GPN · Earnings call · 2026Q2T · Full report

Free Cash Flow and Capex

GLOBAL PAYMENTS INC · 2026-08-05 · Importance 85 · Surprise 64

Second-quarter adjusted free cash flow was $687 million, equal to approximately 75% conversion of adjusted net income, while free-cash-flow adjustments declined more than 70% sequentially. Capital expenditures were $236 million, or approximately 7% of quarterly revenue. The company expects adjusted free-cash-flow conversion to exceed 90% for full-year 2026, with seasonally stronger cash generation in the second half. Global Payments plans to invest approximately $1 billion in the business during 2026, equal to about 8% of adjusted net revenue.

Key facts

• Adjusted free cash flow in Q2 2026: $687 million, representing conversion rate of adjusted net income to adjusted free cash flow of approximately 75%
• Invested $236 million in capital expenditures in Q2 2026, representing approximately 7% of revenue
• Continue to expect conversion rate of adjusted net income to adjusted free cash flow to exceed 90% for full year 2026
• Free cash flow adjustments declined by more than 70% compared to Q1 2026