FIS · Fidelity National Information Services, Inc.

FIS delivered a strong first quarter, with GAAP revenue rising 30% to $3.3 billion, driven by the acquisition of Total Issuing Solutions and organic growth. GAAP net earnings surged to $2.4 billion, reflecting a $2.2 billion gain from the Worldpay sale. On an adjusted basis, revenue grew 31%, adjusted EBITDA increased 36% to $1.3 billion, and margin expanded 176 basis points to 39.6%, aided by high-margin acquisitions and cost savings. Adjusted EPS of $1.36 rose 12% year-over-year, exceeding consensus expectations. Segment performance was robust: Banking Solutions revenue grew 45% GAAP (44% adjusted) with adjusted EBITDA margin expanding 299 bps to 43.7%; Capital Market Solutions revenue increased 5% GAAP (3% adjusted) with margin up 162 bps to 51.6%. Free cash flow more than doubled to $474 million. The company reiterated its full-year 2026 outlook, projecting adjusted revenue growth of 30-31%, adjusted EBITDA growth of 34-35%, and adjusted EPS growth of 8-10%. Management highlighted disciplined execution, margin expansion, and strong cash generation, while temporarily pausing share repurchases to focus on deleveraging toward a 2.8x gross leverage target.