- Global Payments Inc GPN reported second-quarter FY22 adjusted net revenue growth of 6% year-on-year to $2.06 billion, missing the consensus of $2.07 billion.
- The adjusted operating margin expanded 200 basis points to 43.8%.
- Adjusted EPS of $2.36 beat the consensus of $2.35.
- Global Payments held $1.93 billion in cash and equivalents.
- Dividend: The board approved a dividend of $0.25 per share, payable September 30, 2022, to shareholders of record on September 16, 2022.
- The board authorized an increase of the company's share repurchase program to a total available authorization of $1.5 billion.
- CEO Jeff Sloan said, "Our Merchant and Issuer businesses both exceeded our targets, with our Issuer business delivering significant sequential improvement as expected."
- GPN agreed to acquire EVO Payments, Inc EVOP for $4.0 billion of enterprise value.
- The all-cash transaction of $34.00 per share represents a premium of approximately 24% and 40% to EVOP's last closing price and its 60-day average price, respectively, as of July 29, 2022.
- Silver Lake has committed a $1.5 billion long-term strategic investment in Global Payments in the form of convertible senior notes.
- GPN agreed to sell Netspend's consumer assets to Searchlight Capital and Rev Worldwide for $1.0 billion.
- Outlook: Global Payments raised the FY22 adjusted net revenue outlook from $8.42 billion - $8.50 billion to $8.48 billion - $8.55 billion, above the consensus of $8.41 billion.
- Global Payments increased the adjusted EPS outlook from $9.45 - $9.67 to $9.53 - $9.75, above the consensus of $9.51.
- Price Action: GPN shares traded higher by 3.01% at $126.00 and EVOP up by 20.74% at $33.01 in the premarket on the last check Monday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Posted In: EarningsM&ANewsGuidanceDividendsOfferingsAsset SalesSmall CapMoversTechTrading IdeasBriefswhy it's moving
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
