Global Payments Q3 Earnings Beat on Merchant Solutions Strength

Global Payments Inc. GPN reported third-quarter 2025 adjusted earnings per share (EPS) of $3.26, which beat the Zacks Consensus Estimate of $3.23. The bottom line rose 12% year over year.

Adjusted net revenues improved 3% year over year to $2.4 billion. The top line beat the consensus mark by 0.9%.

The strong quarterly results benefited from growing strength in the Merchant Solutions and Issuer Solutions businesses. Moreover, declining operating expenses also contributed to the bottom line.

Global Payments Inc. Price, Consensus and EPS Surprise

Global Payments Inc. price-consensus-eps-surprise-chart | Global Payments Inc. Quote

GPN’s Operating Performance

Adjusted operating income of $1.1 billion increased 5.5% year over year in the quarter under review. Adjusted operating margin expanded 110 basis points (bps) year over year to 45%.

Total operating expenses of $1.2 billion decreased 20.9% year over year in the third quarter. The decrease was due to lower selling, general and administrative expenses. Interest and other expenses fell 3.4% year over year to $143.8 million.

Q3 Segmental Performances of Global Payments

Merchant Solutions: The segment recorded adjusted revenues of $1.9 billion in the third quarter, which rose 2.2% year over year. The figure surpassed the Zacks Consensus Estimate by 0.7%.

The unit’s adjusted operating income increased 4.4% year over year to $962.3 million and also beat the Zacks Consensus Estimate of $956.8 million.

Issuer Solutions: Adjusted revenues were $561.8 million in the segment, which grew 6.2% year over year in the quarter under review and beat the Zacks Consensus Estimate by 1.8%.

Adjusted operating income improved 9.6% year over year to $263.5 million and beat the Zacks Consensus Estimate of $257.6 million.

GPN’s Financial Position (As of Sept. 30, 2025)

Global Payments exited the third quarter with cash and cash equivalents of $2.6 billion, which increased from $2.4 billion at 2024-end. Total assets of $48 billion rose from $46.9 billion at 2024-end.

Long-term debt amounted to $13.3 billion compared with $15.1 billion at 2024-end. The current portion of long-term debt totaled $1.9 billion at the third-quarter end.

Total equity of $23.3 billion rose from the figure of $22.9 billion at 2024-end.

GPN generated operating cash flows of $2.1 billion in the first nine months of 2025, which declined from the figure of $1.2 billion a year ago.

Capital Deployment Update

GPN repurchased shares worth $1.2 billion in the first nine months of 2025.

The company declared a quarterly dividend of 25 cents per share, which will be paid out on Dec. 26, 2025, to its shareholders of record as of Dec. 12.

GPN’s 2025 Outlook Reaffirmed

Adjusted net revenue growth on a constant currency basis is still expected to be between 5% and 6% in 2025.

Adjusted EPS growth is still anticipated to be between 10% and 11% in 2025. GPN continues to expect to convert almost 90% of adjusted net income into adjusted free cash flow.

The annual adjusted operating margin is now expected to increase more than 50 bps in 2025.

GPN’s Zacks Rank

GPN currently carries a Zacks Rank #3 (Hold).

Upcoming Earnings Releases

Here are three companies from the Business Services space that are likely to report their respective quarterly earnings soon.

Remitly Global, Inc. RELY sports a Zacks Rank of 1 (Strong Buy) at present. The Zacks Consensus Estimate for RELY’s bottom line for the to-be-reported quarter is pegged at 2 cents per share, indicating 100% year-over-year growth. Remitly Global’s earnings beat estimates in three of the past four quarters, with an average surprise of 132.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.

PagSeguro Digital Ltd PAGS has a Zacks Rank of 3 at present. The Zacks Consensus Estimate for PAGS’ bottom line for the to-be-reported quarter is pegged at 35 cents per share, indicating 9.4% year-over-year growth. PagSeguro Digital’s earnings beat estimates in each of the past four quarters, with an average surprise of 10.1%.

Corpay, Inc. CPAY currently has a Zacks Rank of 3. The Zacks Consensus Estimate for CPAY’s bottom line for the to-be-reported quarter of $5.63 per share indicates 12.6% year-over-year growth. It remained stable over the past week. Corpay’s earnings beat estimates in three of the last four quarters and met once.

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