Global Payments Inc. Reports Strong Q2 Earnings

by Warren Seah

Global Payments Inc. (GPN) shares experienced a 0.9% increase in premarket trading on Tuesday following the company’s impressive second-quarter earnings report. The payments technology giant announced a net income of $274.1 million, translating to $1.05 per share, compared to a loss of $673.0 million ($2.42 per share) in the same period last year. This substantial improvement was attributed to a rise in adjusted earnings per share, which increased by 11% to $2.62, surpassing the FactSet consensus estimate of $2.59.

Furthermore, Global Payments reported a robust revenue growth of 7.5% to $2.45 billion, significantly surpassing the FactSet consensus estimate of $2.19 billion. Building on this success, the company revised its guidance range for adjusted EPS for 2023, increasing it slightly to $10.35 to $10.44 from the previous range of $10.32 to $10.44.

According to Chief Financial Officer Josh Whipple, “Our 2023 outlook reflects the continued momentum we are seeing in our business, while also accommodating the potential for a more tempered macroeconomic environment over the remainder of the year.”

Investors have responded positively to this news, with Global Payments’ stock soaring 35.5% year-to-date as of Monday, while the S&P 500 has experienced a more modest 19.5% growth.

Global Payments Inc.’s second-quarter earnings report showcases their strong performance and their ability to adapt to market conditions. With an upwardly revised full-year outlook, the company is poised for continued success in the payments technology sector.

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