Corpay (CPAY) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue surpassed $1 billion, up 8% year-over-year, with organic revenue growth of 9% and cash EPS of $4.51, up 10%.

• Corporate Payments segment grew 19% organically, while Vehicle Payments rose 8% organically; retention held at ~92%.

• Same-store sales rose 1%, and new bookings surged 35% year-over-year.

• Managed credit losses to 5 basis points of spend.

• Net income attributable to Corpay increased 5.9% to $243.2M; diluted EPS up 9% to $3.40.

Financial highlights

• Adjusted EPS increased 10% to $4.51; adjusted EBITDA margin was 55.2%, consistent with prior year.

• Net income attributable to Corpay was $243.2M, up from $229.8M; adjusted net income was $322.9M.

• Operating income increased 7% to $427.1M; effective tax rate rose to 25.5%.

• Q1 operating expenses rose 8% year-over-year, mainly due to higher transaction volumes and M&A activity.

• Free cash flow generated was $323M; net cash used in operating activities was $(74.2)M due to working capital changes.

Outlook and guidance

• Full-year 2025 revenue guidance midpoint is $4.42B (+11% year-over-year); adjusted EPS guidance midpoint is $21.00.

• Organic revenue growth expected at 10%-12% for 2025; Q2 revenue growth guided at 12%-14%.

• Corporate Payments projected to grow high teens to 20% for the year.

• Tariff impacts expected to be modest, with $10-$15M cross-border revenue headwind.

• Guidance assumes stable fuel prices, FX rates as of April 2025, and no major deterioration in global economic activity.