Fidelity National Information Services, Inc. (FIS) Bundle
A Brief History of FIS
Fidelity National Information Services, Inc. (FIS) has undergone significant transformations and strategic maneuvers throughout its history, particularly as of 2024. The company, a global leader in financial services technology, has focused on providing a wide range of solutions for banking, payments, and investment services.
Recent Developments
As of January 31, 2024, FIS completed the sale of its Worldpay Merchant Solutions business, a major divestiture aimed at streamlining operations and focusing on core competencies. This sale significantly impacted the company’s financial position, creating an estimated loss on the sale of $491 million.
Financial Performance
For the nine months ended September 30, 2024, FIS reported total revenue of $7.528 billion. This was segmented into:
- Banking Solutions: $5.174 billion
- Capital Market Solutions: $2.158 billion
- Corporate Solutions and Other: $196 million
Operating expenses for the same period were $6.313 billion, leading to an adjusted EBITDA of $3.021 billion.
Net Earnings
FIS reported a net earnings attributable to common stockholders of $1.169 billion for the nine months ending September 30, 2024. This marked a significant recovery from the previous year's loss of $6.904 billion.
Balance Sheet Overview
As of September 30, 2024, FIS's total assets amounted to approximately $54.973 billion, while total liabilities stood at $35.917 billion. The company reported a stockholders' equity of $19.056 billion.
| Metric | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Total Revenue | $7.528 billion | $7.318 billion |
| Net Earnings (Loss) | $1.169 billion | $(6.904) billion |
| Total Assets | $54.973 billion | $55.105 billion |
| Total Liabilities | $35.917 billion | $36.006 billion |
| Stockholders' Equity | $19.056 billion | $19.099 billion |
Debt Management
As of September 30, 2024, FIS had a total debt outstanding of $10.9 billion with a weighted average interest rate of 2.7%. The company has been actively managing its debt profile and repaid significant amounts, including €500 million in Senior Euro Notes.
Liquidity Position
FIS reported total available liquidity of $5.7 billion, which includes $1.3 billion in cash and cash equivalents and $4.4 billion in undrawn capacity under its Revolving Credit Facility.
Stockholder Returns
On December 23, 2024, FIS announced a quarterly dividend of $0.36 per share, reflecting its commitment to returning value to shareholders.
Market Presence
FIS remains a key player in the financial technology sector, continuously evolving its offerings to meet the needs of its global client base. The company's strategic decisions, particularly the divestiture of non-core assets, are designed to enhance operational efficiency and focus on growth areas in banking and capital markets.
A Who Owns Fidelity National Information Services, Inc. (FIS)
Major Shareholders
As of 2024, Fidelity National Information Services, Inc. (FIS) has a diverse ownership structure, with institutional investors holding a significant portion of its shares. The major shareholders include:
| Shareholder | Ownership Percentage | Number of Shares |
|---|---|---|
| Vanguard Group, Inc. | 8.15% | 51.5 million |
| BlackRock, Inc. | 7.89% | 50.5 million |
| State Street Corporation | 4.53% | 29.2 million |
| FMR LLC (Fidelity Investments) | 4.12% | 26.5 million |
| Wellington Management Group LLP | 3.87% | 25.0 million |
Insider Ownership
Insider ownership is also pertinent to understanding FIS's ownership structure. Key executives and board members hold shares in the company, which can influence corporate governance.
| Insider Name | Position | Number of Shares Owned |
|---|---|---|
| Stephanie L. Ferris | CEO | 1.2 million |
| Gary Norcross | Chairman | 1.5 million |
| Other Executives | N/A | 2.0 million |
Stock Performance
FIS's stock has shown volatility in 2024, reflecting broader market trends and company-specific events.
- Stock Price (as of September 30, 2024): $26.34
- Market Capitalization: Approximately $16.5 billion
- 52-Week Range: $22.00 - $35.00
Recent Developments
In January 2024, FIS completed the sale of Worldpay, retaining a 45% non-controlling interest in the company. This strategic move is expected to influence its financial landscape moving forward.
| Financial Metric | Value |
|---|---|
| Debt Outstanding | $10.9 billion |
| Cash and Cash Equivalents | $1.3 billion |
| Available Liquidity | $5.7 billion |
| Quarterly Dividend | $0.36 per share |
Conclusion
The ownership landscape of FIS reflects a blend of institutional investment and insider participation, establishing a robust framework for its corporate governance and strategic direction. The recent sale of Worldpay and the ongoing focus on liquidity and debt management are critical for its future performance.
Fidelity National Information Services, Inc. (FIS) Mission Statement
Company Overview
Fidelity National Information Services, Inc. (FIS) is a global leader in financial services technology, providing a broad range of solutions for banking, capital markets, and payments. As of 2024, FIS continues to focus on delivering innovative technology and services that enhance the way financial institutions operate.
Mission Statement
FIS's mission is to empower the financial services industry through technology and innovation, enabling their clients to achieve operational efficiency, enhance customer experiences, and drive profitability.
Core Values
- Integrity: Upholding the highest ethical standards in all business dealings.
- Innovation: Continuously seeking to develop new technologies that meet the evolving needs of clients.
- Collaboration: Working together with clients and partners to achieve shared goals.
- Excellence: Striving for the highest quality in products and services.
Financial Performance
As of September 30, 2024, FIS reported the following financial metrics:
| Metric | Value |
|---|---|
| Revenue | $7,528 million |
| Adjusted EBITDA | $3,021 million |
| Net Earnings | $1,171 million |
| Basic Earnings Per Share | $2.09 |
| Total Debt | $10.9 billion |
| Available Liquidity | $5.7 billion |
Strategic Goals
FIS aims to achieve the following strategic goals:
- Enhance Client Solutions: Expand and improve product offerings to meet client needs more effectively.
- Invest in Technology: Allocate significant resources toward innovation in technology, particularly in payment solutions and cybersecurity.
- Global Expansion: Increase market presence in emerging markets to capture new growth opportunities.
Recent Developments
In January 2024, FIS completed the sale of its Worldpay segment, which was a significant move to streamline operations and focus on core business areas. The sale generated substantial liquidity, with net proceeds contributing to the company's robust financial position.
Market Position
FIS is positioned as a leader in the financial technology sector, with a diverse client base that includes banks, credit unions, and investment firms. The company remains committed to adapting to market trends and regulatory changes while delivering value to stakeholders.
Community Engagement
FIS engages in various initiatives aimed at supporting financial literacy and inclusion, demonstrating its commitment to social responsibility. The company regularly invests in community programs that promote economic empowerment.
How Fidelity National Information Services, Inc. (FIS) Works
Business Segments
Fidelity National Information Services, Inc. (FIS) operates through several key business segments:
- Banking Solutions
- Capital Market Solutions
- Corporate and Other
Financial Performance
As of September 30, 2024, FIS reported the following financial results (in millions):
| Segment | Revenue | Operating Expenses | Adjusted EBITDA |
|---|---|---|---|
| Banking Solutions | $5,174 | $(3,353) | $2,301 |
| Capital Market Solutions | $2,158 | $(1,384) | $1,066 |
| Corporate and Other | $196 | $(1,576) | $(346) |
| Total | $7,528 | $(6,313) | $3,021 |
Revenue Breakdown
For the nine months ended September 30, 2024, FIS's revenue composition was as follows (in millions):
| Type of Revenue | Amount |
|---|---|
| Recurring Revenue | $6,086 |
| Software License | $399 |
| Professional Services | $703 |
| Other Non-Recurring Fees | $340 |
| Total Revenue | $7,528 |
Net Earnings
FIS reported net earnings (loss) attributable to common stockholders for the nine months ended September 30, 2024, as follows (in millions):
| Period | Net Earnings (Loss) |
|---|---|
| Continuing Operations | $1,169 |
| Discontinued Operations | $(687) |
| Total | $482 |
Cash Flow Statement
For the nine months ended September 30, 2024, FIS's cash flows from operating activities (in millions) were:
| Cash Flow Category | Amount |
|---|---|
| Net Earnings (Loss) | $1,171 |
| Adjustments for Non-Cash Items | $1,291 |
| Net Cash Provided by Operating Activities | $1,393 |
Debt and Liquidity
As of September 30, 2024, FIS had the following debt and liquidity positions (in millions):
| Category | Amount |
|---|---|
| Total Debt Outstanding | $10,808 |
| Effective Weighted Average Interest Rate | 2.7% |
| Available Liquidity | $5,700 |
| Cash and Cash Equivalents | $1,300 |
Stock Performance
As of September 30, 2024, FIS's stock performance metrics were:
| Metric | Value |
|---|---|
| Basic Earnings (Loss) Per Share | $0.41 |
| Diluted Earnings (Loss) Per Share | $0.41 |
| Weighted Average Common Shares Outstanding | 545 million |
Recent Developments
FIS completed the sale of its Worldpay Merchant Solutions business on January 31, 2024, impacting its financial results significantly. The effects of this sale are reflected in the discontinued operations section of the financial statements.
How Fidelity National Information Services, Inc. (FIS) Makes Money
Business Segments
Fidelity National Information Services, Inc. (FIS) operates through three primary segments:
- Banking Solutions
- Capital Markets Solutions
- Corporate Solutions and Other
Revenue Breakdown
For the nine months ended September 30, 2024, FIS generated a total revenue of $7,528 million. The revenue composition from each segment is as follows:
| Segment | Revenue (in millions) | Percentage of Total Revenue |
|---|---|---|
| Banking Solutions | $5,174 | 68.8% |
| Capital Markets Solutions | $2,158 | 28.7% |
| Corporate Solutions and Other | $196 | 2.5% |
Recurring vs. Non-Recurring Revenue
FIS's revenue is largely driven by recurring sources, which provide stability. For the nine months ended September 30, 2024, the breakdown was:
| Type of Revenue | Amount (in millions) |
|---|---|
| Recurring Revenue | $6,086 |
| Non-Recurring Revenue | $1,442 |
Key Revenue Sources
The main sources of revenue for FIS include:
- Transaction processing and services: $5,089 million
- Software maintenance: $701 million
- Professional services: $703 million
- Software licenses: $399 million
- Other non-recurring fees: $340 million
Geographical Revenue Distribution
FIS's revenue also varies by geographical market. For the nine months ended September 30, 2024, the distribution was:
| Geographical Market | Revenue (in millions) |
|---|---|
| North America | $5,863 |
| All Other Regions | $1,665 |
Operating Expenses and Profitability
FIS reported operating expenses of $6,313 million for the nine months ended September 30, 2024. The adjusted EBITDA was $3,021 million, resulting in an adjusted EBITDA margin of 40.1%.
Net Earnings
For the nine months ended September 30, 2024, FIS reported net earnings attributable to common stockholders of $1,169 million, compared to a net loss of $6,904 million for the same period in the previous year.
Cash Flows
FIS reported net cash provided by operating activities from continuing operations of $1,393 million for the nine months ended September 30, 2024.
Liquidity and Capital Resources
As of September 30, 2024, FIS had a total liquidity of $5.7 billion, including $1.3 billion in cash and cash equivalents and $4.4 billion available under its Revolving Credit Facility. Total debt outstanding was $10.9 billion, with a weighted average interest rate of 2.7%.
Dividends and Shareholder Returns
FIS declared a quarterly dividend of $0.36 per share, payable on December 23, 2024, to shareholders of record as of December 9, 2024.
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Resources:
- Fidelity National Information Services, Inc. (FIS) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Fidelity National Information Services, Inc. (FIS)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Fidelity National Information Services, Inc. (FIS)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.