Shift4 Payments Q3 gross profit rises year over year

Overview

• US payment processor's Q3 gross profit rose 10% yr/yr to $434 mln

• Q3 net income reached $40 mln; adjusted net income was $132 mln

• Company grew despite travel disruptions and weaker same-store sales

Outlook

• Company lowers 2026 volume guidance to $240-$250 bln

• Shift4 lowers 2026 gross revenue less network fees guidance to $2.45-$2.46 bln

• Company adjusts 2026 full-year adj EBITDA to $1.11-$1.13 bln

Result Drivers

• TRAVEL DISRUPTIONS - Co said travel disruptions weighed on its tax-free shopping business and created headwinds

• PAYMENTS REVENUE GROWTH - Payments-based revenue less network fees grew 18% yr/yr, which co described as its 'north star' metric

• NEW CUSTOMER WINS - Co cited signing Kahala Brands, MSG Sphere, EU hotels and Kering as new customers, supporting growth

Company press release: Full Story

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 13 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the business support services peer group is "buy"

• Wall Street's median 12-month price target for Shift4 Payments, Inc. is $49.00, about 9.3% above its November 4 closing price of $44.82

• The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads

• Nov 3 - Marqeta Q3 revenue slightly beats estimates on volume growth

• Nov 4 - FIS Q3 revenue beats estimates on acquisition boost

• Nov 2 - Paymentus Q3 revenue beats on higher billers and transaction volumes

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)