WEX Inc. (NYSE:WEX) Q1 2018 Earnings Conference Call Transcript
May 03, 2018 • 09:00 am ET
of $1.81 per diluted share, up 47%. Contributions from all three of our business segments combined with solid execution and more favorable underlying trends were the catalysts behind our strong performance this quarter.
Turning to slide four. Executing against our strategic pillars has allowed us to post an outstanding year in 2017 and that momentum has only strengthened more as we move into the second quarter. I'm particularly pleased with our continued success in delivering organic revenue growth, which in Q1 was 11.5%. This figure excludes the positive benefit from higher fuel prices and favorable foreign exchange rates, as well as the impact from new revenue recognitions and M&A activity.
Our growth has been fueled by the systematic investments we've made in our technology, people and acquisitions over the past few years. The combination of these efforts has opened up new opportunities for growth, while providing diversification benefits. These results demonstrate that our strategy is working and give us confidence as we move forward and evaluate additional opportunities for growth.
Equally important, our investments enabled us to extend our leadership in the industry to gain share in the marketplace and build the model that benefits many industries and geographies. In the first quarter, we capitalized in the large number of new business wins and significant contract renewals with long time partners that we announced last year.
We also continue to deepen our relationships with customers and partners by utilizing our technology to drive superior performance and service, while leveraging the unique expertise of our talented workforce. As a result, we saw high customer retention rates throughout the business, which speaks to the value of the products and services we offer. The success we had executing our strategy today has provided us with ample opportunity to capture additional share moving forward.
Slide five highlights our success in the first quarter, including a number of impressive wins and contract renewals. In Fleet Solutions, revenue growth was 21% from the first quarter of 2017, which was driven by strong business fundamentals and the macro factors I mentioned earlier. We saw strength in all portfolios and signed a significant contract extension with CITGO, while renewing our relationships with Kum & Go and Marathon. We also signed McLane Foods, a national retail services during Q1. We continue to build on some of the pivotal wins in 2017 such as Chevron and Verizon. The new card program for Chevron is up and running while we continue to work towards transitioning the entire portfolio to WEX. Verizon is fully implemented at this point.
On the international front, our sales and marketing teams are performing at an extremely high level, and we continue to capture new business and additional market share. We signed an agreement during the first quarter with Raizen, which is one of the largest energy companies in Brazil, and a Shell licensee with more than 6,000 locations. This will be a new program for them. It will take time to ramp up, but we believe