The Western Union Company (NYSE:WU) Q4 2019 Earnings Conference Call - Final Transcript

Feb 11, 2020 • 04:30 pm ET


The Western Union Company (NYSE:WU) Q4 2019 Earnings Conference Call - Final Transcript


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Good afternoon and welcome to the Western Union Fourth Quarter Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions]

I would now like to turn the conference over to Brad Windbigler, Head of Investor Relations. Please go ahead.

Brad Windbigler

Thank you, Andrea. On today's call, we will discuss the company's fourth quarter and full-year results, and our financial outlook for 2020, and then we will take your questions. The slides that accompany this call and webcast can be found at under the Investor Relations tab and will remain available after the call. Additional operational statistics have been provided in supplemental tables with our press release.

Today's call is being recorded and our comments include forward-looking statements. Please refer to the cautionary language in the earnings release and in Western Union's filings with the Securities & Exchange Commission, including the 2018 Form 10-K, for additional information concerning factors that could cause actual results to differ materially from forward-looking statements. During the call, we will discuss some items that do not conform to generally accepted accounting principles. We have reconciled those items to the most comparable GAAP measures on our website,, under the Investor Relations section. We will also discuss certain adjusted metrics although expenses that have been excluded from adjusted metrics are specific to those initiatives, these types of expenses may be similar to types of expenses that the company has previously incurred and can reasonably be expected to incur in the future.

All statements made by Western Union officers on this call are the property of The Western Union Company and subject to copyright protection. Other than the replay noted in our press release, Western Union has not authorized and disclaims responsibility for any recording, replay or distribution of any transcription of this call.

Before I turn the call over to Hikmet Ersek, I would like to take the opportunity to announce that we have brought in a new deal leader for Investor Relations, Brendan Metrano; who joins from -- joins us from Evercore ISI, where he was an Equity Research Analyst. You'll be hearing more from Brendan in the near future. Hikmet?

Hikmet Ersek

Well, thank you, Brad and good afternoon everyone. I am pleased to say that our business delivered solid results in the fourth quarter driven by continued strong performance in our digital offerings. Fourth quarter revenue increased 3% on an adjusted constant currency basis and the adjusted EPS was $0.38. For the full year, our adjusted results were in line with the financial outlook we provided with third quarter results. Returning cash to shareholders remained a priority as we returned over $880 million to shareholders in 2019. I am pleased that -- I am pleased that today, we also announced a 13% increase in the quarterly dividend, which reflects the strength of business and strong profit expectations for 2020 and confidence in our new global strategy.

2019 was a pivotal year for Western Union as we made significant progress towards our vision of being the