Fidelity National Information Services (FIS) Financials

Fidelity National Information Services (NYSE: FIS) has experienced a fluctuating financial performance over the last four years through Q2 2025. Here are the key takeaways from their recent financial statements:

• Operating revenue steadily increased from approximately $2.4 billion in Q2 2023 to $2.62 billion in Q2 2025, indicating a growing top line over the last two years.
• Gross profit has remained relatively solid around $900 million to $1 billion per quarter in recent periods, reflecting stable operational efficiency despite revenue growth.
• Cash flow from continuing operating activities remains positive, generating $382 million in Q2 2025, suggesting ongoing healthy cash generation capability even with net losses reported.
• Fidelity maintains substantial goodwill and intangible assets of $17.58 billion and $3.81 billion respectively (Q2 2025), reflecting a strong asset base from acquisitions and brand value.
• The company has consistently paid dividends per share around $0.36 to $0.52 in recent years, rewarding shareholders despite operating challenges.

• Net income has swung significantly, with a steep $470 million loss in Q2 2025 following profitable quarters earlier in 2025 and years prior, indicating episodic challenges or one-time charges.
• The company recorded a wide range of other gains/(losses) with significant negative impact in Q2 2025 (-$598 million) which heavily affects net income.
• Operating expenses fluctuate quarter-to-quarter but have remained in the $500 million to $600 million range, showing controlled costs relative to revenue changes.
• FIS's debt levels remain high, with long-term debt around $8.87 billion and short-term debt $4.04 billion as of Q2 2025, with repayments and issuance of debt continuing actively each quarter.
• Cash and equivalents decreased from $3.3 billion in Q1 2024 to $581 million by Q2 2025, consistent with substantial investing and debt repayment activity.

• The net loss in recent quarters including a large loss in Q2 2025 (-$470 million) and the sharp negative net income in Q2 2023 (-$6.59 billion) highlight profitability pressure.
• Significant impairment charges and other one-time expenses impacting profitability, e.g., a $105 million impairment charge in Q4 2023 and earlier multi-billion goodwill adjustments.
• Interest expense remains substantial, rising to $110 million in Q2 2025 from around $77-$108 million in previous quarters, pressuring net income further.
• Large swings in other operating non-operating assets and liabilities, especially high fluctuations in "other current non-operating liabilities" and "other noncurrent nonoperating assets," suggest volatile balance sheet components.
• Continuous high levels of debt repayments, equity repurchases, and dividend payments combined with declining cash balances may constrain financial flexibility moving forward.

Summary: Over the past four years, Fidelity National Information Services has shown resilient revenue growth and operating cash flow generation, reflecting strong core business performance. However, episodic net losses, high debt levels, substantial interest expenses, and volatile other income/loss items have weighed on profitability. Investors should monitor the company's efforts to stabilize earnings, manage leverage, and sustain cash flow to support dividends and share repurchases.