Fintech company FIS (NYSE:FIS) today reported its financial results for the third quarter of 2025.
On a GAAP basis, revenue increased 6% as compared to the prior-year period to approximately $2.7 billion. GAAP net earnings attributable to common stockholders from continuing operations were $264 million or $0.50 per diluted share.
On an adjusted basis, revenue increased 6% as compared to the prior-year period reflecting recurring revenue growth of 6%. Adjusted EBITDA increased 7% to approximately $1.1 billion, and Adjusted EBITDA margin expanded by 53 basis points (bps) over the prior-year period to 41.8%, reflecting strong EBITDA growth across both Banking and Capital Markets segments.
Adjusted net earnings from continuing operations were $789 million, and Adjusted EPS increased by 8% as compared to the prior-year period to $1.51 per diluted share.
As of September 30, 2025, debt outstanding totaled $13.0 billion. Third quarter net cash provided by operating activities was $1.0 billion. Free cash flow was $798 million, up 101%, and adjusted free cash flow was $929 million, an increase of 75% as compared to the prior-year period. In the third quarter, the Company returned $509 million of capital to shareholders through $301 million of share repurchases and $208 million of dividends paid.
Year to date, free cash flow was $1.2 billion, up 55%, and adjusted free cash flow was $1.6 billion, an increase of 41% as compared to the prior-year period.
FIS repurchased $301 million of shares in the third quarter and raised its goal to repurchase approximately $1.3 billion of shares in 2025. Additionally, the company will continue to pay quarterly dividends targeting dividend per share growth in line with Adjusted EPS growth.
For full year 2025, the company is raising its outlook for revenue growth to 5.4% to 5.7% and is reiterating its outlook for Adjusted EPS growth of 10% to 11%. Additionally, the company is increasing its target for Adjusted free cash flow conversion from 82% to 85%, to greater than 85%.
“We delivered strong results this quarter with disciplined execution driving outperformance against all of our financial commitments,” said FIS CEO and President Stephanie Ferris. “Our differentiated positioning within a favorable market environment is translating into strong sales performance across all segments of our business. We continue to enhance our product suite through our build, buy, partner strategy with the recent acquisition of Amount, and are delivering greater value to our clients through our operational excellence initiatives.”
