Slide 1: Q2 2022 Earnings
Q2 2022 Earnings July 28, 2022
Slide 2: Forward Looking Statements
Forward Looking Statements These materials contain forward-looking statements, including statements regarding: assumptions underlying the Company's future financial performance; future operations; future growth opportunities and expectations; expectations for future revenue performance; expectations
Slide 3: Q2 2022 Highlights
Q2 2022 Highlights Quarterly Highlights • Delivered record revenue - approximately $80M above previous record best - and record adjusted net income per diluted share $598.2M +30% Q2 2022 Revenue vs. Q2 2021 • Strong new customer signings in each line of business • Revenue and adjusted net income gro
Slide 4: Q2 2022 Revenue and Adjusted Operating Income Margin by Segment
Q2 2022 Revenue and Adjusted Operating Income Margin by Segment Fleet Travel & Corporate Health & Employee Solutions Solutions Benefits Solutions WEX $379,223 % 38 $598,237 $274,388 % 30 $459,483 On a comparable basis, revenue growth in Q2 was 64% * 15% $118,604 23% $100,410 $103,333 $81,762 50.2% 5
Slide 5: Q2 2022 Financial Results
Q2 2022 Financial Results 5
Slide 6: Company Results Q2 2022
Company Results Q2 2022 (In thousands except per share data) 2Q22 2Q21 $ ∆ Yr/Yr % ∆ Yr/Yr Total Revenue $598,237 $459,483 $138,754 30 % Net income (loss) attributable to $34,129 $(33,856) $67,985 NM shareholders Net income (loss) attributable to $0.76 $(0.76) $1.52 NM shareholders per diluted share
Slide 7: Revenue Breakdown Q2 2022
Revenue Breakdown Q2 2022 2Q22 2Q21 $ ∆ Yr/Yr % ∆ Yr/Yr Total Revenue $598,237 $459,483 $138,754 30 % Segment Revenue: Fleet Solutions $379,223 $274,388 $104,835 38 % Travel and Corporate Solutions $100,410 $81,762 $18,648 23 % Health and Employee Benefit $118,604 $103,333 $15,271 15 % Solutions Mor
Slide 8: Fleet Solutions
Fleet Solutions 2Q22 2Q21 $ ∆ Yr/Yr % ∆ Yr/Yr Total Segment Revenue ($) 379,223 274,388 104,835 38 % Payment Processing Revenue ($) 202,359 126,450 75,909 60 % Finance Fee Revenue ($) 85,067 59,258 25,809 44 % All Other Revenue ($) 91,797 88,680 3,117 4 % Total Volume ($)* 27,821,688 15,965,890 11,8
Slide 9: Travel and Corporate Solutions
Travel and Corporate Solutions 2Q22 2Q21 $ ∆ Yr/Yr % ∆ Yr/Yr Total Segment Revenue ($) 100,410 81,762 18,648 23 % Payment Processing Revenue ($) 88,608 68,282 20,326 30 % All Other Revenue ($) 11,802 13,480 (1,678) (12) % Total Volume ($)* 25,834,290 16,653,038 9,181,252 55 % Purchase Volume ($) 17,
Slide 10: Health and Employee Benefit Solutions
Health and Employee Benefit Solutions 2Q22 2Q21 $ ∆ Yr/Yr % ∆ Yr/Yr Total Segment Revenue ($) 118,604 103,333 15,271 15 % Payment Processing Revenue ($) 21,338 18,694 2,644 14 % Account Servicing Revenue ($) 83,378 79,482 3,896 5 % All Other Revenue ($) 13,888 5,157 8,731 169 % Total Volume ($)* 2,9
Slide 11: Selected Operating Expenses
Selected Operating Expenses Operating Expenses Key Takeaways ◦ Increase in Fleet Solutions segment adjusted operating income margin reflects revenue growth, including higher fuel prices and operating leverage $ (Millions) 202.8 140.4 205.6 in expense base 136.8 224.3 204.5 ◦ Increase in Travel and C
Slide 12: Additional Balance Sheet Items
Additional Balance Sheet Items Total Cash ($ Millions) Leverage Ratio $ millions 589 439 3.4 3.0 06/30/22 12/31/21 06/30/22 12/31/21 Total Financing Debt ($ Millions) 2 Key Takeaways ◦ Corporate cash1 balance was approximately $143 million $ millions 2,832 2,803 ◦ Remaining borrowing capacity of $71
Slide 13: Updated Guidance
Updated Guidance Change vs Prior Q3 2022 % Change FY 2022 % Change FY Guidance at Outlook Year over Year Outlook Year over Year Midpoint Revenue (in millions) $580 - $590 20% - 22% $2,250 - $2,280 22% - 23% $90 Adjusted Net Income (in millions) 1 $152 - $156 37% - 41% $592 - $603 43% - 46% $19 Adjus
Slide 14: Appendix
Appendix 14
Slide 15: Net Interchange
Travel and Corporate Solutions Segment Revenue, Margin, Volume and Net Interchange Rate - Adjusted Travel and Corporate Solutions Adjusted Revenue and Operating Income Margin Key Takeaways $120,000 $100,410 ◦ For comparative purposes, graphs show for all periods ($M) Revenue, net basis Adjusted Marg
Slide 16: Impacts of Amended Contract on Travel and Corporate Solutions Segment
Impacts of Amended Contract on Travel and Corporate Solutions Segment Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Key Takeaways Reported: Volume $ 8,736,019 $ 12,799,555 $ 10,916,015 $ 11,809,450 $ 17,119,962 ▪ Accounting presentation changed in Q4 2021 from Net interchange rate** 0.78 % 0.62 % 0.63 % 0
Slide 17: Non-GAAP Reconciliation
Non-GAAP Reconciliation Reconciliation of GAAP Operating Income to Total Segment Adjusted Operating Income and Adjusted Operating Income Three months ended June 30, In thousands 2022 2021 Operating income $ 171,131 $ 82,278 Unallocated corporate expenses 18,986 17,174 Acquisition-related intangible
Slide 18: Non-GAAP Reconciliation
Non-GAAP Reconciliation Three Months Ended June 30, 2022 2021 In thousands except per diluted share data per diluted share per diluted share Net income (loss) attributable to shareholders $ 34,129 $ 0.76 $ (33,856) $ (0.76) Unrealized gain on financial instruments (16,894) (0.37) (6,013) (0.13) Net
Slide 19: Non-GAAP Reconciliation
Non-GAAP Reconciliation The Company's non-GAAP adjusted net income excludes acquisition-related intangible amortization, other acquisition and divestiture related items, debt restructuring costs, stock-based compensation, other costs, unrealized gains and losses on financial instruments, net foreign