Global Payments Lowers Guidance, Shares Fall 5.6%

Global Payments Lowers Guidance, Shares Fall 5.6%

Global Payments Inc. (NYSE:GPN) saw its shares decline 5.6% in pre‑market trading on Thursday after the company announced a reduction in its full‑year earnings outlook. The firm now expects adjusted earnings per share of $13.60 to $13.80 for the fiscal year, which is below the consensus estimate of $13.79. In addition, Global Payments trimmed its normalized, constant‑currency adjusted net‑revenue growth target to approximately 4%‑5% for the year.

For the second quarter, the payment‑technology company reported adjusted earnings per share of $3.46, up from $3.10 year‑over‑year and marginally above the consensus estimate of $3.44. Adjusted net revenue reached $3.16 billion, representing a 34% increase year‑over‑year and matching analyst expectations. Adjusted operating income was $1.33 billion, a 26% rise year‑over‑year and in line with the $1.33 billion estimate. Operating expenses rose sharply to $2.98 billion, a 95% increase year‑over‑year, exceeding the consensus forecast of $2.64 billion.

Chief Executive Officer Cameron Bready said the company “delivered solid second quarter results that were consistent with our expectations, reflecting the resilience of our business model amidst the ongoing conflict in the Middle East.” The firm attributed the revised guidance to the impact of the Middle‑East conflict on its travel portfolio.

Looking ahead, Global Payments expects normalized adjusted operating margin expansion of roughly 150 basis points for the full year and plans to return more than $2 billion of capital to shareholders in 2026.