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SEC Filings

8-K
FIRST DATA CORP filed this Form 8-K on 07/30/2018
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constant currency basis(c). Consolidated revenue for the second quarter was $2,448 million, impacted by the adoption of ASC 606.

Net income attributable to First Data for the second quarter of 2018 was $341 million, or $0.36 per diluted share, up 84% and 80%, respectively, from comparable figures in the second quarter of 2017. The increase in net income attributable to First Data was primarily driven by a $107 million tax benefit related to a previously disclosed settlement of an IRS audit, as well as improved operating results in the current period.

Adjusted net income, which modifies net income for items such as debt extinguishment charges, stock-based compensation, amortization of acquisition intangibles, restructuring costs, certain discrete tax items and other items, was $371 million, or $0.39 per diluted share, down 1% and 3%, respectively, from comparable figures in the second quarter of 2017. The decrease was driven by a normalized adjusted effective tax rate in the current period, largely offset by improved operating results.
 
Total segment earnings before interest, taxes, depreciation, and amortization (total segment EBITDA) in the second quarter of 2018 was $864 million, up 10% versus the prior year period on both a reported basis(a) and comparable accounting basis(b), or up 8% on an organic constant currency basis(c). Total segment EBITDA margin was 38.7%, up 18 basis points on a comparable accounting basis(b), or up 78 basis points on an organic constant currency basis(c).

Segment Results

Global Business Solutions (GBS)

Second quarter 2018 GBS segment revenue was $1,449 million, up 18% versus the prior year period on a reported basis(a), up 14% on a comparable accounting basis(b), or up 8% on an organic constant currency basis(c). Within geographic regions, North America revenue of $1,134 million was up 18% versus the prior year period on a reported basis(a), up 13% on a comparable accounting basis(b), or up 6% on an organic constant currency basis(c). Performance in North America reflected strong growth in the ISV and agent businesses within the Partner Solutions channel, combined with good growth in the Direct channel. The JV channel saw a slight revenue decline, comparable to its performance in the first quarter of 2018. EMEA revenue was $180 million, up 15% on a reported basis(a), up 13% on a comparable accounting basis(b), or up 5% on an organic constant currency basis(c), driven by growth in the U.K. Latin America revenue was $85 million, up 32% on a reported basis, up 20% on a comparable accounting basis(b), or up 47% on an organic constant currency basis(c), driven by strong growth in Brazil and Argentina. APAC revenue was $50 million, up 20% on a reported basis(a), up 21% on a comparable accounting basis(b), or up 19% on an organic constant currency basis(c), driven by good growth throughout the region.


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