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Dec 31, 2023

Global Payments Q4 2023 Earnings Report

Reported fourth quarter and full year 2023 results, exceeding initial expectations and demonstrating consistent business performance amid uncertainties.

Key Takeaways

Global Payments reported strong Q4 2023 results, with GAAP revenue of $2.43 billion and adjusted net revenue of $2.19 billion, both increasing by 8%. GAAP EPS was $1.38, and adjusted EPS was $2.65, a 10% increase. The company also anticipates launching a joint venture with Commerzbank in the first half of 2024 and renewed agreements with Capital One Financial and Navy Federal Credit Union.

GAAP revenues were $2.43 billion, compared to $2.25 billion in 2022; diluted earnings per share were $1.38, compared to $0.94 in the prior year; and operating margin was 20.5%, compared to 18.1% in the prior year.

Adjusted net revenues increased 8% to $2.19 billion, compared to $2.02 billion in 2022.

Adjusted earnings per share increased 10% to $2.65, compared to $2.42 in 2022.

Adjusted operating margin expanded 30 basis points to 44.8%.

Total Revenue
$2.43B
Previous year: $2.02B
+20.4%
EPS
$2.65
Previous year: $2.42
+9.5%
Adjusted Operating Margin
44.8%
Previous year: 44.4%
+0.9%
Gross Profit
$1.51B
Previous year: $1.33B
+14.1%
Cash and Equivalents
$2.09B
Previous year: $2B
+4.6%
Free Cash Flow
$500M
Total Assets
$50.6B
Previous year: $44.8B
+12.9%

Global Payments

Global Payments

Global Payments Revenue by Segment

Forward Guidance

The company expects adjusted net revenue to be in a range of $9.17 billion to $9.30 billion, reflecting growth of 6% to 7% and adjusted earnings per share to be in a range of $11.54 to $11.70, reflecting growth of 11% to 12% over 2023. Annual adjusted operating margin for 2024 is expected to expand by up to 50 basis points.

Revenue & Expenses

Visualization of income flow from segment revenue to net income