Corpay Inc at Jefferies Global FinTech Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Perfect. Yeah, I mean, we will get to all of those, but maybe we just get through the near-term trends. We're about a month removed from the 2Q print. Any update on how things are trending so far in Q3? We have the embedded assumption for US vehicle growth to get up to the REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 03, 2025 / 12:40PM, CPAY.N - Corpay Inc at Jefferies Global FinTech Conference mid-single digits from slightly positive in 2Q, if that's still on track. And there had been a call out last quarter, at least, on the North America portion of cross border, seeing some pressure from tariffs, just how that's looked over the last couple of months.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Perfect. And so getting to vehicle fleet, it's been a journey over the past couple of years. You've had the mixed shift away from micro fleets, getting the upmarket sales motion ramp back up, and you finally getting that US vehicle growth back up to the mid-single digits based on how you're guiding for the back half. Sounds like you're trying to get in line with that. Maybe just talk through the main drivers of where you've seen that acceleration come from across retention, new sales. You have a couple of big wins that are layering on.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. That all sounds good. And within vehicle, Brazil has been a really strong organic grower over the past couple of quarters, been growing over 20%. TAG growth has been consistent, growing roughly 7%. First, if you could just remind us what the revenue split looks like today between toll and then the extended network across parking, insurance, the other verticals, and then what the major contributors have been in keeping the Brazil growth kind of well above the underlying TAG growth.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Now, that's helpful. And then just to tie together for the total vehicle segment, you're assuming 10% growth for vehicle in the second half.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Got it. But so it sounds like 10%, what we're seeing in the second half, that's a fair way of thinking about kind of the normalized growth rate.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay, great. We'll shift to Corporate Payments, which has been a great story for you guys over the last few years, growing right around 20%. You're guiding the high-teens growth for this year. Let's start with the cross-border business. So you guys are the largest non-bank FX provider in the market. You've been growing significantly faster than the overall cross-border B2B market, taking share from the banks. If you could just frame on what's driving the shift away from the banks, and at the macro level, how you guys view yourselves as being positioned relative to the other non-bank providers. And then talk about the runway for growth, which it sounds like, at least in our opening, that's one of the things that's kind of stood out to you, at least initially in your ramp-up.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Yeah, and that's a good segue into the Alpha acquisition. So you've announced the acquisition of Alpha. It's a $2.2 billion deal set to close in Q4 of this year. The deal gets you into the institutional investment space, which is a vertical, at least right now, you guys don't have a ton of exposure to. Maybe just talk about the main appeal of getting into that market, and then why Alpha particularly is so well positioned in that vertical.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. And so we're going to tick through each of those next. So the synergies from Alpha, you've talked about at least $0.50 in year one. It's been framed as a fairly conservative starting point. Correct me if I'm wrong on that. It also sounds like it's probably more heavily weighted to revenue synergies than some of the prior deals we've seen you do in cross-border. So what do you view as the biggest couple of buckets of synergies? And as we think of the at least $0.50 framework, what's embedded at least in that initial outlook? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 03, 2025 / 12:40PM, CPAY.N - Corpay Inc at Jefferies Global FinTech Conference

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. And you touched on the partnership with Mastercard. So that is in motion to help you get in front of more traditional FIs. At least you talked about kind of what you're going to be enabling for regional banks. Between that -- and maybe if there's anything else that you wanted to expand on, at least do you think is worth calling out in relation to the partnership, maybe how it's going so far, any early reads. But between that and the Alpha synergies, I mean, should we think of in '26 that these help you sustain the high-teens level of growth that you're talking about for Corporate Payments this year, or if those two things have the potential to maybe accelerate off of that high-teens level in '26?

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. So we'll get kind of that, as you've done in years past, kind of a preview, at least of '26, you think is that's fair for us to expect?

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. We have to ask about stablecoins. We're talking about cross-border. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 03, 2025 / 12:40PM, CPAY.N - Corpay Inc at Jefferies Global FinTech Conference

Question: Trevor Williams - Jefferies LLC - Analyst : So maybe we start and I want to separate between -- maybe we do these two parts as separate questions. So maybe to start, we do what you guys are already involved with and how you are already leveraging blockchain. So you've announced a handful of partnerships with several stablecoin infrastructure providers like Circle and BBNK. What do those partnerships enable or entail? So maybe we start there and then anything else you think is worth pointing out on how you're already leveraging blockchain on the back end.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. And just to expand on that, maybe articulate kind of why you guys think longer-term stablecoins or any kind of blockchain-related technology, why that would be more complementary to the business rather than being a potential source of disintermediation.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Yeah, makes sense. We'll go to Lodging next, and then maybe we could go back to the payables portion and Corporate Payments just because we do have some time. But for Lodging, I mean, this -- we've been kind of waiting for a rebound for a handful of quarters now. And I think at least within the revision that you made to the full-year organic guide, the 10% now for the full year, you're embedding Lodging to get a little bit worse from where it was relative to 2Q. So maybe we just parse out the main areas of softness that have persisted over the last couple of years and then kind of what's being embedded over the next couple of quarters.

Question: Trevor Williams - Jefferies LLC - Analyst : And just in term -- relative to the second-quarter growth rate, the assumptions that you have in the second half, is that just some embedded conservatism assuming continued softness? Or is there anything else specific to the second half that we should be mindful of?

Question: Trevor Williams - Jefferies LLC - Analyst : Okay, interesting. Maybe if we could go back to Corporate Payments, sorry to go off script a little bit. But just to go back to your opening comment, you did reference the opportunity you think is there to cross sell direct payables into the existing fleet customer base. I'm just -- maybe if you could expand on that and what that sales motion would look like when that could potentially become a more impactful driver.

Question: Trevor Williams - Jefferies LLC - Analyst : Okay, interesting. And cadence-wise, we've talked a little bit about each of the different segments. But if we put it all together, just so folks are thinking about 3Q and 4Q kind of right from a total consolidated organic growth standpoint, I think you guys had mentioned 3Q organic growth should be a little bit higher than Q4, just as you'll be lapping some of the revenue synergies you had tied to Paymerang within Corporate Payments, but still growing just over 10% for the second half, making sure we have the cadence there right. And then if we put all of that together, the second-half growth rate, that 10% plus, that that's still a fair way of thinking of the stepping off point for '26.

Question: Trevor Williams - Jefferies LLC - Analyst : I know there's a lot in that.

Question: Trevor Williams - Jefferies LLC - Analyst : And for Q4, I think the comment had been that you would expect about a 3 to 4-point deceleration in the fourth quarter relative to Q3, just to account for Paymerang. And then it sounds like you had some easy comps that were helping the Q4 growth. Is that a fair way of thinking about at

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. But then second-half growth is probably a more accurate picture of what you feel like the go -- and we'll get more color on the Q3 call, but not taking the Q4 implied growth rate just because there are some specific headwinds that you have within Corporate Payments. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 03, 2025 / 12:40PM, CPAY.N - Corpay Inc at Jefferies Global FinTech Conference

Question: Trevor Williams - Jefferies LLC - Analyst : Okay. Maybe if we could --

Question: Trevor Williams - Jefferies LLC - Analyst : Yeah, that's helpful. And then any update on the divestitures that you guys have talked about publicly, at least within the vehicle segment? I know that had been talked about as one of the potential funding sources for the Alpha deal. I know you guys haven't commented specifically on the assets, but just anything more you can give us just on what the progress has looked like there?

Question: Trevor Williams - Jefferies LLC - Analyst : All right. Well, I think that's a good place to wrap it up. But Peter, thanks for being here.

Question: Trevor Williams - Jefferies LLC - Analyst : Appreciate it. Thanks.