NYSE$CPAY

Corpay Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

FLEETCOR's Q4 2020 financial results were reported, showing a decrease in revenue and net income compared to the previous year, but finishing better than expected with improving trends.

FLEETCOR Technologies reported a decrease in revenues by 12% to $617.3 million and a decrease in net income by 11% to $209.9 million for Q4 2020, compared to Q4 2019. The company's adjusted net income also decreased by 10% to $258.4 million. Despite the declines, FLEETCOR's Q4 finished better than expected, with improving trends across the board.

  • Revenues decreased by 12% to $617.3 million compared to the same period last year.
  • Net income decreased by 11% to $209.9 million compared to the same period last year.
  • Adjusted net income decreased by 10% to $258.4 million compared to the same period last year.
  • The company is optimistic about 2021, anticipating high-teens revenue and profit growth from Q2 onwards.

Headline financials

Total Revenue

$617M

Previous: $699M-11.7%
EPS (adj)

$3.01

Previous: $3.17-5.0%
Corporate Payments Spend Volume

$17.6B

Previous: $17.9B-1.6%
Corporate Payments Revenue per Spend Dollar

0.7%

Previous: 0.0%+8233.3%
Vehicle Payments Transactions

110.4M

Previous: 126.4M-12.7%
Vehicle Payments Revenue per Transaction

$2.36

Previous: $2.37-0.4%
Lodging Room Nights

5.8M

Previous: 6.4M-9.4%
Lodging Revenue per Room Night

$9.78

Previous: $10.06-2.8%
Other Revenue per Transaction

$6.33

Previous: $3.71+70.6%
Capital Expenditures

$23.4M

Previous: $26.5M-11.6%
Free Cash Flow

$234M

Previous: $344M-31.9%
Net Income

$210M

Previous: $236M-10.9%
Operating Income

$294M

Previous: $321M-8.4%
Gross Profit

$496M

Previous: $553M-10.3%
Cash & Equivalents

$935M

Previous: $1.27B-26.5%
Total Assets

$11.2B

Previous: $12.2B-8.3%
Stock-Based Comp

$8.32M

Previous: $14.8M-43.9%

Revenue & EPS history

Corpay · Revenue · Quarterly

$617M

Q4 2020-11.7%vs Q4 2019
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Corpay · $235M total across 3 segments · Q4 2020

  • Corporate Payments
    $115M-18.0%
  • Other
    $63M+16.5%
  • Lodging Payments
    $57M-11.2%

Forward guidance

FLEETCOR anticipates organic revenue growth between 9% and 13% for fiscal year 2021. The company expects GAAP net income to be between $810 million and $890 million, with a GAAP net income per diluted share between $9.40 and $10.20. Adjusted net income is projected to be between $1,020 million and $1,110 million, with an adjusted net income per diluted share between $11.90 and $12.70.

Tailwinds

  • Organic revenue growth expected to be in the 9% to 13% range.
  • Adjusted net income expected to increase by a corresponding amount, excluding acquisitions.
  • Activity is expected to improve throughout the year.
  • Expenses will be managed in line with revenue growth.
  • Expects GAAP net income per diluted share to be between $9.40 and $10.20.

Headwinds

  • Tremendous uncertainty remains on the path and pace of recovery for 2021.
  • The soft, COVID-driven operating environment will continue for most of the first half of 2021.
  • Expenses will be higher than 2020 levels.
  • Market spreads significantly unfavorable compared to the 2020 average.
  • Weighted fuel prices equal to $2.43 per gallon average in the U.S.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+1.3%

Avg return

Earnings day

+1.7%

Avg return

5 days after

+1.9%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+12.8%

Q4 2016

Best reaction

-13.3%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.2%+6.2%+13.9%
Q4 2025+11.6%+18.7%+4.7%
Q3 2025+6.2%+11.1%+18.7%
Q1 2025-0.4%+7.2%+3.4%
Q4 2024+0.2%-5.0%-13.6%
Q3 2024+4.9%+7.3%+4.8%
Q2 2024+5.7%+2.7%+11.8%
Q1 2024-7.1%-5.6%-15.0%
Q4 2023-7.6%-5.6%+2.5%
Q3 2023-2.0%-1.8%+9.7%
Q2 2023+5.4%+7.6%+10.2%
Q1 2023+8.0%+11.0%+13.4%
Q4 2022-4.4%-1.4%-8.2%
Q3 2022-6.7%-3.4%+3.7%
Q2 2022-0.0%+2.0%-6.2%
Q1 2022-11.7%-12.0%-4.1%
Q4 2021+7.1%+4.8%-1.9%
Q3 2021-0.2%+2.1%-14.1%
Q2 2021+3.8%+4.4%+4.2%
Q1 2021-2.2%-3.3%-5.4%
Q4 2020+1.2%+1.3%+11.0%
Q3 2020-2.1%+17.6%+13.0%
Q2 2020-9.3%-11.5%-10.3%
Q1 2020-0.2%-5.0%+17.4%
Q4 2019-6.2%-3.4%-23.8%
Q3 2019+1.7%-0.3%+5.5%
Q2 2019+9.2%+10.9%+13.4%
Q1 2019+3.7%+2.7%-2.1%
Q4 2018+6.5%+6.1%+11.2%
Q3 2018+9.2%+7.7%+4.6%
Q2 2018-1.0%-0.3%-2.1%
Q1 2018-5.0%-3.4%-4.7%
Q4 2017-6.6%-4.5%+3.0%
Q3 2017+10.3%+8.8%+9.4%
Q2 2017-5.8%-7.6%-6.7%
Q1 2017-2.2%-5.5%+2.2%
Q4 2016+12.8%+13.1%+7.7%
Q3 2016-13.3%-14.4%-17.0%
Q2 2016+5.6%+6.0%+9.0%
Q1 2016-2.1%
Q4 2015+1.5%
Q3 2015+4.5%
Q2 2015+3.1%
Q1 2015-2.5%
Q4 2014+1.8%
Q3 2014+7.6%
Q2 2014-4.1%
Q1 2014+5.5%
Q4 2013+6.9%
Q3 2013+3.7%
Q2 2013+9.7%
Q1 2013+7.3%
Q4 2012+10.2%
Q3 2012+3.6%
Q4 2011+10.8%
Q2 2012+9.6%
Q1 2011-2.9%
Q1 2012+0.5%
Q4 2009+1.4%
Q1 2010+1.4%
Q3 2011-2.0%
Q3 2010-2.0%
Q2 2010-2.5%
Q2 2011-2.5%
Q4 2010-2.5%

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