Company: ACIW
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0000935036-25-000013
Chunk: 50

Company: ACI WORLDWIDE, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 50
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Research and development (“R&D”) expenses are primarily human resource costs related to the creation of new products, improvements made to existing products as well as compatibility with new operating system releases and generations of hardware.

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R&D expense increased $3.9 million, or 11%, during the three months ended March 31, 2025, as compared to the same period in 2024. 

•The impact of foreign currencies weakening against the U.S. dollar resulted in a $0.3 million decrease in R&D expenses during the three months ended March 31, 2025, compared to the same period in 2024.

•Adjusted for the impact of foreign currency, R&D expenses for the three months ended March 31, 2025, increased $4.2 million, or 12%, compared to the same period in 2024.

•The increase was primarily due to higher personnel and related expenses.

Selling and Marketing

Selling and marketing includes both the costs related to selling our products to current and prospective customers as well as the costs related to promoting the Company, its products and the research efforts required to measure customers’ future needs and satisfaction levels. Selling costs are primarily the human resource and travel costs related to the effort expended to license our products and services to current and potential clients within defined territories and/or industries as well as the management of the overall relationship with customer accounts. Selling costs also include the costs associated with assisting distributors in their efforts to sell our products and services in their respective local markets. Marketing costs include costs incurred to promote the Company and its products, perform or acquire market research to help the Company better understand impending changes in customer demand for and of our products, and the costs associated with measuring customers’ opinions toward the Company, our products and personnel.

Selling and marketing expense increased $5.4 million, or 20%, during the three months ended March 31, 2025, as compared to the same period in 2024. 

•The impact of foreign currencies weakening against the U.S. dollar resulted in a $0.5 million decrease in selling and marketing expense during the three months ended March 31, 2025, as compared to the same period in 2024.

•Adjusted for the impact of foreign currency, selling and marketing expense increased $5.9 million, or 23%, for the three months ended March 31, 2025, as compared to the same period in 2024.

•The increase was primarily due to higher