FLEETCOR Technologies, Inc. reported solid second-quarter 2022 results as both earnings and revenues surpassed the Zacks Consensus Estimate. The stock has increased 6.9% since earnings release on Aug 3 in response to stellar results and impressive guidance.
For third-quarter 2022, FLEETCOR expects revenues between $870 million and $890 million. The midpoint of the guided range ($880 million) is above the Zacks Consensus Estimate of $875.7 million. Adjusted earnings per share are anticipated between $4.15 and $4.25. The midpoint of the guided range ($4.20) is above the Zacks Consensus Estimate of $4.19.
FLEETCOR raised its 2022 guidance. Adjusted earnings per share are now anticipated between $15.85 and $16.05, comparing favorably with the prior-guided range of $15.45-$15.75. The midpoint of the guided range ($15.95) is, however, below the Zacks Consensus Estimate of $15.96.
Revenues are now anticipated between $3.38 billion and $3.42 billion, comparing favorably with the prior-guided range of $3.335-$3.385. The midpoint of the guided range ($3.40) is nevertheless below the Zacks Consensus Estimate of $3.41 billion.
Adjusted earnings (excluding 82 cents from non-recurring items) of $4.17 per share outpaced the consensus estimate by 7.2% and increased 32.4% year over year. The reported figure exceeded the guided range of $3.80-$3.90.
Revenues of $861.3 million beat the consensus mark by 5% and increased 29.1% year over year on a reported basis and 17% on a pro-forma and macro-adjusted basis. The reported figure exceeded the guided range of $805-$825 million.
Shares of FLEETCOR have lost 13.6% over the past year compared with the 25.4% fall of the industry it belongs to.
Let’s check out the numbers in detail:
Revenues in Detail
Segment-wise, revenues from North America came in at $601.7 million, up 35.7% year over year. Internationally, revenues of $147.7 million increased 6.8% year over year. Revenues from Brazil grew 30.5% to $111.8 million.
Product-category-wise, fuel revenues of $347 million went up 18% year over year on a reported basis and 7% on a pro-forma and macro-adjusted basis.
Corporate Payments revenues of $189.7 million increased 35% year over year on a reported basis and 18% on a pro-forma and macro-adjusted basis.
Tolls revenues of $91.2 million improved 28% year over year on a reported basis and 19% on a pro-forma and macro-adjusted basis.
Lodging revenues of $116.9 million grew 88% year over year on a reported basis and 42% on a pro-forma and macro-adjusted basis.
Gift revenues of $51.7 million grew 60% year over year on a reported and 63% on a pro-forma and macro-adjusted basis.
Other revenues of $65 million decreased 2% year over year on a reported but inched up 1% on a pro-forma and macro-adjusted basis.
Operating Results
Operating income increased 24.5% from the prior-year quarter’s level to $370.5 million. Operating income margin fell 43% from 44.6% in the prior-year quarter.
Balance Sheet & Cash Flow
FLEETCOR exited second-quarter 2022 with cash, cash equivalents and restricted cash of $1.42 billion compared with $2.09 billion at the end of the prior quarter.
FLT provided $70.4 million of net cash from operating activities. Capital expenditures totaled $35.23 million.
In the reported quarter, FLEETCOR repurchased shares worth $372.56 million.
2022 Guidance
Adjusted tax rate is now anticipated between 26.5% and 27.5% compared with the prior-guided range of 26-27%. Interest expenses are now expected between $145 million and $155 million compared with the prior-guided range of $105-$115 million.
Currently, FLEETCOR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performances of Some Other Business Services Companies
Equifax (EFX - Free Report) reported mixed second-quarter 2022 results, wherein earnings beat estimates but revenues missed the same.
EFX’s adjusted earnings of $2.09 per share beat the Zacks Consensus Estimate by 3% and improved 5.6% on a year-over-year basis. Revenues of $1.32 billion missed the consensus estimate marginally but improved 6.6% year over year.
IQVIA Holdings (IQV - Free Report) reported solid second-quarter 2022 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate.
IQV’s adjusted earnings per share of $2.44 beat the consensus mark by 2.1% and improved 15% on a year-over-year basis. Total revenues of $3.54 billion outpaced the consensus estimate by 1.2% and increased 3% year over year.
Omnicom Group (OMC - Free Report) reported impressive second-quarter 2022 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate.
OMC’s earnings of $1.68 per share beat the consensus mark by 7.7% and increased 15.1% year over year, driven by a strong margin performance. Total revenues of $3.6 billion surpassed the consensus estimate by 4.4% but declined slightly year over year.
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FLEETCOR Technologies, Inc. reported solid second-quarter 2022 results as both earnings and revenues surpassed the Zacks Consensus Estimate. The stock has increased 6.9% since earnings release on Aug 3 in response to stellar results and impressive guidance.
For third-quarter 2022, FLEETCOR expects revenues between $870 million and $890 million. The midpoint of the guided range ($880 million) is above the Zacks Consensus Estimate of $875.7 million. Adjusted earnings per share are anticipated between $4.15 and $4.25. The midpoint of the guided range ($4.20) is above the Zacks Consensus Estimate of $4.19.
FLEETCOR raised its 2022 guidance. Adjusted earnings per share are now anticipated between $15.85 and $16.05, comparing favorably with the prior-guided range of $15.45-$15.75. The midpoint of the guided range ($15.95) is, however, below the Zacks Consensus Estimate of $15.96.
Revenues are now anticipated between $3.38 billion and $3.42 billion, comparing favorably with the prior-guided range of $3.335-$3.385. The midpoint of the guided range ($3.40) is nevertheless below the Zacks Consensus Estimate of $3.41 billion.
Adjusted earnings (excluding 82 cents from non-recurring items) of $4.17 per share outpaced the consensus estimate by 7.2% and increased 32.4% year over year. The reported figure exceeded the guided range of $3.80-$3.90.
Revenues of $861.3 million beat the consensus mark by 5% and increased 29.1% year over year on a reported basis and 17% on a pro-forma and macro-adjusted basis. The reported figure exceeded the guided range of $805-$825 million.
Shares of FLEETCOR have lost 13.6% over the past year compared with the 25.4% fall of the industry it belongs to.
Let’s check out the numbers in detail:
Revenues in Detail
Segment-wise, revenues from North America came in at $601.7 million, up 35.7% year over year. Internationally, revenues of $147.7 million increased 6.8% year over year. Revenues from Brazil grew 30.5% to $111.8 million.
Product-category-wise, fuel revenues of $347 million went up 18% year over year on a reported basis and 7% on a pro-forma and macro-adjusted basis.
Corporate Payments revenues of $189.7 million increased 35% year over year on a reported basis and 18% on a pro-forma and macro-adjusted basis.
Tolls revenues of $91.2 million improved 28% year over year on a reported basis and 19% on a pro-forma and macro-adjusted basis.
Lodging revenues of $116.9 million grew 88% year over year on a reported basis and 42% on a pro-forma and macro-adjusted basis.
Gift revenues of $51.7 million grew 60% year over year on a reported and 63% on a pro-forma and macro-adjusted basis.
Other revenues of $65 million decreased 2% year over year on a reported but inched up 1% on a pro-forma and macro-adjusted basis.
Operating Results
Operating income increased 24.5% from the prior-year quarter’s level to $370.5 million. Operating income margin fell 43% from 44.6% in the prior-year quarter.
Balance Sheet & Cash Flow
FLEETCOR exited second-quarter 2022 with cash, cash equivalents and restricted cash of $1.42 billion compared with $2.09 billion at the end of the prior quarter.
FLT provided $70.4 million of net cash from operating activities. Capital expenditures totaled $35.23 million.
In the reported quarter, FLEETCOR repurchased shares worth $372.56 million.
2022 Guidance
Adjusted tax rate is now anticipated between 26.5% and 27.5% compared with the prior-guided range of 26-27%. Interest expenses are now expected between $145 million and $155 million compared with the prior-guided range of $105-$115 million.
Currently, FLEETCOR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performances of Some Other Business Services Companies
Equifax (EFX - Free Report) reported mixed second-quarter 2022 results, wherein earnings beat estimates but revenues missed the same.
EFX’s adjusted earnings of $2.09 per share beat the Zacks Consensus Estimate by 3% and improved 5.6% on a year-over-year basis. Revenues of $1.32 billion missed the consensus estimate marginally but improved 6.6% year over year.
IQVIA Holdings (IQV - Free Report) reported solid second-quarter 2022 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate.
IQV’s adjusted earnings per share of $2.44 beat the consensus mark by 2.1% and improved 15% on a year-over-year basis. Total revenues of $3.54 billion outpaced the consensus estimate by 1.2% and increased 3% year over year.
Omnicom Group (OMC - Free Report) reported impressive second-quarter 2022 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate.
OMC’s earnings of $1.68 per share beat the consensus mark by 7.7% and increased 15.1% year over year, driven by a strong margin performance. Total revenues of $3.6 billion surpassed the consensus estimate by 4.4% but declined slightly year over year.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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