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Dec 31, 2024
Corpay Q4 2024 Earnings Report
Corpay reported its financial results for the fourth quarter and full year ended December 31, 2024, with all-time record revenues and adjusted net income.
Key Takeaways
Corpay concluded 2024 with strong fourth-quarter performance, achieving 12% organic revenue growth and 21% adjusted EPS growth, both exceeding mid-term targets. The Corporate Payments segment saw significant growth, and the company made strategic acquisitions while maintaining a healthy leverage ratio.
Fourth quarter revenues increased 10% to $1,034.4 million, compared to $937.3 million in the prior year.
Adjusted net income per diluted share increased 21% to $5.36 in Q4 2024, up from $4.44 in Q4 2023.
Full year 2024 revenues increased 6% to $3,974.6 million, and adjusted EBITDA increased 7% to $2,129.0 million.
The company deployed over $2.5 billion in capital, including two Corporate Payments acquisitions and $1.3 billion in stock repurchases, while maintaining a leverage ratio of 2.75x.
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's 2025 outlook projects continued sales growth and strong earnings, driven by the Corporate Payments segment, despite anticipated macroeconomic headwinds.
Positive Outlook
- Expected sales growth of approximately 20% for fiscal year 2025.
- Projected revenue growth of 10% to 12% for fiscal year 2025.
- Corporate Payments segment expected to grow organic revenue in the high teens.
- Anticipated generation of approximately $1.5 billion in free cash flow in 2025.
- First quarter organic revenue growth expected to be 8% to 10%.
Challenges Ahead
- Earnings growth outlook for 2025 is adversely impacted by worsening foreign exchange rates.
- Earnings growth outlook for 2025 is adversely impacted by fuel price outlook.
- Earnings growth outlook for 2025 is adversely impacted by interest rate outlook.
- First quarter earnings growth outlook is adversely impacted approximately 7% compared to the prior year due to unfavorable movements in foreign exchange rates.
- First quarter earnings growth outlook is adversely impacted by fuel prices and tax rate.
Revenue & Expenses
Visualization of income flow from segment revenue to net income