FIS Lowers Full-Year Outlook After Growth Slows

The Tip Desk · November 4, 2026 · 3 min read

Third-quarter GAAP revenue reached $3.5 billion, up 27%, as the company cut its 2026 adjusted EPS growth range to 1.2–2.4%.

Fidelity National Information Services (FIS), a global financial-technology provider, reported third-quarter GAAP revenue of $3.5 billion, up 27% from a year earlier, as year-over-year growth slowed from the second quarter and the company lowered its full-year 2026 outlook.

GAAP net earnings attributable to common stockholders were $356 million, or $0.69 a share. Adjusted EPS was $1.61, up 6.6% from the year-ago period.

Adjusted revenue growth slowed to 29% from 31% in the second quarter. Pro Forma revenue growth slowed to 3.7%, including recurring revenue growth of 2.5%. Adjusted EBITDA rose 31% to about $1.5 billion, and the adjusted EBITDA margin expanded 111 basis points to 42.9%. The company said the margin move reflected the acquisition of the high-margin Total Issuing Solutions business, favorable revenue mix, and cost savings.

Banking Solutions, which now includes Total Issuing Solutions, generated $2.5 billion of revenue, up 41% on both a GAAP and adjusted basis. Adjusted EBITDA in the segment rose 44% to $1.2 billion, and the segment’s adjusted EBITDA margin expanded 119 basis points to 47.4%. On a Pro Forma basis, Banking Solutions revenue increased 3.9%, including recurring revenue growth of 2.4%.

Capital Market Solutions revenue was $823 million, up 3% on a GAAP and adjusted basis, with recurring revenue growth of 3.0%. Adjusted EBITDA in that segment rose 6.5% to $444 million, and the adjusted EBITDA margin expanded 180 basis points to 54.0%.

Corporate and Other revenue fell 22% to $83 million, which the company attributed primarily to the decline of non-strategic businesses. Adjusted EBITDA loss in that category was $169 million, including $163 million of corporate expenses.

Free cash flow was $862 million, up 8.0% from the year-ago period. Net cash provided by operating activities was $976 million. The company returned $248 million of capital through $21 million of share repurchases and $227 million of dividends. Debt outstanding totaled $20.8 billion as of September 30, 2026.

For the full year, FIS is projecting adjusted revenue growth of 28–29%, adjusted EBITDA growth of 29–30%, and adjusted EPS growth of 1.2–2.4%. On a Pro Forma basis, revenue is projected to grow 3.1–3.6% and adjusted EBITDA 2.9–3.6%. The company is maintaining its free-cash-flow target of $2.15 billion to $2.25 billion, or 33–39% growth. Full-year revenue is projected at $13.445 billion to $13.505 billion, and adjusted EBITDA at $5.565 billion to $5.605 billion. Adjusted EPS is projected at $5.82 to $5.89 a share.

Those ranges sit below the outlook the company issued in August, when it had projected adjusted revenue growth of 29–30%, adjusted EBITDA growth of 32–34%, and adjusted EPS growth of 7.0–8.5%, with Pro Forma revenue growth of 4.5–5.0% and Pro Forma adjusted EBITDA growth of 5.9–6.9%. The free-cash-flow target was unchanged.

On October 20, 2026, FIS divested a non-core prepaid business within Banking Solutions, generating gross sale proceeds of more than $100 million. Following the close of Total Issuing Solutions, the company said it has temporarily curtailed share repurchases and paused tuck-in M&A to accelerate deleveraging. It expects to resume meaningful share repurchases once it has achieved its target gross leverage of approximately 2.8 times.

Chief Executive Stephanie Ferris said client demand remains strong and that the company is continuing to invest in security and innovation.