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FLEETCOR (FLT) Beats on Q3 Earnings & Revenues, Ups 2021 View

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FLEETCOR Technologies, Inc.(FLT - Free Report) reported solid third-quarter 2021 results as both earnings and revenues surpassed the Zacks Consensus Estimate.

Adjusted earnings of $3.52 per share outpaced the consensus estimate by 0.9% and increased 25.7% year over year. The reported figure lies within the guidance of $3.35-$3.55.

Revenues of $755.5 million beat the consensus mark by 2.3% and increased 29.1% year over year on a reported basis and 17% on a pro-forma and macro-adjusted basis.

So far this year, shares of FLEETCOR have declined 11.3% compared with 23.4% loss of the industry it belongs. The Zacks S&P 500 composite grew 24.5% in the same time frame.

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Let’s check out the numbers in detail:

Revenues in Detail

Segment wise, revenues from North America came in at $520.54 million, up 35.6% year over year. Internationally, revenues of $140.05 million increased 14.9% year over year. Revenues from Brazil grew 19.2% to $94.89 million.

Product-category wise, fuel revenues of $306.8 million went up 20% year over year on a reported basis and 13% on a pro-forma and macro-adjusted basis.

Corporate Payments revenues of $168.7 million increased 58% year over year on a reported basis and 22% on a pro-forma and macro-adjusted basis.

Tolls revenues of $79 million improved 17% year over year on a reported basis and 14% on a pro-forma and macro-adjusted basis.

Lodging revenues of $85.2 million grew 61% year over year on a reported basis and 40% on a pro-forma and macro-adjusted basis.

Gift revenues of $48.6 million grew 25% year over year on a reported as well as on a pro-forma and macro-adjusted basis.

Other revenues of $67.2 million increased 5% year over year on a reported and 2% on a pro-forma and macro-adjusted basis.

Operating Results

Operating income increased 28% from the prior-year quarter’s level to $338.69 million. Operating income margin came in at 44.8% from 45.2% in the prior-year quarter.

FleetCor Technologies, Inc. Price, Consensus and EPS Surprise

FleetCor Technologies, Inc. Price, Consensus and EPS Surprise

FleetCor Technologies, Inc. price-consensus-eps-surprise-chart | FleetCor Technologies, Inc. Quote

Balance Sheet & Cash Flow

FLEETCOR exited third-quarter 2021 with cash, cash equivalents and restricted cash of $2.01 billion compared with $2.06 billion at the end of the prior quarter.

The company generated $243.09 million of net cash from operating activities. Capital expenditures totaled $28.69 million.

In the reported quarter, FLEETCOR repurchased shares worth $405.69 million.

2021 Guidance

For 2021, FLEETCOR raised its guidance. Adjusted earnings per share are now anticipated between $13 and $13.10 compared with the prior guidance of $12.80-$13. The Zacks Consensus Estimate of $12.97 lies below the updated guidance.

Revenues are now anticipated in the range of $2.785-$2.805 billion compared with the prior guidance of $2.74-$2.79 billion. The Zacks Consensus Estimate of $2.77 billion lies below the updated guidance.

Adjusted tax rate is now anticipated between 22.5% and 23.5% compared with the prior guidance of 21.5-22.5%. Interest expenses are still expected between $120 million and $125 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.

Performance of Other Business Services Companies

Equifax’s (EFX - Free Report) third-quarter 2021 adjusted earnings of $1.85 per share beat the Zacks Consensus Estimate by 7.6% but declined on a year-over-year basis. Revenues of $1.22 billion outpaced the consensus estimate by 3.6% and improved 14.5% year over year on a reported basis and 14% on a local-currency basis.

IQVIA’s (IQV - Free Report) third-quarter 2021 adjusted earnings per share of $2.17 beat the consensus mark by 1.9% and improved 33.1% on a year-over-year basis. Total revenues of $3.39 billion outpaced the consensus estimate by 1% and increased 21.7% year over year on a reported basis and 21.1% on constant-currency basis.

Omnicom’s (OMC - Free Report) third-quarter 2021 adjusted earnings of $1.65 per share beat the consensus mark by 20.4% and increased 36.4% year over year. Total revenues of $3.4 billion surpassed the consensus estimate by 0.6% and increased 7.1% year over year.