Press Releases

FLEETCOR Reports Second Quarter 2020 Financial Results

August 6, 2020 at 4:12 PM EDT

ATLANTA, Ga.--(BUSINESS WIRE)--Aug. 6, 2020-- FLEETCOR Technologies, Inc. (NYSE: FLT), a leading global provider of business payment solutions, today reported financial results for its second quarter of 2020.

“The COVID-19 pandemic had a significant impact on our results in the second quarter of 2020, but we are pleased with our ability to manage our operating expenses during the quarter to help cushion our profit decline. Other bright spots were that our client retention remained stable at 91%, credit losses finished on plan and we generated approximately $200 million of free cash flow in the quarter,” said Ron Clarke, chairman and chief executive officer, FLEETCOR Technologies, Inc.

“We believe the long term prospects for our essential services payments business remains sound, and we will continue to re-position our portfolio by creating bigger businesses with scale, and likely more adjacencies. We believe if we keep advancing our three priorities…our portfolio, our businesses, and our capabilities…that it will drive our long term 15%-20% profit growth targets,” concluded Clarke.

Financial Results for Second Quarter of 2020:

GAAP Results

  • Total revenues decreased 19% to $525.1 million in the second quarter of 2020, compared to $647.1 million in the second quarter of 2019.
  • Net income decreased 39% to $158.5 million in the second quarter of 2020, compared to $261.7 million in the second quarter of 2019.
  • Net income per diluted share decreased 37% to $1.83 in the second quarter of 2020, compared to $2.90 per diluted share in the second quarter of 2019.

Non-GAAP Results1

  • Adjusted net income1 decreased 23% to $197.4 million in the second quarter of 2020, compared to $256.7 million in the second quarter of 2019.
  • Adjusted net income per diluted share1 decreased 20% to $2.28 in the second quarter of 2020, compared to $2.85 per diluted share in the second quarter of 2019.

“The second quarter of 2020 was significantly impacted by the COVID-19 pandemic related shut downs around the world. Volumes seem to have bottomed out early in the second quarter with most businesses volume starting to recover as the quarter progressed. The macro-economic environment during the quarter negatively impacted revenue by approximately $22 million versus the second quarter of 2019, driven mostly by unfavorable foreign exchange rates,” said Eric Dey, chief financial officer, FLEETCOR Technologies, Inc.”

2020 Outlook:

“We have continued to closely monitor the impact that the COVID-19 pandemic has had our on global businesses. As a result of the uncertain pace of recoveries across our markets, we have not reinstated our full-year 2020 outlook. We expect that the second half of the year volume will continue to improve as the economy improves. However, we expect second half revenues to recover more slowly than volume, because larger enterprise accounts with lower rates will recover faster than our SMB portfolio. We also expect that the macro will continue to be a drag on revenue due to lower expected fuel prices and foreign exchange rates compared with last year,” concluded Dey.

_______________________________________

[1] Reconciliations of GAAP results to non-GAAP results are provided in Exhibit 1 attached. Additional supplemental data is provided in Exhibits 2-3 and 5, and segment information is provided in Exhibit 4.

Conference Call

The Company will host a conference call to discuss second quarter 2020 financial results today at 5:00 pm ET. Hosting the call will be Ron Clarke, chief executive officer, Eric Dey, chief financial officer and Jim Eglseder, investor relations. The conference call can be accessed live via webcast from the Company's investor relations website at http://investor.fleetcor.com. A replay will be available one hour after the call and can be accessed by dialing (844) 512-2921 or (412) 317-6671 for international callers; the conference ID is 9126928. The replay will be available until Thursday, August 13, 2020. Prior to the conference call, the Company will post supplemental financial information that will be discussed during the call and live webcast.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the federal securities laws. Statements that are not historical facts, including statements about FLEETCOR's beliefs, expectations and future performance, are forward-looking statements. Forward-looking statements can be identified by the use of words such as "anticipate," "intend," "believe," "estimate," "plan," "seek," "project," "expect," "may," "will," "would," "could" or "should," the negative of these terms or other comparable terminology. Examples of forward-looking statements in this press release include statements relating to macro- economic conditions, including the effects of global, political, market, health and other conditions, including the impact of the coronavirus (COVID-19), expected growth opportunities and strategies, and estimated impact of these conditions on our operations and financial results, revenue and earnings guidance and assumptions underlying financial guidance. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially from those contained in any forward-looking statement, such as the impact of global, political, market, health, and other conditions, including the impact of the coronavirus (COVID-19); regulatory measures or voluntary actions, including social distancing, shelter-in-place, shutdowns of nonessential businesses and similar measures imposed or undertaken in an effort to combat the spread of the coronavirus (COVID-19); adverse outcomes with respect to current and future legal proceedings, including without limitation, the FTC lawsuit, or actions of governmental or quasi-governmental bodies or standards or industry organizations with respect to our payment cards; fuel price and spread volatility; the impact of foreign exchange rates on operations, revenue and income; the effects of general economic conditions on fueling patterns and the commercial activity of fleets; changes in credit risk of customers and associated losses; the actions of regulators relating to payment cards or resulting from investigations; failure to maintain or renew key business relationships; failure to maintain competitive offerings; failure to maintain or renew sources of financing; failure to complete, or delays in completing, anticipated new customer arrangements or acquisitions and the failure to successfully integrate or otherwise achieve anticipated benefits from such customer arrangements or acquired businesses; failure to successfully expand business internationally, including the potential impact to our business as a result of the United Kingdom’s referendum to leave the European Union, risks related to litigation; as well as the other risks and uncertainties identified under the caption "Risk Factors" in FLEETCOR's Annual Report on Form 10-K for the year ended December 31, 2019 and Form 10-Q for the quarter ended March 31, 2020. FLEETCOR believes these forward-looking statements are reasonable; however, forward-looking statements are not a guarantee of performance, and undue reliance should not be placed on such statements. The forward-looking statements included in this press release are made only as of the date hereof, and FLEETCOR does not undertake, and specifically disclaims, any obligation to update any such statements or to publicly announce the results of any revisions to any of such statements to reflect future events or developments except as specifically stated in this press release or to the extent required by law.

About Non-GAAP Financial Measures

Adjusted net income is calculated as net income, adjusted to eliminate (a) non-cash stock based compensation expense related to share based compensation awards, (b) amortization of deferred financing costs, discounts and intangible assets, amortization of the premium recognized on the purchase of receivables, and our proportionate share of amortization of intangible assets at our equity method investment, (c) integration and deal related costs, and (d) other non-recurring items, including unusual losses occurring due largely to COVID-19, the impact of discrete Tax items, impairment charges, asset write-offs, restructuring costs, gains due to disposition of assets and a business, loss on extinguishment of debt, legal settlements, and the unauthorized access impact. We calculate adjusted net income to eliminate the effect of items that we do not consider indicative of our core operating performance. Adjusted net income is a supplemental measure of operating performance that does not represent and should not be considered as an alternative to net income or cash flow from operations, as determined by U.S. generally accepted accounting principles, or U.S. GAAP, and our calculation thereof may not be comparable to that reported by other companies. We believe it is useful to exclude non-cash stock based compensation expense from adjusted net income because non-cash equity grants made at a certain price and point in time do not necessarily reflect how our business is performing at any particular time and stock based compensation expense is not a key measure of our core operating performance. We also believe that amortization expense can vary substantially from company to company and from period to period depending upon their financing and accounting methods, the fair value and average expected life of their acquired intangible assets, their capital structures and the method by which their assets were acquired; therefore, we have excluded amortization expense from our adjusted net income. We also believe one-time non-recurring expenses, gains, losses, and impairment charges do not necessarily reflect how our investments and business are performing. Reconciliations of GAAP results to non-GAAP results are provided in the attached exhibit 1. A reconciliation of GAAP to non-GAAP product revenue organic growth calculation is provided in the attached exhibit 5.

Management uses adjusted net income:

  • as measurement of operating performance because it assists us in comparing our operating performance on a consistent basis;
  • for planning purposes, including the preparation of our internal annual operating budget;
  • to allocate resources to enhance the financial performance of our business; and
  • to evaluate the performance and effectiveness of our operational strategies.

We believe adjusted net income and adjusted net income per diluted share are key measures used by the Company and investors as supplemental measures to evaluate the overall operating performance of companies in our industry. By providing these non-GAAP financial measures, together with reconciliations, we believe we are enhancing investors' understanding of our business and our results of operations, as well as assisting investors in evaluating how well we are executing strategic initiatives.

About FLEETCOR

FLEETCOR Technologies (NYSE: FLT) is a leading global provider of business payment solutions. The Company helps businesses of all sizes better control, simplify and secure payment of their fuel, toll, lodging and other general payables. With its proprietary payment acceptance networks, FLEETCOR provides affiliated merchants with incremental sales and loyalty. FLEETCOR serves businesses, partners and merchants in North America, Latin America, Europe, and Australasia. For more information, please visit www.FLEETCOR.com.

FLEETCOR Technologies, Inc. and Subsidiaries
Unaudited Consolidated Statements of Income
(In thousands, except per share amounts)
 
Three Months Ended June 30, Six Months Ended June 30,

2020

2019

2020

2019

 
Revenues, net

$

525,146

$

647,094

$

1,186,239

$

1,268,919

 
Expenses:
Processing

 

121,290

 

120,458

 

354,993

 

249,572

Selling

 

42,374

 

51,856

 

98,233

 

101,117

General and administrative

 

86,739

 

106,784

 

192,849

 

199,568

Depreciation and amortization

 

62,162

 

70,908

 

126,638

 

138,353

Other operating, net

 

(230)

 

(229)

 

(268)

 

(1,184)

Operating income

 

212,811

 

297,317

 

413,794

 

581,493

Investment (gain) loss

 

(33,709)

 

-

 

(31,338)

 

15,660

Other expense (income), net

 

2,480

 

528

 

(6,886)

 

748

Interest expense, net

 

32,412

 

39,529

 

68,091

 

78,584

Total other expense

 

1,183

 

40,057

 

29,867

 

94,992

Income before income taxes

 

211,628

 

257,260

 

383,927

 

486,501

Provision for (benefit from) income taxes

 

53,140

 

(4,391)

 

78,379

 

52,743

Net income

$

158,488

$

261,651

$

305,548

$

433,758

 
Basic earnings per share

$

1.89

$

3.03

$

3.62

$

5.03

Diluted earnings per share

$

1.83

$

2.90

$

3.50

$

4.84

 
Weighted average shares outstanding:
Basic shares

 

83,895

 

86,360

 

84,399

 

86,159

Diluted shares

 

86,570

 

90,131

 

87,380

 

89,694

FLEETCOR Technologies, Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except share and par value amounts)
June 30, 2020 December 31, 2019
(Unaudited)
Assets
 
Current assets:
Cash and cash equivalents

$

765,789

$

1,271,494

Restricted cash

 

425,557

 

403,743

Accounts and other receivables (less allowance for credit losses of $88,364 at June 30, 2020 and $70,890
at December 31, 2019, respectively)

 

1,279,343

 

1,568,961

Securitized accounts receivable - restricted for securitization investors

 

654,000

 

970,973

Prepaid expenses and other current assets

 

339,380

 

403,400

 
Total current assets

 

3,464,069

 

4,618,571

 
Property and equipment, net

 

185,599

 

199,825

Goodwill

 

4,582,250

 

4,833,047

Other intangibles, net

 

2,121,304

 

2,341,882

Investments

 

61,773

 

30,440

Other assets

 

211,722

 

224,776

 
Total assets

$

10,626,717

$

12,248,541

 
Liabilities and Stockholders’ Equity
 
Current liabilities:
Accounts payable

$

1,096,303

$

1,249,586

Accrued expenses

 

244,068

 

275,511

Customer deposits

 

887,601

 

1,007,631

Securitization facility

 

654,000

 

970,973

Current portion of notes payable and lines of credit

 

591,178

 

775,865

Other current liabilities

 

153,818

 

183,502

 
Total current liabilities

 

3,626,968

 

4,463,068

 
Notes payable and other obligations, less current portion

 

3,202,463

 

3,289,947

Deferred income taxes

 

501,231

 

519,980

Other noncurrent liabilities

 

329,621

 

263,930

 
Total noncurrent liabilities

 

4,033,315

 

4,073,857

 
Commitments and contingencies
 
Stockholders’ equity:
Common stock, $0.001 par value; 475,000,000 shares authorized; 125,650,513 shares issued and 84,049,888 shares
outstanding at June 30, 2020; and 124,626,786 shares issued and 85,342,156 shares outstanding at December 31,
2019

 

126

 

124

Additional paid-in capital

 

2,690,966

 

2,494,721

Retained earnings

 

5,018,277

 

4,712,729

Accumulated other comprehensive loss

 

(1,581,975)

 

(972,465)

Less treasury stock, 41,600,625 shares at June 30, 2020 and 39,284,630 shares at December 31, 2019

 

(3,160,960)

 

(2,523,493)

 
Total stockholders’ equity

 

2,966,434

 

3,711,616

 
Total liabilities and stockholders’ equity

$

10,626,717

$

12,248,541

FLEETCOR Technologies, Inc. and Subsidiaries 
Unaudited Consolidated Statements of Cash Flows 
(In thousands) 
Six Months Ended June 30,

 

2020

 

 

2019

 

 
Operating activities
Net income 

 $

                           305,548

 

 $

                           433,758

 

Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation 

 

                                31,607

 

 

                                30,640

 

Stock-based compensation 

 

                                23,164

 

 

                                30,847

 

Provision for losses on accounts and other receivables

 

                              139,000

 

 

                                40,142

 

Amortization of deferred financing costs and discounts

 

                                 2,886

 

 

                                 2,428

 

Amortization of intangible assets and premium on receivables

 

                                95,031

 

 

                              107,713

 

Deferred income taxes 

 

                                (8,730

)

 

                              (64,883

)

Investment (gain) loss 

 

                              (31,338

)

 

                                15,660

 

Other non-cash operating income

 

                                  (268

)

 

                                (1,579

)

Changes in operating assets and liabilities (net of acquisitions/dispositions):
Accounts and other receivables 

 

                              359,685

 

 

                            (418,806

)

Prepaid expenses and other current assets 

 

                                46,216

 

 

                                 8,154

 

Other assets 

 

                                    828

 

 

                              (17,286

)

Accounts payable, accrued expenses and customer deposits 

 

                            (161,461

)

 

                              383,233

 

Net cash provided by operating activities 

 

                              802,168

 

 

                              550,021

 

 
 
Investing activities
Acquisitions, net of cash acquired

 

                                  (492

)

 

                            (250,926

)

Purchases of property and equipment 

 

                              (36,870

)

 

                              (31,975

)

Net cash used in investing activities 

 

                              (37,362

)

 

                            (282,901

)

 
 
Financing activities
Proceeds from issuance of common stock 

 

                                92,977

 

 

                                56,950

 

Repurchase of common stock

 

                            (557,361

)

 

                                (4,024

)

(Payments) borrowings on securitization facility, net 

 

                            (316,973

)

 

                                88,000

 

Deferred financing costs paid and debt discount

 

                                  (974

)

 

                                  (352

)

Principal payments on notes payable 

 

                              (92,910

)

 

                              (64,875

)

Borrowings from revolver

 

                              573,500

 

 

                              765,709

 

Payments on revolver 

 

                            (726,644

)

 

                          (1,027,468

)

(Payments) borrowings on swing line of credit, net

 

                                (3,879

)

 

                                34,639

 

Other

 

                                  (169

)

 

                                  (125

)

Net cash used in financing activities 

 

                          (1,032,433

)

 

                            (151,546

)

 
Effect of foreign currency exchange rates on cash 

 

(216,264

)

 

8,159

 

 
Net (decrease) increase in cash and cash equivalents and restricted cash

 

                            (483,891

)

 

                              123,733

 

Cash and cash equivalents and restricted cash, beginning of period

 

                           1,675,237

 

 

                           1,364,893

 

Cash and cash equivalents and restricted cash, end of period

 $

                         1,191,346

 

 $

                         1,488,626

 

 
Supplemental cash flow information
Cash paid for interest 

 $

                             68,454

 

 $

                             90,559

 

 
Cash paid for income taxes 

 $

                             56,790

 

 $

                           100,396

 

Exhibit 1
RECONCILIATION OF NON-GAAP MEASURES
(In thousands, except shares and per share amounts)
(Unaudited)
                 
The following table reconciles net income to adjusted net income and adjusted net income per diluted share:*
 
Three Months Ended June 30, Six Months Ended June 30,

 

2020

 

 

 

2019

 

 

 

2020

 

 

 

2019

 

Net income

 $

                       158,488

 

 $

                       261,651

 

 $

                       305,548

 

 $

                       433,758

 

 
Stock based compensation

 

                             8,989

 

 

                           18,306

 

 

                           23,164

 

 

                           30,847

 

Amortization of intangible assets, premium on receivables, deferred
financing costs and discounts

 

                           47,875

 

 

                           56,623

 

 

                           97,917

 

 

                          110,141

 

Investment (gain) loss

 

                          (33,709

)

 

                                  -

 

 

                          (31,338

)

 

                           15,660

 

Integration and deal related costs1

 

                             5,902

 

 

                                  -

 

 

                             9,267

 

 

                                  -

 

Restructuring and related costs

 

                             4,727

 

 

                                  -

 

 

                             4,727

 

 

                                  -

 

Legal settlements/litigation

 

                                944

 

 

                             3,474

 

 

                            (5,037

)

 

                             3,474

 

Write-off of customer receivable

 

                                  -

 

 

                                  -

 

 

                           90,058

 

 

                                  -

 

Total pre-tax adjustments

 

                           34,727

 

 

                           78,403

 

 

                          188,758

 

 

                          160,122

 

 
Income tax impact of pre-tax adjustments at the effective tax rate2

 

                            (5,638

)

 

                          (18,435

)

 

                          (42,233

)

 

                          (33,846

)

Impact of discrete tax item3

 

                             9,848

 

 

                          (64,880

)

 

                             9,848

 

 

                          (64,880

)

 
Adjusted net income

 $

                       197,425

 

 $

                       256,739

 

 $

                       461,922

 

 $

                       495,154

 

Adjusted net income per diluted share

 $

                            2.28

 

 $

                            2.85

 

 $

                            5.29

 

 $

                            5.52

 

 
Diluted shares

 

                           86,570

 

 

                           90,131

 

 

                           87,380

 

 

                           89,694

 

 
1 Beginning in the first quarter of 2020, the Company included integration and deal related costs in its definition to calculate adjusted net income and adjusted net
income per diluted share.  Prior period amounts were approximately $1.3 million and $2.8 million for the three and six months ended June 30, 2019, respectively,
which we consider immaterial.
2 Excludes the results of the Company's investment in the six months ended June 30, 2019, on our effective tax rate, as results from Masternaut investment are
reported within the consolidated Statements of Income on a post-tax basis and no tax-over-book outside basis difference prior to disposition. 
3 Represents impact of a discrete tax reserve adjustment related to prior year tax positions in 2020 and tax reform in 2019.
* Columns may not calculate due to rounding.                

Exhibit 2

Key Performance Indicators, by Product Category and Revenue Per Performance Metric on a GAAP Basis and Pro Forma and Macro Adjusted

(In millions except revenues, net per transaction)

(Unaudited)

The following table presents revenue and revenue per key performance metric by product category.*
As Reported Pro Forma and Macro Adjusted3
Three Months Ended June 30, Three Months Ended June 30,

 

2020

 

 

 

2019

 

 

Change

 

% Change

 

 

2020

 

 

 

2019

 

 

Change

% Change
 
FUEL
- Revenues, net

 $

                   249.8

 

 $

                   295.1

 

 $

                    (45.3

)

(15

%)

 $

                   243.8

 

 $

                            291.3

 

 $

                   (47.5

)

(16

%)

- Transactions

 

                       99.7

 

 

                     125.3

 

 

                       (25.6

)

(20

%)

 

                       99.7

 

 

                               124.5

 

 

                      (24.9

)

(20

%)

- Revenues, net per transaction

 $

                    2.51

 

 $

                    2.36

 

 $

                      0.15

 

6

%

 $

                    2.45

 

 $

                              2.34

 

 $

                    0.11

 

5

%

 
CORPORATE PAYMENTS
- Revenues, net1

 $

                    92.6

 

 $

                   112.2

 

 $

                    (19.7

)

(18

%)

 $

                    93.7

 

 $

                            112.2

 

 $

                   (18.6

)

(17

%)

- Spend volume

 $

                 13,671

 

 $

                 20,244

 

 $

                   (6,573

)

(32

%)

 $

                 13,670

 

 $

                           20,244

 

 $

                 (6,574

)

(32

%)

- Revenues, net per spend $

 

0.68

%

 

0.55

%

 

0.12

%

22

%

 

0.69

%

 

0.55

%

 

0.13

%

24

%

 
TOLLS
- Revenues, net

 $

                    64.8

 

 $

                    86.2

 

 $

                    (21.4

)

(25

%)

 $

                    88.7

 

 $

                              86.2

 

 $

                      2.4

 

3

%

- Tags (average monthly)

 

                         5.3

 

 

                         5.0

 

 

                          0.3

 

5

%

 

                         5.3

 

 

                                  5.0

 

 

                         0.3

 

5

%

- Revenues, net per tag

 $

                   12.19

 

 $

                   17.08

 

 $

                    (4.89

)

(29

%)

 $

                   16.68

 

 $

                            17.08

 

 $

                   (0.40

)

(2

%)

 
LODGING
- Revenues, net

 $

                    40.6

 

 $

                    50.2

 

 $

                      (9.6

)

(19

%)

 $

                    40.7

 

 $

                              64.9

 

 $

                   (24.2

)

(37

%)

- Room nights

 

                         4.6

 

 

                         4.3

 

 

                          0.3

 

8

%

 

                         4.6

 

 

                                  6.8

 

 

                       (2.2

)

(33

%)

- Revenues, net per room night

 $

                    8.82

 

 $

                   11.75

 

 $

                    (2.93

)

(25

%)

 $

                    8.83

 

 $

                              9.51

 

 $

                   (0.68

)

(7

%)

 
GIFT
- Revenues, net

 $

                    26.5

 

 $

                    35.7

 

 $

                      (9.2

)

(26

%)

 $

                    26.5

 

 $

                              35.7

 

 $

                     (9.2

)

(26

%)

- Transactions

 

                     188.2

 

 

                     284.1

 

 

                       (95.9

)

(34

%)

 

                     188.2

 

 

                               284.1

 

 

                      (95.9

)

(34

%)

- Revenues, net per transaction

 $

                    0.14

 

 $

                    0.13

 

 $

                      0.02

 

12

%

 $

                    0.14

 

 $

                              0.13

 

 $

                    0.02

 

12

%

 
OTHER2 
- Revenues, net1

 $

                    50.8

 

 $

                    67.6

 

 $

                    (16.8

)

(25

%)

 $

                    53.7

 

 $

                              71.8

 

 $

                   (18.1

)

(25

%)

- Transactions1

 

                         9.0

 

 

                       14.3

 

 

                         (5.3

)

(37

%)

 

                         9.0

 

 

                                 14.3

 

 

                       (5.3

)

(37

%)

- Revenues, net per transaction

 $

                    5.65

 

 $

                    4.73

 

 $

                      0.92

 

19

%

 $

                    5.97

 

 $

                              5.02

 

 $

                    0.95

 

19

%

 
                                 
FLEETCOR CONSOLIDATED REVENUES    
- Revenues, net

 $

                   525.1

 

 $

                   647.1

 

 $

                   (121.9

)

(19

%)

 $

                   547.1

 

 $

                            662.1

 

 $

                 (115.1

)

(17

%)

                                 
 
1 Reflects certain reclassifications of revenue between product categories as the Company realigned its corporate payments business, resulting in reclassification of payroll paycard revenue from corporate payments to other.
2 Other includes telematics, maintenance, food, transportation and payroll card related businesses.
3 See Exhibit 5 for a reconciliation of Pro forma and Macro Adjusted revenue by product and metrics, non GAAP measures, to the GAAP equivalent. 
* Columns may not calculate due to rounding.
Exhibit 3
Revenues by Geography and Product
(In millions)
(Unaudited)
                     
Revenue by Geography* Three Months Ended June 30, Six Months Ended June 30

2020

%

2019

%

2020

%

2019

%
 
US

 $                     335

64%

 $                     389

60%

 $                     733

62%

 $                     760

60%

Brazil

                         75

14%

                       104

16%

                       174

15%

                       209

16%

UK

                         49

9%

                         70

11%

                       123

10%

                       137

11%

Other

                         66

 

13%

                         85

13%

                       157

13%

                       163

13%

 
Consolidated Revenues, net

 $                     525

100%

 $                     647

100%

 $                  1,186

100%

 $                  1,269

100%

* Columns may not calculate due to rounding.                                
 
Revenue by Product Category*1  Three Months Ended June 30, Six Months Ended June 30

2020

%

2019

%

2020

%

2019

%
 
Fuel

 $                     250

47%

 $                     295

46%

 $                     542

46%

 $                     578

46%

Corporate Payments

                         93

18%

                       112

17%

                       212

18%

                       209

16%

Tolls

                         65

12%

                         86

13%

                       148

12%

                       175

14%

Lodging

                         41

8%

                         50

8%

                         98

8%

                         92

7%

Gift

                         27

5%

                         36

6%

                         69

6%

                         84

7%

Other

                         51

10%

                         68

10%

                       118

10%

                       131

10%

 
Consolidated Revenues, net

 $                     525

100%

 $                     647

100%

 $                  1,186

100%

 $                  1,269

100%

* Columns may not calculate due to rounding.                                
Exhibit 4
Segment Results
(In thousands)
(Unaudited)
 
Three Months Ended June 30, Six Months Ended June 30,

2020

 

20191

 

2020

 

20191

 
Revenues, net:
North America

 $

                                     357,430

 $

                                     417,941

 $

                                     792,122

 $

                                     814,840

Brazil

 

                                          75,148

 

                                        103,581

 

                                        174,126

 

                                        209,280

International

 

                                          92,568

 

                                        125,572

 

                                        219,991

 

                                        244,799

 $

                                     525,146

 $

                                     647,094

 $

                                   1,186,239

 $

                                   1,268,919

 
Operating income:
North America

 $

                                     133,151

 $

                                     184,293

 $

                                     218,891

 $

                                     356,672

Brazil

 

                                          29,420

 

                                          42,261

 

                                          68,862

 

                                          84,415

International

 

                                          50,240

 

                                          70,763

 

                                        126,041

 

                                        140,406

 $

                                     212,811

 $

                                     297,317

 $

                                     413,794

 $

                                     581,493

 
Depreciation and amortization:
North America

 $

                                       38,548

 $

                                       41,875

 $

                                       76,524

 $

                                       80,167

Brazil

 

                                          12,169

 

                                          16,296

 

                                          26,758

 

                                          33,090

International

 

                                          11,445

 

                                          12,737

 

                                          23,356

 

                                          25,096

 $

                                       62,162

 $

                                       70,908

 $

                                     126,638

 $

                                     138,353

 
Capital expenditures:
North America

 $

                                       12,279

 $

                                       11,306

 $

                                       23,543

 $

                                       19,683

Brazil

 

                                            3,477

 

                                            3,823

 

                                            6,808

 

                                            7,977

International

 

                                            2,857

 

                                            2,341

 

                                            6,519

 

                                            4,315

 $

                                       18,613

 $

                                       17,470

 $

                                       36,870

 $

                                       31,975

 
1 The Company has historically had two reportable segments, North America and International.  In the first quarter of 2020, in order to better
align with changes in business models and management reporting, the Company has broken out Brazil as a third segment, which was
previously reported in the International segment.  The presentation of segment information has been recast for the prior quarter to align with
segment presentation in 2020. 
Exhibit 5
Reconciliation of Non-GAAP Revenue and Key Performance Metric by Product to GAAP
(In millions)
(Unaudited)
                       
  Revenue   Key Performance Metric
Three Months Ended June 30,   Three Months Ended June 30,
2020* 2019*   2020* 2019*
 
FUEL-TRANSACTIONS  
Pro forma and macro adjusted

 $

                               243.8

 

 $

                               291.3

 

 

                                   99.7

                                  124.5

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                     3.8

 

 

                                      -  

                                     0.7

 

Impact of fuel prices/spread

 

                                   13.1

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                    (7.2

)

 

                                      -

 

 

                                      -  

                                      -

 

As reported

 $

                               249.8

 

 $

                               295.1

 

 

                                   99.7

                                  125.3

 

 
CORPORATE PAYMENTS- SPEND  
Pro forma and macro adjusted

 $

                                 93.7

 

 $

                               112.2

 

 

                                13,670

                                20,244

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of fuel prices/spread

 

                                    (0.2

)

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                    (0.9

)

 

                                      -

 

 

                                        1

                                      -

 

As reported

 $

                                 92.6

 

 $

                               112.2

 

 

                                13,671

                                20,244

 

 
TOLLS- TAGS  
Pro forma and macro adjusted

 $

                                 88.7

 

 $

                                 86.2

 

 

                                     5.3

                                     5.0

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of fuel prices/spread

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                  (23.9

)

 

                                      -

 

 

                                      -  

                                      -

 

As reported

 $

                                 64.8

 

 $

                                 86.2

 

 

                                     5.3

                                     5.0

 

 
LODGING- ROOM NIGHTS  
Pro forma and macro adjusted

 $

                                 40.7

 

 $

                                 64.9

 

 

                                     4.6

                                     6.8

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                  (14.6

)

 

                                      -  

                                    (2.5

)

Impact of fuel prices/spread

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                    (0.0

)

 

                                      -

 

 

                                      -  

                                      -

 

As reported

 $

                                 40.6

 

 $

                                 50.2

 

 

                                     4.6

                                     4.3

 

 
GIFT- TRANSACTIONS  
Pro forma and macro adjusted

 $

                                 26.5

 

 $

                                 35.7

 

 

                                  188.2

                                  284.1

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of fuel prices/spread

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

As reported

 $

                                 26.5

 

 $

                                 35.7

 

 

                                  188.2

                                  284.1

 

 
OTHER1- TRANSACTIONS  
Pro forma and macro adjusted

 $

                                 53.7

 

 $

                                 71.8

 

 

                                     9.0

                                   14.3

 

Impact of acquisitions/dispositions

 

                                      -

 

 

                                    (4.2

)

 

                                      -  

                                      -

 

Impact of fuel prices/spread

 

                                      -

 

 

                                      -

 

 

                                      -  

                                      -

 

Impact of foreign exchange rates

 

                                    (2.9

)

 

                                      -

 

 

                                      -  

                                      -

 

As reported

 $

                                 50.8

 

 $

                                 67.6

 

 

                                     9.0

                                   14.3

 

 
 
FLEETCOR CONSOLIDATED REVENUES  
Pro forma and macro adjusted

 $

                               547.1

 

 $

                               662.1

 

  Intentionally Left Blank
Impact of acquisitions/dispositions

 

                                      -

 

 

                                  (15.0

)

 
Impact of fuel prices/spread

 

                                   12.9

 

 

                                      -

 

 
Impact of foreign exchange rates

 

                                  (34.9

)

 

                                      -

 

 
As reported

 $

                               525.1

 

 $

                               647.1

 

 
 
* Columns may not calculate due to rounding.  
1 Other includes telematics, maintenance, food, transportation and payroll card related businesses.  

 

Investor Relations
Jim Eglseder, 770-417-4697
Jim.Eglseder@fleetcor.com

Source: FLEETCOR Technologies, Inc.