Fiserv Q1 Adjusted EPS $1.79 Beats Estimates, Affirms $8.00–$8.30 Guidance
Fiserv reported Q1 GAAP net income of $571 million with EPS of $1.07 and adjusted EPS of $1.79, topping analyst forecasts of $1.58. Revenue reached $5.03 billion (adjusted $4.68 billion) and the company affirmed 2026 adjusted EPS guidance of $8.00 to $8.30.
1. First-Quarter Financial Results
Fiserv posted GAAP revenue of $5.03 billion in Q1, down 2% year-over-year, and GAAP net income of $571 million, or $1.07 per share, a 29% EPS decline. On an adjusted basis, revenue was $4.68 billion (–2%) and adjusted EPS reached $1.79, surpassing the $1.58 consensus.
2. Segment and Margin Performance
The Merchant Solutions segment held flat revenue while Financial Solutions declined 5%, driving a 4% organic revenue drop (1% merchant, 6% financial). GAAP operating margin narrowed to 18.3% from 27.2%, with Merchant Solutions margin at 26.4% (versus 34.2%) and Financial Solutions at 38.1% (versus 47.5%).
3. Cash Flow and Capital Return
Operating cash flow totaled $599 million compared with $648 million in the prior year, and free cash flow was $259 million versus $371 million. The company repurchased 3.3 million shares for $200 million and recorded a net $254 million tax benefit partly offset by $74 million in discrete tax items.
4. Outlook and Investor Day
Fiserv reaffirmed 2026 organic revenue growth guidance of 1%–3% and adjusted EPS guidance of $8.00–$8.30. Management highlighted progress on productivity initiatives and will outline its medium-term strategy at an Investor Day on May 14.