NYSE$FOUR
Shift4 Payments Inc · Q3 2024 earnings
Q3 2024 earnings · · Investor relations
Briefing
Shift4 demonstrated robust growth and strategic execution, achieving significant milestones in volume, revenue, and profitability.
Shift4 reported a strong Q3 2024, marked by record end-to-end payment volume of $43.5 billion, gross revenue less network fees of $365.1 million, and adjusted EBITDA of $187.4 million. The company expanded its adjusted EBITDA margin to 54% excluding recent M&A drag, secured major hospitality wins, and continued its impressive growth with SkyTab installations.
- Shift4 achieved record end-to-end payment volume of $43.5 billion, a 56% increase year-over-year.
- Gross revenue less network fees reached $365.1 million, up 50% compared to Q3 2023.
- Adjusted EBITDA increased by 51% to $187.4 million, with an adjusted EBITDA margin of 51%.
- The company closed the acquisition of Givex, adding over 130,000 new gift and loyalty customers and a $300 billion payment volume cross-sell opportunity.
Headline financials
Revenue & EPS history
Shift4 · Revenue · Quarterly
$909M
Forward guidance
Shift4 tightened its volume range and raised the mid-point of Q4 GRLNF and EBITDA guidance ranges.
Tailwinds
- The company has a deep moat around its hospitality business, with over 550 software integrations.
- Shift4's sports, entertainment, and theme park software is the category leader.
- SkyTab is one of the world’s best cloud-based restaurant POS platforms, with expanding distribution coverage and extensive cross-sell opportunities.
- Shift4's global ecommerce business is growing rapidly.
- The company has over 225,000 merchants using some form of its technology, representing nearly $350 billion in volume to cross-sell onto its payment platform.
Headwinds
- Shift4 has tens of thousands of legacy POS systems that it will eventually move to Skytab.
- The company has many gateway connections to sunset and other inefficiencies to address.
- Shift4 is still in the early days of its transformation.
- There are lots of ‘parts’ still to remove, internal systems to replace with Project Phoenix, operations to improve with Mission Control and automation to achieve with AI.
- The company faces an arguably more challenging operating environment due to higher interest rates, higher inflation, and overall consumer fatigue from spending significantly more eating out and staying at hotels.
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 Q3 2024
+3.7%
Avg return
Earnings day
+4.6%
Avg return
5 days after
+5.2%
Avg return
30 days after
61%
14 / 23 earnings
Positive
+21.7%
Q4 2022
Best reaction
-17.5%
Q4 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +9.1% | -4.9% | -11.3% | |
| Q4 2025 | -15.5% | -13.0% | -22.5% | |
| Q3 2025 | -1.0% | +6.3% | +2.6% | |
| Q1 2025 | +12.8% | +3.4% | +16.2% | |
| Q4 2024 | -17.5% | -22.8% | -29.5% | |
| Q3 2024 | -3.4% | -7.5% | -4.2% | |
| Q2 2024 | +12.4% | +19.7% | +19.2% | |
| Q1 2024 | +2.9% | +0.6% | +15.3% | |
| Q4 2023 | +18.0% | +14.8% | -9.2% | |
| Q3 2023 | +16.5% | +23.5% | +41.4% | |
| Q2 2023 | +1.1% | +1.7% | -9.4% | |
| Q1 2023 | -10.8% | -6.4% | -0.3% | |
| Q4 2022 | +21.7% | +26.7% | +27.8% | |
| Q3 2022 | -0.4% | +17.8% | +13.4% | |
| Q2 2022 | +10.7% | +12.6% | +5.6% | |
| Q1 2022 | -1.0% | +0.6% | -9.9% | |
| Q4 2021 | -7.2% | -16.5% | +17.6% | |
| Q3 2021 | +14.4% | +20.8% | -6.3% | |
| Q2 2021 | +4.9% | -1.0% | -0.3% | |
| Q1 2021 | -8.3% | -12.2% | -0.2% | |
| Q4 2020 | +12.8% | +15.1% | +22.5% | |
| Q3 2020 | +0.9% | +11.1% | +15.8% | |
| Q2 2020 | +12.5% | +15.1% | +25.7% | |
| Q1 2020 | — | — | — | |
| Q4 2019 | — | — | — | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q1 2019 | — | — | — |
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