1% to $497 million, comprising 95.0% of sales.
-
Cash generation turned positive
Six-month operating cash flow turned positive at $59 million from an outflow of $284 million, while adjusted free cash flow-unrestricted was $56 million after $77 million of capital expenditures. Capex equaled 6.8% of six-month revenue of $1.129 billion.
-
Retail earnings resilience
Retail adjusted EBITDA rose 20% to $97 million on favorable software mix and cost actions, although revenue fell 20% to $365 million. Retail recurring revenue increased 6%.
What to watch
-
Hardware transition depresses reported revenue
Reported Q2 revenue fell 21% to $523 million, including an 85% decrease in product revenue to $27 million. Effective April 1, 2026, hardware sales are recognized as net commissions rather than gross revenue, reducing reported sales comparability.
-
Restaurants segment contracted materially
Restaurants revenue declined 23% to $158 million and segment Adjusted EBITDA declined 15% to $58 million. Management cited lower SaaS, software-license, software-maintenance, and non-recurring installation-services revenue.
-
Leverage remains substantial
Liquidity includes $237 million of cash against $1.1 billion of total debt, plus approximately $207 million of Series A preferred-stock redemption value. Interest expense increased to $15 million from $14 million.
-
No formal risk-factor update; macro risks persist
The filing reports no material changes to risk factors from the 2025 Form 10-K, but identifies evolving tariffs, geopolitical conflicts, inflation, currency fluctuations and technology-component shortages as macro uncertainties. A 10% U.S.-dollar appreciation would decrease hedge-portfolio fair value by less than $21 million.
-
Restructuring and transition costs remain elevated
Transformation and restructuring costs were $20 million in Q2 and $43 million for the first six months, while strategic-initiative costs were $20 million year to date. These costs continue to weigh on GAAP earnings and cash conversion.
Management's outlook
The 10-Q does not provide quantitative revenue or EPS guidance. Management states it expects to contribute $12 million to international pension plans and $23 million to its postemployment plan during 2026, and believes existing liquidity is sufficient to meet expected obligations.
Earlier filings 4
10-K · February 26, 2026
NCR Voyix (VYX) is executing a strategic shift toward a microservices-based Voyix Commerce Platform, SaaS, payments and services while outsourcing hardware production to Ennoconn. Fiscal 2025 shows a return to…
10-Q · November 6, 2025
NCR Voyix reported Q3 revenue of $684.0M, down $24.0M (-3.4%) versus Q3 2024, while gross margin improved to ~24.3% from ~23.6%. Operating income was $15M (operating margin ~2.2%) and continuing-operations diluted EPS…
10-Q · May 8, 2025
NCR Voyix reported Q1 revenue of $617.0M, down $93.0M (-13.1%) versus Q1 2024; gross margin improved to ~21.9% from 19.4% but the company remained operating loss-making at $(20)M. Cash and working capital declined (cash…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.