Fidelity National Information Services reported third quarter 2026 results characterized by significant top-line growth driven by recent acquisitions and margin expansion. While consolidated adjusted revenue grew 29%, underlying pro forma growth in the core Banking Solutions segment reached 3.9%, falling slightly short of analyst targets despite steady recurring revenue demand.
Key Highlights
- Adjusted revenue rose to $3.45 billion, a 29% increase over the prior year, primarily attributed to the Total Issuing Solutions acquisition.
- Banking Solutions pro forma revenue grew 3.9%, supported by 2.4% recurring revenue growth and continued client transitions to cloud-native platforms.
- Adjusted EBITDA margin expanded by 111 basis points to 42.9%, reflecting favorable revenue mix and the realization of cost management initiatives.
- The company narrowed its full-year 2026 Adjusted EPS guidance to $5.82–$5.89 and maintained its free cash flow target of $2.15–$2.25 billion.
- Share repurchases remain temporarily curtailed as the company prioritizes deleveraging to a target gross leverage ratio of 2.8x.