The company faces risks from global economic conditions, foreign currency fluctuations, fuel price volatility, and rising interest rates. Litigation, including shareholder derivative and FTC lawsuits, poses significant uncertainty. Material weaknesses in internal controls over financial reporting, specifically IT general controls and customer funds, are noted. Acquisition integration and potential failure to achieve expected gains from acquisitions are also risks.
Financial Upside
The company anticipates organic revenue growth, driven by increased transaction volumes and new sales initiatives. Acquisitions, including those of Zapay, Paymerang, and GPS Capital Markets, are expected to expand the customer base and diversify services. Cash flow hedges and net investment hedges aim to mitigate interest rate risk and currency fluctuations. A potential gain on the sale of a disposal group is also noted.
