Fidelity National Information Services, Inc. is an American company on the Fortune 500 list which offers an array of financial products & services including; financial software development & support, business process outsourcing for back office banking operations & contact centers, merchant support via POS technology & digital channels for local small businesses to global enterprises, facilitation of global payment processing, B2C & B2B eCommerce Solutions, and more. Headquartered in Jacksonville, Florida, FIS employs approximately 55,000 people worldwide. After finalizing FIS' most recent deal - as well as the industry's largest-ever - to acquire Worldpay for $35 billion in Q3 of 2019, FIS became the largest processing and payments company in the world. FIS is most known for its development of Financial Technology, or FinTech, and as of Q2 2020 it offers its FinTech Solutions in three primary segments; Merchant Solutions, Banking Solutions, and Capital Market Solutions. Annually, FIS facilitates the movement of roughly $9 trillion through the processing of approximately 75 billion transactions in service to more than 20,000 clients around the globe. FIS was ranked second in the FinTech Forward 2016 rankings.
FIS with the acquisition of SunGard, has launched a Derivatives Utility in 2015 to transform Derivatives Clearing BSPT processing world-wide. This will guide derivatives clearing for futures commission merchants to save on total cost of ownership, and the ability to allow a large focus of the operations processing to FIS, freeing each merchant to focus on each of their clients. Allowing futures merchants to reduce operational risk. Beginning with Barclays in 2015, Credit Suisse in 2016, and Wedbush Securities one of the largest capitalized non-bank futures commission merchants in the United States, will move its operations processing and technology management to the FIS Derivatives Utility in 2018.
Mergers and acquisitions
Throughout its history FIS has made many acquisitions
Capco, 2010, $292 million. In May 2017 FIS sold a 60% stake in Capco to CD&R funds for $477 million.
TDWI - Toronto Dominion Wealth Institutional - now re-branded as Platform Securities, 2013
mFoundry, 2013, $120 million
CMSI, 2014
Reliance Trust Company, 2014 $110 million
Clear2Pay, 2014 $480 million
SunGard, 2015 $9.1 billion
Worldpay, Inc., 2019 $43 billion
Finances
Over the last decade, FIS stock on the NYSE has risen dramatically from $27.52/share on 5/23/2010, to $135.44/share as of 5/19/2020. This represents a relative 10Y increase of 392%, or as measured in absolutes - a gain of $107.92 per share from May 2010 through May 2020. A 50% year-over-year increase in Quarterly Revenue was reported in climbing from $2.07 billion to $3.01 billion, while Adjusted Net Earnings more than doubled from $378 Million to $802 Million. According to FIS Q1 2020 Earnings Report, a majority of these substantial increases can be attributed to the historically massive $35 billion merger/acquisition deal with Worldpay Inc. which closed in Q3 2019. For the fiscal year 2017, FIS reported earnings of US$1.319 billion, with an annual revenue of US$9.123 billion, a decrease of 1.3% over the previous fiscal cycle. FIS shares traded at over $106 per share, and its market capitalization was valued at over US$33 billion in November 2018.
Year
Revenue in mil. USD$
Net income in mil. USD$
Total Assets in mil. USD$
Price per Share in USD$
Employees
2005
2,688
197
4,189
15.77
2006
2,417
259
7,631
18.08
2007
2,893
561
9,795
22.46
2008
3,360
215
7,500
17.28
2009
3,711
106
13,998
18.23
2010
5,146
405
14,176
23.27
2011
5,626
470
13,873
25.85
2012
5,796
461
13,550
29.22
2013
6,063
493
13,960
40.54
38,000
2014
6,413
679
14,521
52.41
40,000
2015
6,596
632
26,200
62.80
55,000
2016
9,241
568
26,031
69.40
55,000
2017
9,123
1,319
24,517
86.11
53,000
Controversies
On July 3, 2007, Certegy Check Services, part of FIS, announced that a worker at one of its subsidiaries stole 2.3 million consumer records containing credit card, bank account, and other personal information. This estimate was later increased to 8.5 million consumer records. The next month, a law firm filed a class-action lawsuit against CCS and parent company FIS based on the privacy breach; the firm claims that, since CCS provides check-verification services to many major U.S. stores, "consumers do not choose to use the services of these companies but rather are forced to do so". In August 2011, Florida based eFunds Prepaid Solutions, part of FIS, was the victim of a sophisticated cyberattack that saw hackers steal $13 million from ATMs using 22 stolen prepaid cards belonging to a single client of FIS.
