FleetCor Technologies, Inc. (NYSE:FLT) Q3 2019 Earnings Conference Call - Final Transcript

Nov 06, 2019 • 05:00 pm ET


FleetCor Technologies, Inc. (NYSE:FLT) Q3 2019 Earnings Conference Call - Final Transcript


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Greetings and welcome to the Fleetcor Technologies Third Quarter 2019 Earnings Conference Call. [Operator Instructions]

I would like to turn the conference over to our host, Mr. Jim Eglseder, Head of Investor Relations for Fleetcor Technologies. Thank you, sir. You may begin.

James Eglseder

Good afternoon, everyone, and thank you for joining us today for our third quarter 2019 earnings call. With me today are Ron Clarke, our Chairman and CEO and Eric Dey, our CFO. Following comments from both Ron and Eric. The operator will announce your opportunity to get into the queue for Q&A session. It is only then that the queue will open for questions. Please note, our earnings release and supplement can be found under the Investor Relations section of our website at fleetcor.com. Throughout this call, we will be presenting non-GAAP financial information, including adjusted revenues, adjusted net income and adjusted net income per diluted share. This information is not calculated in accordance with GAAP and may be calculated differently than non-GAAP information at other companies.

Reconciliations of historical non-GAAP financial information to the most directly comparable GAAP information appears in today's press release and on our website as previously described. We also are providing updated 2019 guidance under the GAAP and non-GAAP basis with reconciliations. Now, before we begin our formal remarks, I need to remind everyone that part of our discussion today will include forward-looking statements. This includes forward-looking statements about our guidance and outlook, new products and fee initiatives and expectations regarding business developments and acquisitions. They are not guarantees of future performance and, therefore, you should not put undue reliance upon them.

These results are subject to numerous risks and uncertainties which could cause actual results to differ materially from what we expect. Some of those risks are mentioned in today's press release on Form 8-K and on our Annual Report Form 10-K filed with the Securities and Exchange Commission. These documents are available on our website and at www.sec.gov.

With that out of the way, I would like to turn the call over to Ron Clarke, our Chairman and CEO. Ron?

Ronald Clarke

Okay, Jim, thanks. Good afternoon, everyone, and thanks for joining our third quarter earnings call. Upfront here I'll plan to cover three subjects. First, I'll provide my perspective on our Q3 results and outlook for Q4. Second, I'll share our continued progress on our beyond initiative, and lastly, I'll update you on the acquisition front.

Okay, so on to Q3. We reported Q3 revenue of $681 million, up 10% and $3.10 in cash EPS up 16%, on a constant macro and constant scope basis or what we call like-for-like basis, revenue was up 11% and cash EPS, up approximately 17%. So right in-line with our targets. Overall organic revenue growth was 11% in Q3 with fuel card organic revenue growth finishing at 10% in the quarter. Our global fuel card revenue represented about 42% of our overall consolidated Q3 revenue. Our three non-fuel lines of business performed quite well with lodging and