DELUXE CORPDLX
DELUXE CORP Segments Disclosure
We operate the following reportable segments, generally organized by product and service type:
•Merchant Services – provides electronic credit and debit card authorization and payment processing services, primarily to small and medium-sized retail and service businesses.
•B2B Payments – provides treasury management solutions, including remittance and lockbox processing, remote deposit capture, cash application, and payment acceptance solutions, as well as integrated accounts payable disbursements, including eChecks, Deluxe Payment Exchange, and Medical Payment Exchange, and fraud and security services.
•Data Solutions – provides data, analytics, and marketing services for both business-to-business and business-to-consumer clients, as well as financial institution profitability reporting and business incorporation services.
•Print – provides printed personal and business checks, business essentials, including printed business forms and business accessories, as well as branded promotional print, apparel, and digital storefront solutions.
Segment accounting polices – The accounting policies applied to our segments are consistent with those outlined in Note 1. Corporate costs for shared services are allocated to segments when they are directly attributable to a segment, otherwise, they are reported under Corporate operations. Unallocated costs primarily include marketing, accounting, information technology, human resources, facilities, executive management, and legal, tax, and treasury functions.
Geographic information and major customers – Our segments primarily operate within the U.S., with some activities in Canada. Until June 2023, we operated our former web hosting business in parts of Europe and through partners in Central and South America. Revenue and long-lived assets associated with our foreign operations were not material to our consolidated financial statements during the periods presented. No single customer contributed more than 10% of consolidated revenue in any of the last three years.
Chief Operating Decision Maker (CODM) and performance metrics – Our Chief Executive Officer is the CODM, evaluating segment performance and resource allocation based on adjusted EBITDA. Adjusted EBITDA excludes depreciation and amortization expense, interest expense, income tax expense, and certain other amounts that can vary from period to period. These amounts may include asset impairment charges, restructuring and integration expense, share-based compensation expense, certain legal and environmental expenses that fall outside the normal course of business, and gains or losses on the sale of businesses and long-lived assets.
The CODM uses adjusted EBITDA in both the annual planning and interim forecasting processes. On a monthly basis, the CODM reviews actual results versus plan and forecast information, using this analysis to guide resource distribution and strategic adjustments. Additionally, the CODM compares segment adjusted EBITDA margins to those of competitors. This benchmarking is essential for evaluating the relative performance of our segments within the industry, ensuring that we remain competitive, and identifying areas for improvement. Furthermore, adjusted EBITDA plays a significant role in establishing employee performance-based compensation, aligning employee incentives with our financial goals. The CODM does not review segment-level asset information for purposes of investment or operating decision-making.
Segment results – The following table presents segment information for the years ended December 31:
| (in millions) | 2025 | 2024 | 2023 | |||||||||||||||||
| Merchant Services: | ||||||||||||||||||||
| Revenue | $ | 398.6 | $ | 384.0 | $ | 364.2 | ||||||||||||||
| Other segment items | (312.7) | (305.5) | (289.8) | |||||||||||||||||
| Adjusted EBITDA | 85.9 | 78.5 | 74.4 | |||||||||||||||||
| B2B Payments: | ||||||||||||||||||||
| Revenue | 290.5 | 287.9 | 299.2 | |||||||||||||||||
| Other segment items | (226.1) | (230.8) | (237.2) | |||||||||||||||||
| Adjusted EBITDA | 64.4 | 57.1 | 62.0 | |||||||||||||||||
| Data Solutions: | ||||||||||||||||||||
| Revenue | 307.3 | 234.0 | 211.8 | |||||||||||||||||
| Other segment items | (220.9) | (173.5) | (165.5) | |||||||||||||||||
| Adjusted EBITDA | 86.4 | 60.5 | 46.3 | |||||||||||||||||
| Print: | ||||||||||||||||||||
| Revenue | 1,136.8 | 1,205.1 | 1,261.3 | |||||||||||||||||
| Other segment items | (769.9) | (828.5) | (860.4) | |||||||||||||||||
| Adjusted EBITDA | 366.9 | 376.6 | 400.9 | |||||||||||||||||
| Total reportable segments: | ||||||||||||||||||||
| Revenue | $ | 2,133.2 | $ | 2,111.0 | $ | 2,136.5 | ||||||||||||||
| Other segment items | (1,529.6) | (1,538.3) | (1,552.9) | |||||||||||||||||
| Adjusted EBITDA | 603.6 | 572.7 | 583.6 | |||||||||||||||||
All other:(1) | ||||||||||||||||||||
| Revenue | — | 10.8 | 55.8 | |||||||||||||||||
| Other segment items | — | (5.2) | (29.9) | |||||||||||||||||
| Adjusted EBITDA | — | 5.6 | 25.9 | |||||||||||||||||
| Total segments: | ||||||||||||||||||||
| Consolidated revenue | $ | 2,133.2 | $ | 2,121.8 | $ | 2,192.3 | ||||||||||||||
| Other segment items | (1,529.6) | (1,543.5) | (1,582.8) | |||||||||||||||||
| Adjusted EBITDA | 603.6 | 578.3 | 609.5 | |||||||||||||||||
(1) Includes the payroll and human resources services business that we substantially exited during 2024 and the North American web hosting and logo design businesses that were sold in 2023 (Note 6).
The CODM does not review segment expense information, but receives commentary on variances between planned, forecasted, and prior year adjusted EBITDA. This commentary may include discussion of relevant expense categories, which can vary from period to period based on the drivers of the variances. The CODM also reviews consolidated expense information as presented in our consolidated financial statements, as well as consolidated expenses for shared services support functions.
For all segments, other segment items include cost of revenue, selling expenses, and allocated shared services costs, including information technology, real estate, and finance costs. For our digital businesses (Merchant Services, B2B Payments, and Data Solutions), cost of revenue includes information technology costs, payroll and related expenses, and overhead, and for Merchant Services, residuals paid to ISOs. For the Print segment, cost of revenue includes raw materials, shipping and handling, third-party costs for outsourced products, payroll and related expenses, information technology costs, and overhead. Selling expenses include sales, marketing, and advertising expenses, call center operations (Merchant Services, B2B Payments, and Print), and external commissions (B2B Payments and Print).
Reconciliation to consolidated income before income taxes – The following table reconciles total segment adjusted EBITDA to consolidated income before income taxes for the years ended December 31:
| (in millions) | 2025 | 2024 | 2023 | |||||||||||||||||
| Total segment adjusted EBITDA | $ | 603.6 | $ | 578.3 | $ | 609.5 | ||||||||||||||
| Corporate operations | (172.1) | (166.2) | (192.4) | |||||||||||||||||
| Depreciation and amortization | (137.9) | (165.5) | (169.7) | |||||||||||||||||
| Interest expense | (122.0) | (123.3) | (125.6) | |||||||||||||||||
| Non-controlling interest | 0.1 | 0.1 | 0.1 | |||||||||||||||||
| Asset impairment charges | (5.7) | (7.7) | — | |||||||||||||||||
| Restructuring and integration expense | (20.5) | (50.5) | (90.5) | |||||||||||||||||
| Share-based compensation expense | (24.9) | (19.9) | (20.5) | |||||||||||||||||
| Certain legal and environmental expense | (1.5) | — | (2.2) | |||||||||||||||||
| Loss on sale of investment securities | — | — | (1.3) | |||||||||||||||||
| Gain on sale of businesses and long-lived assets | — | 31.2 | 32.4 | |||||||||||||||||
| Income before income taxes | $ | 119.1 | $ | 76.5 | $ | 39.8 | ||||||||||||||
Disaggregated revenue information – The following tables present revenue disaggregated by product and service offerings for the years ended December 31:
| Year Ended December 31, 2025 | ||||||||||||||||||||||||||||||||
| (in millions) | Merchant Services | B2B Payments | Data Solutions | Consolidated | ||||||||||||||||||||||||||||
| Checks | $ | — | $ | — | $ | — | $ | 690.0 | $ | 690.0 | ||||||||||||||||||||||
Merchant services solutions | 398.6 | — | — | — | 398.6 | |||||||||||||||||||||||||||
| Data-driven marketing | — | — | 288.1 | — | 288.1 | |||||||||||||||||||||||||||
| Forms and other business products | — | — | — | 224.8 | 224.8 | |||||||||||||||||||||||||||
| Treasury management solutions | — | 224.7 | — | — | 224.7 | |||||||||||||||||||||||||||
| Promotional solutions | — | — | — | 222.0 | 222.0 | |||||||||||||||||||||||||||
| Other payment solutions | — | 65.8 | — | — | 65.8 | |||||||||||||||||||||||||||
| Other web-based solutions | — | — | 19.2 | — | 19.2 | |||||||||||||||||||||||||||
| Total revenue | $ | 398.6 | $ | 290.5 | $ | 307.3 | $ | 1,136.8 | $ | 2,133.2 | ||||||||||||||||||||||
| Year Ended December 31, 2024 | ||||||||||||||||||||||||||||||||||||||
| (in millions) | Merchant Services | B2B Payments | Data Solutions | All Other | Consolidated | |||||||||||||||||||||||||||||||||
| Checks | $ | — | $ | — | $ | — | $ | 702.7 | $ | — | $ | 702.7 | ||||||||||||||||||||||||||
| Merchant services solutions | 384.0 | — | — | — | — | 384.0 | ||||||||||||||||||||||||||||||||
| Data-driven marketing | — | — | 214.6 | — | — | 214.6 | ||||||||||||||||||||||||||||||||
| Forms and other business products | — | — | — | 240.4 | — | 240.4 | ||||||||||||||||||||||||||||||||
| Treasury management solutions | — | 225.6 | — | — | — | 225.6 | ||||||||||||||||||||||||||||||||
| Promotional solutions | — | — | — | 262.0 | — | 262.0 | ||||||||||||||||||||||||||||||||
| Other payment solutions | — | 62.3 | — | — | — | 62.3 | ||||||||||||||||||||||||||||||||
| Other web-based solutions | — | — | 19.4 | — | — | 19.4 | ||||||||||||||||||||||||||||||||
Other | — | — | — | — | 10.8 | 10.8 | ||||||||||||||||||||||||||||||||
| Total revenue | $ | 384.0 | $ | 287.9 | $ | 234.0 | $ | 1,205.1 | $ | 10.8 | $ | 2,121.8 | ||||||||||||||||||||||||||
| Year Ended December 31, 2023 | ||||||||||||||||||||||||||||||||||||||
| (in millions) | Merchant Services | B2B Payments | Data Solutions | All Other | Consolidated | |||||||||||||||||||||||||||||||||
| Checks | $ | — | $ | — | $ | — | $ | 721.1 | $ | — | $ | 721.1 | ||||||||||||||||||||||||||
| Merchant services solutions | 364.2 | — | — | — | — | 364.2 | ||||||||||||||||||||||||||||||||
| Data-driven marketing | — | — | 192.7 | — | — | 192.7 | ||||||||||||||||||||||||||||||||
| Forms and other business products | — | — | — | 263.5 | — | 263.5 | ||||||||||||||||||||||||||||||||
| Treasury management solutions | — | 240.3 | — | — | — | 240.3 | ||||||||||||||||||||||||||||||||
| Promotional solutions | — | — | — | 276.7 | 1.5 | 278.2 | ||||||||||||||||||||||||||||||||
| Other payment solutions | — | 58.9 | — | — | — | 58.9 | ||||||||||||||||||||||||||||||||
| Other web-based solutions | — | — | 19.1 | — | — | 19.1 | ||||||||||||||||||||||||||||||||
Other | — | — | — | — | 54.3 | 54.3 | ||||||||||||||||||||||||||||||||
| Total revenue | $ | 364.2 | $ | 299.2 | $ | 211.8 | $ | 1,261.3 | $ | 55.8 | $ | 2,192.3 | ||||||||||||||||||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 13, 2026 | Showing above |
| 2024 | Feb 21, 2025 | |
| 2023 | Feb 22, 2024 | |
| 2022 | Feb 24, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Feb 21, 2020 | |
| 2018 | Feb 26, 2019 | |
| 2017 | Feb 23, 2018 | |
| 2016 | Feb 24, 2017 | |
| 2015 | Feb 19, 2016 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.