Fiserv Reports First Quarter 2026 Results
Rhea-AI Summary
Fiserv (NASDAQ: FISV) reported Q1 2026 results: GAAP revenue of $5.03 billion (‑2% YoY) and GAAP EPS of $1.07 (‑29% YoY). Adjusted revenue was $4.68 billion (‑2%) and adjusted EPS was $1.79 (‑16%). Free cash flow fell to $259 million.
The company repurchased 3.3 million shares for $200 million and recorded a $254 million income tax benefit. Fiserv reaffirmed 2026 guidance: organic revenue +1% to +3% and adjusted EPS $8.00–$8.30. Investor Day is May 14, 2026.
Positive
- Company reaffirmed 2026 organic revenue growth of 1%–3%
- Company reaffirmed 2026 adjusted EPS guidance of $8.00–$8.30
- Share repurchase of 3.3 million shares for $200 million
- Recognized a $254 million income tax benefit reducing the effective tax rate
Negative
- GAAP EPS declined 29% to $1.07 in Q1 2026
- Adjusted EPS declined 16% to $1.79 in Q1 2026
- Adjusted operating margin fell from 37.8% to 29.7%
- Free cash flow declined ~30% to $259 million from $371 million
Key Figures
Market Reality Check
Peers on Argus
No peers from the same industry appeared in the momentum scanner, suggesting recent action is driven by company-specific factors rather than a sector rotation.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 10 | Quarterly earnings | Neutral | +4.1% | Q4 and full-year 2025 results with 2026 guidance introduction. |
Limited earnings history in the last six months shows a single prior earnings release that saw a positive price reaction despite mixed headline metrics.
Recent news for Fiserv centers on financial performance and product expansion. The prior earnings release on Feb 10, 2026 reported modest GAAP revenue growth and mixed EPS trends for 2025, yet the stock rose 4.07% over the next day. Product and partnership announcements through April 2026 highlighted ecosystem expansion and new integrations. Today’s first-quarter 2026 results repeat the 2026 guidance of organic revenue growth of 1%–3% and adjusted EPS of $8.00–$8.30, tying back to that earlier outlook.
Historical Comparison
In the last six months, Fiserv had one earnings release, which moved the stock 4.07% over 24 hours. That event also paired mixed EPS trends with reiterated guidance.
Earnings updates have progressed from full-year 2025 results and initial 2026 guidance in February to first-quarter 2026 results that maintain the same organic revenue and adjusted EPS outlook ranges.
Market Pulse Summary
This announcement details Q1 2026 results with lower GAAP and adjusted EPS, compressed margins, and softer free cash flow, while reaffirming 2026 guidance for 1%–3% organic revenue growth and $8.00–$8.30 adjusted EPS. Earlier full-year 2025 results in February also paired mixed earnings with this same outlook. Investors may focus on segment-level revenue declines, execution on productivity programs, and whether future quarters track toward the stated full-year targets.
AI-generated analysis. Not financial advice.
GAAP revenue decrease of
GAAP EPS decreased
Company affirms 2026 organic revenue growth outlook of
and adjusted EPS outlook of
MILWAUKEE, May 05, 2026 (GLOBE NEWSWIRE) -- Fiserv, Inc. (NASDAQ: FISV), a leading global provider of payments and financial services technology solutions, today reported financial results for the first quarter of 2026.
First Quarter 2026 GAAP Results
GAAP revenue for the company was
GAAP operating margin was
“During the first quarter, we remained in execution mode, delivering results in line with the expectations we shared in February,” said Mike Lyons, Chief Executive Officer of Fiserv. “Our team is focused on advancing the One Fiserv Action Plan and while significant work remains, we are encouraged by our progress. We look forward to providing more details on our strategy and medium-term financial outlook at our May 14th Investor Day.”
First Quarter 2026 Non-GAAP Results and Additional Information
- Adjusted revenue was
$4.68 billion in the first quarter of 2026, a decrease of2% compared to the prior year period. - Organic revenue decreased
4% in the first quarter of 2026, with a1% decline in the Merchant Solutions segment and a6% decline in the Financial Solutions segment. - Adjusted earnings per share was
$1.79 in the first quarter of 2026, a decrease of16% compared to the prior year period. - Adjusted operating margin was
29.7% in the first quarter of 2026 compared to37.8% in the first quarter of 2025. - Adjusted operating margin was
26.4% and34.2% in the Merchant Solutions segment and38.1% and47.5% in the Financial Solutions segment in the first quarter of 2026 and 2025, respectively. - Free cash flow was
$259 million in the first quarter of 2026 compared to$371 million in the prior year period. - The company repurchased 3.3 million shares of common stock for
$200 million in the first quarter of 2026. - The first quarter of 2026 included a net
$254 million income tax benefit related to the release of various foreign valuation allowances, partially offset by$74 million of other discrete tax items, resulting in an overall lower effective income tax rate. - In March 2026, Fiserv was named one of America’s Most Innovative Companies by Fortune for the fourth consecutive year.
Outlook for 2026
Fiserv continues to expect organic revenue growth of
“First quarter results were supported by stable underlying account and volume trends,” said Paul Todd, Chief Financial Officer of Fiserv. “We remain confident in our full-year guidance and are encouraged by the progress we are making with productivity initiatives, including Project Elevate.”
Earnings Conference Call
The company will discuss its first quarter 2026 results in a live webcast at 7 a.m. CT on Tuesday, May 5, 2026. The webcast, along with supplemental financial information, can be accessed on the investor relations section of the Fiserv website at investors.fiserv.com. A replay will be available approximately one hour after the conclusion of the live webcast.
About Fiserv
Fiserv, Inc. (NASDAQ: FISV), a Fortune 500™ company, moves more than money. As a global leader in payments and financial technology, the company helps clients achieve best-in-class results through a commitment to innovation and excellence in areas including account processing and digital banking solutions; card issuer processing and network services; payments; e-commerce; merchant acquiring and processing; and Clover®, the world’s smartest point-of-sale system and business management platform. Fiserv is a member of the S&P 500® Index and one of TIME Magazine’s Most Influential Companies™. Visit fiserv.com and follow on social media for more information and the latest company news.
Use of Non-GAAP Financial Measures
In this news release, the company supplements its reporting of information determined in accordance with generally accepted accounting principles (“GAAP”), such as revenue, operating income, operating margin, net income attributable to Fiserv, diluted earnings per share and net cash provided by operating activities, with “adjusted revenue,” “change in adjusted revenue,” “organic revenue,” “change in organic revenue,” “organic revenue growth,” “adjusted operating income,” “adjusted operating margin,” “adjusted net income,” “adjusted earnings per share,” “change in adjusted earnings per share,” and “free cash flow.” Management believes that adjustments for certain non-cash or other items and the exclusion of certain pass-through revenue and expenses should enhance shareholders’ ability to evaluate the company’s performance, as such measures provide additional insights into the factors and trends affecting its business. Therefore, the company excludes these items from its GAAP financial measures to calculate these unaudited non-GAAP measures. The corresponding reconciliations of these unaudited non-GAAP financial measures to the most comparable GAAP measures are included in this news release, except for forward-looking measures where a reconciliation to the corresponding GAAP measures is not available due to the variability, complexity, and limited visibility of the non-cash and other items described below that are excluded from the non-GAAP outlook measures. See page 15 for additional information regarding the company’s forward-looking non-GAAP financial measures.
Examples of non-cash or other items may include, but are not limited to, non-cash intangible asset amortization expense associated with acquisitions; non-cash impairment charges; merger and integration costs; severance costs; certain transformation related expenses associated with the company’s One Fiserv action plan; gains or losses from the sale of businesses, certain assets or investments; and certain discrete tax benefits and expenses. The company excludes these items to more clearly focus on the factors management believes are pertinent to the company’s operations, and management uses this information to make operating decisions, including the allocation of resources to the company’s various businesses.
The company adjusts its non-GAAP results to exclude amortization of acquisition-related intangible assets as such amounts are inconsistent in amount and frequency and are significantly impacted by the timing and/or size of acquisitions. Management believes that the adjustment of acquisition-related intangible asset amortization supplements GAAP information with a measure that can be used to assess the comparability of operating performance. Although the company excludes amortization from acquisition-related intangible assets from its non-GAAP expenses, management believes that it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation.
Management believes organic revenue is useful because it presents revenue excluding the impact of foreign currency fluctuations, acquisitions, dispositions and the impact of the company’s postage reimbursements. Management believes free cash flow is useful to measure the funds generated in a given period that are available for debt service requirements and strategic capital decisions. Management believes this supplemental information enhances shareholders’ ability to evaluate and understand the company’s core business performance.
These unaudited non-GAAP financial measures may not be comparable to similarly titled measures reported by other companies and should be considered in addition to, and not as a substitute for, revenue, operating income, operating margin, net income attributable to Fiserv, diluted earnings per share and net cash provided by operating activities or any other amount determined in accordance with GAAP.
Forward-Looking Statements
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding anticipated organic revenue growth, adjusted earnings per share and other statements regarding our future financial performance. Statements can generally be identified as forward-looking because they include words such as “believes,” “anticipates,” “expects,” “could,” “should,” “confident,” “likely,” “plan,” or words of similar meaning. Statements that describe the company’s future plans, outlook, objectives or goals are also forward-looking statements.
Forward-looking statements are subject to assumptions, risks and uncertainties that may cause actual results to differ materially from those contemplated by such forward-looking statements. The factors that could cause the company’s actual results to differ materially include, among others, the following: the company’s ability to compete effectively against new and existing competitors and to continue to introduce competitive new products and services on a timely, cost-effective basis; changes in customer demand for the company’s products and services; the ability of the company’s technology to keep pace with a rapidly evolving marketplace; the company’s ability to successfully implement and achieve the expected benefits associated with its One Fiserv action plan; the success of the company’s merchant alliances, some of which are not controlled by the company; the impact of a security breach or operational failure on the company’s business, including disruptions caused by other participants in the global financial system; losses due to chargebacks, refunds or returns as a result of fraud or the failure of the company’s vendors and merchants to satisfy their obligations; changes in local, regional, national and international economic or political conditions, including those resulting from heightened inflation, rising interest rates, taxes, trade policies and tariffs, a recession, bank failures, or international hostilities, and the impact they may have on the company and its employees, clients, vendors, supply chain, operations and sales; the company’s ability to use artificial intelligence to improve its products and services and enhance its operations; the effect of proposed and enacted legislative and regulatory actions affecting the company or the financial services industry as a whole; the company’s ability to comply with government regulations and applicable card association and network rules; the protection and validity of intellectual property rights; the outcome of pending and future litigation and governmental proceedings; the company’s ability to successfully identify, complete and integrate acquisitions, and to realize the anticipated benefits associated with the same; the impact of the company’s growth strategies; the company’s ability to attract and retain key personnel; adverse impacts from currency exchange rates or currency controls; changes in corporate tax and interest rates; and other factors included in “Risk Factors” in the company’s Annual Report on Form 10-K for the year ended December 31, 2025, and in other documents that the company files with the Securities and Exchange Commission, which are available at http://www.sec.gov. You should consider these factors carefully in evaluating forward-looking statements and are cautioned not to place undue reliance on such statements. The company assumes no obligation to update any forward-looking statements, which speak only as of the date of this news release.
| Fiserv, Inc. | |||||||
| Condensed Consolidated Statements of Income | |||||||
| (In millions, except per share amounts, unaudited) | |||||||
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Revenue | |||||||
| Processing and services | $ | 4,070 | $ | 4,045 | |||
| Product | 957 | 1,085 | |||||
| Total revenue | 5,027 | 5,130 | |||||
| Expenses | |||||||
| Cost of processing and services | 1,610 | 1,389 | |||||
| Cost of product | 697 | 684 | |||||
| Selling, general and administrative | 1,885 | 1,682 | |||||
| Net gain on sale of assets | (83 | ) | (20 | ) | |||
| Total expenses | 4,109 | 3,735 | |||||
| Operating income | 918 | 1,395 | |||||
| Interest expense, net | (347 | ) | (331 | ) | |||
| Other income (expense), net | 22 | (18 | ) | ||||
| Income before income taxes and income (loss) from investments in unconsolidated affiliates | 593 | 1,046 | |||||
| Income tax provision | (24 | ) | (190 | ) | |||
| Income (loss) from investments in unconsolidated affiliates | 4 | (8 | ) | ||||
| Net income | 573 | 848 | |||||
| Less: net income (loss) attributable to noncontrolling interests | 2 | (3 | ) | ||||
| Net income attributable to Fiserv | $ | 571 | $ | 851 | |||
| GAAP earnings per share attributable to Fiserv — diluted | $ | 1.07 | $ | 1.51 | |||
| Diluted shares used in computing earnings per share attributable to Fiserv | 535.4 | 564.7 | |||||
Earnings per share is calculated using actual, unrounded amounts.
| Fiserv, Inc. | |||||||
| Reconciliation of GAAP to | |||||||
| Adjusted Net Income and Adjusted Earnings Per Share | |||||||
| (In millions, except per share amounts, unaudited) | |||||||
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| GAAP net income attributable to Fiserv | $ | 571 | $ | 851 | |||
| Adjustments: | |||||||
| Merger and integration costs1 | 29 | 15 | |||||
| One Fiserv transformation program expenses2 | 142 | — | |||||
| Severance costs | 73 | 15 | |||||
| Amortization of acquisition-related intangible assets3 | 311 | 331 | |||||
| Net gain on sale of assets4 | (83 | ) | — | ||||
| Non wholly-owned entity activities5 | 9 | 20 | |||||
| Tax impact of adjustments6 | (94 | ) | (74 | ) | |||
| Incremental executive compensation7 | — | 52 | |||||
| Adjusted net income | $ | 958 | $ | 1,210 | |||
| GAAP earnings per share attributable to Fiserv - diluted | $ | 1.07 | $ | 1.51 | |||
| Adjustments - net of income taxes: | |||||||
| Merger and integration costs1 | 0.04 | 0.02 | |||||
| One Fiserv transformation program expenses2 | 0.21 | — | |||||
| Severance costs | 0.11 | 0.02 | |||||
| Amortization of acquisition-related intangible assets3 | 0.47 | 0.47 | |||||
| Net gain on sale of assets4 | (0.13 | ) | — | ||||
| Non wholly-owned entity activities5 | 0.01 | 0.03 | |||||
| Incremental executive compensation7 | — | 0.09 | |||||
| Adjusted earnings per share | $ | 1.79 | $ | 2.14 | |||
| Change in GAAP earnings per share attributable to Fiserv | (29 | )% | |||||
| Change in adjusted earnings per share | (16 | )% | |||||
See pages 3-4 for disclosures related to the use of non-GAAP financial measures.
Earnings per share is calculated using actual, unrounded amounts.
- Represents acquisition and related integration costs incurred in connection with acquisitions. Merger and integration costs associated with integration activities primarily include
$14 million of retention cash awards and$12 million of third-party professional service fees in the first quarter of 2026, and$11 million related to a legal settlement in the first quarter of 2025. - Represents costs associated with a multi-year transformation initiative focused on operational excellence enabled by artificial intelligence, including process reengineering and technology infrastructure modernization. This adjustment is primarily comprised of third-party fees and also includes
$41 million of incremental compensation expense primarily associated with retention cash awards and restricted stock units granted to certain employees. - Represents amortization of intangible assets acquired through acquisition, including customer relationships, software/technology and trade names. This adjustment does not exclude the amortization of other intangible assets such as contract costs (sales commissions and deferred conversion costs), capitalized and purchased software, financing costs and debt discounts. See additional information on page 14 for an analysis of the company’s amortization expense.
- Represents a net gain on the sale-leaseback of certain facilities in the first quarter of 2026.
- Represents the company’s share of amortization of acquisition-related intangible assets at its unconsolidated affiliates.
- The tax impact of adjustments is calculated using a tax rate of
19.5% in both the first quarter of 2026 and 2025, which approximates the company’s anticipated annual effective tax rates. - Represents incremental compensation expense associated with the transition of the company’s Chief Executive Officer (“CEO”), comprised of
$40 million of former CEO non-cash share-based compensation and related employer payroll taxes, and a$12 million cash replacement award paid to the company’s new CEO appointed in 2025.
| Fiserv, Inc. | |||||||
| Financial Results by Segment | |||||||
| (In millions, unaudited) | |||||||
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Total Company | |||||||
| Revenue | $ | 5,027 | $ | 5,130 | |||
| Adjustments: | |||||||
| Postage reimbursements | (352 | ) | (341 | ) | |||
| Adjusted revenue | $ | 4,675 | $ | 4,789 | |||
| Operating income | $ | 918 | $ | 1,395 | |||
| Adjustments: | |||||||
| Merger and integration costs | 29 | 15 | |||||
| One Fiserv transformation program expenses | 142 | — | |||||
| Severance costs | 73 | 15 | |||||
| Amortization of acquisition-related intangible assets | 311 | 331 | |||||
| Net gain on sale of assets | (83 | ) | — | ||||
| Incremental executive compensation | — | 52 | |||||
| Adjusted operating income | $ | 1,390 | $ | 1,808 | |||
| Operating margin | 18.3 | % | 27.2 | % | |||
| Adjusted operating margin | 29.7 | % | 37.8 | % | |||
| Merchant Solutions (“Merchant”)1 | |||||||
| Revenue | $ | 2,373 | $ | 2,372 | |||
| Operating income | $ | 626 | $ | 810 | |||
| Operating margin | 26.4 | % | 34.2 | % | |||
| Financial Solutions (“Financial”)1 | |||||||
| Revenue | $ | 2,302 | $ | 2,417 | |||
| Operating income | $ | 877 | $ | 1,148 | |||
| Operating margin | 38.1 | % | 47.5 | % | |||
| Fiserv, Inc. | |||||||
| Financial Results by Segment (cont.) | |||||||
| (In millions, unaudited) | |||||||
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Corporate and Other | |||||||
| Revenue | $ | 352 | $ | 341 | |||
| Adjustments: | |||||||
| Postage reimbursements | (352 | ) | (341 | ) | |||
| Adjusted revenue | $ | — | $ | — | |||
| Operating loss | $ | (585 | ) | $ | (563 | ) | |
| Adjustments: | |||||||
| Merger and integration costs | 29 | 15 | |||||
| One Fiserv transformation program expenses | 142 | — | |||||
| Severance costs | 73 | 15 | |||||
| Amortization of acquisition-related intangible assets | 311 | 331 | |||||
| Net gain on sale of assets | (83 | ) | — | ||||
| Incremental executive compensation | — | 52 | |||||
| Adjusted operating loss | $ | (113 | ) | $ | (150 | ) | |
See pages 3-4 for disclosures related to the use of non-GAAP financial measures.
Operating margin percentages are calculated using actual, unrounded amounts.
- For all periods presented in the Merchant and Financial segments, there were no adjustments to GAAP measures presented and thus the adjusted measures are equal to the reportable segment GAAP measures presented.
| Fiserv, Inc. Condensed Consolidated Statements of Cash Flows (In millions, unaudited) | |||||||
| Three Months Ended March 31, | |||||||
| 2026 | 2025 | ||||||
| Cash flows from operating activities | |||||||
| Net income | $ | 573 | $ | 848 | |||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||
| Depreciation and other amortization | 508 | 437 | |||||
| Amortization of acquisition-related intangible assets | 311 | 331 | |||||
| Amortization of financing costs and debt discounts | 12 | 11 | |||||
| Share-based compensation | 118 | 124 | |||||
| Deferred income taxes | (58 | ) | (37 | ) | |||
| Net gain on sale of assets | (83 | ) | (20 | ) | |||
| (Income) loss from investments in unconsolidated affiliates | (4 | ) | 8 | ||||
| Distributions from unconsolidated affiliates | 8 | 10 | |||||
| Non-cash foreign currency exchange (gains) losses | (21 | ) | 38 | ||||
| Other operating activities | 15 | 9 | |||||
| Changes in assets and liabilities, net of effects from acquisitions: | |||||||
| Trade accounts receivable | 108 | (146 | ) | ||||
| Prepaid expenses and other assets | (175 | ) | (465 | ) | |||
| Contract costs | (74 | ) | (72 | ) | |||
| Accounts payable and other liabilities | (606 | ) | (445 | ) | |||
| Contract liabilities | (33 | ) | 17 | ||||
| Net cash provided by operating activities | 599 | 648 | |||||
| Cash flows from investing activities | |||||||
| Capital expenditures, including capitalized software and other intangibles | (458 | ) | (335 | ) | |||
| Proceeds from sale of assets | 187 | — | |||||
| Merchant cash advances, net | 66 | (243 | ) | ||||
| Payments for acquisition of businesses, net of cash acquired | — | (316 | ) | ||||
| Distributions from unconsolidated affiliates | 4 | — | |||||
| Purchases of investments | (3 | ) | (32 | ) | |||
| Proceeds from sale of investments | 8 | — | |||||
| Other investing activities | (5 | ) | 1 | ||||
| Net cash used in investing activities | (201 | ) | (925 | ) | |||
| Cash flows from financing activities | |||||||
| Debt proceeds | 409 | 776 | |||||
| Debt repayments | (633 | ) | (955 | ) | |||
| Net borrowings from commercial paper and short-term borrowings | 107 | 2,696 | |||||
| Proceeds from issuance of treasury stock | 12 | 24 | |||||
| Purchases of treasury stock, including employee shares withheld for tax obligations | (240 | ) | (2,352 | ) | |||
| Settlement activity, net | (578 | ) | 434 | ||||
| Other financing activities | — | 4 | |||||
| Net cash (used in) provided by financing activities | (923 | ) | 627 | ||||
| Effect of exchange rate changes on cash and cash equivalents | (27 | ) | 26 | ||||
| Net change in cash and cash equivalents | (552 | ) | 376 | ||||
| Cash and cash equivalents, beginning balance | 2,802 | 2,993 | |||||
| Cash and cash equivalents, ending balance | $ | 2,250 | $ | 3,369 | |||
| Fiserv, Inc. | |||||
| Condensed Consolidated Balance Sheets | |||||
| (In millions, unaudited) | |||||
| March 31, | December 31, | ||||
| 2026 | 2025 | ||||
| Assets | |||||
| Cash and cash equivalents | $ | 829 | $ | 798 | |
| Trade accounts receivable – net | 3,882 | 3,981 | |||
| Prepaid expenses and other current assets | 3,411 | 3,396 | |||
| Settlement assets | 16,660 | 16,479 | |||
| Total current assets | 24,782 | 24,654 | |||
| Property and equipment – net | 3,225 | 3,084 | |||
| Customer relationships – net | 4,828 | 5,093 | |||
| Other intangible assets – net | 5,154 | 5,068 | |||
| Goodwill | 37,602 | 37,703 | |||
| Contract costs – net | 1,056 | 1,039 | |||
| Investments in unconsolidated affiliates | 1,028 | 1,046 | |||
| Other long-term assets | 2,873 | 2,446 | |||
| Total assets | $ | 80,548 | $ | 80,133 | |
| Liabilities and Equity | |||||
| Accounts payable and other current liabilities | $ | 4,591 | $ | 5,307 | |
| Short-term and current maturities of long-term debt | 1,323 | 1,239 | |||
| Contract liabilities | 844 | 865 | |||
| Settlement obligations | 16,660 | 16,479 | |||
| Total current liabilities | 23,418 | 23,890 | |||
| Long-term debt | 27,859 | 27,758 | |||
| Deferred income taxes | 1,688 | 1,478 | |||
| Long-term contract liabilities | 243 | 259 | |||
| Other long-term liabilities | 1,119 | 939 | |||
| Total liabilities | 54,327 | 54,324 | |||
| Fiserv shareholders’ equity | 26,201 | 25,792 | |||
| Noncontrolling interests | 20 | 17 | |||
| Total equity | 26,221 | 25,809 | |||
| Total liabilities and equity | $ | 80,548 | $ | 80,133 | |
| Fiserv, Inc. Selected Non-GAAP Financial Measures and Additional Information (In millions, unaudited) | ||||||||||
| Organic Revenue1 | Three Months Ended March 31, | |||||||||
| 2026 | 2025 | Change | ||||||||
| Total Company | ||||||||||
| Adjusted revenue | $ | 4,675 | $ | 4,789 | ||||||
| Currency impact2 | 6 | — | ||||||||
| Acquisition adjustments | (64 | ) | — | |||||||
| Organic revenue | $ | 4,617 | $ | 4,789 | (4 | )% | ||||
| Merchant | ||||||||||
| Adjusted revenue | $ | 2,373 | $ | 2,372 | ||||||
| Currency impact2 | 12 | — | ||||||||
| Acquisition adjustments | (47 | ) | — | |||||||
| Organic revenue | $ | 2,338 | $ | 2,372 | (1 | )% | ||||
| Financial | ||||||||||
| Adjusted revenue | $ | 2,302 | $ | 2,417 | ||||||
| Currency impact2 | (6 | ) | — | |||||||
| Acquisition adjustments | (17 | ) | — | |||||||
| Organic revenue | $ | 2,279 | $ | 2,417 | (6 | )% | ||||
See pages 3-4 for disclosures related to the use of non-GAAP financial measures.
The change in organic revenue is calculated using actual, unrounded amounts.
- The change in organic revenue is measured as the change in adjusted revenue (see pages 9-10) for the current period excluding the impact of foreign currency fluctuations and revenue attributable to acquisitions and any dispositions, divided by adjusted revenue from the prior period excluding revenue attributable to any dispositions.
- Currency impact is measured as the increase or decrease in adjusted revenue for the current period by applying prior period foreign currency exchange rates to present a constant currency comparison to prior periods.
| Fiserv, Inc. Selected Non-GAAP Financial Measures and Additional Information (cont.) (In millions, unaudited) | |||||||
| Free Cash Flow | Three Months Ended March 31, | ||||||
| 2026 | 2025 | ||||||
| Net cash provided by operating activities | $ | 599 | $ | 648 | |||
| Capital expenditures | (458 | ) | (335 | ) | |||
| Adjustments: | |||||||
| Distributions from unconsolidated affiliates included in cash flows from investing activities | 4 | — | |||||
| Severance, merger and integration payments | 46 | 69 | |||||
| One Fiserv transformation program payments | 95 | — | |||||
| Tax payments on adjustments | (27 | ) | (11 | ) | |||
| Free cash flow | $ | 259 | $ | 371 | |||
| Total Amortization1 | Three Months Ended March 31, | ||||
| 2026 | 2025 | ||||
| Acquisition-related intangible assets | $ | 311 | $ | 331 | |
| Capitalized software and other intangibles | 209 | 176 | |||
| Purchased software | 53 | 52 | |||
| Financing costs and debt discounts | 12 | 11 | |||
| Sales commissions | 29 | 28 | |||
| Deferred conversion costs | 30 | 27 | |||
| Total amortization | $ | 644 | $ | 625 | |
See pages 3-4 for disclosures related to the use of non-GAAP financial measures.
- The company adjusts its non-GAAP results to exclude amortization of acquisition-related intangible assets as such amounts are inconsistent in amount and frequency and are significantly impacted by the timing and/or size of acquisitions. Management believes that the adjustment of acquisition-related intangible asset amortization supplements the GAAP information with a measure that can be used to assess the comparability of operating performance. Although the company excludes amortization from acquisition-related intangible assets from its non-GAAP expenses, management believes that it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and contribute to revenue generation. Amortization of intangible assets that relate to past acquisitions will recur in future periods until such intangible assets have been fully amortized. Any future acquisitions may result in the amortization of additional intangible assets.
| Fiserv, Inc. Full Year Forward-Looking Non-GAAP Financial Measures |
Reconciliations of unaudited non-GAAP financial measures to the most comparable GAAP measures are included in this news release, except for forward-looking measures where a reconciliation to the corresponding GAAP measures is not available due to the variability, complexity and limited visibility of these items that are excluded from the non-GAAP outlook measures. The company’s forward-looking non-GAAP financial measures for 2026, including organic revenue growth and adjusted earnings per share, are designed to enhance shareholders’ ability to evaluate the company’s performance by excluding certain items to focus on factors and trends affecting its business.
Organic Revenue Growth - The company’s organic revenue growth outlook for 2026 excludes the impact of foreign currency fluctuations, acquisitions, dispositions and the impact of the company’s postage reimbursements. The currency impact is measured as the increase or decrease in the expected adjusted revenue for the period by applying prior period foreign currency exchange rates to present a constant currency comparison to prior periods.
| Growth | ||
| 2026 Revenue | ||
| Postage reimbursements | —% | |
| 2026 Adjusted revenue | ||
| Currency impact | ||
| Acquisition adjustments | (0.5)% | |
| Divestiture adjustments | —% | |
| 2026 Organic revenue | ||
Adjusted Earnings Per Share - The company’s adjusted earnings per share outlook for 2026 excludes certain non-cash or other items such as non-cash intangible asset amortization expense associated with acquisitions; non-cash impairment charges; merger and integration costs; severance costs; certain transformation related expenses associated with the company’s One Fiserv action plan; gains or losses from the sale of businesses, certain assets and investments; and certain discrete tax benefits and expenses.
The company estimates that amortization expense in 2026 with respect to acquired intangible assets will be relatively consistent with the amount incurred in 2025. Other adjustments to the company’s financial measures that were incurred for the three months ended March 31, 2026 and 2025 are presented in this news release; however, they are not necessarily indicative of adjustments that may be incurred throughout the remainder of 2026 or beyond. Estimates of these impacts and adjustments on a forward-looking basis are not available due to the variability, complexity and limited visibility of these items.
| For more information contact: | |
| Media Relations: Stacy Davidson Chief Communications and Marketing Officer Fiserv, Inc. stacy.davidson@fiserv.com | Investor Relations: Walter Pritchard Senior Vice President, Investor Relations Fiserv, Inc. walter.pritchard@fiserv.com |
