Fiserv Inc (NYSE:FI) shares fell more than 3% on Thursday after the payments and financial technology company lowered its 2026 outlook, while second quarter adjusted earnings and revenue came in below Wall Street expectations.
Fiserv now expects full-year 2026 organic revenue to be between a 1% decline and flat, compared with its previous forecast for growth of 1% to 3%.
The company also cut its adjusted earnings per share outlook to $7.20 to $7.40 from $8.00 to $8.30 previously.
Fiserv reported adjusted earnings per share of $1.84 for the second quarter, below Wall Street estimates of $1.89 to $1.92. Adjusted revenue was $4.96 billion, down 4% from a year earlier and slightly below expectations of about $5.05 billion.
On a GAAP basis, revenue was $5.29 billion in the quarter, also down 4% year over year. GAAP earnings per share was $1.17, down 37% from the prior-year period.
GAAP revenue in the Merchant Solutions segment declined 1% in the quarter, while Financial Solutions revenue fell 8%. GAAP operating margin was 19.2%, compared with 30.7% a year earlier. Merchant Solutions operating margin was 30.0%, down from 34.6%, while Financial Solutions operating margin fell to 38.7% from 48.7%.
“Our business continues to be supported by volume growth and strong positions in attractive markets,” Fiserv CEO Takis Georgakopoulos said in a statement.
“Our recurring revenue base is durable, client demand for our strategic platforms remains strong, and we are improving execution, enhancing our technology and are committed to long-term shareholder value.”