Fiserv, Inc.

Q3 adjusted revenue was $4.85 billion, down 1% year over year; organic revenue was flat. Adjusted operating income was $1.5 billion, with adjusted operating margin of 31.2%. Adjusted EPS was $1.75, and the adjusted effective tax rate was nearly 21%. Free cash flow was $679 million in Q3, and year-to-date free cash flow conversion was approximately 71%. Within segments, Merchant Solutions adjusted revenue declined 3% and organic revenue declined 2%, while Financial Solutions adjusted revenue was unchanged and organic revenue grew 2%. For the year, Fiserv reiterated adjusted revenue guidance of down 1.5% to down 0.5%, organic revenue guidance of minus 1% to flat, adjusted operating margin of approximately 31% to 31.5%, and adjusted EPS of $7.20 to $7.40. For Q4, management expects Merchant adjusted and organic revenue growth of 6% to 8%, and Financial Solutions organic revenue growth roughly consistent with the 2% reported in Q3; both segments are expected to grow in line with medium-term targets. Management also said it plans to repurchase $500 million of stock in Q4 and expects year-end gross leverage of approximately 3x.

Takis Georgakopoulos emphasized that Fiserv is past the Q2 revenue trough and is seeing stabilization across the business, with banking attrition improving and merchant momentum building. He leaned heavily into the idea that the company can operate as “one company” by combining merchant and financial solutions, using AI, interoperability, and product simplification to improve execution and customer experience. His tone was assertive and optimistic, but grounded in operational change rather than broad promises, and he repeatedly tied the strategy to client wins, fewer outages, and better product breadth.

Paul Todd focused on the quarter’s clean execution versus guidance, noting revenue, margin, EPS, and cash flow were all in line with expectations. He highlighted the quarter’s 31.2% adjusted operating margin, nearly 21% adjusted tax rate, $679 million of free cash flow, and gross debt to adjusted EBITDA of 3.1x after more than $800 million of debt paydown. He also reiterated 2026 targets, including roughly 90% free cash flow conversion, high-single-digit capex as a percent of adjusted revenue, and a return of capital framework that includes the planned $500 million Q4 buyback and use of any asset-sale proceeds for buybacks and debt reduction.

Analysts pressed on banking attrition, merchant competition, Argentina, and the timing of the added Elevate savings. Management said banking attrition is down 17% in revenue terms year to date, peak attrition is likely behind them, and client wins are up more than 50%; they expect the benefit to flow through with a 9- to 12-month lag. On merchant, they said Argentina is a headwind that should peak and then abate, while competition remains intense but Clover, ISV, ISO, direct, and bank channels are all still growing; they also said Clover for Enterprise and agentOS are important next steps. On the extra Elevate savings, management said most of the incremental benefit likely lands beyond 2027 and that they will provide more specificity on next call.