FIS Reports Strong Q1 2025 Results and Strategic Moves

Fidelity National Information Services (FIS) reported a solid start to 2025, with Q1 adjusted EPS rising 11% year over year to $1.21, and revenue increasing 3% to $2.5 billion on a GAAP basis. Adjusted EBITDA was $958 million with a margin of 37.8%. GAAP diluted EPS stood at $0.15. The company reiterated its full-year guidance, expecting 2025 revenue of $10.44–$10.50 billion and adjusted EPS of $5.70–$5.80.
Banking Solutions revenue grew 2% to $1.72 billion, while Capital Market Solutions rose 9% to $764 million. Adjusted EBITDA margin declined in Banking Solutions due to lower license/termination fees, while Capital Markets margin rose due to higher license revenue.

FIS repurchased $450 million in shares and paid $220 million in dividends in Q1, targeting $1.2 billion in repurchases for the full year. It also announced the $13.5 billion acquisition of Global Payments' Issuer Solutions business and the $6.6 billion sale of its remaining Worldpay stake, aiming to close both in H1 2026.

Worldpay, now a separate entity in which FIS retains a 45% stake, posted a $217 million net loss in Q1. FIS recorded a $71 million equity method loss from this holding.

Cash flow from operations was $457 million, and adjusted free cash flow totaled $368 million. The company ended the quarter with $805 million in cash and $12 billion in debt.

FIS announced on April 29, 2025, the launch of its next-generation enterprise treasury platform, *Treasury and Risk Manager – Quantum Cloud Edition*.

This cloud-native solution enhances real-time cash visibility, scalability, and risk analysis for CFOs and corporate treasurers. It introduces a new Liquidity Hub module that integrates data from ERP systems and bank APIs for real-time cash management.

Built on the public cloud, it allows faster implementation, seamless upgrades, and increased data processing. The classic Quantum version remains available. The update reflects FIS’ broader strategy to modernize financial operations and decision-making infrastructure.

Fidelity National Information Services (FIS) entered into a transaction agreement with Global Payments to acquire its Issuer Solutions business for $13.5 billion. As part of the deal, FIS will transfer its stake in Worldpay to Global Payments and pay the remainder in cash. Global Payments simultaneously agreed to acquire the rest of Worldpay from GTCR, valuing Worldpay at $24.25 billion.

The transactions are interdependent and subject to regulatory approvals and other customary conditions. FIS also secured an $8 billion bridge loan commitment to support the transaction and expects to replace it with permanent financing before closing. The transaction is targeted to close by April 2026, with extensions allowed if regulatory approvals are delayed.

FIS announces $12B acquisition of Global Payments' Issuer Solutions and $6.6B Worldpay stake sale

FIS announced two major strategic moves: the acquisition of Global Payments' Issuer Solutions business for a net price of $12 billion, and the sale of its 45% stake in Worldpay to Global Payments for $6.6 billion. The transactions aim to enhance FIS’s fintech offerings and financial performance.

Issuer Solutions strengthens FIS’s credit processing capabilities with operations in over 75 countries, serving more than 170 financial institutions. The acquisition is expected to generate over $500 million in incremental adjusted free cash flow within the first year, more than $150 million in EBITDA synergies by year three, and revenue synergies exceeding $125 million annually in the long term.

The sale of Worldpay accelerates monetization of a non-cash-generating minority interest and is valued at 10.5x expected 2025 EBITDA, higher than the 9.8x multiple used in FIS’s previous 55% sale of Worldpay in February 2024. Both transactions are expected to close in the first half of 2026.

To fund the acquisition, FIS will combine $8 billion in new debt with proceeds from the Worldpay sale. Post-transaction, FIS expects gross leverage of 3.4x, with a target of 2.8x within 18 months.

FIS reaffirmed its full-year 2025 guidance and released preliminary Q1 results:

- Revenue: $2.5 billion (up 4% adjusted)
- Adjusted EBITDA: ~$958 million
- Adjusted EPS: ~$1.21
- Banking revenue growth: ~2%
- Capital Markets revenue growth: ~9%

A webcast discussing these developments was held on April 17, 2025. Full details are available at www.fisglobal.com.

FIS and Oxford Economics released groundbreaking research quantifying the annual financial toll businesses face from cyberthreats, fraud, regulatory complexity, and operational inefficiencies—amounting to nearly $100 million per company on average. The study, titled *"The Harmony Gap: Finding the Financial Upside in Uncertainty,"* involved over 1,000 business leaders across the U.S., U.K., and Singapore and identified nine primary sources of disharmony across the money lifecycle.

Key findings include:
- 88% of respondents cited cyberthreats, and 79% cited fraud as leading sources of disruption.
- On average, businesses lose $98.5 million annually due to financial system inefficiencies.
- 51% experienced significant tension during money movement phases, with frequent transaction delays reported despite widespread adoption of automated payment systems.
- 83% prioritize fraud risk management, yet more than half are dissatisfied with their fraud response plans and tools.
- Only 53% of organizations regularly train staff on fraud and cyber awareness.

The research also showed that organizations investing in fintech—particularly embedded finance—saw a tangible return: 82% had implemented such solutions, reporting an average 8.5% increase in sales. Companies with dedicated fintech teams were also more prepared to address disruptions and reported stronger revenue growth.

Although AI and automation were embraced by over half of respondents as a strategic priority, barriers like cost, lack of in-house expertise, and integration challenges persist. Nevertheless, optimism remains strong, with 56% planning to use AI to boost organizational agility and 48% aiming to attract new customers.

FIS will unveil the full research findings at its Emerald conference in May 2025. This study underscores the importance of harmonizing financial operations and embracing advanced technology to enhance resilience, efficiency, and growth.

FIS Partners with Bilt to Launch Premium Payback Rewards at Checkout

FIS has announced that its Premium Payback solution will be integrated with Bilt's rewards program to allow Bilt Mastercard holders to redeem their Bilt Points directly at participating merchants' checkouts. This integration marks a new step in real-time rewards redemption, with a broader rollout planned for all eligible Bilt Members in Q3 2025.

The Premium Payback system enables cardholders to instantly use loyalty points during a transaction, offering immediate savings and eliminating the need for app downloads or delays. According to FIS, this can enhance the payment experience and deepen customer loyalty by connecting card issuers and merchants through a streamlined redemption process.

Bilt, launched in 2021, converts everyday neighborhood and housing-related spending into rewards. Through this partnership, Bilt members can expect expanded options to use their points for in-store purchases.

FIS notes that loyalty programs are increasingly important in today’s economic climate. According to a 2024 survey from Snappy, 76% of Americans are willing to spend more with brands that offer effective loyalty programs. FIS’s Premium Payback aims to meet these expectations by delivering seamless, point-of-sale rewards.

This new collaboration with Bilt adds to a series of recent wins for FIS’s Loyalty division and highlights its broader goal to innovate how the world pays, banks, and invests.

FIS Launches Securities Matching Platform to Boost U.S. Market Efficiency

FIS officially launched its Securities Finance Matching Platform in the U.S., following completion of its SEC filing process. This cloud-native, smart automation solution is designed to streamline the matching process for broker-dealers by identifying optimal matches between securities lenders and borrowers—prioritizing efficiency, cost-effectiveness, and risk management.

Originally introduced in the U.K. in 2024, the platform now provides U.S. broker-dealers with an alternative to existing systems, reducing single-point-of-failure risk in a vital sector of the capital markets. The system evaluates variables such as rebate rates, capital requirements, and counter-party patterns to deliver fast, low-cost match outcomes.

FIS Capital Markets head Nasser Khodri emphasized the platform's potential to reduce operational friction and support scaling trade volumes in the face of tighter margins. The platform is part of the broader FIS Securities Finance Suite and will be operated in the U.S. through FIS Brokerage & Securities Services LLC, a FINRA and SIPC member.

FIS WINS TWO AWARDS FOR INNOVATION IN TREASURY MANAGEMENT AT 2025 TMI AWARDS

FIS has earned two major honors at the 2025 Treasury Management International Innovation & Excellence Awards. The company received the "Best Cash & Treasury Management Solution" award for its Integrity Edition of Treasury and Risk Manager, and the "Solution Innovation in AI" award for its newly launched Treasury GPT tool.

The Integrity platform offers cloud-native technology that provides treasurers with real-time cash visibility and robust risk mitigation through integration with banking, trading, and business systems. Treasury GPT, developed in collaboration with Microsoft using Azure OpenAI Service, is the first generative AI tool specifically for treasury management, offering insights on system configuration, product use, and best practices.

The awards recognize FIS’ continued innovation in financial technology to help businesses effectively manage liquidity and adapt to modern challenges. According to PwC’s 2023 Global Treasury Survey, real-time visibility and accurate forecasting remain top priorities for treasurers and CFOs globally.

FIS is a Fortune 500 financial technology company based in Jacksonville, Florida, offering solutions that help clients manage payments, banking, and investment needs.