Core Insights - FEVO has partnered with Shift4 to become its preferred payment processor for music festivals and General Admission events, enhancing the checkout experience for clients [1][6] - Shift4 aims to simplify payment processes for various industries, processing billions of transactions annually [3][6] - FEVO's Social Checkout™ allows fans to shop together on ticketing websites, significantly impacting the live events market [8] Company Overview - FEVO supports over 800 leading brands in live entertainment, including concert venues and festivals across the U.S. and Canada [7] - Since its launch in 2016, FEVO has sold over 24 million tickets to 6.1 million consumers, establishing itself as a key player in the live events sector [8] - Shift4 is recognized as a leader in commerce-enabling technology, providing seamless payment solutions that enhance transaction experiences [3][6] Partnership Details - The collaboration between FEVO and Shift4 will facilitate seamless payment solutions for online transactions, mobile ordering, QR-code ticket sales, and on-site General Admission sales [6] - FEVO's COO emphasized the importance of having the right infrastructure partners like Shift4 to innovate the checkout process [4]

If you're bullish about the growth potential with the digitalization of finance, there are plenty of promising fintech stocks to buy. Even as macroeconomic uncertainty persists, a forward-looking market is looking beyond today's troubles, and focusing on what lies ahead for the sector. Across the globe, commercial transactions continue to pivot from being cash-based to becoming predominantly card or digital-based. That suggests a strong runway remains for companies in the payment processing and related indu ...

Although the innovation space seemingly can't do any wrong, investors may be best served with tech stocks to buy that also enjoy strong endorsements from Wall Street analysts. They don't make or break enterprises but their blessings carry much weight. For one thing, analysts do this for a living. Further, the big Wall Street firms don't just pick random folks (or NPCs to use the common lexicon) to represent their brands. No, they have to earn their way into the field. And that means you're not going to find ...

Financial Performance - Gross revenue for Q1 2024 reached $707.4 million, a 29.3% increase from $547.0 million in Q1 2023[19] - Net income attributable to Shift4 Payments, Inc. was $20.6 million, up 39.2% from $14.8 million in the same quarter last year[19] - Net income for Q1 2024 was $28.5 million, an increase of 40.5% compared to $20.4 million in Q1 2023[25] - Basic net income per share for Class A was $0.31, an increase from $0.26 in Q1 2023[19] - EBITDA for Q1 2024 was $98.7 million, compared to $64.9 million in Q1 2023, reflecting a significant increase[173] - Adjusted EBITDA rose to $121.7 million in Q1 2024, up from $89.3 million in Q1 2023[173] - For the three months ended March 31, 2024, gross revenue was $707.4 million, an increase of 29.3% compared to $547.0 million in the same period of 2023[181] - Adjusted EBITDA for the same period was $121.7 million, up 36.3% from $89.3 million in the prior year[182] Assets and Liabilities - Total assets increased to $3,407.8 million as of March 31, 2024, compared to $3,387.8 million at the end of 2023[18] - Total liabilities decreased slightly to $2,512.0 million from $2,519.4 million at the end of 2023[18] - Cash and cash equivalents rose to $522.9 million, up from $455.0 million at the end of 2023[18] - The company’s total equity as of March 31, 2024, was $895.8 million, a decrease from $868.4 million as of December 31, 2023[23] - Total principal amount of debt outstanding as of March 31, 2024, was $1,772.5 million, including $690.0 million of 2025 Convertible Notes[194] Cash Flow - Operating cash flow for Q1 2024 was $56.7 million, down from $79.4 million in Q1 2023[25] - Net cash provided by operating activities for Q1 2024 was $56.7 million, down from $79.4 million in Q1 2023[187] - Net cash used in investing activities increased to $39.7 million in Q1 2024, compared to $31.4 million in Q1 2023, primarily due to increased equipment purchases[192] Expenses - General and administrative expenses increased to $107.1 million from $85.7 million year-over-year, indicating higher operational costs[19] - Depreciation and amortization expenses increased to $66.1 million in Q1 2024 from $47.6 million in Q1 2023[25] - The amortization expense for capitalized financing fees was $2.1 million for the three months ended March 31, 2024, consistent with the same period in 2023[81] Acquisitions - The Company acquired Finaro for a total purchase consideration of $330.8 million, net of cash acquired, to enhance its international market presence[45] - The Company also acquired Appetize for $108.7 million, with goodwill of $75.0 million, aimed at strengthening its position in the sports and entertainment market[54] - The acquisition of Focus POS Systems was completed for $45.2 million, adding POS software to the Company's offerings and enhancing its distribution network[59] - The Company entered into a definitive agreement to acquire Revel Systems, Inc. for approximately $250.0 million, expected to close in the second quarter of 2024[134] Revenue Breakdown - Payments-based revenue reached $655.1 million, up 28.1% from $511.0 million year-over-year[65] - Subscription and other revenues increased to $52.3 million, a 45.4% rise compared to $36.0 million in the prior year[65] - End-to-end payment volume surged by $11.1 billion, or 50%, from $22.3 billion in Q1 2023 to $33.4 billion in Q1 2024[161] Tax and Legal Matters - The Company's effective tax rate for the three months ended March 31, 2024, was 5%, a significant change from (21)% in the same period of 2023[100] - The company disputes allegations in ongoing legal proceedings and intends to defend against claims vigorously, with no reserves established for potential losses at this time[119] Stock and Equity - The Company has authorized a stock repurchase program of up to $250.0 million for its Class A common stock, with the full amount remaining available as of March 31, 2024[121] - The Company approved a new stock repurchase program authorizing the repurchase of up to $500.0 million of Class A common stock, effective immediately[140] - As of March 31, 2024, the Company had a total of 3,039,102 unvested RSUs and PRSUs, with a weighted average grant date fair value of $59.20[129] Forward-Looking Statements - The company emphasizes that all statements other than historical facts are forward-looking, including expectations for growth and international expansion[13] - Actual future results may differ materially from expectations, and the company does not plan to publicly update forward-looking statements unless required by law[16]

Financial Data and Key Metrics Changes - Total Q1 volume reached $33 billion, reflecting a 50% year-over-year growth [15] - Gross revenue less network fees increased by 32% to $264 million [15] - Adjusted EBITDA for the quarter was $122 million, up 36%, with adjusted EBITDA margins at 46% [15][21] - Adjusted free cash flow was $78 million, representing a conversion rate of 64% [22] Business Line Data and Key Metrics Changes - Subscription and other revenue in Q1 rose by 45% year-over-year, driven by growth in sports and entertainment [19] - Restaurant SaaS revenue increased by 55%, with a total of approximately 9,400 SkyTab system installs in Q1, a 38% increase quarter-over-quarter [19][86] - Gateway revenue decreased sequentially, reflecting the success of the Gateway Sunset initiative [18] Market Data and Key Metrics Changes - The blended spread for Q1 was 62 basis points, consistent with full-year guidance [17] - The company anticipates a stronger second half of 2024 due to various growth initiatives and market conditions [28][56] Company Strategy and Development Direction - The company is focused on expanding its international presence, particularly in Europe and Canada, with a goal of signing 10,000 new restaurant and hotel customers in international markets by year-end [36][70] - The recent acquisition of Revel for $250 million is aimed at enhancing distribution and accelerating growth in the restaurant vertical [8][37] - The company is committed to maintaining a disciplined approach to cost management while investing in strategic growth opportunities [20] Management's Comments on Operating Environment and Future Outlook - Management noted that the current operating environment is favorable, with merchants seeking technology solutions to streamline commerce experiences [43] - There is confidence in achieving annual year-over-year expansion in conversion rates despite potential fluctuations due to seasonality [22][32] - The company expects organic growth of gross revenue less network fees to exceed 25% [28] Other Important Information - The company has a strong balance sheet with approximately $700 million in available liquidity and a net leverage of about 2.4 times [24][25] - The company is tightening its guidance for end-to-end volume to a range of $167 billion to $175 billion for the full year 2024, representing 53% to 61% year-over-year growth [26] Q&A Session Summary Question: Why did a deal not close to be acquired? - Management indicated that strategic interest and rising price expectations prevented the deal from closing, emphasizing a focus on executing their plan [50] Question: How has the expansion outside of North America been progressing? - Management reported successful execution of their playbook in international markets, with notable wins in Europe and Canada [51][109] Question: Can you elaborate on the strategic rationale behind the Revel acquisition? - The acquisition is expected to enhance distribution and accelerate growth in the restaurant vertical, leveraging Revel's strong sales team [127]

Shift4 Payments (FOUR) came out with quarterly earnings of $0.54 per share, missing the Zacks Consensus Estimate of $0.61 per share. This compares to earnings of $0.51 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -11.48%. A quarter ago, it was expected that this company would post earnings of $0.82 per share when it actually produced earnings of $0.76, delivering a surprise of -7.32%.Over the last four quarters, the company ...

SHIFT 4 Q1 2024 SHAREHOLDER LETTER INVESTORS.SHIFT4.COM Exhibit 99.1 MAJOR CASINO OPERATOR & DEAL ANNOUNCEMENT Forward-Looking Statements This letter contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Shift4 Payments, Inc. ("we. "our," the "Company." o "Shift4") intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended and Se ...

Lock Stock Thesis Shift4 Payments' (NYSE:FOUR) stock saw a massive spike after reporting Q4 earnings. This was likely due to the combination of a good earnings report/guidance and M&A speculation. No M&A activity ended up taking place, and since then the stock has declined precipitously. We believe the recent selloff is overdone and that long-term investors can acquire shares at an attractive valuation. The Basics Shift4 is a payments processor, though they do have some software/website offerings throug ...

Lyndon Stratford Shift4: Market share gains, strong revenue growth, rising margins and free cash flow: who needs a buyout to like these shares? Shift4 shares have hit a speed bump; Shift4’s (NYSE:FOUR) business hasn’t seen even a pot hole. As most readers will recollect, the CEO of Shift4, Jared Isaacson had indicated back late last year that he and his board would be amenable to take over bids. Part of this was a reaction to a hit piece by activist short seller Blue Orca. But some of this was based on ...

Fintech firms focus on using technology to enhance financial services, including payments, banking, and financial management. Among some of the more popular services that such companies deliver are cryptocurrencies, “buy now, pay later,” peer-to-peer payments, payments to businesses, and consumer banking. Fintech firms have multiple, strong, positive catalysts, including the rapid, global digitization of financial transactions, continued, reduced reliance on cash worldwide, and the increased willingness of ...