Summary
Fidelity National Information Services, Inc. (FIS) reported strong revenue growth in its 2013 10-K filing, reaching $6.07 billion, an increase of 4.5% year-over-year, driven by transaction growth and demand for professional and consulting services. The company highlighted its leadership in banking and payments technologies, serving over 14,000 institutions globally across its four segments: Financial Solutions Group (FSG), Payment Solutions Group (PSG), International Solutions Group (ISG), and Corporate and Other. PSG demonstrated particularly strong performance with a notable increase in operating margin to 39.0%. FIS continues to focus on expanding client relationships, investing in new solutions through acquisitions and development, supporting client transformations, driving margin expansion, and building global diversification. The company's strategy emphasizes recurring revenue streams from multi-year contracts. Key risks identified include competition, technological changes, customer consolidation, and regulatory environments. FIS also reported substantial goodwill and intangible assets, indicating a history of strategic acquisitions to broaden its offerings and scale.
Financial Highlights
56 data points| Revenue | $6.06B |
| Gross Profit | $1.97B |
| SG&A Expenses | $907.80M |
| Operating Expenses | $5.01B |
| Operating Income | $1.06B |
| Interest Expense | $198.60M |
| Net Income | $493.10M |
| EPS (Basic) | $1.70 |
| EPS (Diluted) | $1.68 |
| Shares Outstanding (Basic) | 289.70M |
| Shares Outstanding (Diluted) | 294.20M |
Key Highlights
- 1Total revenues increased by 4.5% to $6.07 billion in 2013, driven by growth across its segments, particularly in professional and consulting services.
- 2The Payment Solutions Group (PSG) showed robust performance, with revenues growing and operating margin expanding significantly to 39.0% in 2013.
- 3The company continues to prioritize expanding client relationships and cross-selling opportunities through acquisitions and product development.
- 4FIS maintains a strong global presence, serving over 14,000 institutions in more than 100 countries, with international operations contributing approximately 21% of total revenue in 2013.
- 5The company actively repurchased shares, returning capital to shareholders, with $475.9 million spent on share repurchases in 2013.
- 6FIS is navigating a competitive landscape with significant players such as Fiserv and Jack Henry, and is adapting to technological changes and evolving market demands.
- 7The company is subject to various governmental regulations in the financial services sector, including those related to privacy, money transfer, and consumer protection, with a focus on compliance.