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FIS is a financial technology company that provides a wide range of solutions to financial institutions, businesses, and developers globally. The company operates primarily through its Banking Solutions and Capital Market Solutions segments, offering core processing software, transaction processing software, and complementary applications and services . FIS also has a significant presence in the payments industry, with products that support issuer processing, money rails, and fraud management tools, contributing to over half of its revenue . The company's revenue is primarily derived from technology and processing solutions, transaction processing fees, professional services, and software license fees, with a strong emphasis on recurring revenue streams from multi-year contracts .
- Banking Solutions - Provides core processing software, transaction processing software, and complementary applications and services for financial institutions of all sizes, characterized by multi-year processing contracts that generate recurring revenue .
- Payments Products - Supports issuer processing, money rails, and fraud management tools, facilitating over 17 billion transactions annually .
- Capital Market Solutions - Serves global financial institutions and commercial organizations with products that support trading, risk management, and investment operations .
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Alexandra Brooks Executive | Chief Accounting Officer | None | CAO of FIS since November 2024; previously CFO at Hertz Global Holdings; extensive experience in accounting and finance. | |
Caroline Tsai Executive | Chief Legal & Corporate Affairs Officer | None | Joined FIS in February 2022; promoted to current role in May 2022; oversees legal, compliance, government affairs, and ESG functions; previously held senior legal roles at Western Union and BMO Financial Group. | |
Christopher A. Thompson Executive | Chief Accounting Officer | None | CAO of FIS since May 2023; rejoined FIS after retiring in 2021; previously CAO at Worldpay and partner at Deloitte & Touche LLP. | |
James Kehoe Executive | Chief Financial Officer | None | CFO of FIS since August 2023; previously CFO at Walgreens Boots Alliance and Takeda Pharmaceutical; extensive experience in corporate finance and strategy. | |
L. Denise Williams Executive | Chief People Officer | None | Chief People Officer since April 2016; previously held senior HR roles at IBM, Coopers & Lybrand, and First Data Corporation; retiring effective December 31, 2024. | |
Robert Toohey Executive | Chief People Officer (Incoming) | None | Appointed Chief People Officer effective January 1, 2025; previously Chief HR Officer at Allstate Insurance; over 30 years of HR leadership experience. | |
Stephanie L. Ferris Executive | Chief Executive Officer and President | None | CEO and President of FIS since December 2022; joined FIS in 2019 after Worldpay acquisition; previously served as COO and CFO; over 20 years of fintech experience. | View Report → |
Gary L. Lauer Board | Independent Director | Executive Director at Eminent Series Group | Independent Director since 2019; former Chairman and CEO of eHealth; extensive experience in technology and public company governance. | |
James B. Stallings, Jr. Board | Independent Director | CEO of PS27 Ventures; Board Member at Cannae Holdings | Independent Director since 2013; extensive experience in technology and financial services; former IBM executive and U.S. Marine Corps Captain. | |
Jeffrey A. Goldstein Board | Independent Chairman of the Board | Board Member at Bank of New York Mellon | Independent Chairman since December 2022; extensive experience in banking, financial services, and government; previously Under Secretary of the Treasury for Domestic Finance. | |
Kenneth T. Lamneck Board | Independent Director | Board Member at Benchmark Electronics | Independent Director since March 2022; former CEO of Insight Enterprises; extensive experience in global operations and technology. | |
Lee Adrean Board | Independent Director | None | Independent Director since January 2023; former CFO at Equifax and other public companies; extensive experience in financial services and enterprise risk management. | |
Mark D. Benjamin Board | Independent Director | Board Member at PTC Inc. | Independent Director since January 2023; former CEO of Nuance Communications; led its acquisition by Microsoft; extensive experience in technology and financial technology. | |
Nicole Anasenes Board | Independent Director | Board Member at Motorola Solutions | Independent Director since October 2024; former CFO of ANSYS, Squarespace, and Infor; extensive experience in technology and finance. |
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Despite reporting strong sales momentum and signing more core engagements in the first three quarters of 2024 than in all of 2023, core conversions tend to take considerable time; can you elaborate on the challenges you face in accelerating these implementations, especially with larger banks, and how this might impact your growth projections?
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You mentioned that the Dragonfly acquisition will be margin dilutive in the initial 12 months; what specific strategies do you have to realize the expected revenue and cost synergies, and when do you anticipate this acquisition becoming accretive to your overall margins?
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Facing significant price increases from technology suppliers—some as high as 50% to 70%—how are these cost pressures affecting your capital expenditure plans, and what measures are you taking to mitigate their impact on your margins and cash flow conversion?
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Given that the bank M&A market is still suppressed, especially among larger banks due to regulatory challenges, and most activity is occurring with smaller banks where you "win there and lose there," how do you plan to leverage consolidation trends to strengthen your position and drive growth with larger financial institutions?
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While you've seen strong demand and momentum in international markets, particularly in Capital Markets outside the U.S., what challenges do you foresee in expanding your Banking Solutions internationally, and what strategies are in place to ensure sustainable growth in these regions?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Virtus Partners | 2023 | In January 2023, FIS exercised its put option to acquire the remaining 30% interest in Virtus Partners for a $173 million redemption value, achieving 100% ownership and recording the transaction as a financing activity. |
Payrix Holdings, LLC | 2021 | On December 23, 2021, FIS completed the business combination acquisition of Payrix for $777 million (mainly in cash), allocating significant amounts to goodwill and software assets; this strategic move enhanced FIS's eCommerce and SMB market access by embedding and monetizing payments in SaaS platforms and leveraging its integrated back-end acquiring stack. |
Recent press releases and 8-K filings for FIS.
- FIS entered into a material definitive agreement with Global Payments Inc., Total System Services LLC, and Worldpay to acquire the Issuer Solutions Business for an enterprise value of $13.5 billion (subject to customary adjustments).
- Concurrently, as part of the transaction, FIS will sell its equity interest in Worldpay, with its pre-tax portion of the allocated purchase price expected to be approximately $6.6 billion.
- The closing of the transaction is subject to standard regulatory approvals, closing conditions, and potential extension rights until April 16, 2026.
- Transformative Transaction: In a $24.25B deal, FIS sold a portion of its Worldpay stake for $6.6B pre-tax (59% cash/41% stock) while retaining a 45% stake .
- Strategic Acquisition: FIS acquired Global Payments’ Issuer Solutions business for a net $12B (total EV $13.5B), financed by debt and its retained stake .
- Synergy Benefits: The combined transactions are expected to deliver over $125M in revenue synergies and more than $150M in net EBITDA synergies by year three, with additional first-year free cash flow benefits .
- Portfolio Simplification: These moves position FIS to simplify its operating portfolio and boost high-margin, recurring revenue while enhancing global credit processing and cross-selling opportunities .
- Q1 2025 Financials: Preliminary results reported total revenue of approximately $2.5B, Adjusted EBITDA around $958M, and Adjusted EPS near $1.21 .
- Strategic Priorities and Execution: The executives highlighted their focus on client centricity, innovation, and simplification—noting improvements such as a doubled core win rate in community banks and enhancements in product performance (e.g., Horizon improvements).
- Banking Segment Guidance and Sales Momentum: They provided guidance for the banking segment, with strong visibility into an acceleration from about 1% in Q1 to 4% in Q2 supported by recent implementation shifts and deferrals being resolved.
- Product Innovation Initiatives: New solutions such as the Office of the CFO initiative, TreasuryGPT, and specialized product bundles were launched, emphasizing cross-selling opportunities and an expanded sales force focused on recurring revenue.
- Margin Expansion and Free Cash Flow Focus: The company is achieving margin improvements through rigorous cost reduction—targeting a 40-45 basis point margin expansion this year—and expects further benefits from the trailing impact of the Worldpay separation on free cash flow generation.
- Capital Return and Share Buyback: In 2024, FIS executed a $4.8 billion capital return and is committed to $2 billion in 2025, including a $1.2 billion share buyback, as part of its realignment post-Worldpay transition.
- Growth Guidance and Digital Momentum: The company expects 2025 to see 4.6%-5.2% revenue growth and 9%-11% EPS growth, built on a stable core banking performance and significant digital expansion, with digital segment sales up 70% last year.
- Capital Markets Strength and M&A Strategy: The Capital Markets segment delivered 7% revenue growth with strong margin improvements, while lower-than-expected M&A spend of $600 million last year reinforces a strategy to return excess cash to shareholders.