Fidelity National Information's Quarterly Revenue, 2025 Top-Line Outlook Miss Views

MT Newswires
12 Feb
FIS.jpg -Shutterstock
Shares of Fidelity National Information Services (FIS) plunged intraday Tuesday after the financial technology company's top-line performance for the fourth quarter and its top-line outlook for the full year disappointed Wall Street's expectations.

Revenue rose to $2.6 billion for the three months ended Dec. 31 from $2.51 billion a year ago, but was below the $2.63 billion average analyst estimate in a FactSet survey. Adjusted earnings per share advanced to $1.40 from $0.94 and beat the Street's $1.36 view.

Shares of Fidelity National Information tumbled 18% in Tuesday trade.

In the company's banking solutions segment, revenue ticked up 1% to $1.72 billion, shy of analysts' $1.77 billion forecast. Capital market solutions revenue jumped 9% to $821 million, 2.2% above market views.

For 2025, Fidelity National Information is expecting revenue to grow 4.6% to 5.2% year over year to between $10.44 billion and $10.5 billion. The outlook marks an acceleration from a 3% increase achieved for 2024, but is below the $10.6 billion FactSet consensus. Adjusted EPS is seen advancing 9% to 11%, reaching between $5.70 and $5.80, compared with a 56% improvement achieved for 2024. The market is modeling for $5.72.

"Our 2025 outlook reflects acceleration in the business as we look to further build on the foundations laid in 2024 and drive double-digit total returns," Chief Executive Stephanie Ferris said in a statement.

Management guided first-quarter revenue of $2.49 billion to $2.51 billion, underwhelming the Street's $2.57 billion projection. Non-GAAP EPS is expected to range between $1.17 and $1.22, below the $1.29 consensus.

Separately on Tuesday, Fidelity National Information said it partnered with Affirm (AFRM) to bring the buy-now, pay-later service provider's solutions to Fidelity's debit processing bank clients.

"For the first time, we're bringing Affirm's proprietary underwriting technology and full suite of pay-over-time solutions to third party issuers in partnership with FIS," Affirm Chief Revenue Officer Wayne Pommen said in a statement.















Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10