Fiserv, Inc (NYSE:FI) reported Q2 2023 revenue growth of 7% Y/Y to $4.76 billion, beating the consensus of $4.54 billion. Adjusted revenue increased 6% Y/Y to $4.51 billion.
Organic revenue grew 10%, led by 14% growth in the Acceptance segment, 9% in the Payments segment, and 1% decline in the Fintech segment.
The adjusted operating margin increased by 300 bps Y/Y to 36.5%. Adjusted EPS of $1.81 beat the consensus of $1.79.
In July, the company completed the sale of its financial reconciliation business for cash proceeds of approximately $230 million.
“We delivered our ninth consecutive quarter of double-digit organic revenue growth, as we sustained our momentum in merchant acceptance and expanded our digital payments proposition for financial institutions,” said Frank Bisignano, Chairman, President and Chief Executive Officer of Fiserv.
Outlook: Fiserv raised the 2023 guidance for organic revenue growth of 9% – 11% (prior view 8% – 9%) and adjusted EPS of $7.40 – $7.50 (prior $7.30- $7.40) versus consensus of $7.37.
Price Action: FI shares traded higher by 1.94% at $127.54 on the last check Wednesday.
