Global Payments Q3 Profit Down, Adj. EPS Meets View; Backs FY22 Outlook Above Market

Payments technology company Global Payments Inc. (GPN) reported Monday that its third-quarter net income attributable to the company declined 2.1 percent to $290.45 million from last year’s $296.74 million.

Earnings per share, however, grew 4 percent to $1.05 from $1.01 a year ago, with lower share count.

Adjusted earnings per share were $2.48, compared to $2.18 in the third quarter of 2021.

On average, 25 analysts polled by Thomson Reuters expected earnings of $2.48 per share for the quarter. Analysts’ estimates typically exclude special items.

Revenues grew 3.8 percent to $2.29 billion from last year’s $2.20 billion.

Adjusted net revenues increased 3 percent to $2.06 billion. Excluding the impact of exiting Russia and the Netspend consumer assets, adjusted net revenue increased 9 percent on a constant currency basis.

Analysts estimated revenues of $2.03 billion for the quarter.

Looking ahead for fiscal 2022, the company continues to expect constant currency adjusted net revenue growth of 10 percent to 11 percent over 2021, excluding dispositions.

Further, adjusted earnings per share on a constant currency basis are still expected to be in a range of $9.53 to $9.75, reflecting growth of 17 percent to 20 percent over 2021. Analysts expect earnings of $9.39 per share for the year.

The company also projects adjusted operating margin expansion of up to 170 basis points, an increase from prior outlook of up to 150 basis points.

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