Corpay Q4 2024 Earnings Report
Key Takeaways
Corpay reported a 10% increase in revenues to $1,034.4 million and an 18% increase in adjusted net income to $383.2 million for Q4 2024. The company's adjusted EPS grew by 21% to $5.36. Strong core business performance and accelerating revenue growth across all segments contributed to the record earnings.
Revenues increased by 10% to $1,034.4 million compared to Q4 2023.
Organic revenue growth reached 12% in Q4 2024.
Adjusted net income attributable to Corpay increased by 18% to $383.2 million.
Adjusted net income per diluted share attributable to Corpay increased by 21% to $5.36.
Corpay
Corpay
Corpay Revenue by Segment
Corpay Revenue by Geographic Location
Forward Guidance
Corpay anticipates sales growth of approximately 20%, with revenue and adjusted earnings per diluted share growth of 10% to 12% for fiscal year 2025. The earnings growth outlook is adversely impacted by worsening foreign exchange rates, fuel price, and interest rate outlook since the November earnings call.
Positive Outlook
- Projecting organic revenue growth in the high teens for the Corporate Payments segment.
- Expect to generate approximately $1.5 billion in free cash flow in 2025.
- Total revenues are expected to be between $4,350 million and $4,450 million.
- Adjusted net income per diluted share is projected to be between $20.75 and $21.25.
- Net income is expected to be between $1,174 million and $1,224 million.
Challenges Ahead
- Earnings growth outlook is adversely impacted due to a worsening foreign exchange rates.
- Earnings growth outlook is adversely impacted due to a worsening fuel price.
- Earnings growth outlook is adversely impacted due to a worsening interest rate outlook.
- Interest expense is expected to be between $350 million and $380 million.
- An effective tax rate of approximately 25.5% to 26.5%.