Wex (WEX) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

Core Insights - Wex reported revenue of $636.5 million for the quarter ended December 2024, a decrease of 4% year-over-year, with EPS at $3.57 compared to $3.82 in the same quarter last year, indicating a slight surprise over consensus estimates [1] - The company’s revenue exceeded the Zacks Consensus Estimate by 0.70%, while EPS also surpassed expectations by 0.85% [1] Financial Performance Metrics - Mobility payment processing transactions reached 138.5 million, slightly above the average estimate of 137.58 million [4] - Corporate Payments purchase volume was $16.54 billion, significantly below the estimated $19.54 billion, reflecting a notable decline [4] - Benefits purchase volume was $1.62 billion, slightly above the average estimate of $1.61 billion [4] - Average US fuel price was reported at $3.25 per gallon, marginally lower than the estimated $3.27 per gallon [4] Revenue Breakdown - Corporate Payments revenue was $104.30 million, down 22.7% year-over-year and below the estimated $115.42 million [4] - Benefits revenue was $186.90 million, exceeding the estimate of $184.52 million, with a year-over-year increase of 4.9% [4] - Mobility revenue was $345.20 million, slightly above the estimate of $331.94 million, but down 1.4% year-over-year [4] - Payment processing revenue was $270.20 million, below the estimate of $278.26 million, reflecting a year-over-year decline of 13.3% [4] - Other revenues were reported at $112.60 million, exceeding the estimate of $105.11 million, with a year-over-year increase of 12.4% [4] Stock Performance - Wex shares have returned +3.9% over the past month, outperforming the Zacks S&P 500 composite, which saw a +1.7% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance in the near term [3]