FLEETCOR's (FLT) Q4 Earnings and Revenues Miss Estimates
FLEETCOR Technologies, Inc. FLT reported unimpressive fourth-quarter 2023 results as both earnings and revenues lagged the respective Zacks Consensus Estimate.
Adjusted earnings (excluding 96 cents from non-recurring items) of $4.44 per share missed the consensus estimate by a slight margin but grew 9.9% year over year.
Revenues of $937.3 million missed the consensus mark by 3.2% but increased 6.1% year over year on a reported basis.
Let’s check out the numbers in detail.
Revenues in Detail
The company has reorganized its business segments in the fourth quarter of 2023. The new segments are now categorized as Vehicle Payments, Corporate Payments, Lodging Payments and Other. This restructuring reflects changes in the company's focus, strategy or operational structure. By aligning with the recent changes in the organizational structure and management reporting, the company aims to better represent its business activities and facilitate clearer reporting and analysis.
FleetCor Technologies, Inc. Price, Consensus and EPS Surprise
FleetCor Technologies, Inc. price-consensus-eps-surprise-chart | FleetCor Technologies, Inc. Quote
Vehicle Payments revenues of $499.76 million declined slightly year over year on a reported basis. Corporate Payments revenues of $251.01 million increased 25% year over year on a reported basis and beat our estimated $243 million.
Lodging revenues of $119.93 million grew 1% year over year on a reported basis but missed our estimated $135 million.
Other revenues of $66.53 million increased 7% year over year on a reported basis but were lower than our estimate of $72.1 million.
Operating Results
Operating income increased 15% from the year-ago quarter’s level to $424.1 million, lower than our estimated $438.9 million. The operating income margin increased from the year-ago figure of 41.8% to 44% but missed our estimate of 45.5%.
Balance Sheet & Cash Flow
FLEETCOR exited fourth-quarter 2023 with cash, cash equivalents and restricted cash of $1.39 billion compared with $1.09 billion at the end of the prior quarter.
FLT provided $876.37 million in net cash from operating activities. Capital expenditures totaled $36.7 million.
Currently, FLEETCOR carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Guidance
Total revenues are expected to range between $4.04 billion and $4.12 billion. The Zacks Consensus Estimate is $4.11 billion, higher than the midpoint ($4.08 billion) of the guided range.
GAAP net income is anticipated between $1.09 billion and $1.13 billion while the corresponding GAAP net income per share is estimated to range from $15.40 to $15.80.
Adjusted net income is projected to be between $1.36 billion and $1.40 billion, while the adjusted net income per share is expected to range from $19.20 to $19.60. The Zacks Consensus Estimate for 2024 earnings is pegged at $19.22 per share, lower than the midpoint ($19.4) of the guided range.
Earnings Snapshot
Automatic Data Processing, Inc. ADP reported impressive second-quarter fiscal 2024 results, wherein earnings and revenues beat the respective Zacks Consensus Estimate.
Adjusted earnings per share (EPS) of $2.13 beat the consensus estimate by 1.4% and grew 8.7% from the year-ago fiscal quarter’s figure. Total revenues of $4.67 billion surpassed the consensus estimate by 0.2% and improved 6.3% from the year-ago fiscal quarter’s reading on a reported basis, as well as on an organic constant-currency basis.
Booz Allen Hamilton Holding Corp. BAH reported better-than-expected fourth-quarter fiscal 2024 results.
Quarterly adjusted EPS of $1.41 surpassed the Zacks Consensus Estimate by 24.8% and exceeded the year-ago quarter’s figure by 31.8%. The company reported revenues of $2.57 billion, which beat the consensus estimate by 1.5% and increased 12.9% year over year. Revenues, excluding billable expenses, were $1.77 billion, up 13% year over year.
ManpowerGroup Inc. MAN reported impressive fourth-quarter 2023 results, with earnings and revenues both beating the Zacks Consensus Estimate. The better-than-expected earnings failed to impress the investors as the stock prices have stayed unchanged since the earnings release on Jan 30.
Quarterly adjusted earnings of $1.45 per share surpassed the consensus mark by 19.8%. The bottom line, however, declined 30.3% year over year, mainly due to restructuring costs and Argentina-related non-cash currency translation losses. Revenues of $4.63 billion surpassed the consensus mark by 1.5% and dipped 3.7% year over year on a reported basis. Revenues fell 5% on a constant-currency basis.
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