Sign In  |  Register  |  About Daly City  |  Contact Us

Daly City, CA
September 01, 2020 1:20pm
7-Day Forecast | Traffic
  • Search Hotels in Daly City

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

FLEETCOR Reports Second Quarter 2023 Financial Results

FLEETCOR Technologies, Inc. (NYSE: FLT), a leading global business payments company, today reported financial results for its second quarter ended June 30, 2023.

“Our second quarter results were solid with 10% revenue growth, 20% sales growth and 11% EBITDA growth,” said Ron Clarke, chairman and chief executive officer, FLEETCOR Technologies, Inc. “We are raising our 2023 guidance to reflect our second quarter beat. We are progressing with our strategic review and a range of options are on the table.”

Financial Results for Second Quarter of 2023:

GAAP Results

  • Revenues increased 10% to $948.2 million in the second quarter of 2023, compared to $861.3 million in the second quarter of 2022.
  • Net income decreased 9% to $239.7 million in the second quarter of 2023, compared to $262.2 million in the second quarter of 2022, largely due to $65 million in higher interest expense over the second quarter of 2022.
  • Net income per diluted share decreased 5% to $3.20 in the second quarter of 2023, compared to $3.35 per diluted share in the second quarter of 2022, largely due to higher interest expense.

Non-GAAP Results1

  • EBITDA1 increased 11% to $497.1 million in the second quarter of 2023, compared to $448.9 million in the second quarter of 2022.
  • Adjusted net income1 decreased 4% to $314.3 million in the second quarter of 2023, compared to $326.1 million in the second quarter of 2022, largely due to lower fuel prices and higher net interest expense.
  • Adjusted net income per diluted share1 increased 1% to $4.19 in the second quarter of 2023, compared to $4.17 per diluted share in the second quarter of 2022.

1Reconciliations of GAAP results to non-GAAP results are provided in Exhibit 1 and 6 attached. Additional supplemental data is provided in Exhibits 2-5. A reconciliation of GAAP guidance to non-GAAP guidance is provided in Exhibit 7.

“Our second quarter results came in ahead of the expectations we provided in May, for both revenue and adjusted net income per share,” said Tom Panther, chief financial officer, FLEETCOR Technologies, Inc.

Updated Fiscal Year 2023 Outlook:

“The outlook for the second half of the year remains in-line with our expectations as we expect the fundamental trends from the first half of the year to continue. We expect solid growth in the second half of 2023 as we lap the interest and credit overhangs from last year and our organic revenue growth continues,” concluded Panther.

For fiscal year 2023, FLEETCOR Technologies, Inc.'s updated financial guidance1 is as follows:

  • Total revenues between $3,836 million and $3,860 million;
  • Net income between $1,006 million and $1,028 million;
  • Net income per diluted share between $13.42 and $13.68;
  • Adjusted net income between $1,281 million and $1,303 million; and
  • Adjusted net income per diluted share between $17.09 and $17.35.

FLEETCOR’s guidance assumptions are as follows:

For the balance of the year:

  • Weighted average U.S. fuel prices of $3.66 per gallon;
  • Market fuel spreads to decline compared to the second half of 2022 average; and
  • Foreign exchange rates equal to the monthly average for July 2023.

For the full year:

  • Interest expense between $330 million and $340 million;
  • Approximately 75 million fully diluted shares outstanding;
  • A tax rate of 26% to 27%; and
  • No impact related to acquisitions and dispositions not already closed.

Third Quarter of 2023 Outlook:

The Company currently expects third quarter revenues between $980 million and $1 billion, and adjusted net income per diluted share between $4.44 and $4.64.

Interest Rate Swaps:

In August 2023, the Company entered into $2.0 billion of interest rate swaps, with an average term of three and a half years and average fixed rate of 4.30%, to reduce the variability of interest payments on our floating rate debt. The combination of these swaps, along with existing swaps, helps to manage interest rate risk on approximately 60% of floating rate debt in our Credit Facility.

Conference Call:

The Company will host a conference call to discuss second quarter 2023 financial results today at 5:00 pm ET. Hosting the call will be Ron Clarke, chief executive officer, Tom Panther, chief financial officer and Jim Eglseder, investor relations. The conference call can be accessed live via webcast from the Company's investor relations website at http://investor.fleetcor.com. A replay will be available one hour after the call and can be accessed by dialing (844) 512-2921 or (412) 317-6671 for international callers; the conference ID is 34263350. The replay will be available until August 15, 2023. Prior to the conference call, the Company will post supplemental financial information that will be discussed during the call and live webcast.

Forward-Looking Statements:

This press release contains forward-looking statements within the meaning of the federal securities laws. Statements that are not historical facts, including statements about FLEETCOR’s beliefs, assumptions, expectations and future performance, are forward-looking statements. Forward-looking statements can be identified by the use of words such as “anticipate,” “intend,” “believe,” “estimate,” “plan,” “seek,” “project” or “expect,” “may,” “will,” “would,” “could” or “should,” the negative of these terms or other comparable terminology.

These forward-looking statements are not a guarantee of performance, and you should not place undue reliance on such statements. We have based these forward-looking statements largely on preliminary information, internal estimates and management assumptions, expectations and plans about future conditions, events and results. Forward-looking statements are subject to many uncertainties and other variable circumstances, such as our ability to successfully execute our strategic plan and portfolio review; adverse changes in program fees or charges we may collect, whether through legal, regulatory or contractual changes; adverse outcomes with respect to current and future legal proceedings or investigations, including without limitation, the FTC lawsuit, or actions of governmental, regulatory or quasi-governmental bodies or standards or industry organizations with respect to our payment cards; delays or failures associated with implication of, or adaption to, new technology, changes in credit risk of customers and associated losses; failure to maintain or renew key business relationships; failure to maintain competitive product offerings; failure to complete, or delays in completing, acquisitions, new partnerships or customer arrangements; and to successfully integrate or otherwise achieve anticipated benefits from such acquisitions, partnerships, and customer arrangements; failure to successfully expand and manage our business internationally; and other risks related to our international operations, including the impact of the conflict between Russia and Ukraine on our business and operations, the potential impact to our business as a result of the United Kingdom’s referendum to leave the European Union; the impact of foreign exchange rates on operations, revenues and income; and the failure or compromise of our data centers and other information technology assets; as well as the other risks and uncertainties identified under the caption "Risk Factors" in FLEETCOR's Annual Report on Form 10-K for the year ended December 31, 2022 filed with the Securities and Exchange Commission (“SEC”) on February 28, 2023 and subsequent filings with the SEC made by us. These factors could cause our actual results and experience to differ materially from any forward-looking statement made herein. The forward-looking statements included in this press release are made only as of the date hereof and we do not undertake, and specifically disclaim, any obligation to update any such statements as a result of new information, future events or developments, except as specifically stated or to the extent required by law. You may access FLEETCOR’s SEC filings for free by visiting the SEC web site at www.sec.gov.

About Non-GAAP Financial Measures:

This press release includes non-GAAP financial measures, which are used by the Company as supplemental measures to evaluate its overall operating performance. The Company’s definitions of the non-GAAP financial measures used herein may differ from similarly titled measures used by others, including within our industry. By providing these non-GAAP financial measures, together with reconciliations to the most directly comparable GAAP financial measures, we believe we are enhancing investors’ understanding of our business and our results of operations, as well as assisting investors in evaluating how well we are executing strategic initiatives. See the appendix for additional information regarding these non-GAAP financial measures and a reconciliation to the most directly comparable GAAP measure.

Adjusted net income is calculated as net income, adjusted to eliminate (a) non-cash share based compensation expense related to share based compensation awards, (b) amortization of deferred financing costs, discounts, intangible assets, and amortization of the premium recognized on the purchase of receivables, (c) integration and deal related costs, and (d) other non-recurring items, including unusual credit losses, the impact of discrete tax items, impairment charges, asset write-offs, restructuring costs, gains due to disposition of assets/businesses, loss on extinguishment of debt, and legal settlements and related legal fees. We adjust net income for the tax effect of adjustments using our effective income tax rate, exclusive of discrete tax items. We calculate adjusted net income and adjusted net income per diluted share to eliminate the effect of items that we do not consider indicative of our core operating performance.

Adjusted net income and adjusted net income per diluted share are supplemental measures of operating performance that do not represent and should not be considered as an alternative to net income, net income per diluted share or cash flow from operations, as determined by U.S. generally accepted accounting principles, or U.S. GAAP. We believe it is useful to exclude non-cash share based compensation expense from adjusted net income because non-cash equity grants made at a certain price and point in time do not necessarily reflect how our business is performing at any particular time and share based compensation expense is not a key measure of our core operating performance. We also believe that amortization expense can vary substantially from company to company and from period to period depending upon their financing and accounting methods, the fair value and average expected life of their acquired intangible assets, their capital structures and the method by which their assets were acquired; therefore, we have excluded amortization expense from our adjusted net income. Integration and deal related costs represent business acquisition transaction costs, professional services fees, short-term retention bonuses and system migration costs, etc., that are not indicative of the performance of the underlying business. We also believe that certain expenses, discrete tax items, recoveries (e.g. legal settlements, write-off of customer receivable, etc.), gains and losses on investments, and impairment charges do not necessarily reflect how our investments and business are performing. We adjust net income for the tax effect of each of these adjustments items using the effective tax rate during the period, exclusive of discrete tax items.

Organic revenue growth is calculated as revenue growth in the current period adjusted for the impact of changes in the macroeconomic environment (to include fuel price, fuel price spreads and changes in foreign exchange rates) over revenue in the comparable prior period adjusted to include or remove the impact of acquisitions and/or divestitures and non-recurring items that have occurred subsequent to that period. We believe that organic revenue growth on a macro-neutral, one-time item, and consistent acquisition/divestiture/non-recurring item basis is useful to investors for understanding the performance of FLEETCOR.

EBITDA is defined as earnings before interest, income taxes, interest expense, net, other expense (income), depreciation and amortization, loss on extinguishment of debt, investment loss/gain and other operating, net.

Management uses adjusted net income, adjusted net income per diluted share, organic revenue growth and EBITDA:

  • as measurements of operating performance because they assist us in comparing our operating performance on a consistent basis;
  • for planning purposes, including the preparation of our internal annual operating budget;
  • to allocate resources to enhance the financial performance of our business; and
  • to evaluate the performance and effectiveness of our operational strategies.

About FLEETCOR®

FLEETCOR Technologies (NYSE: FLT) is a leading global business payments company that helps businesses spend less by providing innovative solutions that enable and control expense-related purchasing and payment processes. The FLEETCOR portfolio of brands automate, secure, digitize and manage payment transactions on behalf of businesses across more than 150 countries in North America, Latin America, Europe, and Asia Pacific. For more information, please visit www.FLEETCOR.com.

FLEETCOR Technologies, Inc. and Subsidiaries

Unaudited Consolidated Statements of Income

(In thousands, except per share amounts)

 

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2023

 

 

 

2022

 

 

% Change

 

 

2023

 

 

 

2022

 

% Change

Revenues, net

 

$

948,174

 

 

$

861,278

 

 

10

%

 

$

1,849,507

 

 

$

1,650,519

 

12

%

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Processing

 

 

205,265

 

 

 

185,588

 

 

11

%

 

 

410,232

 

 

 

359,782

 

14

%

Selling

 

 

86,412

 

 

 

79,324

 

 

9

%

 

 

168,004

 

 

 

156,213

 

8

%

General and administrative

 

 

159,356

 

 

 

147,446

 

 

8

%

 

 

314,040

 

 

 

290,968

 

8

%

Depreciation and amortization

 

 

83,676

 

 

 

78,474

 

 

7

%

 

 

167,908

 

 

 

155,276

 

8

%

Other operating, net

 

 

815

 

 

 

(34

)

 

NM

 

 

 

1,478

 

 

 

79

 

NM

 

Total operating expense

 

 

535,524

 

 

 

490,798

 

 

9

%

 

 

1,061,662

 

 

 

962,318

 

10

%

Operating income

 

 

412,650

 

 

 

370,480

 

 

11

%

 

 

787,845

 

 

 

688,201

 

14

%

Other expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Investment loss (gain)

 

 

18

 

 

 

193

 

 

NM

 

 

 

(172

)

 

 

345

 

NM

 

Other (income) expense, net

 

 

(2,424

)

 

 

3,564

 

 

NM

 

 

 

(1,678

)

 

 

4,433

 

NM

 

Interest expense, net

 

 

88,486

 

 

 

23,070

 

 

284

%

 

 

168,281

 

 

 

45,100

 

273

%

Total other expense

 

 

86,080

 

 

 

26,827

 

 

221

%

 

 

166,431

 

 

 

49,878

 

234

%

Income before income taxes

 

 

326,570

 

 

 

343,653

 

 

(5

)%

 

 

621,414

 

 

 

638,323

 

(3

)%

Provision for income taxes

 

 

86,868

 

 

 

81,482

 

 

7

%

 

 

166,877

 

 

 

158,200

 

5

%

Net income

 

$

239,702

 

 

$

262,171

 

 

(9

)%

 

$

454,537

 

 

$

480,123

 

(5

)%

Basic earnings per share

 

$

3.24

 

 

$

3.42

 

 

(5

)%

 

$

6.17

 

 

$

6.22

 

(1

)%

Diluted earnings per share

 

$

3.20

 

 

$

3.35

 

 

(5

)%

 

$

6.08

 

 

$

6.10

 

%

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

Basic shares

 

 

73,887

 

 

 

76,769

 

 

 

 

 

73,705

 

 

 

77,250

 

 

Diluted shares

 

 

75,001

 

 

 

78,239

 

 

 

 

 

74,763

 

 

 

78,762

 

 

 

NM- Not Meaningful

 

FLEETCOR Technologies, Inc. and Subsidiaries

Consolidated Balance Sheets

(In thousands)

 

 

 

June 30, 2023

 

December 31, 2022

 

 

(Unaudited)

 

 

Assets

 

 

 

 

Current assets:

 

 

 

 

Cash and cash equivalents

 

$

1,254,243

 

 

$

1,435,163

 

Restricted cash

 

 

1,456,992

 

 

 

854,017

 

Accounts and other receivables (less allowance)

 

 

2,460,650

 

 

 

2,064,745

 

Securitized accounts receivable — restricted for securitization investors

 

 

1,248,000

 

 

 

1,287,000

 

Prepaid expenses and other current assets

 

 

503,684

 

 

 

465,227

 

Total current assets

 

 

6,923,569

 

 

 

6,106,152

 

Property and equipment, net

 

 

329,146

 

 

 

294,692

 

Goodwill

 

 

5,473,603

 

 

 

5,201,435

 

Other intangibles, net

 

 

2,107,081

 

 

 

2,130,974

 

Investments

 

 

69,721

 

 

 

74,281

 

Other assets

 

 

275,533

 

 

 

281,726

 

Total assets

 

$

15,178,653

 

 

$

14,089,260

 

Liabilities and Stockholders’ Equity

 

 

 

 

Current liabilities:

 

 

 

 

Accounts payable

 

$

1,679,702

 

 

$

1,568,942

 

Accrued expenses

 

 

392,652

 

 

 

351,936

 

Customer deposits

 

 

2,013,236

 

 

 

1,505,004

 

Securitization facility

 

 

1,248,000

 

 

 

1,287,000

 

Current portion of notes payable and lines of credit

 

 

823,231

 

 

 

1,027,056

 

Other current liabilities

 

 

279,069

 

 

 

303,517

 

Total current liabilities

 

 

6,435,890

 

 

 

6,043,455

 

Notes payable and other obligations, less current portion

 

 

4,678,258

 

 

 

4,722,838

 

Deferred income taxes

 

 

538,832

 

 

 

527,465

 

Other noncurrent liabilities

 

 

262,237

 

 

 

254,009

 

Total noncurrent liabilities

 

 

5,479,327

 

 

 

5,504,312

 

Commitments and contingencies

 

 

 

 

Stockholders’ equity:

 

 

 

 

Common stock

 

 

128

 

 

 

128

 

Additional paid-in capital

 

 

3,176,562

 

 

 

3,049,570

 

Retained earnings

 

 

7,665,306

 

 

 

7,210,769

 

Accumulated other comprehensive loss

 

 

(1,357,263

)

 

 

(1,509,650

)

Treasury stock

 

 

(6,221,297

)

 

 

(6,209,324

)

Total stockholders’ equity

 

 

3,263,436

 

 

 

2,541,493

 

Total liabilities and stockholders’ equity

 

$

15,178,653

 

 

$

14,089,260

 

FLEETCOR Technologies, Inc. and Subsidiaries

Unaudited Consolidated Statements of Cash Flows

(In thousands)

 

 

 

Six Months Ended June 30,

 

 

 

2023

 

 

 

2022

 

Operating activities

 

 

 

 

Net income

 

$

454,537

 

 

$

480,123

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

Depreciation

 

 

53,739

 

 

 

43,783

 

Stock-based compensation

 

 

60,844

 

 

 

66,648

 

Provision for credit losses on accounts and other receivables

 

 

74,418

 

 

 

52,704

 

Amortization of deferred financing costs and discounts

 

 

3,574

 

 

 

4,131

 

Amortization of intangible assets and premium on receivables

 

 

114,169

 

 

 

111,493

 

Loss on extinguishment of debt

 

 

 

 

 

1,934

 

Deferred income taxes

 

 

(11,799

)

 

 

(10,864

)

Investment gain

 

 

(172

)

 

 

345

 

Other

 

 

1,478

 

 

 

80

 

Changes in operating assets and liabilities (net of acquisitions):

 

 

 

 

Accounts and other receivables

 

 

(365,572

)

 

 

(1,225,705

)

Prepaid expenses and other current assets

 

 

78,035

 

 

 

(13,088

)

Derivative assets and liabilities, net

 

 

(14,611

)

 

 

20,576

 

Other assets

 

 

29,397

 

 

 

(1,283

)

Accounts payable, accrued expenses and customer deposits

 

 

348,643

 

 

 

510,976

 

Net cash provided by operating activities

 

 

826,680

 

 

 

41,853

 

Investing activities

 

 

 

 

Acquisitions, net of cash acquired

 

 

(126,694

)

 

 

(33,744

)

Purchases of property and equipment

 

 

(78,922

)

 

 

(66,629

)

Other

 

 

4,401

 

 

 

 

Net cash used in investing activities

 

 

(201,215

)

 

 

(100,373

)

Financing activities

 

 

 

 

Proceeds from issuance of common stock

 

 

66,148

 

 

 

18,837

 

Repurchase of common stock

 

 

(11,973

)

 

 

(795,302

)

Borrowings on securitization facility, net

 

 

(39,000

)

 

 

482,000

 

Deferred financing costs paid and debt discount

 

 

 

 

 

(337

)

Proceeds from issuance of notes payable

 

 

 

 

 

3,000,000

 

Principal payments on notes payable

 

 

(47,000

)

 

 

(2,777,000

)

Borrowings from revolver

 

 

4,351,000

 

 

 

1,550,000

 

Payments on revolver

 

 

(4,817,000

)

 

 

(1,356,000

)

Borrowings on swing line of credit, net

 

 

255,750

 

 

 

194

 

Other

 

 

264

 

 

 

 

Net cash (used in) provided by financing activities

 

 

(241,811

)

 

 

122,392

 

Effect of foreign currency exchange rates on cash

 

 

38,401

 

 

 

41,866

 

Net increase in cash and cash equivalents and restricted cash

 

 

422,055

 

 

 

105,738

 

Cash and cash equivalents and restricted cash, beginning of period

 

 

2,289,180

 

 

 

2,250,695

 

Cash and cash equivalents and restricted cash, end of period

 

$

2,711,235

 

 

$

2,356,433

 

Supplemental cash flow information

 

 

 

 

Cash paid for interest, net

 

$

215,850

 

 

$

73,323

 

Cash paid for income taxes, net

 

$

238,769

 

 

$

215,653

 

Exhibit 1

RECONCILIATION OF NON-GAAP MEASURES

(In thousands, except shares and per share amounts)

(Unaudited) 

The following table reconciles net income to adjusted net income and adjusted net income per diluted share:*

 

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

Net income

 

$

239,702

 

 

$

262,171

 

 

$

454,537

 

 

$

480,123

 

 

 

 

 

 

 

 

 

 

Stock based compensation

 

 

34,748

 

 

 

34,017

 

 

 

60,844

 

 

 

66,648

 

Amortization1

 

 

57,704

 

 

 

57,994

 

 

 

117,743

 

 

 

115,624

 

Integration and deal related costs

 

 

9,580

 

 

 

2,957

 

 

 

15,465

 

 

 

9,210

 

Legal settlements/litigation

 

 

140

 

 

 

1,467

 

 

 

484

 

 

 

1,902

 

Restructuring, related and other2 costs

 

 

(595

)

 

 

763

 

 

 

703

 

 

 

763

 

Loss on extinguishment of debt

 

 

 

 

 

1,934

 

 

 

 

 

 

1,934

 

Total pre-tax adjustments

 

 

101,577

 

 

 

99,132

 

 

 

195,239

 

 

 

196,081

 

Income taxes

 

 

(27,020

)

 

 

(35,164

)

 

 

(52,436

)

 

 

(60,405

)

Adjusted net income

 

$

314,259

 

 

$

326,139

 

 

$

597,340

 

 

$

615,799

 

Adjusted net income per diluted share

 

$

4.19

 

 

$

4.17

 

 

$

7.99

 

 

$

7.82

 

 

 

 

 

 

 

 

 

 

Diluted shares

 

 

75,001

 

 

 

78,239

 

 

 

74,763

 

 

 

78,762

 

 

1 Includes amortization related to intangible assets, premium on receivables, deferred financing costs and debt discounts.

2 Includes impact of foreign currency transactions; prior amounts were not material ($1.8 million) for recast.

*Columns may not calculate due to rounding.

Exhibit 2

Key Performance Indicators, by Segment and Revenue Per Performance Metric on a GAAP Basis and Pro Forma and Macro Adjusted

(In millions except revenues, net per key performance metric)

(Unaudited) 

The following table presents revenue and revenue per key performance metric by segment*

 

 

As Reported

 

Pro Forma and Macro Adjusted2

 

 

Three Months Ended June 30,

 

Three Months Ended June 30,

 

 

 

2023

 

 

 

2022

 

 

Change

 

%

Change

 

 

2023

 

 

 

2022

 

 

Change

 

%

Change

FLEET

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

382.6

 

 

$

377.4

 

 

$

5.2

 

 

1

%

 

$

399.9

 

 

$

378.9

 

 

$

21.0

 

 

6

%

- Transactions

 

 

124.0

 

 

 

122.5

 

 

 

1.5

 

 

1

%

 

 

124.0

 

 

 

122.9

 

 

 

1.0

 

 

1

%

- Revenues, net per transaction

 

$

3.09

 

 

$

3.08

 

 

$

0.01

 

 

%

 

$

3.23

 

 

$

3.08

 

 

$

0.14

 

 

5

%

CORPORATE PAYMENTS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

247.0

 

 

$

189.7

 

 

$

57.3

 

 

30

%

 

$

249.9

 

 

$

204.6

 

 

$

45.3

 

 

22

%

- Spend volume

 

 

36,041

 

 

 

28,836

 

 

 

7,205

 

 

25

%

 

 

36,041

 

 

 

31,251

 

 

 

4,789

 

 

15

%

- Revenues, net per spend $

 

 

0.69

%

 

 

0.66

%

 

 

0.03

%

 

4

%

 

 

0.69

%

 

 

0.65

%

 

 

0.04

%

 

6

%

LODGING

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

136.6

 

 

$

116.9

 

 

$

19.7

 

 

17

%

 

$

136.7

 

 

$

119.5

 

 

$

17.2

 

 

14

%

- Room nights

 

 

9.3

 

 

 

9.5

 

 

 

(0.2

)

 

(2

)%

 

 

9.3

 

 

 

9.7

 

 

 

(0.4

)

 

(4

)%

- Revenues, net per room night

 

$

14.65

 

 

$

12.30

 

 

$

2.35

 

 

19

%

 

$

14.67

 

 

$

12.35

 

 

$

2.32

 

 

19

%

BRAZIL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

126.1

 

 

$

111.8

 

 

$

14.3

 

 

13

%

 

$

128.6

 

 

$

111.8

 

 

$

16.8

 

 

15

%

- Tags (average monthly)

 

 

6.6

 

 

 

6.1

 

 

 

0.4

 

 

7

%

 

 

6.6

 

 

 

6.1

 

 

 

0.4

 

 

7

%

- Revenues, net per tag

 

$

19.21

 

 

$

18.22

 

 

$

0.99

 

 

5

%

 

$

19.59

 

 

$

18.22

 

 

$

1.37

 

 

8

%

OTHER1

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

56.0

 

 

$

65.5

 

 

$

(9.5

)

 

(15

)%

 

$

56.2

 

 

$

65.5

 

 

$

(9.3

)

 

(14

)%

- Transactions

 

 

269.8

 

 

 

287.5

 

 

 

(17.7

)

 

(6

)%

 

 

269.8

 

 

 

287.5

 

 

 

(17.7

)

 

(6

)%

- Revenues, net per transaction

 

$

0.21

 

 

$

0.23

 

 

$

(0.02

)

 

(9

)%

 

$

0.21

 

 

$

0.23

 

 

$

(0.02

)

 

(8

)%

FLEETCOR CONSOLIDATED REVENUES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

- Revenues, net

 

$

948.2

 

 

$

861.3

 

 

$

86.9

 

 

10

%

 

$

971.3

 

 

$

880.3

 

 

$

91.0

 

 

10

%

 

1 Other includes Gift and Payroll Card operating segments.

 2 See Exhibit 5 for a reconciliation of Pro forma and Macro Adjusted revenue by solution and metrics, non-GAAP measures, to the GAAP equivalent.
 *Columns may not calculate due to rounding.

Exhibit 3

Revenues by Geography and Segment

(In millions)

(Unaudited)

Revenues, net by Geography*

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2023

 

%

 

 

2022

 

%

 

 

2023

 

%

 

 

2022

 

%

US

$

535

 

56

%

 

$

528

 

61

%

 

$

1,048

 

57

%

 

$

999

 

61

%

Brazil

 

126

 

13

%

 

 

112

 

13

%

 

 

248

 

13

%

 

 

214

 

13

%

UK

 

111

 

12

%

 

 

93

 

11

%

 

 

219

 

12

%

 

 

188

 

11

%

Other

 

176

 

19

%

 

 

128

 

15

%

 

 

334

 

18

%

 

 

249

 

15

%

Consolidated Revenues, net

$

948

 

100

%

 

$

861

 

100

%

 

$

1,850

 

100

%

 

$

1,651

 

100

%

 

*Columns may not calculate due to rounding.

Revenues, net by Segment*

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

2023

 

%

 

 

2022

 

%

 

 

2023

 

%

 

 

2022

 

%

Fleet

$

383

 

40

%

 

$

377

 

44

%

 

$

755

 

41

%

 

$

729

 

44

%

Corporate Payments

 

247

 

26

%

 

 

190

 

22

%

 

 

474

 

26

%

 

 

373

 

23

%

Lodging

 

137

 

14

%

 

 

117

 

14

%

 

 

259

 

14

%

 

 

211

 

13

%

Brazil

 

126

 

13

%

 

 

112

 

13

%

 

 

248

 

13

%

 

 

214

 

13

%

Other

 

56

 

6

%

 

 

65

 

8

%

 

 

113

 

6

%

 

 

122

 

7

%

Consolidated Revenues, net

$

948

 

100

%

 

$

861

 

100

%

 

$

1,850

 

195

%

 

$

1,651

 

100

%

 

*Columns may not calculate due to rounding. Segment and solutions reporting have converged to be the same.

Exhibit 4

Segment Results*

(In thousands)

(Unaudited)

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

20231

 

 

2022

 

% Change

 

 

20231

 

 

2022

 

% Change

Revenues, net:

 

 

 

 

 

 

 

 

 

 

 

 

Fleet

 

$

382,609

 

$

377,361

 

1

%

 

$

755,321

 

$

728,954

 

4

%

Corporate Payments

 

 

246,952

 

 

189,699

 

30

%

 

 

474,158

 

 

373,467

 

27

%

Lodging

 

 

136,564

 

 

116,900

 

17

%

 

 

258,898

 

 

211,476

 

22

%

Brazil

 

 

126,081

 

 

111,825

 

13

%

 

 

247,825

 

 

214,362

 

16

%

Other1

 

 

55,968

 

 

65,493

 

(15

)%

 

 

113,305

 

 

122,260

 

(7

)%

 

 

$

948,174

 

$

861,278

 

10

%

 

$

1,849,507

 

$

1,650,519

 

12

%

Operating income:

 

 

 

 

 

 

 

 

 

 

 

 

Fleet

 

$

183,657

 

$

186,790

 

(2

)%

 

$

357,189

 

$

354,635

 

1

%

Corporate Payments

 

 

91,755

 

 

65,859

 

39

%

 

 

167,268

 

 

124,066

 

35

%

Lodging

 

 

68,246

 

 

58,559

 

17

%

 

 

122,809

 

 

98,339

 

25

%

Brazil

 

 

52,802

 

 

41,617

 

27

%

 

 

107,619

 

 

78,945

 

36

%

Other1

 

 

16,190

 

 

17,655

 

(8

)%

 

 

32,960

 

 

32,216

 

2

%

 

 

$

412,650

 

$

370,480

 

11

%

 

$

787,845

 

$

688,201

 

14

%

Depreciation and amortization:

 

 

 

 

 

 

 

 

 

 

 

 

Fleet

 

$

35,906

 

$

34,927

 

3

%

 

$

70,992

 

$

69,634

 

2

%

Corporate Payments

 

 

18,277

 

 

16,724

 

9

%

 

 

39,148

 

 

33,072

 

18

%

Lodging

 

 

11,661

 

 

10,321

 

13

%

 

 

23,059

 

 

20,855

 

11

%

Brazil

 

 

15,522

 

 

14,288

 

9

%

 

 

30,075

 

 

27,409

 

10

%

Other1

 

 

2,310

 

 

2,214

 

4

%

 

 

4,634

 

 

4,306

 

8

%

 

 

$

83,676

 

$

78,474

 

7

%

 

$

167,908

 

$

155,276

 

8

%

Capital expenditures:

 

 

 

 

 

 

 

 

 

 

 

 

Fleet

 

$

20,734

 

$

18,447

 

12

%

 

$

37,865

 

$

34,237

 

11

%

Corporate Payments

 

 

7,471

 

 

5,158

 

45

%

 

 

15,266

 

 

9,646

 

58

%

Lodging

 

 

3,496

 

 

2,067

 

69

%

 

 

6,873

 

 

3,759

 

83

%

Brazil

 

 

8,642

 

 

7,620

 

13

%

 

 

15,530

 

 

13,598

 

14

%

Other1

 

 

1,842

 

 

1,950

 

(6

)%

 

 

3,388

 

 

5,389

 

(37

)%

 

 

$

42,185

 

$

35,242

 

20

%

 

$

78,922

 

$

66,629

 

18

%

 

1Other includes Gift and Payroll Card operating segments.

*Columns may not calculate due to rounding.

Exhibit 5

Reconciliation of Non-GAAP Revenue and Key Performance Metric by Segment to GAAP

(In millions)

(Unaudited)

 

 

Revenues, net

 

 

Key Performance Metric

 

 

Three Months Ended June 30,

 

Three Months Ended June 30,

 

 

2023*

 

2022*

 

 

2023*

 

2022*

FLEET - TRANSACTIONS

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

399.9

 

 

$

378.9

 

 

 

 

124.0

 

 

122.9

 

Impact of acquisitions/dispositions

 

 

 

 

 

(1.5

)

 

 

 

 

 

(0.5

)

Impact of fuel prices/spread

 

 

(12.5

)

 

 

 

 

 

 

 

 

 

Impact of foreign exchange rates

 

 

(4.8

)

 

 

 

 

 

 

 

 

 

As reported

 

$

382.6

 

 

$

377.4

 

 

 

 

124.0

 

 

122.5

 

CORPORATE PAYMENTS - SPEND

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

249.9

 

 

$

204.6

 

 

 

$

36,041

 

$

31,251

 

Impact of acquisitions/dispositions

 

 

 

 

 

(14.9

)

 

 

 

 

 

(2,416

)

Impact of fuel prices/spread

 

 

(0.4

)

 

 

 

 

 

 

 

 

 

Impact of foreign exchange rates

 

 

(2.5

)

 

 

 

 

 

 

 

 

 

As reported

 

$

247.0

 

 

$

189.7

 

 

 

$

36,041

 

$

28,836

 

LODGING - ROOM NIGHTS

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

136.7

 

 

$

119.5

 

 

 

 

9.3

 

 

9.7

 

Impact of acquisitions/dispositions

 

 

 

 

 

(2.6

)

 

 

 

 

 

(0.2

)

Impact of fuel prices/spread

 

 

 

 

 

 

 

 

 

 

 

 

Impact of foreign exchange rates

 

 

(0.1

)

 

 

 

 

 

 

 

 

 

As reported

 

$

136.6

 

 

$

116.9

 

 

 

 

9.3

 

 

9.5

 

BRAZIL - TAGS

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

128.6

 

 

$

111.8

 

 

 

 

6.6

 

 

6.1

 

Impact of acquisitions/dispositions

 

 

 

 

 

 

 

 

 

 

 

 

Impact of fuel prices/spread

 

 

(1.4

)

 

 

 

 

 

 

 

 

 

Impact of foreign exchange rates

 

 

(1.1

)

 

 

 

 

 

 

 

 

 

As reported

 

$

126.1

 

 

$

111.8

 

 

 

 

6.6

 

 

6.1

 

OTHER1 - TRANSACTIONS

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

56.2

 

 

$

65.5

 

 

 

 

269.8

 

 

287.5

 

Impact of acquisitions/dispositions

 

 

 

 

 

 

 

 

 

 

 

 

Impact of fuel prices/spread

 

 

 

 

 

 

 

 

 

 

 

 

Impact of foreign exchange rates

 

 

(0.3

)

 

 

 

 

 

 

 

 

 

As reported

 

$

56.0

 

 

$

65.5

 

 

 

 

269.8

 

 

287.5

 

FLEETCOR CONSOLIDATED REVENUES

 

 

 

 

 

 

 

 

 

Pro forma and macro adjusted

 

$

971.3

 

 

$

880.3

 

 

 

Intentionally Left Blank

Impact of acquisitions/dispositions

 

 

 

 

 

(19.1

)

 

 

Impact of fuel prices/spread2

 

 

(14.4

)

 

 

 

 

 

Impact of foreign exchange rates2

 

 

(8.8

)

 

 

 

 

 

As reported

 

$

948.2

 

 

$

861.3

 

 

 

 

 

 

 

 

 

 

 

 

 

* Columns may not calculate due to rounding.

 

 

1Other includes Gift and Payroll Card operating segments.

2 Revenues reflect an estimated $20 million negative impact from fuel prices as well as approximately $9 million negative impact of movements in foreign exchange rates, partially offset by the positive impact of fuel price spreads of approximately $6 million.

Exhibit 6

RECONCILIATION OF NON-GAAP EBITDA MEASURES

(In millions)

(Unaudited) 

The following table reconciles EBITDA and EBITDA margin to net income.*

 

 

Three Months Ended June 30,

 

Six Months Ended June 30,

 

 

 

2023

 

 

 

2022

 

 

 

2023

 

 

 

2022

 

Net income

 

$

239.7

 

 

$

262.2

 

 

$

454.5

 

 

$

480.1

 

Provision for income taxes

 

 

86.9

 

 

 

81.5

 

 

 

166.9

 

 

 

158.2

 

Interest expense, net

 

 

88.5

 

 

 

23.1

 

 

 

168.3

 

 

 

45.1

 

Other (income) expense

 

 

(2.4

)

 

 

3.6

 

 

 

(1.7

)

 

 

4.4

 

Investment loss (income)

 

 

 

 

 

0.2

 

 

 

(0.2

)

 

 

0.3

 

Depreciation and amortization

 

 

83.7

 

 

 

78.5

 

 

 

167.9

 

 

 

155.3

 

Other operating, net

 

 

0.8

 

 

 

 

 

 

1.5

 

 

 

0.1

 

EBITDA

 

$

497.1

 

 

$

448.9

 

 

$

957.2

 

 

$

843.6

 

 

 

 

 

 

 

 

 

 

Revenues, net

 

$

948.2

 

 

$

861.3

 

 

$

1,849.5

 

 

$

1,650.5

 

EBITDA margin

 

 

52.4

%

 

 

52.1

%

 

 

51.8

%

 

 

51.1

%

 

 

 

 

 

 

 

 

 

* Columns may not calculate due to rounding.

 

Exhibit 7

RECONCILIATION OF NON-GAAP GUIDANCE MEASURES

(In millions, except per share amounts)

(Unaudited) 

The following table reconciles the third quarter 2023 and full year 2023 financial guidance for net income to adjusted net income and adjusted net income per diluted share, at both ends of the range.

 

 

Q3 2023 GUIDANCE

 

 

Low*

 

High*

Net income

 

$

266

 

$

282

Net income per diluted share

 

$

3.54

 

$

3.74

 

 

 

 

 

Stock based compensation

 

 

30

 

 

30

Amortization

 

 

58

 

 

58

Other

 

 

4

 

 

4

Total pre-tax adjustments

 

 

92

 

 

92

Income taxes

 

 

25

 

 

25

Adjusted net income

 

$

333

 

$

349

Adjusted net income per diluted share

 

$

4.44

 

$

4.64

Diluted shares

 

 

75

 

 

75

 

 

 

 

 

 

 

2023 GUIDANCE

 

 

Low*

 

High*

Net income

 

$

1,006

 

$

1,028

Net income per diluted share

 

$

13.42

 

$

13.68

 

 

 

 

 

Stock based compensation

 

 

120

 

 

120

Amortization

 

 

233

 

 

233

Other

 

 

24

 

 

24

Total pre-tax adjustments

 

 

377

 

 

377

Income taxes

 

 

101

 

 

101

Adjusted net income

 

$

1,281

 

$

1,303

Adjusted net income per diluted share

 

$

17.09

 

$

17.35

Diluted shares

 

 

75

 

 

75

 

 

 

 

 

*Includes the results of our Russian business. Assuming August 2023 sale of our Russian business, we expect revenues to be $45 million to $55 million lower, resulting in a $0.25 to $0.35 decline in adjusted net income per diluted share, based on using the sales proceeds for share buybacks over the remainder of the year. Columns may not calculate due to rounding.

 

Contacts

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 DalyCity.com & California Media Partners, LLC. All rights reserved.