Fiserv Earned $1.02 per Share

Fiserv (FISV) earned $1.02 per share for Q3.

“We delivered strong financial and sales results in the third quarter while focusing on providing differentiated value for clients across the new Fiserv,” said Jeffery Yabuki, Chairman and Chief Executive Officer of Fiserv. “Our primary market focus is to enhance the manner in which consumers and business engage in banking, commerce and financial services to produce meaningful value for all of our stakeholders.”

Adjusted revenue increased 5% to $3.62 billion in the third quarter and 4% to $10.73 billion in the first nine months of 2019 compared to the prior year periods.

Internal revenue growth, on a constant currency basis, was 6% in the third quarter, with 7% growth in the First Data segment, 6% growth in the Payments segment and 4% growth in the Financial segment.

Internal revenue growth, on a constant currency basis, was 6% in the first nine months of 2019, with 7% growth in the First Data segment, 5% growth in the Payments segment and 4% growth in the Financial segment.

Adjusted earnings per share increased 17% to $1.02 in the third quarter and 16% to $2.87 in the first nine months of 2019 compared to the prior year periods.

Adjusted operating margin increased 130 basis points to 29.8% in the third quarter and increased 100 basis points to 29.1% in the first nine months of 2019 compared to the prior year periods.

Free cash flow increased 13% to $2.3 billion in the first nine months of 2019 compared to $2 billion in the prior year period.

Actual sales results were up 15% in the quarter and up 8% in the first nine months of 2019 compared to the prior year periods.

The company reinstated its share repurchase program late in the third quarter and repurchased 341 thousand shares in the quarter, and 2 million shares in the first nine months of 2019, for $35 million and $156 million, respectively.
Outlook for 2019

Fiserv now expects internal revenue growth of 6% for the full year and expects adjusted earnings per share in a range of $3.98 to $4.02, or growth of 16% to 17% for the period.

“We believe our financial performance along with early synergy benefits should translate to strong full year results and set a foundation for an even better 2020,” said Yabuki.

Posted by on November 6th, 2019 at 4:39 pm


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