Fiserv Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Fiserv Inc. filed its Q1 2024 10-Q, detailing financial performance, debt instruments, and segment revenues.</b>

AI Summary

FISERV INC (FISV) filed a Quarterly Report (10-Q) with the SEC on April 24, 2024. Fiserv Inc. reported financial results for the first quarter of 2024, ending March 31, 2024. The filing details various senior notes due in 2025, 2027, 2030, and 2031. Key financial data includes revenue from contract with customers for both Q1 2024 and Q1 2023. The company's balance sheet as of March 31, 2024, and December 31, 2023, is presented. Specific segments like 'Processing and Services' and 'Merchant Segment' are detailed for revenue reporting.

Why It Matters

For investors and stakeholders tracking FISERV INC, this filing contains several important signals. This 10-Q provides an updated view of Fiserv's financial health and operational performance for the first quarter of 2024, crucial for investors assessing current value and future prospects. The detailed segment reporting and balance sheet information allows stakeholders to analyze revenue streams, asset management, and debt obligations, offering insights into the company's strategic direction and risk exposure.

Risk Assessment

Risk Level: medium — FISERV INC shows moderate risk based on this filing. The filing contains extensive financial data and risk factor disclosures, indicating a complex business environment that requires careful analysis to fully understand potential risks.

Analyst Insight

Investors should review the detailed segment revenue breakdown and balance sheet changes to assess the company's growth trajectory and financial stability.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Report Period End Date (Conformed Period of Report)
• 2024-04-24 — Filing Date (Filed as of Date)
• 2024-01-01 — Quarter Start Date (Reporting period for Q1 2024)

Key Players & Entities

• FISERV INC (company) — Filer name
• 600 N. VEL R. PHILLIPS AVENUE (address) — Business and Mail Address
• MILWAUKEE (location) — City for Business and Mail Address
• WI (location) — State for Business and Mail Address
• 53203 (postal_code) — ZIP code for Business and Mail Address
• 4148795000 (phone_number) — Business Phone Number

FAQ

Industry Context

Fiserv operates in the financial technology sector, providing payment processing and financial services to banks, credit unions, and merchants.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934, requiring public companies to disclose material information about their business and financial condition.

What Investors Should Do

1. Analyze the revenue growth across different segments (Processing and Services, Merchant Segment) for Q1 2024 compared to Q1 2023.
2. Review the balance sheet details, particularly changes in assets and liabilities, between March 31, 2024, and December 31, 2023.
3. Examine the details of the various senior notes outstanding to understand the company's debt structure and maturity profile.

Year-Over-Year Comparison

This is the Q1 2024 filing, providing an update from the previous fiscal year-end report (likely a 10-K) and prior quarterly filings.

Key Financial Figures

• $0.01 — ich registered Common Stock, par value $0.01 per share FI The New York Stock Exchang

Filing Documents

• fisv-20240331.htm (10-Q) — 1226KB
• ex31103312024.htm (EX-31.1) — 12KB
• ex31203312024.htm (EX-31.2) — 11KB
• ex32103312024.htm (EX-32.1) — 8KB
• 0000798354-24-000100.txt (&nbsp;) — 8096KB
• fisv-20240331.xsd (EX-101.SCH) — 56KB
• fisv-20240331_cal.xml (EX-101.CAL) — 77KB
• fisv-20240331_def.xml (EX-101.DEF) — 327KB
• fisv-20240331_lab.xml (EX-101.LAB) — 736KB
• fisv-20240331_pre.xml (EX-101.PRE) — 520KB
• fisv-20240331_htm.xml (XML) — 1225KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) Consolidated Statements of Income 1 Consolidated Statements of Comprehensive Income 2 Consolidated Balance Sheets 3 Consolidated Statements of Cash Flows 4

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 5

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 24

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 35

Controls and Procedures

Item 4. Controls and Procedures 36

– OTHER INFORMATION

PART II – OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 36

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 36

Other Information

Item 5. Other Information 36

Exhibits

Item 6. Exhibits 36 Exhibit Index

Signatures

Signatures Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS Fiserv, Inc. Consolidated Statements of Income (In millions, except per share data) (Unaudited) Three Months Ended March 31, 2024 2023 Revenue: Processing and services (1) $ 4,000 $ 3,673 Product 883 874 Total revenue 4,883 4,547 Expenses: Cost of processing and services 1,354 1,405 Cost of product 651 600 Selling, general and administrative 1,697 1,604 Net loss on sale of businesses and other assets — 4 Total expenses 3,702 3,613 Operating income 1,181 934 Interest expense, net ( 261 ) ( 202 ) Other expense, net ( 7 ) ( 20 ) Income before income taxes and loss from investments in unconsolidated affiliates 913 712 Income tax provision ( 153 ) ( 124 ) Loss from investments in unconsolidated affiliates ( 8 ) ( 12 ) Net income 752 576 Less: net income attributable to noncontrolling interests and redeemable noncontrolling interest 17 13 Net income attributable to Fiserv, Inc. $ 735 $ 563 Net income attributable to Fiserv, Inc. per share: Basic $ 1.24 $ 0.90 Diluted $ 1.24 $ 0.89 Shares used in computing net income attributable to Fiserv, Inc. per share: Basic 590.9 626.9 Diluted 594.8 631.3 (1) Includes processing and other fees charged to related party investments accounted for under the equity method of $ 40 million and $ 46 million for the three months ended March 31, 2024 and 2023, respectively (see Note 19). See accompanying notes to consolidated financial statements. 1 Table of Contents Fiserv, Inc. Consolidated Statements of Comprehensive Income (In millions) (Unaudited) Three Months Ended March 31, 2024 2023 Net income $ 752 $ 576 Other comprehensive (loss) income: Fair market value adjustment on derivatives 1 5 Reclassification adjustment for net realized (gains) losses on cash flow hedges included in cost of processing and services ( 1 ) 1 Reclassification adjustment for net realized losses on cash flow hedges included in net interest expense 4 5 Tax impacts of derivatives

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (Unaudited) 1. Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation The consolidated financial statements for the three months ended March 31, 2024 and 2023 are unaudited. In the opinion of management, all adjustments necessary for a fair presentation of the consolidated financial statements have been included. Such adjustments consisted of normal recurring items. Interim results are not necessarily indicative of results for a full year. The consolidated financial statements and accompanying notes are presented as permitted by Form 10-Q and do not contain certain information included in the annual consolidated financial statements and accompanying notes of Fiserv, Inc. (the "Company"). These interim consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2023. Segment Realignment Effective for the three months ended March 31, 2024, the Company realigned its reportable segments to correspond with changes in its business designed to further enhance operational performance in the delivery of its integrated portfolio of products and solutions to its financial institution clients (the "Segment Realignment"). The Company's new reportable segments are the Merchant Solutions ("Merchant") segment and the Financial Solutions ("Financial") segment. Segment results for the three months ended March 31, 2023 have been recast to reflect the Segment Realignment. See Note 20 for additional information. Principles of Consolidation The consolidated financial statements include the accounts of Fiserv, Inc. and its subsidiaries in which the Company holds a majority controlling financial interest. All intercompany transactions and balances between the Company and its subsidiaries have been eliminated in consolidation. Control is typically esta

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View this 10-Q filing on SEC EDGAR