NCR Corporation reported financial results today for the three months ended March 31, 2013. Reported revenue of $1.41 billion increased 13% from the first quarter of 2012. First-quarter revenue includes an unfavorable impact of 2% as a result of foreign currency translation. 

NCR reported first quarter income from continuing operations (attributable to NCR) of $62 million, or $0.37 per diluted share, compared to loss from continuing operations (attributable to NCR) of $10 million, or $(0.06) per diluted share, in the first quarter of 2012.  Excluding pension and special items, non-GAAP income from continuing operations(2) in the first quarter of 2013 was $129 million, or$0.54 per diluted share, compared to $101 million, or $0.47 per diluted share, in the prior-year period.  An identification of those special items, and the impact of pension and those special items on income from continuing operations and diluted earnings per share, are set forth in the supplemental non-GAAP reconciliation tables and accompanying footnotes that are included following the "Note to Investors" at the end of this earnings release.

Effective in the first quarter of 2013, NCR changed the accounting methodology for recognizing expense for its company-sponsored U.S. and international pension benefit plans.  From 2013 forward, NCR will recognize changes in fair values of plan assets and net actuarial gains and losses in the year incurred, generally in the fourth quarter of each year, which were previously deferred and amortized over time into pension expense.  While NCR's previous policy of recognizing pension expense was considered acceptable under applicable accounting guidance, NCR believes that these new policies are preferable as they accelerate the recognition in its operating results of changes in the fair value of plan assets and actuarial gains and losses.  The results of prior periods included in this release have been adjusted to reflect the change.

“The first quarter represented a solid start to 2013 and we are raising our profitability outlook for the full year,” said Bill Nuti, Chairman and CEO of NCR.  “We are executing well across our lines of business, led by strong momentum in our Retail Solutions and Hospitality segments.  During the quarter, we closed the acquisition of Retalix, strengthening our retail software and services offerings. We continue to advance our leading global point-of-sale solutions and new innovations, such as our NCR Silver™ tablet and mobile solution for smaller retailers, and integrate mobile technologies across our platforms. Additionally, software revenues continue to grow, evidenced by a 35% increase year-over-year.  These factors, combined with our global leadership in financial self-service and a focus on good business execution and continued innovation, strengthen our ability to drive results and ensure that our solutions are at the forefront of our customers' businesses.”

First Quarter 2013 Operating Segment Results