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Global Payments, Inc. (GPN - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $2.96, which beat the Zacks Consensus Estimate of $2.82. The bottom line rose 10% year over year.
Adjusted net revenues improved 29.5% year over year to $2.9 billion. The top line beat the consensus mark by 1.3%.
The strong quarterly earnings benefited from early momentum from the company’s streamlined commerce focus and continued uptake of its Genius platform, including an approximately 90% year-over-year increase in bookings. However, the positives were partly offset by elevated operating expenses.
Global Payments Inc. Price, Consensus and EPS Surprise
The Worldpay acquisition and the sale of Issuer Solutions both closed on Jan. 9, 2026, reshaping Global Payments into a more focused commerce solutions platform.
Adjusted operating income of $1.1 billion increased 22.1% year over year in the quarter under review. Adjusted operating margin expanded 110 basis points (bps) year over year on a normalized basis to 39.9%.
Total operating expenses of $3 billion increased 106.1% year over year in the first quarter. The increase was due to higher selling, general and administrative expenses, and cost of service. Interest and other expenses rose 63.2% year over year to $242.4 million.
GPN’s Financial Position (As of March 31, 2026)
Global Payments exited the first quarter with cash and cash equivalents of $5.9 billion, which decreased from $8.3 billion at 2025-end. Total assets of $64.3 billion rose from $53.3 billion at 2025-end.
Long-term debt amounted to $21 billion compared with $19.5 billion at 2025-end. The current portion of long-term debt totaled $1.6 billion at the first-quarter end.
Total equity of $24.5 billion rose from the figure of $23.6 billion at 2025-end.
GPN’s operating activities used $288.8 million of cash in the first quarter of 2026, down from $555.1 million generated a year ago.
Capital Deployment Update
The company entered into a $500 million accelerated share repurchase program. GPN repurchased shares worth $549.9 million in the first quarter of 2026.
The company declared a quarterly dividend of 25 cents per share, which will be paid out on June 26, 2026, to its shareholders of record as of June 12.
GPN Reaffirms 2026 Outlook
Adjusted net revenue growth on a constant currency basis, excluding dispositions, is still expected to be around 5% in 2026.
Adjusted EPS growth is still anticipated to be between 13% and 15% in 2026. GPN expects to convert almost 90% of adjusted net income into adjusted free cash flow.
The annual adjusted operating margin is expected to increase around 150 bps in 2026.
Several companies in the business services space, including Mastercard Incorporated (MA - Free Report) , Visa Inc. (V - Free Report) and Marsh & McLennan Companies, Inc. (MRSH - Free Report) , have also reported their financial results for the March quarter of 2026. Here’s how they had performed:
Mastercard reported first-quarter 2026 adjusted earnings of $4.60 per share, which topped the Zacks Consensus Estimate by 4.6%. The bottom line improved 23.3% year over year. Net revenues advanced 15.8% year over year to $8.4 billion. MA’s quarterly results benefited from growing cross-border volumes and solid growth in value-added services revenues. However, the upside was partly offset by elevated operating expenses and higher payment network rebates from new and renewed deals.
Visa delivered second-quarter fiscal 2026 adjusted earnings of $3.31 per share, up 20% year over year and beat the Zacks Consensus Estimate by 7.1%. Net revenues came in at $11.23 billion, rising 17% year over year. V’s quarterly results reflected resilient spending trends, higher cross-border volumes and solid network activity, including a 9% year-over-year increase in payments volume on a constant-dollar basis. However, the upside was partly offset by increased operating expenses.
Marsh reported first-quarter 2026 adjusted earnings per share of $3.29, which surpassed the Zacks Consensus Estimate by 2.5%. The bottom line advanced 8% year over year. Consolidated revenues of $7.6 billion improved 8% year over year. The strong quarterly results benefited from solid growth in the Risk and Insurance Services and Consulting unit, particularly from the Marsh Risk, Guy Carpenter, Mercer and Marsh Management Consulting businesses. The upside was partially offset by elevated operating expenses, primarily due to increased compensation and benefits.
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Global Payments Q1 Earnings Beat Estimates on Worldpay Momentum
Key Takeaways
Global Payments, Inc. (GPN - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $2.96, which beat the Zacks Consensus Estimate of $2.82. The bottom line rose 10% year over year.
Adjusted net revenues improved 29.5% year over year to $2.9 billion. The top line beat the consensus mark by 1.3%.
The strong quarterly earnings benefited from early momentum from the company’s streamlined commerce focus and continued uptake of its Genius platform, including an approximately 90% year-over-year increase in bookings. However, the positives were partly offset by elevated operating expenses.
Global Payments Inc. Price, Consensus and EPS Surprise
Global Payments Inc. price-consensus-eps-surprise-chart | Global Payments Inc. Quote
GPN’s Operating Performance
The Worldpay acquisition and the sale of Issuer Solutions both closed on Jan. 9, 2026, reshaping Global Payments into a more focused commerce solutions platform.
Adjusted operating income of $1.1 billion increased 22.1% year over year in the quarter under review. Adjusted operating margin expanded 110 basis points (bps) year over year on a normalized basis to 39.9%.
Total operating expenses of $3 billion increased 106.1% year over year in the first quarter. The increase was due to higher selling, general and administrative expenses, and cost of service. Interest and other expenses rose 63.2% year over year to $242.4 million.
GPN’s Financial Position (As of March 31, 2026)
Global Payments exited the first quarter with cash and cash equivalents of $5.9 billion, which decreased from $8.3 billion at 2025-end. Total assets of $64.3 billion rose from $53.3 billion at 2025-end.
Long-term debt amounted to $21 billion compared with $19.5 billion at 2025-end. The current portion of long-term debt totaled $1.6 billion at the first-quarter end.
Total equity of $24.5 billion rose from the figure of $23.6 billion at 2025-end.
GPN’s operating activities used $288.8 million of cash in the first quarter of 2026, down from $555.1 million generated a year ago.
Capital Deployment Update
The company entered into a $500 million accelerated share repurchase program. GPN repurchased shares worth $549.9 million in the first quarter of 2026.
The company declared a quarterly dividend of 25 cents per share, which will be paid out on June 26, 2026, to its shareholders of record as of June 12.
GPN Reaffirms 2026 Outlook
Adjusted net revenue growth on a constant currency basis, excluding dispositions, is still expected to be around 5% in 2026.
Adjusted EPS growth is still anticipated to be between 13% and 15% in 2026. GPN expects to convert almost 90% of adjusted net income into adjusted free cash flow.
The annual adjusted operating margin is expected to increase around 150 bps in 2026.
GPN’s Zacks Rank
GPN currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Did Peers Perform?
Several companies in the business services space, including Mastercard Incorporated (MA - Free Report) , Visa Inc. (V - Free Report) and Marsh & McLennan Companies, Inc. (MRSH - Free Report) , have also reported their financial results for the March quarter of 2026. Here’s how they had performed:
Mastercard reported first-quarter 2026 adjusted earnings of $4.60 per share, which topped the Zacks Consensus Estimate by 4.6%. The bottom line improved 23.3% year over year. Net revenues advanced 15.8% year over year to $8.4 billion. MA’s quarterly results benefited from growing cross-border volumes and solid growth in value-added services revenues. However, the upside was partly offset by elevated operating expenses and higher payment network rebates from new and renewed deals.
Visa delivered second-quarter fiscal 2026 adjusted earnings of $3.31 per share, up 20% year over year and beat the Zacks Consensus Estimate by 7.1%. Net revenues came in at $11.23 billion, rising 17% year over year. V’s quarterly results reflected resilient spending trends, higher cross-border volumes and solid network activity, including a 9% year-over-year increase in payments volume on a constant-dollar basis. However, the upside was partly offset by increased operating expenses.
Marsh reported first-quarter 2026 adjusted earnings per share of $3.29, which surpassed the Zacks Consensus Estimate by 2.5%. The bottom line advanced 8% year over year. Consolidated revenues of $7.6 billion improved 8% year over year. The strong quarterly results benefited from solid growth in the Risk and Insurance Services and Consulting unit, particularly from the Marsh Risk, Guy Carpenter, Mercer and Marsh Management Consulting businesses. The upside was partially offset by elevated operating expenses, primarily due to increased compensation and benefits.