2023-04-27 11:40:00 ET
Fidelity National Information Services ( NYSE: FIS ) stock climbed as much as 8% on Thursday after the company posted better-than-expected Q1 results and raised its 2023 earnings guidance.
The firm expects 2023 adj. EPS of $5.76-$6.06 vs. $5.86 consensus and prior outlook of $5.70-$6.00. Revenue is projected to be $14.285B-$14.535B vs. $14.39B consensus prior forecast of $14.2B-$14.5B.
Q2 adj. EPS is estimated to be $1.45-$1.50 vs. $1.48 consensus. Revenue is expected to be $3.675B-$3.725B vs. $3.64B consensus.
Q1 adj. EPS was $1.29 vs. $1.47 in Q1 2022. Revenue rose 0.6% Y/Y to $3.51B, driven by strong recurring revenue growth and professional services in Banking, increased Merchant volumes and continued strength in Capital Markets.
Banking Solutions revenue increased 2% Y/Y to $1.7B, Merchant Solutions revenue fell 1% to $1.1B, and Capital Market Solutions revenue grew 6% to $663M. Corporate and Other revenue dropped 39% to $57M due to divestiture of non-strategic businesses.
Fidelity ( FIS ) posted "broad-based revenue and earnings outperformance driven by all three business segments and raised annual guidance," said Evercore ISI (Outperform rating).
Shares +4.2% at the time of publishing.
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Fidelity National stock gains on strong Q1 results, raised earnings outlook