Global Payments (NYSE: GPN) reported Q1 EPS of $1.13, $0.03 better than the analyst estimate of $1.10. Revenue for the quarter came in at $924.2 million versus the consensus estimate of $915.87 million.

First Quarter 2018 Summary

• GAAP revenues were $795.0 million, compared to $919.8 million in the first quarter of 2017; diluted earnings per share were $0.57 compared to $0.32 in the prior year; and operating margin was 19.6% compared to 11.4% in the first quarter of 2017; 2018 results reflect the adoption of Accounting Standards Codification Topic 606, Revenue from Contracts with Customers.
• Adjusted net revenue plus network fees grew 17% to $924.3 million, compared to $787.7 million in the first quarter of 2017.
• Adjusted earnings per share grew 33% to $1.13, compared to $0.85 in the first quarter of 2017.
• Adjusted operating margin expanded 140 basis points to 30.4%.

2018 Outlook

“As a result of our strong first quarter performance, we are increasing our outlook for 2018,” stated Cameron Bready, Senior Executive Vice President and Chief Financial Officer. “We now expect adjusted net revenue plus network fees to range from $3.90 billion to $3.975 billion, or growth of 13% to 15% over 2017 and adjusted operating margin to expand by as much as 120 basis points. Adjusted earnings per share are now expected to be in a range of $5.00 to $5.20, reflecting growth of 25% to 30% over 2017.”

GUIDANCE:

Global Payments sees FY2018 EPS of $5.00-$5.20, versus the consensus of $5.06. Global Payments sees FY2018 revenue of $3.9-3.975 million, versus the consensus of $3.94 million.

For earnings history and earnings-related data on Global Payments (GPN) click here.