NYSE$FIS

Fidelity National Information Services Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

FIS presented its strategic vision and financial outlook at the Investor Day 2024, outlining strategies for profitable growth, disciplined capital allocation, and shareholder value creation.

FIS held its Investor Day 2024, detailing its strategic vision focused on unlocking financial technology to the world. The company highlighted its focus on high-growth areas, technology modernization, and disciplined capital allocation to drive shareholder value. Key messages included FIS's unique positioning in fast-growing markets and its commitment to delivering strong results through focused strategy and execution.

  • FIS is uniquely positioned to lead in fast-growing markets due to the blurring of boundaries in financial services.
  • The company's focused strategy and execution are expected to deliver strong results to shareholders.
  • FIS is concentrating on high-growth, high-margin solutions and modernizing technology to accelerate innovation.
  • Disciplined capital allocation is aimed at long-term value creation, with a commitment to compelling shareholder returns.

Headline financials

Total Revenue

$2.47B

Previous: $3.51B-29.7%
EPS

$1.25

Previous: $1.29-3.1%
Adjusted EBITDA Margin

39.3%

Previous: 38.7%+1.6%
Capital Expenditures

-$27M

Previous: -$48M+43.8%
Free Cash Flow

$697M

Previous: $92M+657.6%
Net Income

$724M

Previous: $140M+417.1%
Operating Income

$361M

Previous: $337M+7.1%
Gross Profit

$915M

Previous: $1.34B-31.8%
Cash & Equivalents

$3.33B

Previous: $1.87B+77.9%
Total Assets

$35.9B

Previous: $61.1B-41.3%
Stock-Based Comp

$31M

Previous: $13M+138.5%

Revenue & EPS history

FIS · Revenue · Quarterly

$2.47B

Q1 2024-29.7%vs Q1 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

FIS · $2.49B total across 3 segments · Q3 2023

  • Banking Solutions
    $1.76B+4.5%
  • Capital Market Solutions
    $677M+0.9%
  • Corporate and Other
    $56M-23.3%

Forward guidance

FIS provided its financial outlook for 2024, including revenue targets, adjusted EBITDA margin, and adjusted EPS growth. The company is focused on accelerating growth, expanding margins, and increasing return of capital.

Tailwinds

  • Revenue between $10.1 billion and $10.15 billion.
  • Adjusted revenue growth of 4.0% - 4.5%.
  • Banking Solutions revenue growth of 3.0% - 3.5%.
  • Capital Markets Solutions revenue growth of 6.5% - 7.0%.
  • Adjusted EPS between $4.88 and $4.98, with normalized EPS growth of +10% - +12%.

Headwinds

  • Includes High Single Digit negative impact from dis-synergies.
  • Refinancing at higher interest rates.
  • WAIR (Weighted Average Interest Rate) ~3.9% in 2026 ~2% headwind to Adj. EPS growth
  • Effective Tax Rate Rate optimization underway Expect gradual reduction over time
  • Worldpay EMI growing 7.5% - 9.5% annually Adj. EBITDA Growth / Debt Paydown / Lower Tax Rate

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-0.1%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+0.6%

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%
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 2009+2.6%
Q3 2008+2.6%
Q2 2009-0.2%
Q2 2008-0.2%
Q4 2008-0.2%

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