NYSE$FIS

Fidelity National Information Services Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

FIS reported a strong start to the year with revenue and earnings growth, driven by strategic investments and robust cash flow.

FIS reported a strong first quarter with an 8% increase in GAAP revenue and a 9% increase in organic revenue, reaching $3.5 billion. Adjusted EPS was $1.47, and the company is set to resume share repurchases in the second quarter of 2022 due to faster-than-anticipated debt reduction.

  • Revenue increased by 8% on a GAAP basis and 9% on an organic basis, reaching $3.5 billion.
  • Diluted EPS (GAAP) was $0.20, and adjusted EPS was $1.47.
  • Adjusted EBITDA margin remained flat at 40.6%, offsetting rising wage inflation and difficult comparisons from the prior year.
  • Share repurchase is set to resume during the second quarter of 2022, enabled by reaching the target leverage ratio.

Headline financials

Total Revenue

$3.49B

Previous: $3.22B+8.3%
EPS (adj)

$1.47

Previous: $1.30+13.1%
Adjusted EBITDA Margin

40.6%

Previous: 40.6%+0.0%
Capital Expenditures

-$108M

Previous: -$69M-56.5%
Free Cash Flow

$12M

Previous: -$442M+102.7%
Net Income

$120M

Previous: -$373M+132.2%
Operating Income

$157M

Previous: $99M+58.6%
Gross Profit

$1.25B

Previous: $1.11B+13.1%
Cash & Equivalents

$1.55B

Previous: $1.04B+48.9%
Total Assets

$81.2B

Previous: $82.3B-1.4%
Stock-Based Comp

$57M

Previous: $157M-63.7%

Revenue & EPS history

FIS · Revenue · Quarterly

$3.49B

Q1 2022+8.3%vs Q1 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

FIS · $2.38B total across 3 segments · Q1 2022

  • Banking Solutions
    $1.65B+6.8%
  • Capital Market Solutions
    $658M+5.3%
  • Corporate and Other
    $77M-16.3%

Forward guidance

FIS provided guidance for Q2 2022 and full-year 2022, including revenue and adjusted EPS targets.

Tailwinds

  • Q2 2022 revenue is expected to be between $3.65 billion and $3.685 billion.
  • Full-year 2022 revenue is projected to be between $14.78 billion and $14.925 billion.
  • Q2 2022 diluted EPS is expected to be between $0.40 and $0.50.
  • Full-year 2022 diluted EPS is projected to be between $2.10 and $2.50.
  • Q2 2022 adjusted EPS is expected to be between $1.72 and $1.75.

Headwinds

  • Full-year 2022 adjusted EPS is projected to be between $7.25 and $7.37.
  • COVID-19's impact on financial results lessened due to the opening of markets, offset in part by the impact of COVID-19 variants.
  • Wage inflation.
  • Difficult comparisons created by stimulus-related revenue in the prior-year period, including from the Paycheck Protection Program (PPP).
  • Ramping large client wins.

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 Q1 2022

Historical avgQ1 2022

-0.1%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+0.2%

Avg return

30 days after

53%

38 / 72 earnings

Positive

+10.5%

Q1 2009

Best reaction

-24.3%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-8.0%-11.1%-13.2%
Q4 2025+2.0%+7.4%-0.1%
Q3 2025+2.5%+3.6%+5.6%
Q1 2025-3.0%+0.0%+2.8%
Q4 2024-11.5%-16.5%-15.6%
Q3 2024-2.8%-1.2%-4.3%
Q2 2024+5.0%+6.6%+13.3%
Q1 2024+5.1%+5.5%+7.4%
Q4 2023+4.2%+7.7%+14.3%
Q3 2023+2.5%+1.3%+13.9%
Q2 2023-6.2%-4.5%-7.2%
Q1 2023+7.1%-3.1%-0.7%
Q4 2022-10.1%-7.9%-31.6%
Q3 2022-24.3%-21.1%-6.8%
Q2 2022-6.5%-5.9%-13.6%
Q1 2022+7.0%+0.8%+8.9%
Q4 2021-9.9%-14.2%-14.6%
Q3 2021+2.5%+4.1%-6.9%
Q2 2021-7.4%-3.8%-8.8%
Q1 2021+2.2%-0.2%-1.0%
Q4 2020-0.1%+1.6%+8.7%
Q3 2020-6.0%-3.0%+11.9%
Q2 2020-1.6%-0.8%+1.3%
Q1 2020-2.8%-3.0%+8.5%
Q4 2019+6.4%+5.2%-12.2%
Q3 2019-0.1%-0.2%+4.5%
Q2 2019+6.8%+8.4%+10.4%
Q1 2019+3.3%+5.6%+7.2%
Q4 2018-2.1%-0.2%-1.2%
Q3 2018+5.0%+4.6%+6.8%
Q2 2018-2.0%-0.8%+2.5%
Q1 2018+3.7%+6.0%+7.6%
Q4 2017-0.4%-2.2%+2.1%
Q3 2017-3.1%-3.0%-1.8%
Q2 2017-1.6%-1.4%+0.5%
Q1 2017-1.7%-1.6%+2.8%
Q4 2016+0.6%+1.4%+3.3%
Q3 2016+1.5%+2.0%+2.4%
Q2 2016+3.7%+2.1%+2.2%
Q1 2016+5.8%
Q4 2015+2.4%
Q3 2015-10.8%
Q2 2015-2.3%
Q1 2015-1.6%
Q4 2014-0.9%
Q3 2014+3.9%
Q2 2014+0.8%
Q1 2014+1.7%
Q4 2013+5.1%
Q3 2013+3.9%
Q2 2013-2.5%
Q1 2013+3.5%
Q4 2012-1.0%
Q3 2012+3.6%
Q2 2012-3.4%
Q1 2012+2.5%
Q4 2011+0.4%
Q3 2011+0.6%
Q2 2011-0.2%
Q1 2011+1.3%
Q4 2010+3.7%
Q3 2010-0.2%
Q2 2010-3.9%
Q1 2009+10.5%
Q1 2010+1.1%
Q4 2009+1.2%
Q4 2007+1.2%
Q3 2008+2.6%
Q3 2009+2.6%
Q2 2009-0.2%
Q2 2008-0.2%
Q4 2008-0.2%

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