Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from Debt [USD, Millions]

Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

23dc8c8fc38ebc0c8debcc862aaf5e284033832cca11a56a36f5d9acbd139250

a1e30ea37195350d460761a1267abb0b5a51bd6675fdda41f9a6d5c636f6667a

00b5a675a8eea64bb4c3c44aa8100463606655e88a7ffe2c4e00d969bd04bb95

Portion of total revenue decrease attributed to foreign currency exchange rate fluctuations (percentage)

Portion of Merchant segment revenue growth contributed by Small Business (percentage)

Portion of Merchant segment revenue growth contributed by Enterprise (percentage)

Portion of Financial segment revenue growth contributed by Digital Payments (percentage)

Portion of Financial segment revenue growth contributed by Issuing (percentage)

Portion of Financial segment revenue growth contributed by Banking (percentage)

64b31c856b807c86ffb820e1f3777cef2323117b239018e3a8c7064a9516bf68

Cash and cash equivalents (USD, millions)

Trade accounts receivable, less allowance for doubtful accounts (USD, millions)

Prepaid expenses and other current assets (USD, millions)

Settlement assets (USD, millions)

Total current assets (USD, millions)

Property and equipment, net (USD, millions)

Customer relationships, net (USD, millions)

Other intangible assets, net (USD, millions)

Goodwill (USD, millions)

Contract costs, net (USD, millions)

Investments in unconsolidated affiliates (USD, millions)

Other long-term assets (USD, millions)

Total assets (USD, millions)

Accounts payable and other current liabilities (USD, millions)

Short-term and current maturities of long-term debt (USD, millions)

Contract liabilities (USD, millions)

Settlement obligations (USD, millions)

Total current liabilities (USD, millions)

Long-term debt (USD, millions)

Deferred income taxes (USD, millions)

Long-term contract liabilities (USD, millions)

Other long-term liabilities (USD, millions)

Total liabilities (USD, millions)

Total Fiserv, Inc. shareholders’ equity (USD, millions)

Noncontrolling interests (USD, millions)

Total equity (USD, millions)

Total liabilities and equity (USD, millions)

b560a723a5df2242da21b0e31a10bacfb7f28a22846f509a33472a1db62077f9

Net income (USD, millions)

Depreciation and other amortization (USD, millions)

Amortization of acquisition-related intangible assets (USD, millions)

Amortization of financing costs and debt discounts (USD, millions)

Share-based compensation (USD, millions)

Net gain on sale of businesses and other assets (USD, millions)

Loss (income) from investments in unconsolidated affiliates (USD, millions)

Distributions from unconsolidated affiliates (USD, millions)

Distributions from unconsolidated affiliates (Investing) (USD, millions)

Other operating activities (USD, millions)

Net cash provided by operating activities (USD, millions)

Capital expenditures, including capitalized software and other intangibles (USD, millions)

Payments for acquisition of businesses, net of cash acquired (USD, millions)

Purchases of investments (USD, millions)

Proceeds from sale of investments (USD, millions)

Other investing activities (USD, millions)

Net cash used in investing activities (USD, millions)

Debt proceeds (USD, millions)

Debt repayments, including debt financing costs (USD, millions)

Net (repayments of) proceeds from commercial paper and short-term borrowings (USD, millions)

Payments of debt financing costs (USD, millions)

Proceeds from issuance of treasury stock (USD, millions)

Purchases of treasury stock, including employee shares withheld for tax obligations (USD, millions)

Settlement activity, net (USD, millions)

Distributions paid to noncontrolling interests and redeemable noncontrolling interests (USD, millions)

Other financing activities (USD, millions)

Net cash used in financing activities (USD, millions)

Effect of exchange rate changes on cash and cash equivalents (USD, millions)

Net change in cash and cash equivalents (USD, millions)

Cash and cash equivalents, beginning balance (USD, millions)

Cash and cash equivalents, ending balance (USD, millions)

d12f3619e66ad8391c2e55736c547504dc783c803fe28145e875da7089f5a4ed

Processing and services revenue (USD, millions)

Product revenue (USD, millions)

Total revenue (USD, millions)

Cost of processing and services (USD, millions)

Cost of product (USD, millions)

Selling, general and administrative expenses (USD, millions)

Total expenses (USD, millions)

Operating income (USD, millions)

Interest expense, net (USD, millions)

Other expense, net (USD, millions)

Income before income taxes and loss from investments in unconsolidated affiliates (USD, millions)

Income tax provision (USD, millions)

Loss from investments in unconsolidated affiliates (USD, millions)

Less: net income attributable to noncontrolling interests and redeemable noncontrolling interest (USD, millions)

Net income attributable to Fiserv, Inc. (USD, millions)

efd5fbd12c94bbf3180bb5da612cfbd429d10720081f7a42605d6f2c78babc29

Operating Cash Flow in Q1 2023 was significantly high because the company experienced **improved operating performance** and **favorable fluctuations in working capital**—notably, higher collections of accounts receivable bolstered cash generation. In addition, **share-based compensation increased to $93 million** compared to $61 million in the prior year, while the negative impact from **deferred income taxes was less severe at -$87 million** versus -$183 million. A shift in the net impact from a gain on asset sales last year to a **$4 million net loss** this quarter also contributed to the higher operating cash flow.  **[0000798354-23-000008_fisv-20230331.htm:4]** **[0000798354-23-000008_fisv-20230331.htm:44]** **[0000798354-23-000006_fisvq123earningsrelease.htm:0]** 

Why was Operating Cash Flow so high in Q1 2023?

The boost in Operating Cash Flow in Q3 2023 was primarily driven by **higher net income** (an increase of **$456 million**), as well as **changes in working capital**—notably, a shift from a negative balance in trade accounts receivable to a positive change. Additionally, **increased Depreciation and Amortization** (**$111 million** more), a higher **Net Gain on Sale of Businesses and Other Assets**, and improvements such as higher **share-based compensation** and reduced negative adjustments from **deferred income taxes** all contributed to the significant rise in operating cash flow.  **[0000798354-23-000018_fisv-20230930.htm:4]** **[0000798354-23-000018_fisv-20230930.htm:50]** 

What drove the boost in Operating Cash Flow in Q3 2023?

The documents do not provide any information regarding a surge in free cash flow in Q1 2023. They only discuss the capital expenditures—which increased slightly from **$331 million** in Q1 2022 to **$339 million** in Q1 2023—and do not mention free cash flow or its drivers.  **[0000798354-22-000009_fisv-20220331.htm:4]** **[0000798354-23-000008_fisv-20230331.htm:4]** **[0000798354-23-000008_fisv-20230331.htm:44]** **[0000798354-23-000006_fisvq123earningsrelease.htm:6]** 

Why did Free Cash Flow surge in Q1 2023?

The available documents do not include any information regarding what contributed to the higher Free Cash Flow in Q3 2023. (N/A)

What contributed to the higher Free Cash Flow in Q3 2023?

The provided documents contain conflicting details. On one hand, the net cash provided by operating activities is reported as **$990 million in Q2 2022** and **$878 million in Q2 2023**  **[0000798354-22-000015_fisv-20220630.htm:4]** **[0000798354-23-000014_fisv-20230630.htm:4]** , which indicates a lower operating cash flow in Q2 2023. However, another document explains a **big change** where operating cash flow increased by **$203 million (11%)** (from **$1,805 million to $2,008 million**) in Q2 2023 due to factors like improved operating results and increased working capital use.  **[0000798354-23-000014_fisv-20230630.htm:47]**  Because the documents report different figures and explanations, there isn’t a definitive answer as to why operating cash flow was lower in Q2 2023.

Why was Operating Cash Flow lower in Q2 2023?

fc48b8a6d9fb6bc39feb3bb62eeb6dbc4e6d3e395375714616f4aea56f3ba6eb

The significant drop in **Total current assets** in Q3 2024 was primarily driven by a substantial decrease in **Settlement Assets**, which fell from **$27,681 million as of December 31, 2023** to **$17,434 million as of September 30, 2024**—a decline of **$10,247 million**. Settlement assets represent intermediary balances related to the settlement process in which funds are transferred among various players. This decline likely reflects lower settlement activity or timing differences during the period, while other current asset components such as **Cash and Cash Equivalents**, **Trade Accounts Receivable**, and **Prepaid Expenses and Other Current Assets** contributed only minor changes.  **[0000798354-24-000190_fisv-20240930.htm:4]** **[0000798354-24-000188_fiq324earningsrelease.htm:9]** **[0000798354-24-000190_fisv-20240930.htm:8]** 

What drove the significant drop in Total current assets in Q3 2024?

The sharp decline in **Total assets** in Q3 2024 was primarily driven by a substantial reduction in **settlement assets**, which fell from **$27,681 million** at the end of 2023 to **$17,434 million** as of Q3 2024—a drop of **$10,247 million**. This significant decrease in settlement assets, a key component of current assets, was the main contributor to the overall decline in total assets during that period.  **[0000798354-24-000190_fisv-20240930.htm:4]** **[0000798354-24-000188_fiq324earningsrelease.htm:9]** 

Why did Total assets decline so sharply in Q3 2024?

The steep decline in **Investments in unconsolidated affiliates** in Q3 2024 was triggered primarily by a **$570 million non-cash impairment charge** related to Fiserv’s equity method investment in the Wells Fargo Merchant Services (WFMS) merchant alliance, alongside a broader **$642 million loss** from investments in unconsolidated affiliates over the first nine months of 2024.  **[0000798354-24-000190_fisv-20240930.htm:49]** **[0000798354-24-000190_fisv-20240930.htm:17]** 

What triggered the steep decline in Investments in unconsolidated affiliates in Q3 2024?

The higher long-term debt in Q1 2024 was primarily driven by the **issuance of senior notes**, where **$2.0 billion** of new notes were issued that included **$750 million** of 5.150% notes due March 2027, **$500 million** of 5.350% notes due March 2031, and **$750 million** of 5.450% notes due March 2034. The net proceeds from this issuance were used to **repay a portion of the company’s commercial paper notes**, support **share repurchases**, and prepare for the **planned repayment of the 2.750% senior notes due July 2024**. These activities directly contributed to the net increase in long-term debt from **$22,363 million in Q4 2023 to $23,754 million in Q1 2024**.  **[0000798354-24-000100_fisv-20240331.htm:20]** **[0000798354-24-000100_fisv-20240331.htm:45]** 

What factors contributed to the higher Long-term debt in Q1 2024?

e5319a270914549ddf7dba7c4de36c28c118ebacba8ab147a59a5fff5df373fe

The net gain turned negative in Q4 2023 because, although there was a **$172 million pre-tax gain** from the sale of Fiserv’s financial reconciliation business, the overall mix of sale transactions in the quarter was different from previous periods. In Q4 2022, for example, additional sale proceeds—including gains of **$137 million** and **$44 million**—helped keep the net gain positive even after a **$127 million loss** from another asset sale. In contrast, the Q4 2023 mix did not include those additional positive elements, which resulted in an overall net figure of **(339.00) USD millions** turning negative.  **[0000798354-24-000037_fi-20231231.htm:82]** **[0000798354-24-000037_fi-20231231.htm:68]** 

Why did the net gain on sale of businesses turn negative in Q4 2023?

The dramatic spike in Q3 2024 losses is driven by a **$570 million non-cash impairment** related to the **Wells Fargo Merchant Services (WFMS) merchant alliance**. This significant impairment was recorded due to an **other-than-temporary decline** in the value of the equity method investment in WFMS, which was triggered by Wells Fargo's notice of non-renewal for the alliance.  **[0000798354-24-000190_fisv-20240930.htm:49]** **[0000798354-24-000190_fisv-20240930.htm:17]** 

What drove the dramatic spike in losses from investments in Q3 2024?

The significant drop in net income for **Q3 2024** was driven by a **$570 million non-cash impairment charge** related to one of the company’s equity method investments, the absence of a **$177 million pre-tax gain** from a prior year's sale of a financial reconciliation business, and **$68 million higher interest expense** due to increased borrowings and variable rate debt.  **[0000798354-24-000188_fiq324earningsrelease.htm:0]** **[0000798354-24-000190_fisv-20240930.htm:48]** 

Why did net income drop significantly in Q3 2024?

The increase in interest expense in Q3 2024 was primarily driven by **higher outstanding borrowings**. The company issued **$2.0 billion of senior notes in March 2024** and **$1.75 billion in August 2024**, which significantly increased the borrowings, and there was also an **increase in variable rate borrowings** associated with the settlement advance cash program in Latin America.  **[0000798354-24-000190_fisv-20240930.htm:48]** 

Fiserv Inc (FI)

Financials