Fidelity National Information Services, Inc. · NYSE:FIS
Fidelity National Information Services — Q2 2009 Earnings Presentation
19 slides from Fidelity National Information Services's earnings presentation, Jul 29, 2009
Slide 1: Second Quarter 2009 Earnings Call Supplemental Materials
Second Quarter 2009 Earnings Call Supplemental Materials July 28, 2009 Fidelity National Information Services
Slide 2: Forward Looking Statements
This presentation contains forward-looking statements, including certain plans, expectations, goals and projections, and statements about FIS's acquisition of Metavante, which are subject to numerous assumptions, risks and uncertainties. Statements that are not historical facts, including statements
Slide 3: Use of Non-GAAP Measures
Generally Accepted Accounting Principles (GAAP) is the term used to refer to the standard framework of guidelines for financial accounting. GAAP includes the standards, conventions, and rules accountants follow in recording and summarizing transactions, and in the preparation of financial statements
Slide 4: FIS Second Quarter 2009 Earnings Conference Call Agenda
Results Summary and Business Overview Financial Review Q&A FIS Second Quarter 2009 Earnings Conference Call Agenda 4
Slide 5: Consolidated Results: Adjusted EPS and Free Cash Flow
Adjusted EPS Free Cash Flow Adjusted EPS increased 23.5% Constant currency adjusted EPS increased 26.5% Strong free cash flow: $125 million Consolidated Results ($ millions) Note: Calculations may differ due to rounding. 5 $0.34 $0.42 $0.25 $0.30 $0.35 $0.40 $0.45 Q208 Q209 $5 $86 $118 $149 $119 $12
Slide 6: Consolidated Results: Revenue and EBITDA Margin Expansion
Revenue EBITDA Margin Expansion Constant currency revenue was comparable to prior year Reported revenue decreased 4.0% Adjusted EBITDA increased 6.9% EBITDA margin expanded 250 bps to 25.3% - - Increased operating leverage - - Disciplined commitment to cost management Consolidated Results ($ million
Slide 7: Financial Review
Financial Review FIS#
Slide 8: Consolidated Results Summary 2nd Quarter 2009
Consolidated Results Summary ($ millions) Note: Calculations may differ due to rounding. 8 2nd Quarter 2009 2nd Quarter 2009 Actual % Chg. Actual % Chg. Revenue Constant currency 866 $ (0.4%) 210 $ 1.4% Foreign currency impact (31) (3.6%) (31) (15.1%) Revenue as reported 835 $ (4.0%) 178 $ (13.7%) E
Slide 9: Financial Solutions
Revenue Segment EBITDA Financial Solutions revenue decreased 1.4% - - Increased demand for risk management and outsourced technology services - - Lower discretionary software and professional services revenue EBITDA increased 15.0% - - Improved operating efficiency EBITDA margin increased 610 bps to
Slide 10: Payment Solutions
Revenue Payment Solutions revenue decreased 0.9% Revenue increased 0.4% excluding Retail Check Growth in debit processing and output solutions offset declines in prepaid, credit card and item processing Debit transactions increased 7.3% Credit transactions decreased 2.8% EBITDA increased 8.2% - - Im
Slide 11: International
Revenue Constant currency revenue increased 1.4% - - 5.1% growth in payments - - 4.3% decline in financial solutions - Significant customer implementations in Q2-08 Reported revenue decreased 13.7% - - $31 million unfavorable currency impact Segment EBITDA International ($ millions) Note: Calculatio
Slide 12: International Revenue
Q209 International Revenue Composition by Major Currency (1) Year-over-year International revenue increased 1.4% compared to Q208 assuming no change in currency. (2) Sequential International revenue increased 3.1% compared to Q109 assuming no change in currency. International Revenue ($ millions) No
Slide 13: Results Summary
(1) Unfavorable currency impact in operating income was offset by favorable foreign currency transaction gains included in other income. Results Summary ($ millions) Note: Calculations may differ due to rounding. 13 Q2-2009 Q2-2008 % Change Net Earnings from Continuing Operations (1) 60 $ 13 $ M&A a
Slide 14: Cash Flows
Cash Flow Trend Comparative Cash Flow (1) Q2 2008 has been adjusted to reflect FIS on a Pro Forma basis excluding LPS. Cash Flows ($ millions) Note: Calculations may differ due to rounding. 14 Q2 2009 Q2 2008 (1) Variance Operating Activities: GAAP Net earnings 60 $ 15 $ 45 $ Non-cash adjustments 69
Slide 15: Total Debt
Total Debt ($ millions) Note: Calculations may differ due to rounding. 15 Q2 Debt YTD Debt 6/30/09 3/31/09 Reduction Reduction Term Note A (1) 1,943 $ 1,969 $ (26) $ (52) $ Revolver 330 471 (141) (169) Other Long-term Debt 19 20 (1) (1) Total Debt (2) 2,292 $ 2,460 $ (168) $ (222) $ Weighted Average
Slide 16: Revised 2009 Outlook
Revised 2009 Outlook Note: Calculations may differ due to rounding. 16 Original Guidance Revised Guidance Revenue Growth - Constant Currency + 3% - 5% Slightly positive Revenue Growth - As Reported + 0% - 2% Slightly negative EBITDA Margin + 50 - 100 bps > 150 bps Free Cash Flow ($ Millions) $410 -
Slide 17: Appendix
Appendix FIS#
Slide 18: Normalized Margin Expansion
Normalized Margin Expansion ($ millions) Note: Calculations may differ due to rounding. 18 Three Months Ended 6/30/08 Financial Solutions Payment Solutions International Corporate/ Other Consolidated Revenue from Continuing Operations 280.8 $ 383.4 $ 206.8 $ (1.3) $ 869.7 $ EBITDA, As Reported 103.8
Slide 19: Retail Check Services
Retail Check Services ($ millions) Note: Calculations may differ due to rounding. 19 2nd Quarter YTD 2009 2008 % Var 2009 2008 % Var REVENUE: FIS Consolidated 835 $ 870 $ - -4.0% 1,633 $ 1,700 $ - -4.0% Check Services 62 67 - -6.9% 117 132 - -10.9% Consolidated Excluding Check 773 $ 803 $ - -3.8% 1,
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