10-QPeriod: Q2 FY2025

FISERV INC Quarterly Report for Q2 Ended Jun 30, 2025

Filed July 24, 2025For Securities:FISV

Summary

Fiserv, Inc. reported strong performance in its second quarter and first half of 2025, demonstrating robust revenue growth and improved profitability. Total revenue increased by 8% in Q2 and 7% for the first six months compared to the prior year, driven by higher processing and product revenues. The company saw significant growth in its Merchant segment, up 10% in Q2, bolstered by its Clover platform and acquisitions, and a healthy 7% increase in its Financial segment. Profitability also saw substantial gains, with operating income rising 19% in Q2 and 18% for the first half. This improvement is attributed to scalable revenue growth, favorable revenue mix, and effective expense management, leading to an expanded operating margin. Diluted earnings per share increased to $1.86 in Q2, reflecting the company's operational efficiency and strategic execution. Fiserv also continued its commitment to capital allocation through significant share repurchases, further enhancing shareholder value.

Financial Highlights

49 data points
Beta

Revenue

$5.52B

Net Income

$1.03B

18.6% Net Margin

EPS (Diluted)

$1.86

Total Assets

$81.53B

Cash & Equivalents

$999.00M

Free Cash Flow

$1.19B

Financial Statements
Beta
Revenue$5.52B
SG&A Expenses$1.71B
Operating Expenses$3.82B
Operating Income$1.70B
Interest Expense$376.00M
Net Income$1.03B
EPS (Basic)$1.86
EPS (Diluted)$1.86
Shares Outstanding (Basic)550.80M
Shares Outstanding (Diluted)552.70M

Key Highlights

  • 1Total revenue increased by 8% year-over-year to $5.516 billion in Q2 2025, and by 7% to $10.646 billion for the first six months.
  • 2Operating income grew by 19% year-over-year to $1.70 billion in Q2 2025, and by 18% to $3.09 billion for the first six months, indicating strong operational leverage.
  • 3Net income attributable to Fiserv, Inc. rose by 15% year-over-year to $1.026 billion in Q2 2025, translating to a diluted EPS of $1.86.
  • 4The Merchant segment revenue grew by 10% year-over-year in Q2 2025, driven by Small Business (Clover platform) and acquisitions like CCV.
  • 5The Financial segment revenue increased by 7% year-over-year in Q2 2025, supported by Digital Payments and Issuing services.
  • 6The company repurchased approximately $4.4 billion of common stock in the first six months of 2025, demonstrating a commitment to returning capital to shareholders.
  • 7Fiserv completed several strategic acquisitions in the first half of 2025, including Payfare and CCV, to expand its embedded finance capabilities and POS payment solutions.

Frequently Asked Questions

Revenue growth was primarily driven by higher processing and services revenue across both the Merchant and Financial segments. Specifically, the Merchant segment saw strong performance from its Clover POS platform and contributions from recent acquisitions, while the Financial segment benefited from increased license and data analytics sales, along with growth in transaction volumes.

Fiserv achieved improved operating income through a combination of scalable revenue growth and favorable revenue mix, which outpaced expense growth. The company also benefited from a decrease in the selling, general, and administrative expenses as a percentage of revenue, partly due to a reduction in amortization of acquisition-related intangible assets and acquisition/integration expenses.

Fiserv maintains a solid liquidity position with $999 million in cash and cash equivalents, plus significant capacity under its revolving credit facility. The company has actively managed its debt through strategic issuances and repayments. While debt levels have increased due to acquisitions and financings, the company's operating cash flow growth and strong covenant compliance indicate a stable outlook for liquidity and debt management.

The acquisitions completed in the first half of 2025, such as Payfare and CCV, contributed to revenue growth, particularly within the Merchant segment. While these acquisitions also added to intangible assets and goodwill, the overall financial performance indicates that Fiserv is integrating these businesses effectively and realizing strategic benefits.