Global Payments Inc.

Overview Key strengths Key risks Large scale payment processor with a diverse set of owned and partnered ecommerce payment solutions. Financial institution client concentration in the card issuing business with pricing pressure. Resilient cash-generative credit card issuer processing business with leadership position in North America. Exposure to small and medium sized (SMB) merchants subject to high churn. Strong free cash flows and a balanced financial policy. Highly competitive industry environment and the need to invest. . As consumer spending continues to shift to cards and online, Global Payments will benefit from such volume growth because of its expansive distribution channels and omnichannel software offerings within its merchant ecosystem, where the company has been investing over the past several years. Its

...Merchant segment growth will continue, albeit slower than a year ago. As consumer spending continues to shift to cards and online, Global Payments will benefit from such volume growth because of its expansive distribution channels and omnichannel software offerings within its merchant ecosystem, where the company has been investing over the past several years. Its technology- enabled merchant solutions include a combination of owned and partnered software that address both online and offline payment needs, and a variety of business management tools leading to more sticky and scalable merchant relationships. Across all business segments, technology-enabled revenues now account for more than 60% of total revenues, and online transactions account for about a quarter of total revenue, significantly higher than those from pre-pandemic period. Strong liquidity and a financial policy prioritizing share repurchase over the near term. We expect full-year free cash flow of $2.6 billion to $2.8 billion...

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