Q3 2023 Earnings Summary
Reported on Oct 31, 2023 (Before Market Open)
Pre-Earnings Price$103.80Last close (Oct 30, 2023)
Post-Earnings Price$104.56Open (Oct 31, 2023)
Price Change
$0.76(+0.73%)
- Global Payments' POS channel continues to see very strong momentum with over 20% growth again this quarter, and the company is enthusiastic about the future of this business, particularly with the upcoming rollout of V2 of their restaurant and retail platform through the Heartland channel in 2024.
- Bookings across the Merchant business are in the double digits, providing good visibility for new business in the coming months, and retention levels remain very consistent, supporting stable revenue performance throughout 2023.
- The company is expanding its POS solutions globally, leveraging capabilities from the U.S. market to international markets such as Canada, the U.K., Spain, Central Europe, and plans to bring it to Poland, Ireland, Greece, and Mexico over the next 12-24 months, creating significant growth opportunities.
- Exposure to macroeconomic and geopolitical risks, including stubborn inflation, rising interest rates, and geopolitical tensions in Europe and the Middle East, which could negatively impact the company's performance.
- Foreign exchange headwinds due to the strengthening of the U.S. dollar are impacting revenue growth, particularly affecting international operations and acquisitions like EVO Payments.
- Slower adoption of technology-heavy POS solutions outside the U.S., as these markets are in earlier stages of development, potentially leading to challenges in expanding their POS business internationally.
Research analysts covering GLOBAL PAYMENTS.