Corpay Inc Reports Second Quarter 2024 Financial Results

Corpay, Inc. Reports Second Quarter 2024 Financial Results

Overview: Corpay, Inc. (NYSE:CPAY), a corporate payments company, reported its financial results for the second quarter ended June 30, 2024.

Key Financial Metrics: | Metric | Q2 2024 | Q2 2023 | YoY Change | |---------------------------------------------|------------------------|------------------------|------------| | Total Revenue ($ million) | 975.7 | 948.2 | +3% | | Net Income Attributable to Corpay ($ million) | 251.6 | 239.7 | +5% | | Earnings Per Diluted Share ($) | 3.52 | 3.20 | +10% | | EBITDA ($ million) | 517.7 | 497.1 | +4%/+10% ex-Russia | | Adjusted Net Income Attributable to Corpay ($ million) | 325.0 | 314.3 | +3% | | Adjusted Earnings Per Diluted Share ($) | 4.55 | 4.19 | +8%/+14% ex-Russia |

Interpretation: Corpay, Inc. demonstrated solid financial performance in Q2 2024, with revenue increasing by 3% year-over-year and net income per share rising by 10%. The adjusted earnings per share also showed a healthy growth of 8%.

Revenue Breakdown Across Major Segments: | Segment | Q2 2024 Revenue ($ million) | |-------------------------|----------------------------| | Corporate Payments | N/A | | Vehicle Payments | N/A | | U.S. Local Fleet | N/A | | Lodging | N/A |

Interpretation: Segment-specific revenue figures are not provided in the report; however, both Corporate Payments and Vehicle Payments segments contributed positively, driven by new sales and ramping of implementations. The U.S. local fleet and lodging businesses also showed progress with strong sales.

Operational Data: | Data | Q2 2024 | |---------------------------------------|------------------| | EBITDA Margin (%) | Improved by 60 bps | | Share Repurchases (Million Shares) | 2.2 (Quarter), 3.3 (Year-to-date) |

Officer Comments: "Our results were slightly ahead of our expectations... same store sales, new sales, and customer retention all meaningfully improved in Q2 2024," noted Ron Clarke, CEO. CFO Tom Panther added, "Our Corporate Payments and Vehicle Payments segments delivered solid performance... Our EBITDA margin improved 60 bps, and we repurchased 2.2 million shares in the quarter."

Dividends or Share Buyback Program: Corpay repurchased 2.2 million shares in Q2 2024, bringing total repurchases to 3.3 million shares for the year.

Forward Guidance: For the fiscal year 2024, Corpay expects: - Total Revenues: $3,975 million - $4,025 million - Net Income: $1,058 million - $1,088 million - Earnings Per Diluted Share: $14.85 - $15.15 - Adjusted Net Income: $1,345 million - $1,375 million - Adjusted Earnings per Diluted Share: $18.85 - $19.15

For Q3 2024, Corpay anticipates: - Total Revenues: $1,015 million - $1,035 million - Adjusted Net Income Per Diluted Share: $4.90 - $5.00

Stock Price Movement: Following the earnings release, Corpay's stock experienced a slight decline of -0.25%.

Summary: Corpay, Inc. reported a robust second quarter for 2024 with positive growth in revenues, earnings, and EBITDA. The company remains optimistic about sustained growth and improving financial metrics as it integrates recent acquisitions and continues to drive new sales across its business segments.