Fiserv(US:FI)2025-10-29 11:15Financial Performance - GAAP revenue increased 1% to $5.26 billion in Q3 2025, with Merchant Solutions segment growing by 5% and Financial Solutions segment declining by 3%[2] - GAAP EPS rose 49% to $1.46 in Q3 2025, and increased 29% to $4.83 year-to-date[2] - Organic revenue growth was 1% in Q3 2025, with 5% growth in Merchant Solutions and a 3% decline in Financial Solutions[7] - Adjusted EPS decreased 11% to $2.04 in Q3 2025, but increased 6% to $6.65 year-to-date[7] - Total revenue for Q3 2025 was $5,263 million, a slight increase of 0.9% compared to $5,215 million in Q3 2024[27] - Adjusted revenue for Q3 2025 was $4,919 million, up from $4,884 million in Q3 2024, reflecting a growth of 0.7%[38] - Net income attributable to Fiserv for Q3 2025 was $792 million, representing a 40.4% increase from $564 million in Q3 2024[31] - GAAP earnings per share attributable to Fiserv for Q3 2025 was $1.46, a growth of 49% compared to $0.98 in Q3 2024[31] - Adjusted earnings per share for Q3 2025 was $2.04, down 11% from $2.30 in Q3 2024[31] - Operating income for Q3 2025 was $1,436 million, a decrease of 10.4% from $1,602 million in Q3 2024[27] - The operating margin for Q3 2025 was 27.3%, down from 30.7% in Q3 2024[38] - Revenue from the Merchant Solutions segment for Q3 2025 was $2,586 million, an increase of 4.8% from $2,469 million in Q3 2024[38] - Revenue from the Financial Solutions segment for Q3 2025 was $2,333 million, a decrease of 3.3% from $2,412 million in Q3 2024[38] - Total expenses for Q3 2025 were $3,827 million, compared to $3,613 million in Q3 2024, reflecting an increase of 5.9%[27] - Net income for the nine months ended September 30, 2025, was $2,677 million, an increase from $2,232 million in 2024, representing a growth of 20%[44] - Adjusted revenue for the three months ended September 30, 2025, was $4,919 million, compared to $4,884 million in 2024, reflecting a growth of 1%[49] - Organic revenue for the nine months ended September 30, 2025, was $14,958 million, a 5% increase from $14,208 million in 2024[49] Cash Flow and Capital Management - Free cash flow was $2.88 billion in the first nine months of 2025, down from $3.34 billion in the prior year[7] - The company repurchased 7.2 million shares for $1.0 billion in Q3 2025 and 29.1 million shares for $5.4 billion year-to-date[7] - Free cash flow for the nine months ended September 30, 2025, was $2,879 million, down from $3,344 million in 2024, a decrease of 14%[52] - The company reported a net cash provided by operating activities of $4,118 million for the nine months ended September 30, 2025, compared to $4,410 million in 2024, a decline of 6.6%[44] Debt and Assets - Long-term debt increased to $28,876 million as of September 30, 2025, compared to $23,730 million at the end of 2024, a rise of 21.8%[47] - Total assets as of September 30, 2025, were $79,370 million, up from $77,176 million at the end of 2024, indicating a growth of 2.8%[47] - Cash and cash equivalents at the end of September 30, 2025, were $2,765 million, down from $3,473 million at the end of 2024, a decrease of 20.3%[44] Future Outlook - The company expects 2025 organic revenue growth of 3.5% to 4% and adjusted EPS of $8.50 to $8.60[9] - The company expects organic revenue growth for 2025 to be in the range of 3.5% to 4%[57] - The estimated amortization expense for acquired intangible assets in 2025 is projected to decrease by approximately 5% compared to 2024[57] Acquisitions and Recognition - In September 2025, Fiserv acquired CardFree, Inc. and Smith Consulting Group, LLC, and entered into an agreement to acquire StoneCastle Cash Management[8] - Fiserv was named the 1 global financial technology provider in the 2025 IDC FinTech Top 100 Rankings for the third consecutive year[12]