Thu, Oct 31, 9:24 PM (62 days ago)
Global Payments Inc. (GPN) reported an increase in consolidated revenues for Q3 2024, reaching $2,601.6 million, up 5.1% from $2,475.7 million in Q3 2023, driven by higher transaction volumes. For the nine months ended September 30, 2024, revenues rose to $7,590.5 million, reflecting growth in both Merchant Solutions and Issuer Solutions segments, despite divestitures impacting year-over-year comparisons. Operating income decreased to $475.6 million for Q3 2024, down 14.8% from the previous year, largely due to increased transformation costs and a technology asset charge. The company reported net income attributable to Global Payments of $315.1 million for Q3 2024, down from $361.8 million in Q3 2023, leading to diluted earnings per share of $1.24, compared to $1.39. Cash flow from operations was strong at $2,879.3 million for the nine months, with significant investments in acquisitions and capital expenditures totaling $846.6 million. Despite macroeconomic uncertainties, including inflation and rising interest rates, GPN continues to streamline operations and enhance its technology platform. The company anticipates ongoing transformation efforts to yield over $500 million in annual operating income benefits by 2027, although these initiatives may incur additional costs and potential asset impairments.