GPN · Q4 2025 Earnings

Cautious

Global Payments

Reported February 18, 2026

30-second summary

30-second take: Q4 adjusted net revenue grew 6% constant currency ex-dispositions to $2.32B (+1.4% reported — the optical-distortion figure that resolves once WorldPay closes), with Merchant Solutions +0.4% reported / slightly above 6% CC ex-dispositions; FY25 adjusted EPS landed at $12.22 — the "high end of 10–11%" framing was delivered. The story is the FY26 guide: ~5% CC ex-dispositions revenue growth (notch below FY25's 5–6% band), ~150bps margin expansion (a meaningful step up from FY25's ~97bps achievement), and 13–15% adjusted EPS growth to $13.80–$14.00 — a bridge year where margin and capital return, not revenue acceleration, do the work. A new $2.5B buyback authorization plus a $550M ASR support the $7.5B 2025–2027 return target.

Headline numbers

EPS

Q4 FY2025

$3.18

Revenue

Q4 FY2025

$2.32B

+1.4% YoY

Operating margin

Q4 FY2025

44.7%

Key financials

Q4 FY2025

Metric	Q4 FY2025	YoY	Q3 FY2025	QoQ
Revenue	$2.32B	+1.4%	$2.01B	+15.4%
EPS	$3.18	—	$3.26	-2.5%
Operating margin	44.7%	—	38.8%	+590bps

Guidance

FY2026 guidance establishes elevated earnings growth (13–15% EPS) and margin expansion (~150 bps) on modest 5% revenue growth, while FY2025 results beat margin expectations but landed at lower end of revenue guidance.

Guidance is issued for the full year only, refreshed each quarter. Prior and new below are the same FY updated this quarter.

Actuals vs prior guidance

Metric	Period	Prior guide	Actual	Δ	Result
Adjusted EPS	FY 2025	at the high end of the 10% to 11% range	12.22	aligned with high-end growth guidance	Met
Adjusted Operating Margin Expansion	FY 2025	more than 50 basis points	~150 basis points implied	~100 bps above minimum guidance	Beat

New guidance

Metric	Period	Guide	YoY
Adjusted EPS	FY 2026	$13.80 to $14.00	+13% to +15%
Adjusted Net Revenue Growth (constant currency, ex-dispositions)	FY 2026	approximately 5%	—
Adjusted Operating Margin Expansion	FY 2026	approximately 150 basis points	—

Changes to prior guidance

Metric	Period	Prior guide	New guide	Δ	Result
Adjusted Net Revenue Growth (constant currency, ex-dispositions)	FY 2025	5% to 6%	approximately 5%	at lower end of prior range	Lowered

Segment performance

Q4 FY2025

Segment	Q4 FY2025	YoY
Merchant Solutions	$1.782B	+0.4%
Issuer Solutions	$0.557B	+5.1%

Capital & returns

Q4 FY2025

Segment	Q4 FY2025
Share Repurchase Authorization	$2.5 billion
Accelerated Share Repurchase Plan	$550 million
Expected Capital Return Through 2027	$7.5 billion

Other KPIs

Q4 FY2025

Segment	Q4 FY2025
Adjusted Operating Margin	44.7%
Merchant Solutions Constant Currency Growth (ex-dispositions)	6%
2026 Adjusted EPS Guidance	$13.80 to $14.00
2026 Operating Margin Expansion Guidance	~150 basis points
2026 Adjusted Net Revenue Growth Guidance (CC ex-dispositions)	~5%

Management tone

Q1 absent → Q2 Worldpay enthusiasm and transformation raise → Q3 reaffirmation with operational proof points → Q4 capital-return vehicle framing

The narrative has migrated from "transformation" to "enhanced financial profile." Two quarters ago Worldpay was a strategic accelerant; last quarter it was integration mechanics; this quarter management frames the combined entity as having "meaningful scale and strong cash flow generation" with "sustained, long-term value for our shareholders." The $2.5B authorization plus $550M ASR plus the $7.5B 2025–2027 target operationalize that framing — management is now selling capital return as much as organic growth, which is what 5% top-line guidance forces.

Genius commentary has shifted from launch metrics to distribution expansion. In Q3 the proof points were +75% new ARR since June and 90% of sales to new customers. This quarter the framing is about distributing Genius through WorldPay's ~6 million merchant location base, with the US direct sales force already enabled and a first cohort onboarded. New Genius POS locations in Q4 were +25% YoY; enterprise restaurant rooftop count finished +50% above 2024; Genius payments attach in the enterprise segment nearly doubled in Q4; and new retail rooftops were +40% YoY. The narrative arc has progressed from "does the product work" (Q2) to "is it selling" (Q3) to "can it ride the WorldPay channel" (Q4) — a logical sequence, but each transition pushes the proof point further out.

Q&A highlights

Dave Koenig · Baird

What is the organic constant currency growth split between enterprise and SMB, and between WorldPay and Global Payments? Are all parts of the business growing at mid-single digits?

Merchant solutions exited the year at slightly above 6% organically, while WorldPay exited at approximately 4%, resulting in the 5% full-year guidance. SMB represents approximately 50% of pro forma revenue, with enterprise, platforms, and e-commerce each representing about 25%. First half expected modestly below 5% with acceleration in second half driven by sales expansion and Genius ramp.

Merchant solutions: >6% organic growth Q4WorldPay: ~4% growth exiting 2025Combined full year: 5% constant currency growth guidanceSMB: ~50% of pro forma revenue

Darren Peller · Wolford

What is the trajectory of synergies expected throughout 2026? What level of synergies are incorporated into the guidance? What early results are being seen with Genius cross-sell into WorldPay's SMB business?

Expecting $70-80 million in cost synergies in 2026 out of $600 million total over three years. WorldPay US direct sales team already enabled to sell Genius with first cohort onboarded and growing pipeline. Genius being introduced to WorldPay's financial institution platforms, wholesale channels, and UK distribution channels. Plan to cross-sell Genius into WorldPay's 5+ million merchant customer base.

$600 million total cost synergies over three years$70-80 million cost synergies expected in 2026Detailed integration plans in place and execution underwayWorldPay US sales force already selling Genius with first cohort onboarded

Dan Dolo · Mizuho

Given the perceived undervaluation of the stock and strong business momentum, what are the company's thoughts on staying public versus exploring alternative ownership structures?

Currently focused on integrating WorldPay and executing capital return plans. Management agrees valuation appears attractive but is pursuing all available options to maximize shareholder value. Notes there is significant private capital available and larger deals are being completed, making going private more feasible than ever, but no immediate plans to pursue alternatives.

Significant private capital on sidelinesLarger deals being completed in marketOngoing assessment of all options to maximize shareholder valueWill evaluate alternatives if public markets continue to undervalue business

Ramzi LSL · Cantor Fitzgerald

Where will the planned sales force additions be deployed? Is the focus primarily on SMB and Genius, WorldPay offerings, or cross-selling across channels?

Most sales force expansion focused on North America for Genius payments and value-added service offerings, particularly targeting opportunities from very small SMB through upper SMB and beginning mid-market. Company continues to provide self-service digital options but views more complex sales as requiring relationship-based, consultative selling.

Sales expansion primarily North America-focusedFocus on Genius payments and value-added servicesTarget segments: very small SMB through upper SMB into mid-marketComplex sales require relationship-based engagement

Adam Frisch · Evercore

Is pricing in the SMB/POS competitive market remaining rational without irrational behavior from competitors? Has the company renewed Toast and if so, what were the terms?

Pricing environment remains fairly rational and competitive without irrational behavior. Company maintains competitive pricing capability due to scale while differentiating on distribution diversity, feature richness, and service experience. Toast multi-year renewal was completed successfully and company remains proud to continue supporting Toast from a payments perspective.

Pricing environment remains rationalNo irrational pricing behavior from competitorsToast multi-year renewal completedAssigned annual revenue per POS deal up ~50% YoY

Answers to last quarter's watch list

GAAP-vs-adjusted revenue gap. With WorldPay closed in Q1 2026 and the Issuer Solutions divestiture to FIS completing in the same window, the optical distortion remains in place through this print — Q4 Merchant +0.4% reported vs slightly above 6% CC ex-dispositions repeats the prior pattern. The gap resolves once the pro forma reporting base resets in 2026.

Continue monitoring

FY adjusted EPS at or above the "high end of 10–11%" guide. FY25 adjusted EPS landed at $12.22, consistent with the "high end" framing management held for two quarters. The result is delivered as guided — but there was no explicit raise above the band, so the print validates rather than exceeds the transformation narrative. Status: Resolved positively (delivered, not exceeded)

Genius leading indicators (new ARR, new locations, deal size). New disclosures this quarter: Q4 new POS locations +25% YoY, enterprise restaurant rooftop count +50% vs end-2024, retail new rooftops +40% YoY, and enterprise Genius payments attach nearly doubled. The Q3 framing metrics (+75% new ARR, +37% monthly new locations, deal size more than doubled) were not refreshed verbatim. Status: Resolved positively (refreshed with new cohort metrics)

Initial 2026 framing. Delivered: ~5% CC ex-dispositions revenue growth, ~150bps margin expansion, $13.80–$14.00 adjusted EPS (+13–15%). Margin and EPS are the story; revenue growth notch below the FY25 outcome sets a conservative bar. The anchor has been reset. Status: Resolved positively (delivered with clarity)

Sales-force productivity ramp. Management disclosed 200 of the 500 new sales professionals announced on the Q3 call have already been onboarded, supported by a new technology platform with embedded AI for lead flow and seller performance. U.S. new sales in Q4 were +35% YoY, the strongest quarter in several years. No certified-seller percentage update.

Continue monitoring

What to watch into next quarter

WorldPay close and integration P&L visibility. Close completed Q1 2026; the next print will be the first with pro forma comparability. Watch for the first quantified pro forma adjusted EPS and revenue baseline, and whether the FY26 cost-synergy contribution embedded in the 150bps margin guide gets refined or raised.

Whether H1 2026 lands "modestly below 5%" as guided. Management explicitly framed FY26 as back-half-loaded, with exit growth above 5%. A repeat of the H1 underperformance pattern — combined with an FX headwind of <50bps concentrated in Q1 — would put the FY26 guide under pressure by Q2.

WorldPay distribution of Genius. The first US direct-sales cohort is onboarded; the next leading indicator is Genius cross-sell metrics into WorldPay's ~6 million merchant base, plus the rollout through WorldPay's 50 largest referral banks and 6,300 branches flagged for 2026.

Margin expansion cadence. ~150bps guided for FY26 vs ~97bps delivered FY25 reported (~80bps ex-dispositions) — a step-up that leans on early cost synergy realization. Watch quarterly margin cadence to test whether the trajectory holds into FY27.

AI and agentic commerce monetization. Management spent meaningful prepared-remarks time on agentic commerce (founding-member status on Google and OpenAI protocols, MCP launched in November). Watch for any quantification of agentic-commerce revenue contribution or merchant adoption metrics.

Sources

Global Payments Q4 FY2025 press release (Form 8-K Exhibit 99.1), SEC filing dated 2026-02-18: https://www.sec.gov/Archives/edgar/data/1123360/000112336026000004/exhibit99120251231.htm
Global Payments Q4 FY2025 earnings call prepared remarks (Cameron Bready, CEO; Josh Whipple, CFO).

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