Corpay 2025-26: Corporate Payments +16% Organic, FY26 EPS $26 (+22%)

FY25 revenue $4.53B (+14%); cash EPS $21.38 (+12%); organic revenue +10% full-year. Q4 revenue $1.248B (+21%); cash EPS $6.04 (+13%); cash EBITDA >$700M; new sales/bookings +29% YoY; same-store sales +1%; revenue retention stable 92%. Segment performance — Corporate Payments: +16% organic Q4; Alpha overperformance; spend volumes +44% pro forma to >$81B; Cross-border strong sales + revenue, Alpha integration progressing, first joint sale with Mastercard; Payables strong Q4 sales, early market penetration, strategic investment in Avid. Vehicle Payments +10% organic (strong in US, Europe, Brazil). Lodging <10% of revenue, -7% Q4 (low single-digit growth 2026 with H1 headwinds). FY25 acquisitions: Alpha, Avid, second vehicle debt company in Brazil. Mastercard investment in cross-border business. FY26 guide: full-year revenue midpoint $5.265B (+16% YoY); cash EPS midpoint $26 (+22% YoY); drivers — fundamentals + accretive acquisitions (Alpha + Avid ~$300M incremental revenue, ~$1 cash EPS) + favorable macro (FX, SOFR, constant tax). FY26 priorities: simplify portfolio, accelerate corporate payments rotation, improve US vehicle + lodging sales, expand payables (enterprise + UK + monetization), enhance cross-border (multicurrency accounts + stablecoin), AI in client UIs + reduce live agent expense.

Key takeaways

• Corporate Payments +16% organic Q4 + spend volumes +44% pro forma to $81B+ — multi-year payments platform compounder. Corpay's Corporate Payments segment (cross-border + payables + virtual cards) delivered +16% organic Q4 growth. Pro forma spend volumes (including Alpha acquisition) reached $81B+ in Q4, +44% YoY. Cross-border + payables are the highest-margin + fastest-growing parts of the platform, with multi-year secular tailwinds: corporate FX volume growth, payables digitization, virtual card adoption, supplier acceptance expansion. The Mastercard partnership + first joint sale is a meaningful distribution lever.

• Alpha + Avid acquisitions add ~$300M incremental revenue + ~$1 cash EPS in 2026 — accretive M&A engine. FY25 saw two major M&A actions: (a) Alpha (cross-border / corporate payments — closed FY25), (b) Avid Exchange (payables platform — strategic investment FY25). Combined contribution to FY26: ~$300M incremental revenue and ~$1 cash EPS accretion. Plus second vehicle debt company in Brazil. The M&A pace + accretion math validates Corpay's playbook: identify high-growth payments adjacencies, acquire at attractive multiples, integrate onto Corpay's distribution + risk platforms.

• FY26 guide: revenue $5.265B (+16%); cash EPS $26 (+22%) — best-in-class growth + earnings. From FY25 cash EPS $21.38 → FY26 midpoint $26 = +22% growth. Revenue +16% (well above peer payments growth rates). Drivers: (a) fundamentals (record Q4 trends carry forward), (b) accretive acquisitions, (c) favorable macro (FX rates, SOFR rates, constant tax rate). Multi-year compounding setup with multiple drivers all positive.

• Vehicle Payments +10% organic Q4 — legacy fleet card business still meaningfully growing. Vehicle Payments (legacy Fleetcor card business) delivered +10% organic Q4 with strong results in US, Europe, Brazil. The "value" of CPAY's vehicle business is structural cash generation while management rotates the corporate identity + capital allocation toward higher-growth Corporate Payments. Vehicle continues to provide stable cash flow base.

• AI integration + portfolio simplification + delevering — FY26 strategic priorities. Management's FY26 priorities: (a) simplify portfolio (likely small divestitures / non-core exits), (b) accelerate corporate payments rotation, (c) improve US sales (vehicle + lodging), (d) expand payables (enterprise + UK + new monetization), (e) enhance cross-border (multicurrency accounts + stablecoin capability), (f) AI in client UIs + reduce live agent expense. The stablecoin addition is notable — increasingly relevant for cross-border B2B settlements.

Business

Corpay, Inc. (formerly Fleetcor) is a global B2B payments + spend management platform, with multi-segment portfolio:

• Corporate Payments (~50% of revenue, fastest growing):
  • Cross-Border (~25%): Corporate FX + cross-border payments. Alpha acquisition expanded capabilities. Mastercard partnership + first joint sale FY25. +16% organic Q4 segment growth.
  • Payables (~15%): AP automation + virtual cards + supplier acceptance. Avid strategic investment FY25.
  • Other Corporate (~10%): Lodging spend management; T&E; other.
• Vehicle Payments (~35%): Fleet cards + fuel management + telematics + multi-region (US, Europe, Brazil). +10% organic Q4 segment growth.
• Lodging (~10%): Crew lodging + workforce lodging spend management. -7% Q4 (cyclical headwinds).
• Other (~5%): Other commercial cards + payments.

Strategic moves FY25:

• Alpha acquired (cross-border / corporate payments)
• Avid Exchange strategic investment (payables platform)
• Second vehicle debt company acquired in Brazil
• Mastercard cross-border investment + first joint sale
• Corporate Payments +16% organic Q4
• Spend volumes +44% pro forma to $81B+ Q4
• Vehicle Payments +10% organic Q4
• New sales/bookings +29% YoY Q4
• Revenue retention stable 92%
• Cash EBITDA >$700M Q4

FY25 financial performance

The earnings progression: revenue grew steadily from $3.43B (FY22) to $4.53B (FY25, +32% over 3 years). Op margin in 42-45% range — among the highest in B2B payments globally reflecting structural moat in fleet cards + corporate payments.

FCF $1.30B FY25 (-26% YoY) reflects working capital + capex investment. Total debt jumped to $10.12B (+27% YoY) reflecting Alpha + Avid acquisitions. Buyback $783M (-39%) reflecting capital allocation toward M&A.

Capital allocation

• Capex: $-201M FY25 (+15% YoY).
• Dividends: $0 (no dividend; capital return via buyback only).
• Buybacks: $-783M FY25 (-39% YoY) — capital partially redirected to M&A.
• Total debt: $10.12B (+27% YoY) — Alpha + Avid + Brazilian acquisitions.
• FCF: $1.30B FY25 (-26% YoY).
• FY26 priorities: Continued M&A accretion + delevering + ongoing buyback.

FY26 outlook (per Q4 2025 call, 2026-02-04)

Management noted continued momentum: portfolio simplification, corporate payments rotation, US sales improvement (vehicle + lodging), payables expansion (enterprise + UK + monetization), cross-border enhancement (multicurrency + stablecoin), AI implementation in client UIs + agent efficiency.

Key risks

M&A integration risk. Alpha + Avid integration ongoing in 2026. Integration execution + synergy capture + customer retention at acquired entities matter. Multi-year integration scope.

Cross-border FX rate dependency. Cross-border revenue dependent on FX volume + spread economics. Stable FX environments = lower spreads / volumes; volatile = upside.

Payables market penetration pace. Avid + Corpay payables platform in early stages of market penetration. Multi-year ramp required to monetize.

Vehicle Payments competitive landscape. WEX, Edenred, US Bank, Voyager all compete in fleet cards + fuel management. Multi-year competitive intensity.

Lodging cyclicality. Lodging segment -7% Q4 reflects cyclical pressure. H1 2026 expected continued headwinds.

Interest rate environment (SOFR). SOFR rates affect Corpay's float income on customer balances. Rate cuts compress float income.

Leverage trajectory. Total debt $10.12B (+27%) post-acquisitions. Multi-year deleveraging required.

Stablecoin / regulatory dynamics. Stablecoin capability for cross-border requires regulatory navigation. Multi-region stablecoin regulations evolving.

Mastercard partnership dynamics. Mastercard cross-border investment + partnership creates dependency on Mastercard relationship. Future commercial terms matter.

Customer retention dynamics. Revenue retention 92% Q4 = ~8% gross attrition. Continued retention discipline matters.

Macro economic environment. Corpay's fleet + corporate payments revenue tied to commercial activity, fuel volumes, B2B spending.

Brazil exposure. Brazilian vehicle payments + macro dynamics + currency volatility.

AI deployment execution. Multi-year AI deployment requires execution + change management.

Regulatory landscape — payments + spend management. Multi-region payments regulation (EU, UK, US, Brazil) creates compliance overhead.

Competitive landscape — corporate cards. AmEx, Brex, Ramp, Bill.com, Mesh Payments, Navan all compete in subsets of corporate spend.

Bottom line

Corpay FY25 is the multi-segment growth + M&A engine + portfolio rotation year: revenue $4.53B (+14%); op income $1.95B (+9%); cash EPS $21.38 (+12%); organic revenue +10% full-year. Q4 revenue $1.248B (+21%); cash EPS $6.04 (+13%); cash EBITDA >$700M; new sales/bookings +29%; same-store sales +1%; revenue retention 92%. Corporate Payments +16% organic Q4 (Alpha overperformance, spend volumes +44% pro forma to $81B+). Cross-border strong (Alpha integration, first Mastercard joint sale). Payables strong Q4 (Avid investment). Vehicle Payments +10% organic. Lodging -7% Q4. FY25 acquired Alpha, Avid, second Brazilian vehicle debt company.

FY26 guide: revenue midpoint $5.265B (+16% YoY); cash EPS midpoint $26 (+22% YoY); Alpha + Avid contributing ~$300M revenue / ~$1 cash EPS; favorable macro drivers (FX, SOFR, constant tax). FY26 priorities: simplify portfolio, accelerate corporate payments rotation, improve US sales, expand payables, enhance cross-border (multicurrency + stablecoin), AI in client UIs + agent efficiency.

The risks are real — M&A integration risk (Alpha + Avid + Brazilian deals), cross-border FX rate dependency, payables market penetration pace, Vehicle Payments competitive landscape (WEX, Edenred, US Bank), Lodging cyclicality, interest rate environment (SOFR float income), leverage trajectory ($10.12B total debt), stablecoin / regulatory dynamics, Mastercard partnership dynamics, customer retention dynamics, macro economic environment, Brazil exposure, AI deployment execution, payments regulatory landscape, competitive landscape (AmEx, Brex, Ramp, Bill.com, Mesh, Navan).

But the structural thesis (global B2B payments + spend management platform + Corporate Payments +16% organic + spend volumes +44% pro forma to $81B+ + Cross-border + Mastercard partnership + Avid + Alpha M&A engine + Vehicle Payments +10% organic + 43% op margins + FY26 revenue +16% / cash EPS +22% + multi-year M&A pipeline + AI integration + stablecoin optionality + portfolio simplification roadmap + delevering + ongoing buyback) is intact and FY25 confirms.

Quality global B2B payments compounder mid-cycle, with multi-segment platform + Corporate Payments rotation + M&A engine + Mastercard partnership + AI integration + stablecoin optionality + Vehicle Payments stable cash generation + cross-border secular growth + payables digitization tailwind. The FY25 +14% revenue + +12% cash EPS + Corporate Payments +16% organic + spend volumes +44% pro forma + Alpha + Avid + Mastercard partnership + Vehicle Payments +10% organic + FY26 +16% revenue + +22% cash EPS + ~$300M Alpha-Avid revenue contribution + AI integration + stablecoin roadmap creates one of the cleaner B2B payments + spend management compounding setups for investors seeking exposure to corporate FX + payables digitization + virtual cards + AI productivity + M&A accretion engine. The conservative FY26 framework + multi-driver growth + M&A pipeline + AI optionality + stablecoin capability + Mastercard distribution provides multiple paths to outperformance over a multi-year horizon. M&A integration + competitive landscape + leverage trajectory + lodging cyclicality remain ongoing risks, but the multi-segment diversification + M&A engine + Mastercard partnership + structural margins support continued compounding through cycles.

Citations

• Corpay, Inc. FY25 Form 10-K (filed February 2026, SEC EDGAR).
• CPAY Q4 2025 earnings call, 2026-02-04 — Q4 revenue $1.248B (+21%); cash EPS $6.04 (+13%); cash EBITDA >$700M; new sales/bookings +29% YoY; same-store sales +1%; revenue retention stable 92%. Corporate Payments +16% organic Q4 (Alpha overperformance + spend volumes +44% pro forma to >$81B); Cross-border strong (Alpha integration + first Mastercard joint sale); Payables strong Q4 (early market penetration + Avid strategic investment); Vehicle Payments +10% organic (US, Europe, Brazil strong); Lodging -7% Q4 (low single-digit growth 2026 with H1 headwinds). 2025 full year revenue $4.5B (+14%); cash EPS $21.38 (+12%); organic revenue +10%. Acquisitions: Alpha, Avid, second Brazilian vehicle debt company. Mastercard cross-border investment. FY26 revenue midpoint $5.265B (+16% YoY); cash EPS midpoint $26 (+22% YoY); Alpha + Avid contributing ~$300M incremental revenue + ~$1 cash EPS; favorable macro (FX, SOFR, constant tax). FY26 priorities: simplify portfolio, accelerate corporate payments rotation, improve US sales (vehicle + lodging), expand payables (enterprise + UK + monetization), enhance cross-border (multicurrency + stablecoin), AI in client UIs + reduce live agent expense.
• CPAY Q3 / Q2 / Q1 2025 earnings calls — supporting Corporate Payments organic growth + M&A integration + Mastercard partnership + Vehicle Payments trajectory.
• Internal financial_statements view (consolidated annual + cash flow + capital structure).