Western Union Reports Fourth Quarter and Full Year 2022 Results

GuruFocus Research
2 min read
0
In this article:

Western Union, a global leader in cross-border, cross-currency money movement and payments, today reported financial results for the fourth quarter and full year ended December 31, 2022.

  • Revenue of $1.3 billion, down 2% compared to the prior year period

  • GAAP EPS of $0.51, up from $0.42 in the prior year period

  • Adjusted EPS of $0.54, up from $0.45 in the prior year period

  • Operating margin of 20.1%, up from 18.9% in the prior year period

  • Adjusted operating margin of 21.2%, up from 19.9% in the prior year period

  • Returned $365 million to shareholders through share repurchases and dividends

Full Year 2022 Highlights

  • Revenue of $5.1 billion, down 3% compared to the prior year

  • GAAP EPS of $1.75, down from $1.96 in the prior year

  • Adjusted EPS of $1.89, down from $2.00 in the prior year

  • Operating margin of 19.3%, down from 20.1% in the prior year

  • Adjusted operating margin of 20.4%, down from 21.1% in the prior year

  • Returned $1.4 billion to shareholders through share repurchases and dividends

CEO Commentary

"We delivered solid financial results in 2022 despite a challenging macroeconomic environment," said Hikmet Ersek, President and CEO of Western Union. "Our digital business continued to grow, and we made significant progress on our strategic initiatives, including the expansion of our real-time payments capabilities and the launch of new partnerships. We remain focused on executing our strategy to drive long-term growth and shareholder value."

Financial Outlook

For the full year 2023, Western Union expects revenue growth of 1% to 3% on a constant currency basis and adjusted EPS in the range of $1.95 to $2.05. The company also expects to generate free cash flow of approximately $1 billion and plans to return approximately $1 billion to shareholders through share repurchases and dividends.

Conference Call

Western Union will host a conference call to discuss its fourth quarter and full year 2022 results at 4:30 p.m. Eastern Time on February 10, 2023. The call will be webcast live and can be accessed on the company's investor relations website at http://ir.westernunion.com.

This press release contains forward-looking statements, including statements regarding the company's financial outlook for 2023. These statements are based on current expectations and assumptions and are subject to risks and uncertainties that could cause actual results to differ materially. Factors that could cause actual results to differ include, but are not limited to, changes in global economic conditions, competitive pressures, regulatory changes, and other risks detailed in the company's filings with the Securities and Exchange Commission.

Explore the complete 8-K earnings release (here) from The Western Union Co for further details.

This article first appeared on GuruFocus.

Advertisement

Recommended Stories