•
Sep 30, 2023

Corpay Q3 2023 Earnings Report

FLEETCOR reported a good quarter with revenue and adjusted net income per share growth.

Key Takeaways

FLEETCOR Technologies Inc. reported a 9% increase in revenues to $970.9 million and a 9% increase in net income to $271.5 million for Q3 2023. Organic revenue growth was 10%, driven by a 20% increase in corporate payments. The company completed the acquisition of PayByPhone.

Revenues increased 9% to $970.9 million in the third quarter of 2023, compared to $893.0 million in the third quarter of 2022.

Net income increased 9% to $271.5 million in the third quarter of 2023, compared to $248.9 million in the third quarter of 2022.

Adjusted net income per diluted share increased 6% to $4.49 in the third quarter of 2023, compared to $4.24 per diluted share in the third quarter of 2022.

Organic revenue growth was 10% for the quarter, driven by 20% growth in corporate payments.

Total Revenue
$971M
Previous year: $893M
+8.7%
EPS
$4.49
Previous year: $4.24
+5.9%
Corporate Payments Spend
$39.4B
Previous year: $30.6B
+28.9%
Corp. Payment Rev / Spend $
0.66%
Previous year: 0.64%
+3.1%
Lodging Room Nights
9.2M
Previous year: 9.9M
-7.1%
Gross Profit
$763M
Previous year: $650M
+17.2%
Cash and Equivalents
$2.32B
Previous year: $1.32B
+75.7%
Free Cash Flow
$39M
Previous year: $356M
-89.1%
Total Assets
$15.3B
Previous year: $14.5B
+5.4%

Corpay

Corpay

Corpay Revenue by Segment

Corpay Revenue by Geographic Location

Forward Guidance

FLEETCOR expects fourth quarter revenue and adjusted net income per share to grow approximately 10% and 11%, respectively.

Positive Outlook

  • Total revenues between $3,774 million and $3,804 million.
  • Net income between $977 million and $1,001 million.
  • Net income per diluted share between $13.14 and $13.44.
  • Adjusted net income between $1,252 million and $1,276 million.
  • Adjusted net income per diluted share between $16.82 and $17.12.

Challenges Ahead

  • Weighted average U.S. fuel prices of $3.96 per gallon.
  • Market fuel spreads unfavorable to the fourth quarter of 2022.
  • Foreign exchange rates equal to the monthly average for October 2023.
  • Fourth quarter revenues of $953 million to $983 million
  • Adjusted net income per diluted share of $4.34 to $4.64.

Revenue & Expenses

Visualization of income flow from segment revenue to net income