Global Payments Inc. (NYSE:GPN) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
Global Payments Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 12.64% to $0.98 in the quarter versus EPS of $0.87 in the year-earlier quarter.
Revenue: Decreased 8.04% to $549 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Global Payments Inc. reported adjusted EPS income of $0.98 per share. By that measure, the company missed the mean analyst estimate of $1.01. It missed the average revenue estimate of $635.28 million.
Quoting Management: “I am also delighted to announce that our Spanish partner, CaixaBank, will be taking a 50% share in Global Payments Brazil. This expands our strategic partnership with CaixaBank and will provide us the opportunity to grow more rapidly in this important region with potential further expansion into other Latin American markets over time,” continued Garcia.
Key Stats (on next page)…
Revenue decreased 5.14% from $578.75 million in the previous quarter. EPS increased 0% from $0.98 in the previous quarter.
Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $1.02 and has not changed. For the current year, the average estimate is a profit of $4.08, which is the same with that ninety days ago.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)