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Jun 30
Corpay Q2 2025 Earnings Report
Corpay reported strong second quarter 2025 financial results, with revenue and adjusted EPS both increasing by 13%. The company also announced the acquisition of Alpha Group and new stablecoin partnerships.
Key Takeaways
Corpay exceeded expectations in the second quarter of 2025, achieving 13% growth in both revenue and adjusted EPS. Organic revenue growth was 11%, driven by strong performance in the Corporate Payments segment, which grew by 18%. The company's balance sheet is robust, positioning it well for the upcoming Alpha Group acquisition and new ventures into stablecoin and digital currency markets.
Revenues increased by 13% to $1,102.0 million in Q2 2025, compared to $975.7 million in Q2 2024.
Net income per diluted share increased by 13% to $3.98 in Q2 2025, up from $3.52 in Q2 2024.
Adjusted net income per diluted share grew by 13% to $5.13 in Q2 2025, compared to $4.55 in Q2 2024.
The Corporate Payments segment showed significant growth, with revenues increasing by 36% to $391.9 million and organic growth of 18%.
Corpay
Corpay
Corpay Revenue by Segment
Corpay Revenue by Geographic Location
Revenue by Segment
Vehicle Payments Revenue
CapyFin.comCorporate Payments Revenue
CapyFin.comLodging Payments Revenue
CapyFin.comOther Revenue
CapyFin.comRevenue by Geographic Location
US Revenue
CapyFin.comBrazil Revenue
CapyFin.comUK Revenue
CapyFin.comOther Revenue
CapyFin.com Forward Guidance
Corpay has raised its fiscal year 2025 outlook due to the strong second-quarter performance and favorable foreign currency rates, anticipating continued benefits from strong sales, cost discipline, and improved retention.
Positive Outlook
- Total revenues are projected to be between $4,405 million and $4,485 million.
- Net income is expected to range from $1,171 million to $1,211 million.
- Net income per diluted share is forecasted between $16.41 and $16.81.
- Adjusted net income is anticipated to be between $1,488 million and $1,528 million.
- Adjusted net income per diluted share is projected to be between $20.86 and $21.26.
Challenges Ahead
- Weighted average U.S. fuel prices are assumed to be $3.16 per gallon, which could impact fuel-related revenues.
- Fuel price spreads are expected to be lower than the 2024 average, potentially affecting profitability.
- Interest expense is projected to be between $360 million and $390 million, indicating significant financing costs.
- An effective tax rate of approximately 25.5% to 26.5% will impact net income.
- Guidance does not include any impact from acquisitions or divestitures not yet closed, introducing potential variability.