Global Payments share price jumps by 7% on back of strong Q2
Ecommerce technology provider Global Payments released strong Q2 figures this week, sending its share price up by 7% on the day. The cause of this strong reaction was a substantial beat not just on last year’s figures, but on Wall Street estimates too.
This was partly a result of the well-managed integration of various acquired businesses (OpenEdge, Ezidebit, and Heartland), and partly the result of good organic growth on Global Payment’s part.
A good week for Global Payment investors
SOURCE: Google Finance
The electronic payment specialists at Global Payments announced that they’d generated $817.20 million in revenue during the second quarter alone: that’s a massive outperformance compared to Wall Street estimates (a prediction of net $803.55 million in net sales) and an even more impressive surge of 61% from the same quarter in 2016. That quarter, the company reported $518.3 million.
Additionally, the company reported that it managed double-digit organic growth in its main markets, which include the U.S, the majority of Europe, and Asia Pacific. Global Payments also grew its adjusted operating margin by 50 basis points year-on-year, hitting 30% on an adjusted basis.
Jeff Sloan, Global Payments’ CEO, said:
“Our technology enabled businesses continue to spearhead our growth, with particularly strong performance from our integrated payments businesses, OpenEdge and Ezidebit, and from our software led solutions at Heartland Commerce and Campus Solutions. We achieved these results while also making significant progress integrating Heartland. We have raised our expectations for synergies from the merger, highlighting ongoing strength in execution.”
Dominion holds Global Payments in its Global Trends Ecommerce Fund.
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