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FIS reaffirmed 2026 guidance, projecting up to $13.85B in revenues and EPS of $6.22-$6.32.
Fidelity National Information Services, Inc. (FIS - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $1.36, which beat the Zacks Consensus Estimate by 6.3%. The bottom line advanced 12% year over year.
Revenues amounted to $3.3 billion, which improved 30% year over year. The top line beat the consensus mark by 0.7%.
The strong quarterly earnings were driven by solid performances in the Banking Solutions and Capital Market Solutions segments, supported by recurring revenue growth, margin expansion and acquisition benefits. However, the upside was partly offset by higher cost of revenues and increased selling, general and administrative expenses.
Fidelity National Information Services, Inc. Price, Consensus and EPS Surprise
The cost of revenues increased 32.3% year over year to $2.2 billion in the quarter. SG&A expenses of $605 million rose 8.4% year over year. Net interest expenses of $197 million increased 146.3% from the prior-year quarter’s figure.
Adjusted EBITDA was $1.3 billion, up 36% year over year. Adjusted EBITDA margin increased 176 basis points year over year to 39.6%, primarily driven by acquisitions, a favorable business mix and cost savings initiatives.
Q1 Segmental Update of Fidelity National
Revenues from the Banking Solutions unit totaled $2.4 billion, which grew 45% year over year. The metric surpassed the Zacks Consensus Estimate by 0.4%. The segmental results gained from solid margin expansion. Adjusted EBITDA margin improved 299 bps year over year to 43.7%, supported by cost management and a favorable revenue mix.
The Capital Market Solutions segment’s revenues advanced 5% year over year to $823 million, beating the Zacks Consensus Estimate by 0.5%. Strong recurring revenue growth benefited the metric. Adjusted EBITDA margin of 51.6% expanded 162 bps year over year.
The Corporate and Other segment recorded revenues of $98 million, which increased 12% year over year. Adjusted EBITDA loss was $158 million.
Financial Update (As of March 31, 2026)
Fidelity National exited the first quarter of 2026 with cash and cash equivalents of $755 million, which increased from $599 million as of 2025-end. Total assets of $43.5 billion were up from $33.5 billion at the end of 2025.
Long-term debt, excluding the current portion, amounted to $16.8 billion, up from $9.1 billion as of Dec. 31, 2025. The current portion of long-term debt totaled $101 million. Short-term borrowings totaled $4.2 billion at the end of the reported quarter.
Total equity of $16 billion increased from $13.9 billion at the end of 2025. Fidelity National Financial generated $713 million in net cash from operations, representing a 56% year-over-year increase. Adjusted free
cash flow totaled $474 million, up 111.6% year over year.
Share Repurchase & Dividend Update
The company returned $262 million to shareholders, including $30 million through share repurchases and $232 million in dividend payments.
2Q26 View
Management forecasts revenues between $3.375 billion and $3.395 billion. Adjusted EBITDA is projected to be in the range of $1,395-$1,415 million. Adjusted EPS is estimated to be between $1.45 and $1.49.
FIS Reaffirms 2026 Guidance
Revenues are still expected to be in the range of $13.77-$13.85 billion, indicating 30-31% adjusted revenue growth.
Adjusted EBITDA is projected to be between $5.8 billion and $5.86 billion in 2026, up from $4.3 billion in 2025. Adjusted EBITDA margin is anticipated to be in the range of 42.1-42.3%.
Adjusted EPS is expected to be between $6.22 and $6.32, which implies significant growth from $5.57 in 2025.
Free cash flow is projected to be between $2.05 billion and $2.15 billion.
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 have 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 rose 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, which increased 20% year over year and beat the Zacks Consensus Estimate by 7.1%. Net revenues were $11.23 billion, up 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 payment volume on a constant-dollar basis. The upside was partly offset by increased operating expenses.
Marsh reported first-quarter 2026 adjusted earnings per share of $3.29, which beat the Zacks Consensus Estimate by 2.5%. The bottom line increased 8% year over year. Consolidated revenues of $7.6 billion improved 8% year over year. The 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 increased operating expenses, primarily due to increased compensation and benefits.
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FIS Tops Q1 Earnings on Banking Solutions Growth, Margin Expansion
Key Takeaways
Fidelity National Information Services, Inc. (FIS - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $1.36, which beat the Zacks Consensus Estimate by 6.3%. The bottom line advanced 12% year over year.
Revenues amounted to $3.3 billion, which improved 30% year over year. The top line beat the consensus mark by 0.7%.
The strong quarterly earnings were driven by solid performances in the Banking Solutions and Capital Market Solutions segments, supported by recurring revenue growth, margin expansion and acquisition benefits. However, the upside was partly offset by higher cost of revenues and increased selling, general and administrative expenses.
Fidelity National Information Services, Inc. Price, Consensus and EPS Surprise
Fidelity National Information Services, Inc. price-consensus-eps-surprise-chart | Fidelity National Information Services, Inc. Quote
FIS’ Q1 Performance
The cost of revenues increased 32.3% year over year to $2.2 billion in the quarter. SG&A expenses of $605 million rose 8.4% year over year. Net interest expenses of $197 million increased 146.3% from the prior-year quarter’s figure.
Adjusted EBITDA was $1.3 billion, up 36% year over year. Adjusted EBITDA margin increased 176 basis points year over year to 39.6%, primarily driven by acquisitions, a favorable business mix and cost savings initiatives.
Q1 Segmental Update of Fidelity National
Revenues from the Banking Solutions unit totaled $2.4 billion, which grew 45% year over year. The metric surpassed the Zacks Consensus Estimate by 0.4%. The segmental results gained from solid margin expansion. Adjusted EBITDA margin improved 299 bps year over year to 43.7%, supported by cost management and a favorable revenue mix.
The Capital Market Solutions segment’s revenues advanced 5% year over year to $823 million, beating the Zacks Consensus Estimate by 0.5%. Strong recurring revenue growth benefited the metric. Adjusted EBITDA margin of 51.6% expanded 162 bps year over year.
The Corporate and Other segment recorded revenues of $98 million, which increased 12% year over year. Adjusted EBITDA loss was $158 million.
Financial Update (As of March 31, 2026)
Fidelity National exited the first quarter of 2026 with cash and cash equivalents of $755 million, which increased from $599 million as of 2025-end. Total assets of $43.5 billion were up from $33.5 billion at the end of 2025.
Long-term debt, excluding the current portion, amounted to $16.8 billion, up from $9.1 billion as of Dec. 31, 2025. The current portion of long-term debt totaled $101 million. Short-term borrowings totaled $4.2 billion at the end of the reported quarter.
Total equity of $16 billion increased from $13.9 billion at the end of 2025.
Fidelity National Financial generated $713 million in net cash from operations, representing a 56% year-over-year increase. Adjusted free
cash flow totaled $474 million, up 111.6% year over year.
Share Repurchase & Dividend Update
The company returned $262 million to shareholders, including $30 million through share repurchases and $232 million in dividend payments.
2Q26 View
Management forecasts revenues between $3.375 billion and $3.395 billion. Adjusted EBITDA is projected to be in the range of $1,395-$1,415 million. Adjusted EPS is estimated to be between $1.45 and $1.49.
FIS Reaffirms 2026 Guidance
Revenues are still expected to be in the range of $13.77-$13.85 billion, indicating 30-31% adjusted revenue growth.
Adjusted EBITDA is projected to be between $5.8 billion and $5.86 billion in 2026, up from $4.3 billion in 2025. Adjusted EBITDA margin is anticipated to be in the range of 42.1-42.3%.
Adjusted EPS is expected to be between $6.22 and $6.32, which implies significant growth from $5.57 in 2025.
Free cash flow is projected to be between $2.05 billion and $2.15 billion.
FIS’ Zacks Rank
Fidelity National 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 have 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 rose 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, which increased 20% year over year and beat the Zacks Consensus Estimate by 7.1%. Net revenues were $11.23 billion, up 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 payment volume on a constant-dollar basis. The upside was partly offset by increased operating expenses.
Marsh reported first-quarter 2026 adjusted earnings per share of $3.29, which beat the Zacks Consensus Estimate by 2.5%. The bottom line increased 8% year over year. Consolidated revenues of $7.6 billion improved 8% year over year. The 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 increased operating expenses, primarily due to increased compensation and benefits.