Shift4 Payments (FOUR) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 2026 results with strong growth across key metrics despite a challenging macro environment and travel disruptions from the Middle East conflict.

• Gross revenue rose 32% year-over-year to $1,121 million, driven by payments-based and TFS revenue growth, including contributions from recent acquisitions.

• Diversified business model and international expansion contributed to resilience and durable growth.

• Net income attributable to common stockholders was a loss of $1 million, compared to income of $17 million in the prior year quarter.

• Completed the acquisition of Bambora and finalized the Up-C Collapse, simplifying the corporate structure and eliminating future TRA payments.

Financial highlights

• Gross revenue less network fees (GRLNF) grew 49% year-over-year to $549 million, in line with guidance.

• Adjusted EBITDA rose 39% year-over-year to $234 million, with a 43% margin.

• Adjusted free cash flow increased 26% year-over-year to $88 million, exceeding guidance.

• Payments-based revenue increased 21% to $917 million; TFS revenue contributed $102 million following the Global Blue acquisition.

• Operating cash flow was $134 million, up from $96 million in the prior year.

Outlook and guidance

• Full-year 2026 guidance unchanged: 26%-31% GRLNF growth.

• Q2 2026 guidance: GRLNF of $615 million (including ~$20 million headwind from travel disruption), adjusted EBITDA of $278 million, and $10 million adjusted free cash flow.

• Management expects sufficient liquidity to fund operations, capital expenditures, and debt service for at least the next twelve months.

• Seasonality in tax-free shopping (TFS) expected to result in cash flow consumption in H1 and generation in H2.

• Guidance reflects a neutral outlook on same-store sales and does not forecast a dramatic recovery.