Corpay's Q4 Earnings and Revenues Surpass Estimates, Increase Y/Y

Core Insights - Corpay, Inc. (CPAY) reported better-than-expected fourth-quarter 2025 results, with earnings per share of $6.04, beating the consensus mark by 1.5% and increasing 12.7% year over year. Total revenues reached $1.2 billion, exceeding the consensus estimate and rising 20.7% from the previous year [1][7]. Segmental Results - Vehicle payments generated revenues of $572.9 million, a 9.5% increase from the year-ago quarter, surpassing the consensus estimate of $550.3 million, driven by strong sales in the United States, Europe, and Brazil [2]. - Corporate payments revenues totaled $480.8 million, up 38.9% year over year, exceeding the consensus estimate of $475.8 million, supported by strength in the payables business and strategic investments [3]. - Lodging payments reported revenues of $113 million, a decline of 6.9% from the year-ago quarter, missing projections of $119.8 million [3]. CPAY's Margins - Adjusted EBITDA increased 17.7% year over year to $712 million, with an adjusted EBITDA margin of 57.1%, a decline of 40 basis points from the previous year [4]. Key Balance Sheet and Cash Flow Figures - At the end of Q4 2025, Corpay had cash and cash equivalents of $2.5 billion, up from $2 billion in Q3 2025. Long-term debt increased to $6.7 billion from $5.8 billion in the previous quarter. The company generated $812.8 million in cash from operating activities, with capital expenditures of $52.4 million [5]. CPAY's Q1 and 2026 Guidance - For Q1 2026, CPAY anticipates revenues between $1.20 billion and $1.22 billion, with adjusted net income per share expected to be between $5.38 and $5.52. For the full year 2026, revenues are projected to be between $5.22 billion and $5.32 billion, with adjusted net income per share expected in the range of $25.50 to $26.50 [6].