Global Payments Posts Q1 Beat, Raises Outlook

Global Payments Inc GPN delivered better than expected earnings for the first quarter. The company also boosted its EPS forecast for the fiscal year 2017.

The company reported GAAP net income of $86.65 million, or $0.66 a share for the first quarter. On an adjusted basis, EPS advanced 9 percent from $0.79 to $0.86 and came in above the consensus of estimate of $0.84.

While Global Payments' GAAP revenue grew from $748.8 million to $939.5 million, adjusted net revenues jumped 52 percent from $537.0 million to $817.3 million in the last quarter.

CEO Jeff Sloan commented, "Heartland continued its strong growth momentum in the United States. Our businesses in Europe performed exceptionally well, and our Asia business produced its highest rate of organic revenue growth in several quarters."

Moving ahead, the company indicated lifted its adjusted EPS forecast to $3.45-$3.55 for fiscal year 2017 reflecting 16–19 growth from fiscal year 2016. However, the company continued to see its adjusted net revenue between $3.2 and $3.3 billion for the same period.

The stock closed at $76.44 on Tuesday.