Core Insights - Fiserv, Inc. reported disappointing third-quarter 2025 results, with earnings and revenues falling short of expectations [1][8] - Adjusted earnings per share were $2.04, missing the consensus estimate by 22.7% and declining 11.3% year over year [1][8] - Adjusted revenues totaled $4.9 billion, missing estimates by 8.2% and down 5.7% year over year [1][8] - Fiserv's stock has decreased by 36.8% over the past year, contrasting with a 20.8% rise in the Zacks S&P 500 composite [1] Quarterly Performance - Processing and services revenues reached $4.3 billion, slightly up year over year but below the estimate of $4.7 billion [2] - Product segment revenues were $990 million, a 1.2% increase from the previous year, but also missed projections of $1.2 billion [2] - Merchant Solutions generated $2.6 billion in revenues, a 4.7% year-over-year increase, yet fell short of the $3 billion estimate [3] - Financial Solutions reported revenues of $2.3 billion, down 3.3% from the prior year and missing the $2.6 billion projection [3] Profitability Metrics - The operating margin for the Merchant Solutions segment was 37.2%, a decrease of 50 basis points year over year [4] - The Financial Solutions segment's operating margin was 42.5%, down 510 basis points from the previous year [4] Financial Position - Fiserv ended the third quarter with cash and cash equivalents of $1.1 billion, up from $999 million in the second quarter of 2025 [5] - Long-term debt increased to $28.9 billion from $28.1 billion in the previous quarter [5] - The company generated $1.8 billion in net cash from operating activities and had a free cash flow of $1.3 billion, with capital expenditures of $507 million [5] - Fiserv repurchased 12.2 million shares for $1 billion during the quarter [5] Future Guidance - Management has revised its organic revenue growth forecast down to 3.5-4% from the previous estimate of 10% [6] - Adjusted EPS guidance has been lowered to $8.5-$8.6 from the earlier forecast of $10.15-$10.30, which is below the Zacks Consensus Estimate of $10.17 [6] - Fiserv currently holds a Zacks Rank 4 (Sell) [6]

Core Insights - Fiserv, Inc. reported mixed second-quarter 2025 results with earnings exceeding estimates while revenues fell short [1][10] - Adjusted earnings per share were $2.47, beating the consensus by 2.5% and reflecting a 16% year-over-year increase [1][10] - Adjusted revenues reached $5.2 billion, slightly missing estimates but showing a 1.7% year-over-year growth [1][10] Financial Performance - Processing and services revenues were $4.3 billion, a 4% year-over-year increase but below the estimated $4.5 billion [3] - Product segment revenues were $1.2 billion, up 25.3% year-over-year, surpassing the anticipated $1.1 billion [3] - Merchant Solutions revenues totaled $2.6 billion, a 9.7% increase year-over-year, but missed the estimate of $2.8 billion [4] - Financial Solutions segment reported revenues of $2.6 billion, a 7.2% increase year-over-year, exceeding the estimate of $2.5 billion [4] - Operating margin for Merchant Solutions was 34.6%, down 200 basis points year-over-year, while Financial Solutions' margin increased to 48.7%, up 280 basis points [5] Balance Sheet & Cash Flow - Fiserv ended Q2 with cash and cash equivalents of $999 million, down from $1.2 billion in Q1 2025 [6] - Long-term debt increased to $28.1 billion from $27 billion in Q1 2025 [6] - The company generated $1.7 billion in net cash from operating activities and reported free cash flow of $1.2 billion [6] - Capital expenditure was $479 million, and the company repurchased 12.2 million shares for $2.2 billion during the quarter [6] Guidance - Fiserv updated its adjusted earnings per share guidance to a range of $10.15-$10.3, with the midpoint of $10.23 aligning with the Zacks Consensus Estimate [7] - The company anticipates year-over-year earnings growth of 15-17% and revised organic revenue growth outlook to approximately 10% from the previous 10-12% [7] Stock Performance - Fiserv's stock has gained 3% over the past year, underperforming the industry and the Zacks S&P 500 composite, which rose 29.3% and 16.5%, respectively [2]

Core Viewpoint - Fiserv, Inc. reported mixed first-quarter 2025 results with earnings exceeding estimates while revenues fell short of expectations [1] Financial Performance - Adjusted earnings per share were $2.14, beating the Zacks Consensus Estimate by 2.9% and increasing 13.8% year over year [1] - Adjusted revenues totaled $4.8 billion, missing the consensus estimate by 1.6% but growing 5.5% year over year [1] Segment Performance - Processing and services revenues were $4 billion, slightly declining year over year and missing the estimate of $4.3 billion [3] - Product segment revenues reached $1.1 billion, rising 22.9% from the previous year and exceeding expectations of $988.5 million [3] - Merchant Solutions revenues were $2.4 billion, increasing 5.3% year over year but missing the estimate of $2.5 billion [4] - Financial Solutions segment reported revenues of $2.4 billion, marking a 5.8% increase year over year and meeting projections [4] - Operating margin for Merchant Solutions was 34.2%, up 10 basis points year over year, while Financial Solutions' operating margin was 47.5%, increasing 340 basis points from the previous year [4] Balance Sheet & Cash Flow - Fiserv ended Q1 2025 with cash and cash equivalents of $1.2 billion, unchanged from Q4 2024 [5] - Long-term debt increased to $27 billion from $23.7 billion in the previous quarter [5] - Generated $648 million in net cash from operating activities and $371 million in free cash flow, with capital expenditures of $335 million [5] - The company repurchased 9.7 million shares for $2.2 billion during the quarter [5] Guidance - Fiserv expects adjusted earnings per share in the range of $10.1-$10.3, higher than the Zacks Consensus Estimate of $2.07 [6] - Anticipates year-over-year earnings growth of 15-17% and organic revenue growth of 10-12% [6]