ATLANTA - Global Payments Inc. (NYSE:GPN) reported third-quarter results that met earnings estimates and exceeded revenue expectations, leading to a 2.5% rise in its stock price.
The payments technology company posted adjusted earnings per share of $3.08 for the quarter ended September 30, 2024, just shy of the $3.09 analyst consensus. Revenue came in at $2.6 billion, surpassing the $2.38 billion estimate and representing a 5% YoY increase.
Adjusted net revenue, which excludes certain items, rose 6% to $2.36 billion compared to $2.23 billion in the same quarter last year. The company's adjusted operating margin expanded by 40 basis points to 46.1%.
"We are pleased with our solid financial performance in the third quarter, which reflects strong execution despite ongoing macroeconomic uncertainty," said Cameron Bready, CEO of Global Payments.
The company reaffirmed its full-year 2024 outlook, expecting adjusted net revenue between $9.17 billion and $9.30 billion, representing growth of 6% to 7%. Adjusted EPS is projected to be in the range of $11.54 to $11.70, indicating growth of 11% to 12% over 2023.
Global Payments also announced it has reached a definitive agreement to sell its AdvancedMD business to Francisco Partners, with the transaction expected to close in the fourth quarter. Additionally, the company entered into a $600 million accelerated share repurchase plan and increased its share repurchase authorization to $2.5 billion.
The company's board approved a dividend of $0.25 per share, payable on December 27, 2024, to shareholders of record as of December 13, 2024.
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