Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2024 | May 02, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-35004 | |
Entity Registrant Name | Corpay, Inc | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 72-1074903 | |
Entity Address, Address Line One | 3280 Peachtree Road | |
Entity Address, Address Line Two | Suite 2400 | |
Entity Address, City or Town | Atlanta | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30305 | |
City Area Code | 770 | |
Local Phone Number | 449-0479 | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | CPAY | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 70,268,506 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001175454 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 1,311,949 | $ 1,389,648 |
Restricted cash | 1,890,727 | 1,751,887 |
Accounts and other receivables (less allowance for credit losses of $184,887 at March 31, 2024 and $180,163 at December 31, 2023) | 2,376,003 | 2,161,586 |
Securitized accounts receivable—restricted for securitization investors | 1,421,000 | 1,307,000 |
Prepaid expenses and other current assets | 437,687 | 474,144 |
Total current assets | 7,437,366 | 7,084,265 |
Property and equipment, net | 351,831 | 343,154 |
Goodwill | 5,673,732 | 5,644,958 |
Other intangibles, net | 2,033,106 | 2,085,663 |
Investments | 68,299 | 69,521 |
Other assets | 265,797 | 248,691 |
Total assets | 15,830,131 | 15,476,252 |
Current liabilities: | ||
Accounts payable | 1,849,958 | 1,624,995 |
Accrued expenses | 408,661 | 356,118 |
Customer deposits | 2,534,349 | 2,397,279 |
Securitization Facility | 1,421,000 | 1,307,000 |
Current portion of notes payable and lines of credit | 480,433 | 819,749 |
Other current liabilities | 256,527 | 320,612 |
Total current liabilities | 6,950,928 | 6,825,753 |
Notes payable and other obligations, less current portion | 4,862,621 | 4,596,156 |
Deferred income taxes | 473,250 | 470,232 |
Other noncurrent liabilities | 261,062 | 301,752 |
Total noncurrent liabilities | 5,596,933 | 5,368,140 |
Commitments and contingencies (Note 12) | ||
Stockholders’ equity: | ||
Common stock, $0.001 par value; $475,000,000 shares authorized; 129,604,492 shares issued and 71,463,894 shares outstanding at March 31, 2024; and $128,759,639 shares issued and $71,715,804 shares outstanding at December 31, 2023 | 130 | 129 |
Additional paid-in capital | 3,382,001 | 3,266,185 |
Retained earnings | 8,422,428 | 8,192,659 |
Accumulated other comprehensive loss | (1,340,847) | (1,289,099) |
Less treasury stock, $58,140,598 shares at March 31, 2024 and $57,043,835 shares at December 31, 2023 | (7,209,291) | (6,887,515) |
Total Corpay stockholders’ equity | 3,254,421 | 3,282,359 |
Noncontrolling interest | 27,849 | 0 |
Total equity | 3,282,270 | 3,282,359 |
Total liabilities and equity | $ 15,830,131 | $ 15,476,252 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Allowance for credit losses | $ 184,887 | $ 180,163 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 475,000,000 | 475,000,000 |
Common stock, shares issued (in shares) | 129,604,492 | 128,759,639 |
Common stock, shares outstanding (in shares) | 71,463,894 | 71,715,804 |
Treasury stock, shares (in shares) | 58,140,598 | 57,043,835 |
Unaudited Consolidated Statemen
Unaudited Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Statement [Abstract] | ||
Revenues, net | $ 935,251 | $ 901,333 |
Expenses: | ||
Processing | 207,411 | 204,967 |
Selling | 94,188 | 81,592 |
General and administrative | 151,262 | 154,684 |
Depreciation and amortization | 84,760 | 84,232 |
Other operating, net | 292 | 663 |
Operating income | 397,338 | 375,195 |
Other expenses: | ||
Investment gain | (167) | (190) |
Other expense, net | 3,127 | 746 |
Interest expense, net | 89,088 | 79,795 |
Total other expense | 92,048 | 80,351 |
Income before income taxes | 305,290 | 294,844 |
Provision for income taxes | 75,487 | 80,009 |
Net income | 229,803 | 214,835 |
Less: Net income attributable to noncontrolling interest | 34 | 0 |
Net income attributable to Corpay | $ 229,769 | $ 214,835 |
Basic earnings per share attributable to Corpay (in dollars per share) | $ 3.20 | $ 2.92 |
Diluted earnings per share attributable to Corpay (in dollars per share) | $ 3.12 | $ 2.88 |
Weighted average shares outstanding: | ||
Basic (in shares) | 71,769 | 73,521 |
Diluted (in shares) | 73,545 | 74,483 |
Unaudited Consolidated Statem_2
Unaudited Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 229,803 | $ 214,835 |
Other comprehensive (loss) income: | ||
Foreign currency translation (losses) gains, net of tax | (96,112) | 81,107 |
Net change in derivative contracts, net of tax | 44,122 | (5,473) |
Total other comprehensive (loss) income, net of tax | (51,990) | 75,634 |
Total comprehensive income | 177,813 | 290,469 |
Comprehensive loss attributable to noncontrolling interest | 208 | 0 |
Comprehensive income attributable to Corpay | $ 178,021 | $ 290,469 |
Unaudited Consolidated Statem_3
Unaudited Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Parent | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Noncontrolling Interest |
Stockholders' equity, beginning balance at Dec. 31, 2022 | $ 2,541,493 | $ 128 | $ 3,049,570 | $ 7,210,769 | $ (1,509,650) | $ (6,209,324) | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 214,835 | |||||||
Net income | 214,835 | 214,835 | ||||||
Other comprehensive loss, net of tax | 75,634 | |||||||
Other comprehensive income, net of tax | 75,634 | 75,634 | ||||||
Acquisition of common stock | (9,597) | 0 | (9,597) | |||||
Stock-based compensation | 26,096 | 26,096 | ||||||
Issuance of common stock | 33,399 | 0 | 33,399 | |||||
Stockholders' equity, ending balance at Mar. 31, 2023 | 2,881,860 | 128 | 3,109,065 | 7,425,604 | (1,434,016) | (6,218,921) | ||
Stockholders' equity, beginning balance at Dec. 31, 2023 | 3,282,359 | $ 3,282,359 | 129 | 3,266,185 | 8,192,659 | (1,289,099) | (6,887,515) | |
Stockholders' equity, beginning balance at Dec. 31, 2023 | 3,282,359 | (1,289,099) | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 229,803 | 229,769 | 229,769 | $ 34 | ||||
Net income | 229,769 | |||||||
Other comprehensive loss, net of tax | (51,990) | (51,748) | (51,748) | (242) | ||||
Other comprehensive income, net of tax | (51,748) | |||||||
Acquisition of noncontrolling interest | 28,057 | 28,057 | ||||||
Acquisition of common stock | (321,776) | (321,776) | (321,776) | |||||
Stock-based compensation | 24,979 | 24,979 | 24,979 | |||||
Issuance of common stock | 90,838 | 90,838 | 1 | 90,837 | ||||
Stockholders' equity, ending balance at Mar. 31, 2024 | 3,282,270 | $ 3,254,421 | $ 130 | $ 3,382,001 | $ 8,422,428 | (1,340,847) | $ (7,209,291) | $ 27,849 |
Stockholders' equity, ending balance at Mar. 31, 2024 | $ 3,254,421 | $ (1,340,847) |
Unaudited Consolidated Statem_4
Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Operating activities | ||
Net income | $ 229,803 | $ 214,835 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 28,931 | 25,980 |
Stock-based compensation | 24,979 | 26,096 |
Provision for credit losses on accounts and other receivables | 25,342 | 39,270 |
Amortization of deferred financing costs and discounts | 2,029 | 1,787 |
Amortization of intangible assets and premium on receivables | 55,829 | 58,252 |
Deferred income taxes | 647 | (499) |
Investment gain | (167) | (190) |
Other non-cash operating expense, net | 292 | 663 |
Changes in operating assets and liabilities (net of acquisitions): | ||
Accounts and other receivables | (382,889) | 372,342 |
Prepaid expenses and other current assets | (12,587) | 40,099 |
Derivative assets and liabilities, net | 1,452 | (28,223) |
Other assets | (22,021) | 25,141 |
Accounts payable, accrued expenses and customer deposits | 398,544 | 102,112 |
Net cash provided by operating activities | 350,184 | 877,665 |
Investing activities | ||
Acquisitions, net of cash acquired | (56,325) | (126,691) |
Purchases of property and equipment | (41,193) | (36,737) |
Other | (4,826) | 4,401 |
Net cash used in investing activities | (102,344) | (159,027) |
Financing activities | ||
Proceeds from issuance of common stock | 90,838 | 33,399 |
Repurchase of common stock | (288,833) | (9,597) |
Borrowings on securitization facility, net | 114,000 | (3,000) |
Deferred financing costs | (3,176) | 0 |
Proceeds from notes payable | 325,000 | 0 |
Principal payments on notes payable | (25,531) | (23,500) |
Borrowings from revolver | 1,570,000 | 1,964,000 |
Payments on revolver | (1,866,000) | (2,490,000) |
(Payments) borrowings on swing line of credit, net | (75,429) | 310,719 |
Other | 580 | 264 |
Net cash used in financing activities | (158,551) | (217,715) |
Effect of foreign currency exchange rates on cash | (28,148) | 29,298 |
Net increase in cash and cash equivalents and restricted cash | 61,141 | 530,221 |
Cash and cash equivalents and restricted cash, beginning of period | 3,141,535 | 2,289,180 |
Cash and cash equivalents and restricted cash, end of period | 3,202,676 | 2,819,401 |
Supplemental cash flow information | ||
Cash paid for interest | 115,773 | 104,650 |
Cash paid for income taxes | $ 38,925 | $ 35,442 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation Throughout this Quarterly Report on Form 10-Q, the terms "our," "we," "us," and the "Company" refers to Corpay, Inc. and its subsidiaries. Effective March 25, 2024, FLEETCOR Technologies, Inc. changed its corporate name to Corpay, Inc. At that time, the Company ceased trading under the ticker symbol "FLT" and began trading under our new ticker symbol, "CPAY," on the New York Stock Exchange ("NYSE") effective March 25, 2024. The Company prepared the accompanying unaudited interim consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, the unaudited interim consolidated financial statements reflect all adjustments considered necessary for fair presentation. These adjustments consist of normal recurring accruals and estimates that impact the carrying value of assets and liabilities. Actual results may differ from these estimates. The unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Future events and their effects cannot be predicted with certainty; accordingly, accounting estimates require the exercise of judgment. These financial statements were prepared using information reasonably available to us as of March 31, 2024 and through the date of this Quarterly Report. The accounting estimates used in the preparation of the Company’s interim consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. Actual results may differ from these estimates. Foreign Currency Translation Assets and liabilities of foreign subsidiaries as well as intra-entity balances denominated in foreign currency and designated for long-term investment are translated into U.S. dollars at the rates of exchange in effect at period-end. The related translation adjustments are recorded to accumulated other comprehensive loss. Income and expenses are translated at the average monthly rates of exchange in effect during the year. Gains and losses from foreign currency transactions of these subsidiaries are included in net income. The Company recognized foreign exchange losses, which are recorded within Other expense, net in the Unaudited Consolidated Statements of Income, for the three months ended March 31, 2024 and 2023 as follows (in millions): Three Months Ended March 31, 2024 2023 Foreign exchange losses $ 3.1 $ 0.7 The Company recorded foreign currency losses and gains on long-term intra-entity transactions included as a component of Foreign currency translation (losses) gains, net of tax, in the Unaudited Consolidated Statements of Comprehensive Income for the three months ended March 31, 2024 and 2023 as follows (in millions): Three Months Ended March 31, 2024 2023 Foreign currency losses (gains) on long-term intra-entity transactions $ 12.4 $ (4.9) Cash, Cash Equivalents, and Restricted Cash Cash equivalents primarily consist of a) cash on hand, b) highly liquid investments with original maturities of three months or less, such as certificates of deposit, treasury bills and money market funds, and c) customer deposits repayable on demand without legal restrictions. Restricted cash primarily represents a) customer deposits repayable on demand held in certain geographies with legal restrictions contractually set aside to fulfill payment obligations on a customer's behalf, b) collateral received from customers for cross-currency transactions in our cross-border payments business, which are restricted from use other than to repay customer deposits and secure and settle cross-currency transactions, and c) collateral posted with banks for hedging positions in our cross-border payments business. Financial Instruments - Credit Losses The Company accounts for financial assets' expected credit losses in accordance with Accounting Standards Codification (ASC) 326, "Financial Instruments - Credit Losses". The Company’s financial assets subject to credit losses are primarily trade receivables. The Company utilizes a combination of aging and loss-rate methods to develop an estimate of current expected credit losses, depending on the nature and risk profile of the underlying asset pool, based on product, size of customer and historical losses. Expected credit losses are estimated based upon an assessment of risk characteristics, historical payment experience, and the age of outstanding receivables, adjusted for forward-looking economic conditions. The allowances for remaining financial assets measured at amortized cost basis are evaluated based on underlying financial condition, credit history, and current and forward-looking economic conditions. The estimation process for expected credit losses includes consideration of qualitative and quantitative risk factors associated with the age of asset balances, expected timing of payment, contract terms and conditions, changes in specific customer risk profiles or mix of customers, geographic risk, economic trends and relevant environmental factors. The Company's provision for credit losses is recorded within processing expenses in the Unaudited Consolidated Statements of Income. Revenue The Company provides payment solutions to our business, merchant, consumer and payment network customers. Our payment solutions are primarily focused on specific commercial spend or geographically-defined categories, including Vehicle Payments, Corporate Payments, Lodging Payments and Other. The Company provides solutions that help businesses of all sizes control, simplify and secure payment of various domestic and cross-border payables using specialized payment products. The Company also provides other payment solutions for fleet maintenance, employee benefits and long haul transportation-related services. Our revenue is generally reported net of the cost for underlying products and services purchased through our payment solutions. In this report, we refer to this net revenue as "revenue". Revenues from contracts with customers, within the scope of ASC 606, "Revenue Recognition", represent approximately 86% and 87% of total consolidated revenues, net, for the three months ended March 31, 2024 and 2023, respectively. In its cross-border payments business, the Company enters into foreign currency forwards, option derivative contracts and swaps for its customers to facilitate future payments in foreign currencies. These contracts are accounted for in accordance with ASC 815, "Derivatives and Hedging" and represent approximately 7% of total consolidated revenues for the three months ended March 31, 2024 and 2023. Additionally, the Company accounts for revenue from late fees and finance charges, in jurisdictions where permitted under local regulations, primarily in the U.S., Canada and Brazil, in accordance with ASC 310, "Receivables". Such fees are recognized net of a provision for estimated uncollectible amounts, at the time the fees and finance charges are assessed and services are provided and represent approximately 4% and 5% of total consolidated revenues, net for the three months ended March 31, 2024 and 2023, respectively. The Company's remaining revenue represents float revenue earned on invested customer funds in jurisdictions where permitted. Such revenue represented approximately 3% and 1% of consolidated revenues, net for the three months ended March 31, 2024 and 2023, respectively. Disaggregation of Revenues Revenues, net by segment for the three months ended March 31, 2024 and 2023 was as follows (in millions, except percentages): Revenues, net by Segment* Three Months Ended March 31, 2024 % 2023 % Vehicle Payments $ 494.1 53 % $ 495.5 55 % Corporate Payments 265.4 28 % 226.2 25 % Lodging Payments 111.3 12 % 122.3 14 % Other 64.5 7 % 57.3 6 % Consolidated revenues, net $ 935.3 100 % $ 901.3 100 % *Columns may not calculate due to rounding. Revenue by geography for the three months ended March 31, 2024 and 2023 was as follows (in millions, except percentages): Revenues, net by Geography* Three Months Ended March 31, 2024 % 2023 % United States $ 504.6 54 % $ 513.6 57 % Brazil 148.4 16 % 121.7 14 % United Kingdom 121.4 13 % 107.7 12 % Other 160.8 17 % 158.2 18 % Consolidated revenues, net $ 935.3 100 % $ 901.3 100 % *Columns may not calculate due to rounding. Contract Liabilities Deferred revenue contract liabilities for customers subject to ASC 606 were $42.4 million and $45.7 million as of March 31, 2024 and December 31, 2023, respectively. We expect to recognize approximately $29.4 million of these amounts in revenues within 12 months and the remaining $13.0 million over the next five years as of March 31, 2024. Revenue recognized in the three months ended March 31, 2024 that was included in the deferred revenue contract liability as of December 31, 2023 was approximately $15.7 million. Spot Trade Offsetting The Company uses spot trades to facilitate cross-currency corporate payments in its cross-border payments business. The Company applies offsetting to spot trade assets and liabilities associated with contracts that include master netting agreements with the same counterparty, as a right of setoff exists, which the Company believes to be enforceable. As such, the Company has netted spot trade liabilities against spot trade receivables at the counter-party level. The Company recognizes all spot trade assets, net in accounts receivable and all spot trade liabilities, net in accounts payable, each net at the customer level, in its Consolidated Balance Sheets at their fair value. The following table presents the Company’s spot trade assets and liabilities at their fair value at March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Gross Offset on the Balance Sheet Net Gross Offset on the Balance Sheet Net Assets Accounts Receivable $ 1,881.7 $ (1,713.6) $ 168.1 $ 2,499.9 $ (2,373.8) $ 126.1 Liabilities Accounts Payable $ 1,793.9 $ (1,713.6) $ 80.3 $ 2,457.3 $ (2,373.8) $ 83.5 Reclassifications Segment disclosures for the prior period have been reclassified to conform with current segment presentation. Recent Accounting Pronouncements Not Yet Adopted Segment Reporting In November 2023, the Financial Accounting Standards Board (FASB) issued ASU No. 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures". The amendments are intended to increase reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The ASU is effective on a retrospective basis for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. We are currently evaluating the impact of this guidance on the disclosures within our consolidated financial statements. Income Taxes In December 2023, the FASB issued ASU No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"). The amendments require disclosure of specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold and further disaggregation of income taxes paid for individually significant jurisdictions. The ASU is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the impact that this guidance will have on the disclosures within our consolidated financial statements. |
Accounts and Other Receivables
Accounts and Other Receivables | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Accounts and Other Receivables | Accounts and Other Receivables The Company's accounts and securitized accounts receivable include the following at March 31, 2024 and December 31, 2023 (in thousands): March 31, 2024 December 31, 2023 Gross domestic accounts receivable $ 999,674 $ 921,206 Gross domestic securitized accounts receivable 1,421,000 1,307,000 Gross foreign receivables 1,561,216 1,420,543 Total gross receivables 3,981,890 3,648,749 Less allowance for credit losses (184,887) (180,163) Net accounts and securitized accounts receivables $ 3,797,003 $ 3,468,586 The Company maint ains a $1.7 billion rev olving trade accounts receivable securitization facility (as amended from time to time, the "Securitization Facility"). Accounts receivable collateralized within our Securitization Facility primarily relate to trade receivables resulting primarily from charge card activity and other customer receivables in the U.S. Pursuant to the terms of the Securitization Facility, the Company transfers in the form of a legal sale certain of its domestic receivables, on a revolving basis, to FLEETCOR Funding LLC ("Funding"), a wholly-owned bankruptcy remote consolidated subsidiary. In turn, Funding transfers in the form of a legal sale, without recourse, on a revolving basis, an undivided ownership interest in this pool of accounts receivable to unrelated transferees (i.e., multi-seller banks and asset-backed commercial paper conduits). Funding retains a residual, subordinated interest in cash flow distribution from the transferred receivables and provides to the transferees an incremental pledge of unsold receivables as a form of over-collateralization to enhance the credit of the transferred receivables. Purchases by the banks and conduits are generally financed with the sale of highly-rated commercial paper. The Company utilizes proceeds from the securitized assets as an alternative to other forms of financing to reduce its overall borrowing costs. The Company has agreed to continue servicing the sold receivables for the financial institution at market rates, which approximates the Company’s cost of servicing. Funding determines the level of funding achieved by the sale of trade accounts receivable, subject to a maximum amount. As the Company maintains certain continuing involvement in the transferred/sold receivables, it does not derecognize the receivables from its Consolidated Balance Sheets. Instead, the Company records cash proceeds and any residual interest received as a Securitization Facility liability. The Company’s Consolidated Balance Sheets and Statements of Income reflect the activity related to securitized accounts receivable and the corresponding securitized debt, including interest income, fees generated from late payments, provision for losses on accounts receivable and interest expense. The cash flows from borrowings and repayments associated with the securitized debt are presented as cash flows from financing activities. The maturity date for the Company's Securitization Facility is August 18, 2025. A roll forward of the Company’s allowance for credit losses related to accounts receivable for the three months ended March 31, 2024 and 2023 is as follows (in thousands): 2024 2023 Allowance for credit losses beginning of period $ 180,163 $ 149,846 Provision for credit losses 25,342 39,270 Write-offs (19,532) (34,128) Recoveries 3,093 2,444 Impact of foreign currency (4,179) 3,156 Allowance for credit losses end of period $ 184,887 $ 160,588 |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements A three-tier value hierarchy prioritizes the inputs used in measuring fair value as follows: • Level 1: Observable inputs such as quoted prices for identical assets or liabilities in active markets. • Level 2: Observable inputs other than quoted prices that are directly or indirectly observable for the asset or liability, including quoted prices for similar assets or liabilities in active markets; quoted prices for similar or identical assets or liabilities in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable. • Level 3: Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. The following table presents the Company’s financial assets and liabilities which are measured at fair value on a recurring basis as of March 31, 2024 and December 31, 2023 (in thousands): Fair Value Level 1 Level 2 Level 3 March 31, 2024 Assets: Overnight deposits $ 252,146 $ — $ 252,146 $ — Money market 149,686 — 149,686 — Certificates of deposit 285,313 — 285,313 — Treasury bills 59,075 — 59,075 — Interest rate swaps 36,654 — 36,654 — Cross-currency interest rate swap 7,922 — 7,922 — Foreign exchange contracts 252,914 — 252,914 — Total assets $ 1,043,710 $ — $ 1,043,710 $ — Cash collateral for foreign exchange contracts $ 36,929 Liabilities: Interest rate swaps $ 16,823 $ — 16,823 — Cross-currency interest rate swap 9,498 — 9,498 — Foreign exchange contracts 178,895 — 178,895 — Total liabilities $ 205,216 $ — $ 205,216 $ — Cash collateral obligation for foreign exchange contracts $ 155,781 December 31, 2023 Assets: Overnight deposits $ 256,466 $ — $ 256,466 $ — Money market 376,465 — 376,465 — Certificates of deposit 266,316 — 266,316 — Treasury bills 236,505 — 236,505 — Interest rate swaps 23,485 — 23,485 — Foreign exchange contracts 320,216 — 320,216 — Total assets $ 1,479,453 $ — $ 1,479,453 $ — Cash collateral for foreign exchange contracts $ 39,219 Liabilities: Interest rate swaps $ 55,796 $ — $ 55,796 $ — Cross-currency interest rate swap 14,522 — 14,522 — Foreign exchange contracts 244,745 — 244,745 — Total liabilities $ 315,063 $ — $ 315,063 $ — Cash collateral obligation for foreign exchange contracts $ 180,168 The Company has highly-liquid investments classified as cash equivalents, with original maturities of 90 days or less, included in our Consolidated Balance Sheets. The Company utilizes Level 2 fair value determinations derived from directly or indirectly observable (market based) information to determine the fair value of these highly liquid investments. The Company has certain cash and cash equivalents that are invested in highly liquid investments, such as, overnight deposits, money markets, certificates of deposit and Treasury bills, with purchased maturities ranging from overnight to 90 days or less. The value of overnight deposits is determined based upon the quoted market prices for the treasury securities associated with the deposit. The value of money market instruments is determined based upon the financial institutions' month-end statement, as these instruments are not tradable and must be settled directly by us with the respective financial institution. Certificates of deposit and certain U.S. Treasury bills are valued at cost, plus interest accrued. Given the short-term nature of these instruments, the carrying value approximates fair value. Foreign exchange derivative contracts are carried at fair value, with changes in fair value recognized in the Consolidated Statements of Income. The fair value of the Company's derivatives is derived with reference to a valuation from a derivatives dealer operating in an active market, which approximates the fair value of these instruments. The fair value represents the net settlement if the contracts were terminated as of the reporting date. Cash collateral received for foreign exchange derivatives is recorded within customer deposits liability in our Consolidated Balance Sheets at March 31, 2024 and December 31, 2023. Cash collateral deposited for foreign exchange derivatives is recorded within restricted cash in our Consolidated Balance Sheets at March 31, 2024 and December 31, 2023. The level within the fair value hierarchy and the measurement technique are reviewed quarterly. Transfers between levels are deemed to have occurred at the end of the quarter. There were no transfers between fair value levels during the periods presented for March 31, 2024 and December 31, 2023. The Company’s assets that are measured at fair value on a nonrecurring basis and are evaluated with periodic testing for impairment include property, plant and equipment, investments, goodwill and other intangible assets. Estimates of the fair value of assets acquired and liabilities assumed in business combinations are generally developed using key inputs such as management’s projections of cash flows on a held-and-used basis (if applicable), discounted as appropriate, management’s projections of cash flows upon disposition and discount rates. Accordingly, these fair value measurements are in Level 3 of the fair value hierarchy. The Company's derivatives are over-the-counter instruments with liquid markets. The Company determines the fair values of its derivatives based on quoted market prices for similar assets or liabilities or pricing models using current market rates. Accordingly, these fair value measurements are in Level 2 of the fair value hierarchy. The amounts exchanged are calculated by reference to the notional amounts and by other terms of the derivatives, such as interest rates, foreign currency exchange rates, commodity rates or other financial indices. See Note 13 for additional information on the fair value of the Company’s derivatives. The Company regularly evaluates the carrying value of its investments. The carrying amount of investments without readily determinable fair values was $68.3 million and $69.5 million at March 31, 2024 and December 31, 2023, respectively. The fair value of the Company’s cash, accounts receivable, securitized accounts receivable and related facility, prepaid expenses and other current assets, accounts payable, accrued expenses, customer deposits and short-term borrowings approximate their respective carrying values due to the short-term maturities of the instruments. The carrying value of the Company’s debt obligations approximates fair value as the interest rates on the debt are variable market based interest rates that reset on a monthly basis. These are each Level 2 fair value measurements, except for cash, which is a Level 1 fair value measurement. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders' Equity The Company's Board of Directors (the "Board") has approved a stock repurchase program (as updated from time to time, the "Program") authorizing the Company to repurchase its common stock from time to time until February 4, 2025. On January 25, 2024, the Board authorized an increase to the aggregate size of the Program by $1.0 billion to $8.1 billion. During the three months ended March 31, 2024, the Company repurchased 1,096,762 shares for an aggregate purchase price of $321.3 million (including repurchases of $32.6 million that have not yet settled in cash and are included in accrued expenses in the Consolidated Balance Sheet at March 31, 2024). Since the beginning of the Program through March 31, 2024, 29,975,624 shares have been repurchased for an aggregate purchase price of $6.9 billion, leaving the Company up to $1.2 billion of remaining authorization available under the Program for future repurchases in shares of its common stock. Subsequent to March 31, 2024 and through the date of this filing, |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The following table summarizes the expense recognized within general and administrative expenses in the Unaudited Consolidated Statements of Income related to stock-based compensation for the three months ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, 2024 2023 Stock options $ 6,119 $ 8,950 Restricted stock 18,860 17,146 Stock-based compensation $ 24,979 $ 26,096 The tax benefits recorded on stock-based compensation and upon the exercises of options w ere $15.0 million a nd $4.4 million for the three months ended March 31, 2024 and 2023, respectively. The following table summarizes the Company’s total unrecognized compensation cost related to outstanding stock awards as of March 31, 2024 (cost in thousands): Unrecognized Weighted Average Period of Expense Recognition Remaining (in Years) Stock options $ 52,539 2.35 Restricted stock 76,494 1.05 Total $ 129,033 Stock Options The following summarizes the changes in the number of shares of stock options outstanding for the three months ended March 31, 2024 (shares and aggregate intrinsic value in thousands): Shares Weighted Options Weighted Weighted Aggregate Outstanding at December 31, 2023 4,983 $ 192.18 3,182 $ 163.54 $ 451,039 Granted 138 251.10 $ 95.87 Exercised (539) 167.72 $ 64,000 Forfeited (14) 223.39 Outstanding at March 31, 2024 4,568 $ 197.22 2,851 $ 167.09 $ 508,550 Expected to vest as of March 31, 2024 866 $ 234.40 The aggregate intrinsic value of stock options exercisable at March 31, 2024 was $468.4 million . The wei ghted average remaining contractual term of options exercisable at March 31, 2024 w as 2.3 ye ar s. Restricted Stock The following table summarizes the changes in the number of shares of restricted stock awards and restricted stock units outstanding for the three months ended March 31, 2024 (shares in thousands): Shares Weighted Outstanding at December 31, 2023 542 $ 219.63 Granted 233 269.30 Issued (311) 219.07 Cancelled (36) 216.33 Outstanding at March 31, 2024 428 $ 243.72 |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions 2024 Acquisitions In March 2024, the Company acquired 70% of Zapay, a Brazil-based digital consumer mobility solution for paying vehicle-related taxes and compliance fees, for approximately $56.3 million, net of cash. As part of the agreement, the Company has the right to acquire the remainder of Zapay in four years from the acquisition date. The majority investment in Zapay further scales the Company's Vehicle Payments business in Brazil. Results from the Zapay acquisition have been included in the Company's Vehicle Payments segment from the date of the acquisition. Acquisition accounting is preliminary for the Zapay acquisition as the Company is still completing the valuation for intangible assets, income taxes, working capital, and contingencies. As the Zapay acquisition occurred near the end of the first quarter of 2024, the Company preliminarily allocated the excess of the purchase price of the acquisition over the estimated assets acquired and liabilities assumed to goodwill and intangibles on a provisional basis, based on historical valuation outcomes. Further, the provisional amounts assigned to such intangibles of $18.6 million were preliminarily assigned to the customer relationship intangible asset. The provisional estimated fair value of the noncontrolling interest was based on the price the Company paid for its 70% controlling interest. The following table summarizes the preliminary acquisition accounting for the Zapay acquisition noted above (in thousands): Trade and other receivables $ 2,542 Prepaid expenses and other current assets 112 Other long term assets 960 Goodwill 77,846 Intangibles 18,624 Accounts payable (1,486) Other current liabilities (7,884) Other noncurrent liabilities (6,332) Total fair value of net assets acquired $ 84,382 Less: Noncontrolling interest (28,057) Aggregate purchase price $ 56,325 2023 Acquisitions In January 2023, the Company acquired 100% of Global Reach, a U.K.-based cross-border payments provider, for approximately $102.9 million, net of cash. In February 2023, the Company acquired the remainder of Mina Digital Limited ("Mina"), a cloud-based electric vehicle ("EV") charging software platform. In February 2023, the Company also acquired 100% of Business Gateway AG, a European-based service, maintenance and repair technology provider. In September 2023, the Company acquired 100% of PayByPhone Technologies, Inc., the world's second largest mobile parking operator, for approximately $301.6 million, net of cash. Each of these 2023 acquisitions provide incremental geographic expansion of our products, with PayByPhone specifically intended to progress the Company's broader strategy to transform our vehicle payments business. Results from these acquisitions have been included in the Company's consolidated results from the respective date of each acquisition. The aggregate purchase price of these acquisitions was approximately $436.7 million (inclusive of the $8.5 million previously-held equity method investment Acq uisition accounting is preliminary for PayByPhone as the Company is still completing the valuation for intangible assets, income taxes, working capital, and contingencies. Acquisition accounting for the other 2023 acquisitions was finalized during the first quarter of 2024 as the measurement period closed. There were no material measurement period adjustments recorded during the three months ended March 31, 2024. The following table summarizes the acquisition accounting, in aggregate, for the business acquisitions noted above (in thousands): Trade and other receivables $ 6,004 Prepaid expenses and other current assets 46,425 Other long term assets 13,302 Goodwill 383,851 Intangibles 158,689 Accounts payable (24,842) Other current liabilities (129,561) Other noncurrent liabilities (18,923) Aggregate purchase price $ 434,945 The estimated fair value of intangible assets acquired and the related estimated useful lives consisted of the following (in thousands): Useful Lives (in Years) Value Trade names and trademarks 2 to Indefinite $ 12,459 Proprietary technology 5 to 7 11,885 Customer relationships 6 to 20 134,345 $ 158,689 Results from the |
Goodwill and Other Intangibles
Goodwill and Other Intangibles | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Goodwill and Other Intangibles A summary of changes in the Company’s goodwill is as follows (in thousands): December 31, 2023 Acquisitions 1 Acquisition Accounting Foreign March 31, 2024 Goodwill $ 5,644,958 $ 77,846 $ 1,058 $ (50,130) $ 5,673,732 1 Reflects the recognition of goodwill assigned to the Vehicle Payments segment related to the Zapay acquisition completed by the Company during the three months ended March 31, 2024. As of March 31, 2024 and December 31, 2023, other intangibles consisted of the following (in thousands): March 31, 2024 December 31, 2023 Weighted- Gross Accumulated Net Gross Accumulated Net Customer and vendor relationships 16.2 $ 3,038,204 $ (1,542,504) $ 1,495,700 $ 3,044,522 $ (1,511,173) $ 1,533,349 Trade names and trademarks—indefinite lived N/A 436,204 — 436,204 440,900 — 440,900 Trade names and trademarks—other 2.0 50,684 (16,420) 34,264 51,510 (15,334) 36,176 Software 5.8 297,498 (242,477) 55,021 299,780 (238,819) 60,961 Non-compete agreements 4.2 84,256 (72,339) 11,917 85,111 (70,834) 14,277 Total other intangibles $ 3,906,846 $ (1,873,740) $ 2,033,106 $ 3,921,823 $ (1,836,160) $ 2,085,663 N/A = Not Applicable |
Debt
Debt | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Debt | Debt The Company is party to a $7.0 billion Credit Agreement (the "Credit Agreement"), with Bank of America, N.A., as administrative agent, swing line lender and letter of credit issuer, and a syndicate of financial institutions (the "Lenders"), which has been amended multiple times. The Credit Agreement includes a term loan A, a term loan B, and a revolving credit facility. As noted in footnote 2, the Company is also party to the Securitization Facility. The balances of the Company’s debt instruments under the Credit Agreement and the Securitization Facility are as follows (in thousands): March 31, 2024 December 31, 2023 Term Loan A note payable, net of discounts $ 3,185,375 $ 2,882,595 Term Loan B note payable, net of discounts 1,836,326 1,840,244 Revolving line of credit facilities 320,014 692,318 Other obligations 1,339 748 Total notes payable, credit agreements, and other obligations 5,343,054 5,415,905 Securitization Facility 1,421,000 1,307,000 Total debt $ 6,764,054 $ 6,722,905 Current portion $ 1,901,433 $ 2,126,749 Long-term portion 4,862,621 4,596,156 Total debt $ 6,764,054 $ 6,722,905 The Company was in compliance with all financial and non-financial covenants under the Credit Agreement and Securitization Facility at March 31, 2024. The contractual maturities of the Company’s total debt at March 31, 2024 were as follows (in thousands): Remaining 2024 $ 439,562 2025 185,250 2026 185,250 2027 2,774,312 2028 1,778,375 Thereafter — Total principal payments 5,362,749 Less: debt discounts and issuance costs included in debt (19,695) Total debt $ 5,343,054 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company's effective tax rate was 24.7% a nd 27.1% for the three months ended March 31, 2024 and 2023, respectively. Income tax expense is based on an estimated annual effective rate, which requires the Company to make its best estimate of annual pretax accounting income or loss before consideration of tax or benefit discretely recognized in the period in which such occur. Our effective income tax rate for the three months ended March 31, 2024 differs from the U.S. federal statutory rate due primarily to the unfavorable impact of state taxes net of federal benefits, additional taxes on undistri buted foreign-sourced income, and foreign withholding taxes on interest income from intercompany notes. For the three months ended March 31, 2024 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The Company reports basic and diluted earnings per share. Basic earnings per share is computed by dividing net income attributable to shareholders of the Company by the weighted average number of common shares outstanding during the reported period. Diluted earnings per share reflect the potential dilution related to equity-based incentives using the treasury stock method. The calculation and reconciliation of basic and diluted earnings per share attributable to Corpay for the three months ended March 31, 2024 and 2023 is as follows (in thousands, except per share data): Three Months Ended March 31, 2024 2023 Net income attributable to Corpay $ 229,769 $ 214,835 Denominator for basic earnings per share 71,769 73,521 Dilutive securities 1,776 962 Denominator for diluted earnings per share 73,545 74,483 Basic earnings per share attributable to Corpay $ 3.20 $ 2.92 Diluted earnings per share attributable to Corpay $ 3.12 $ 2.88 Diluted earnings per share attributable to Corpay for the three months ended March 31, 2024 and 2023 excludes the effect of 0.3 million and 2.4 million shares, respectively, of common stock that may be issued upon the exercise of employee stock options because such effect would be anti-dilutive. Diluted earnings per share attributable to Corpay also excludes the effect of an immaterial amount of performance-based restricted stock for which the performance criteria have not yet been achieved for the three month periods ended March 31, 2024 and 2023. |
Segments
Segments | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Segments | Segments The Company reports information about its operating segments in accordance with the authoritative guidance related to segments. We manage and report our operating results through three reportable segments: Vehicle Payments, Corporate Payments and Lodging Payments. Our Gift and Payroll Card operating segments included within Other. These segments align with how the Chief Operating Decision Maker (CODM) allocates resources, assesses performance and reviews financial information. The Company’s segment results are as follows for the three month periods ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, 2024 1 2023 2 Revenues, net: Vehicle Payments $ 494,061 $ 495,490 Corporate Payments 265,396 226,172 Lodging Payments 111,295 122,334 Other 64,499 57,337 $ 935,251 $ 901,333 Operating income: Vehicle Payments $ 225,695 $ 223,480 Corporate Payments 104,711 80,382 Lodging Payments 47,276 54,563 Other 19,656 16,770 $ 397,338 $ 375,195 Depreciation and amortization: Vehicle Payments $ 50,321 $ 50,350 Corporate Payments 20,803 20,160 Lodging Payments 11,630 11,398 Other 2,006 2,324 $ 84,760 $ 84,232 1 Results from Zapay acquired in the first quarter of 2024 are reported in the Vehicle Payments segment from the date of acquisition. 2 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies In the ordinary course of business, the Company is involved in various pending or threatened legal actions, arbitration proceedings, claims, subpoenas, and matters relating to compliance with laws and regulations (collectively, "legal proceedings"). Based on our current knowledge, management presently does not believe that the liabilities arising from these legal proceedings will have a material adverse effect on our consolidated financial condition, results of operations or cash flows. However, it is possible that the ultimate resolution of these legal proceedings could have a material adverse effect on our results of operations and financial condition for any particular period. Derivative Lawsuits On July 10, 2017, a shareholder derivative complaint was filed against the Company and certain of the Company’s directors and officers in the United States District Court for the Northern District of Georgia ("Federal Derivative Action") seeking recovery from the Company. The District Court dismissed the Federal Derivative Action on October 21, 2020, and the United States Court of Appeals for the Eleventh Circuit affirmed the dismissal on July 27, 2022, ending the lawsuit. A similar derivative lawsuit that had been filed on January 9, 2019 in the Superior Court of Gwinnett County, Georgia (“State Derivative Action”) was likewise dismissed on October 31, 2022. On January 20, 2023, the previous State Derivative Action plaintiffs filed a new derivative lawsuit in the Superior Court of Gwinnett County, Georgia. The new lawsuit, City of Aventura Police Officers’ Retirement Fund, derivatively on behalf of FleetCor Technologies, Inc. v. Ronald F. Clarke and Eric R. Dey , alleges that the defendants breached their fiduciary duties by causing or permitting the Company to engage in unfair or deceptive marketing and billing practices, making false and misleading public statements concerning the Company’s fee charges and financial and business prospects, and making improper sales of stock. The complaint seeks approximately $118 million in monetary damages on behalf of the Company, including contribution by defendants as joint tortfeasors with the Company in unfair and deceptive practices, and disgorgement of incentive pay and stock compensation. On January 24, 2023, the previous Federal Derivative Action plaintiffs filed a similar new derivative lawsuit, Jerrell Whitten, derivatively on behalf of FleetCor Technologies, Inc. v. Ronald F. Clarke and Eric R. Dey, against Mr. Clarke and Mr. Dey in Gwinnett County, Georgia. On May 1, 2024, both pending derivative cases were transferred to the Fulton County Metro Atlanta Business Case Division and consolidated as In re Corpay, Inc. Shareholder Derivative Litigation , CAFN 2023CV383303 (consolidated with CAFN 2023CV381421). The defendants dispute the allegations in the consolidated derivative action and intend to vigorously defend against the claims. FTC Investigation In October 2017, the Federal Trade Commission ("FTC") issued a Notice of Civil Investigative Demand to the Company for the production of documentation and a request for responses to written interrogatories. After discussions with the Company, the FTC proposed in October 2019 to resolve potential claims relating to the Company’s advertising and marketing practices, principally in its U.S. direct fuel card business within its North American Fuel Card business. The parties reached impasse primarily related to what the Company believes are unreasonable demands for redress made by the FTC. On December 20, 2019, the FTC filed a lawsuit in the Northern District of Georgia against the Company and Ron Clarke. See FTC v. FLEETCOR and Ronald F. Clarke, No. 19-cv-05727 (N.D. Ga.). The complaint alleges the Company and Clarke violated the FTC Act’s prohibitions on unfair and deceptive acts and practices. The complaint seeks among other things injunctive relief, consumer redress, and costs of suit. The Company continues to believe that the FTC’s claims are without merit. On April 17, 2021, the FTC filed a motion for summary judgment. On April 22, 2021, the United States Supreme Court held unanimously in AMG Capital Management v. FTC that the FTC does not have authority under current law to seek monetary redress by means of Section 13(b) of the FTC Act, which is the means by which the FTC has sought such redress in this case. FLEETCOR cross-moved for summary judgment regarding the FTC’s ability to seek monetary or injunctive relief on May 17, 2021. On August 13, 2021, the FTC filed a motion to stay or to voluntarily dismiss without prejudice the case pending in the Northern District of Georgia in favor of a parallel administrative action under Section 5 of the FTC Act that it filed on August 11, 2021 in the FTC’s administrative process. Apart from the jurisdiction and statutory change, the FTC’s administrative complaint makes the same factual allegations as the FTC’s original complaint filed in December 2019. The Company opposed the FTC’s motion for a stay or to voluntarily dismiss, and the court denied the FTC’s motion on February 7, 2022. In the meantime, the FTC’s administrative action is stayed. On August 9, 2022, the District Court for the Northern District of Georgia granted the FTC's motion for summary judgment as to liability for the Company and Ron Clarke, but granted the Company's motion for summary judgment as to the FTC's claim for monetary relief as to both the Company and Ron Clarke. The Company intends to appeal this decision after final judgment is issued. On October 20-21, 2022, the court held a hearing on the scope of injunctive relief. At the conclusion of the hearing, the Court did not enter either the FTC’s proposed order or the Company’s proposed order, and instead suggested that the parties enter mediation. Following mediation, both parties filed proposed orders with the Court. On June 8, 2023, the Court issued an Order for Permanent Injunction and Other Relief. The Company filed its notice of appeal to the United States Court of Appeals for the Eleventh Circuit on August 3, 2023. On August 17, 2023, the FTC Commission ordered that the stay of the parallel Section 5 administrative action will remain in place during the pendency of the Eleventh Circuit appeal. The Company has incurred and continues to incur legal and other fees related to this FTC complaint. Any settlement of this matter, or defense against the lawsuit, could involve costs to the Company, including legal fees, redress, penalties, and remediation expenses. Estimating an amount or range of possible losses resulting from litigation proceedings is inherently difficult and requires an extensive degree of judgment, particularly where, as here, the matters involve indeterminate claims for monetary damages and are in the stages of the proceedings where key factual and legal issues have not been resolved. For these reasons, the Company is currently unable to predict the ultimate timing or outcome of, or reasonably estimate the possible losses or a range of possible losses resulting from, the matters described above. |
Derivative Financial Instrument
Derivative Financial Instruments and Hedging Activities | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Hedging Activities | Derivative Financial Instruments and Hedging Activities Foreign Currency Derivatives The Company uses derivatives to facilitate cross-currency corporate payments by writing derivatives to customers within its cross-border solution. The Company writes derivatives, primarily foreign currency forward contracts, option contracts, and swaps, mostly with small and medium size enterprises that are customers and derives a currency spread from this activity. Derivative transactions associated with the Company's cross-border solution include: • Forward contracts, which are commitments to buy or sell at a future date a currency at a contract price and will be settled in cash. • Option contracts , which give the purchaser the right, but not the obligation, to buy or sell within a specified time a currency at a contracted price that may be settled in cash. • Swap contracts , which are commitments to settlement in cash at a future date or dates, usually on an overnight basis. The credit risk inherent in derivative agreements represents the possibility that a loss may occur from the nonperformance of a counterparty to the agreements. Concentrations of credit and performance risk may exist with counterparties, which includes customers and banking partners, as the Company is engaged in similar activities with similar economic characteristics related to fluctuations in foreign currency rates. The Company performs a review of the credit risk of these counterparties at the inception of the contract and on an ongoing basis. The Company also monitors the concentration of its contracts with any individual counterparty against limits at the individual counterparty level. The Company anticipates that the counterparties will be able to fully satisfy their obligations under the agreements, but takes action when doubt arises about the counterparties' ability to perform. These actions may include requiring customers to post or increase collateral, and for all counterparties, if the counterparty does not perform under the term of the contract, the contract may be terminated. The Company does not designate any of its foreign exchange derivatives as hedging instruments in accordance with ASC 815, "Derivatives and Hedging". The aggregate equivalent U.S. dollar notional amount of foreign exchange derivative customer contracts held by the Company was $63.1 billion and $56.6 billion as of March 31, 2024 and December 31, 2023. The majority of customer foreign exchange contracts are written in currencies such as the U.S. dollar, Canadian dollar, British pound, euro and Australian dollar. The following table summarizes the fair value of derivatives reported in the Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 Fair Value, Gross Fair Value, Net Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives - undesignated: Foreign exchange contracts $ 484.4 $ 410.4 $ 252.9 $ 178.9 Less: Cash collateral 36.9 155.8 36.9 155.8 Total net derivative assets and liabilities $ 447.5 $ 254.6 $ 216.0 $ 23.1 December 31, 2023 Fair Value, Gross Fair Value, Net Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives - undesignated: Foreign exchange contracts $ 594.9 $ 519.4 $ 320.2 $ 244.7 Less: Cash collateral 39.2 180.2 39.2 180.2 Total net derivative assets and liabilities $ 555.7 $ 339.2 $ 281.0 $ 64.5 The fair values of derivative assets and liabilities associated with contracts, which include netting terms that the Company believes to be enforceable, have been recorded net within prepaid expenses and other current assets, other assets, other current liabilities and other noncurrent liabilities in the Consolidated Balance Sheets. The Company receives cash from customers as collateral for trade exposures, which is recorded within cash and cash equivalents, restricted cash and customer deposits liability in the Consolidated Balance Sheets. The customer has the right to recall their collateral in the event exposures move in their favor, they perform on all outstanding contracts and have no outstanding amounts due to the Company, or they cease to do business with the Company. The Company has trading lines with several banks, most of which require collateral to be posted if certain mark-to-market (MTM) thresholds are exceeded. Cash collateral posted with banks is recorded within restricted cash and can be recalled in the event that exposures move in the Company’s favor or move below the collateral posting thresholds. The Company does not offset fair value amounts recognized for the right to reclaim cash collateral or the obligation to return cash collateral. Cash flows from the Company's foreign currency derivatives are classified as operating activities within the Unaudited Consolidated Statements of Cash Flows. The following table presents the fair value of the Company’s derivative assets and liabilities, as well as their classification on the accompanying Consolidated Balance Sheets, as of March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivative Assets Prepaid expenses and other current assets $ 193.4 $ 254.2 Derivative Assets Other assets $ 59.5 $ 66.0 Derivative Liabilities Other current liabilities $ 131.4 $ 190.4 Derivative Liabilities Other noncurrent liabilities $ 47.5 $ 54.3 Cash Flow Hedges On January 22, 2019, the Co mpany entered into three interest rate swap cash flow contracts (the "swap contracts"). One contract (which matured in January 2022) had a notional value of $1.0 billion, while the other two contracts (with maturity dates of January 2023 and December 2023) each had a notional value of $500 million. The objective of these swap contracts was to reduce the variability of cash flows in the previously unhedged interest payments associated with $2.0 billion of unspecified variable rate debt, the sole source of which is due to changes in the LIBOR benchmark interest rate. At inception, the Company designated these contracts as hedging instruments in accordance with ASC 815, "Derivatives and Hedging." During January 2023, the Company entered into five receive-variable Secured Overnight Financing Rate ("SOFR"), pay-fixed interest rate swap derivative contracts with a cumulative notional U.S. dollar value of $1.5 billion as shown disaggregated in the table below . On May 4, 2023, the Company amended the remaining LIBOR-based interest rate swap with a notional amount of $500 million from one-month term LIBOR of 2.55% to one-month term SOFR of 2.50%, without further changes to the terms of the swap. The Company applied certain expedients provided in ASU No. 2020-04, Reference Rate Reform (Topic 848), related to changes in critical terms of the hedging relationships due to reference rate reform, which allowed the change in critical terms without dedesignation of the hedging relationship. In August 2023, the Company entered into eight additional receive-variable SOFR, pay-fixed interest rate swap derivative contracts with a cumulative notional U.S. dollar value of $2.0 billion as shown disaggregated in the table below. Further, in December 2023, the Company entered into five additional receive-variable SOFR, pay-fixed interest rate swap derivative contracts with a total notional U.S. dollar value of $500 million as shown disaggregated in the table below. As of March 31, 2024, the Company had the following outstanding interest rate swap derivatives that qualify as hedging instruments within designated cash flow hedges of variable interest rate risk (in millions): Notional Amount Fixed Rates Maturity Date $250 4.01% 7/31/2025 $250 4.02% 7/31/2025 $500 3.80% 1/31/2026 $250 3.71% 7/31/2026 $250 3.72% 7/31/2026 $100 4.35% 7/31/2026 $250 4.40% 7/31/2026 $250 4.40% 7/31/2026 $400 4.33% 7/31/2026 $250 4.29% 1/31/2027 $250 4.29% 1/31/2027 $250 4.19% 7/31/2027 $250 4.19% 7/31/2027 $150 3.87% 1/31/2027 $50 3.83% 1/31/2027 $50 3.85% 1/31/2027 $125 4.00% 1/31/2028 $125 3.99% 1/31/2028 The purpose of these contracts is to reduce the variability of cash flows in interest payments associated with the Company's unspecified variable rate debt, the sole source of which is due to changes in the SOFR benchmark interest rate. The Company has designated these derivative instruments as cash flow hedging instruments, which are expected to be highly effective at offsetting changes in cash flows of the related underlying exposure. As a result, changes in fair value of the interest rate swaps are recorded in accumulated other comprehensive loss. For each of these swap contracts, the Company pays a fixed monthly rate and receives one month SOFR. The Company reclassified $12.7 million and $5.1 million from accumulated other comprehensive loss resulting in a benefit to interest expense, net for the three months ended March 31, 2024 and 2023, respectively, related to these interest rate swap contracts. Cash flows related to the Company's interest rate swap derivatives are classified as operating activities within the Unaudited Consolidated Statements of Cash Flows, as such cash flows relate to hedged interest payments recorded in operating activities. For derivatives accounted for as hedging instruments, the Company formally designates and documents, at inception, the financial instrument as a hedge of a specific underlying exposure, the risk management objective and the strategy for undertaking the hedge transaction. The Company formally assesses, both at the inception and at least quarterly thereafter, whether the financial instruments used in hedging transactions are highly effective at offsetting changes in cash flows of the related underlying exposures. The following table presents the fair value of the Compa ny’s interest rate swap contracts, as well as their classification on the accompanying Consolidated Balance Sheets, as of March 31, 2024 and December 31, 2023 (in millions). See Note 3 for additional information on the fair value of the Company’s swap contracts. March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivatives designated as cash flow hedges: Swap contracts Prepaid expenses and other current assets $ 34.3 $ 23.5 Swap contracts Other assets $ 2.4 $ — Swap contracts Other current liabilities $ — $ — Swap contracts Other noncurrent liabilities $ 16.8 $ 55.8 As of March 31, 2024, the estimated net amount of the existing gains expected to be reclassified into earnings within the next 12 months is approximately $34.3 million. Net Investment Hedge In February 2023, the Company entered into a cross-currency interest rate swap that was designated as a net investment hedge of our investments in euro-denominated operations. This contract effectively converted $500 million of U.S. dollar equivalent to an obligation denominated in euro, and partially offsets the impact of changes in currency rates on our euro-denominated net investments. This contract also created a positive interest differential on the U.S. dollar-denominated portion of the swap, resulting in a 1.96% interest rate savings on the USD notional. The Company terminated this net investment hedge on February 1, 2024, which resulted in net cash payments totaling $3.9 million. The loss on the net investment hedge will remain in accumulated other comprehensive loss and will only be reclassified into earnings if and when the underlying euro-denominated net investment is sold or liquidated. In February 2024, we entered into four new cross-currency interest rate swaps that are designated as net investment hedges of our investments in euro-denominated operations. These contracts effectively convert an aggregate $500 million of U.S. dollar equivalent to an obligation denominated in euro, and partially offset the impact of changes in currency rates on our euro-denominated net investments. These contracts also create a positive interest differential on the U.S. dollar-denominated portion of the swap, resulting in a 1.55% interest rate savings on the USD notional. Hedge effectiveness is tested based on changes in the fair value of the cross-currency swap due to changes in the USD/euro spot rate. The Company anticipates perfect effectiveness of the designated hedging relationship and records changes in the fair value of the cross-currency interest rate swap associated with changes in the spot rate through accumulated other comprehensive loss. Excluded components associated with the forward differential are recognized directly in earnings as interest expense, net. The Company recognized a benefit of $2.0 million and $1.5 million in interest expense, net for the three months ended March 31, 2024 and 2023, respectively, related to these excluded components. Upon settlement, cash flows attributable to derivatives designated as net investment hedges will be classified as investing activities in the Unaudited Consolidated Statements of Cash Flows. The following table presents the fair value of the Compa ny’s cross-currency interest rate swaps designated as a net investment hedge, as well as their classification on the accompanying Consolidated Balance Sheets, as of March 31, 2024 and December 31, 2023 (in millions). March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Cross-currency interest rate swaps designated as a net investment hedge: Net investment hedge Prepaid expenses and other current assets $ 7.9 $ — Net investment hedge Other current liabilities $ — $ 14.5 Net investment hedge Other noncurrent liabilities $ 9.5 $ — |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss (AOCL) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss (AOCL) | Accumulated Other Comprehensive Loss (AOCL) The changes in the components of AOCL, net of tax and noncontrolling interest, for the three months ended March 31, 2024 and 2023 are as follows (in thousands): March 31, 2024 Cumulative Foreign Currency Translation Unrealized Gains (Losses) on Derivative Instruments Total Accumulated Other Comprehensive Loss Attributable to Corpay Balance at December 31, 2023 $ (1,258,282) $ (30,817) $ (1,289,099) Other comprehensive (loss) income before reclassifications (95,870) 72,951 (22,919) Amounts reclassified from AOCL — (12,688) (12,688) Tax effect — (16,141) (16,141) Other comprehensive (loss) income, net of tax (95,870) 44,122 (51,748) Balance at March 31, 2024 $ (1,354,152) $ 13,305 $ (1,340,847) Other comprehensive loss attributable to the Company's noncontrolling interest, which are not included in the table above, for the three months ended March 31, 2024 consisted of foreign currency translation losses of $0.2 million. March 31, 2023 Cumulative Foreign Currency Translation Unrealized (Losses) Gains on Derivative Instruments Total Accumulated Other Comprehensive Loss Attributable to Corpay Balance at December 31, 2022 $ (1,518,640) $ 8,990 $ (1,509,650) Other comprehensive income (loss) before reclassifications 81,107 (3,640) 77,467 Amounts reclassified from AOCL — (5,089) (5,089) Tax effect — 3,256 3,256 Other comprehensive income (loss), net of tax 81,107 (5,473) 75,634 Balance at March 31, 2023 $ (1,437,533) $ 3,517 $ (1,434,016) |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Acquisition In May 2024, the Company signed definitive agreements to acquire 100% of Paymerang, a U.S.-based leader in accounts payables automation solutions, for approximately $475 million. The acquisition expands Corpay's presence in several vertical markets. The transaction is expected to close in the second quarter of 2024, subject to regulatory approval and customary closing conditions. Net Investment Hedges On April 15, 2024, the Company terminated its existing net investment hedge and simultaneously entered into four new cross-currency interest rate swaps designated as net investment hedges of our investments in euro-denominated operations. These contracts effectively convert an aggregate $500 million of U.S. dollar equivalent to an obligation denominated in euro, and partially offset the impact of changes in currency rates on our euro-denominated net assets. These contracts also create a positive interest differential on the U.S. dollar-denominated portion of the swap, resulting in a 1.85% interest rate savings on the USD notional. On May 7, 2024, the Company entered into three new cross-currency interest rate swaps designated as net investment hedges of our investments in CAD-denominated operations. These contracts effectively convert an aggregate $500 million of U.S. dollar equivalent to an obligation denominated in CAD, and partially offset the impact of changes in currency rates on our CAD-denominated net assets. These contracts also create a positive interest differential on the U.S. dollar-denominated portion of the swap, resulting in a 0.602% interest rate savings on the USD notional. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net income | $ 229,769 | $ 214,835 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Throughout this Quarterly Report on Form 10-Q, the terms "our," "we," "us," and the "Company" refers to Corpay, Inc. and its subsidiaries. Effective March 25, 2024, FLEETCOR Technologies, Inc. changed its corporate name to Corpay, Inc. At that time, the Company ceased trading under the ticker symbol "FLT" and began trading under our new ticker symbol, "CPAY," on the New York Stock Exchange ("NYSE") effective March 25, 2024. The Company prepared the accompanying unaudited interim consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, certain information and note disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to those rules and regulations, although we believe that the disclosures made are adequate to make the information not misleading. In our opinion, the unaudited interim consolidated financial statements reflect all adjustments considered necessary for fair presentation. These adjustments consist of normal recurring accruals and estimates that impact the carrying value of assets and liabilities. Actual results may differ from these estimates. |
Use of estimates | Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Future events and their effects cannot be predicted with certainty; accordingly, accounting estimates require the exercise of judgment. These financial statements were prepared using information reasonably available to us as of March 31, 2024 and through the date of this Quarterly Report. The accounting estimates used in the preparation of the Company’s interim consolidated financial statements may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. Actual results may differ from these estimates. |
Foreign Currency Translation | Foreign Currency Translation |
Cash, Cash Equivalents, and Restricted Cash | Cash, Cash Equivalents, and Restricted Cash |
Financial Instruments - Credit Losses | Financial Instruments - Credit Losses The Company accounts for financial assets' expected credit losses in accordance with Accounting Standards Codification (ASC) 326, "Financial Instruments - Credit Losses". The Company’s financial assets subject to credit losses are primarily trade receivables. The Company utilizes a combination of aging and loss-rate methods to develop an estimate of current expected credit losses, depending on the nature and risk profile of the underlying asset pool, based on product, size of customer and historical losses. Expected credit losses are estimated based upon an assessment of risk characteristics, historical payment experience, and the age of outstanding receivables, adjusted for forward-looking economic conditions. The allowances for remaining financial assets measured at amortized cost basis are evaluated based on underlying financial condition, credit history, and current and forward-looking economic conditions. The estimation process for expected credit losses includes consideration of qualitative and quantitative risk factors associated with the age of asset balances, expected timing of payment, contract terms and conditions, changes in specific customer risk profiles or mix of customers, geographic risk, economic trends and relevant environmental factors. The Company's provision for credit losses is recorded within processing expenses in the Unaudited Consolidated Statements of Income. |
Revenue | Revenue The Company provides payment solutions to our business, merchant, consumer and payment network customers. Our payment solutions are primarily focused on specific commercial spend or geographically-defined categories, including Vehicle Payments, Corporate Payments, Lodging Payments and Other. The Company provides solutions that help businesses of all sizes control, simplify and secure payment of various domestic and cross-border payables using specialized payment products. The Company also provides other payment solutions for fleet maintenance, employee benefits and long haul transportation-related services. |
Spot Trade Offsetting | Spot Trade Offsetting |
Reclassifications | Reclassifications Segment disclosures for the prior period have been reclassified to conform with current segment presentation. |
Recent Accounting Pronouncements Not Yet Adopted | Recent Accounting Pronouncements Not Yet Adopted Segment Reporting In November 2023, the Financial Accounting Standards Board (FASB) issued ASU No. 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures". The amendments are intended to increase reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. The ASU is effective on a retrospective basis for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024, with early adoption permitted. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. We are currently evaluating the impact of this guidance on the disclosures within our consolidated financial statements. Income Taxes In December 2023, the FASB issued ASU No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"). The amendments require disclosure of specific categories in the rate reconciliation and provide additional information for reconciling items that meet a quantitative threshold and further disaggregation of income taxes paid for individually significant jurisdictions. The ASU is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. ASU 2023-09 should be applied on a prospective basis, but retrospective application is permitted. We are currently evaluating the impact that this guidance will have on the disclosures within our consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Schedule of Foreign Exchange Gains/Losses on Long-Term Intra-Equity Transactions | The Company recognized foreign exchange losses, which are recorded within Other expense, net in the Unaudited Consolidated Statements of Income, for the three months ended March 31, 2024 and 2023 as follows (in millions): Three Months Ended March 31, 2024 2023 Foreign exchange losses $ 3.1 $ 0.7 The Company recorded foreign currency losses and gains on long-term intra-entity transactions included as a component of Foreign currency translation (losses) gains, net of tax, in the Unaudited Consolidated Statements of Comprehensive Income for the three months ended March 31, 2024 and 2023 as follows (in millions): Three Months Ended March 31, 2024 2023 Foreign currency losses (gains) on long-term intra-entity transactions $ 12.4 $ (4.9) |
Disaggregation of Revenue | Revenues, net by segment for the three months ended March 31, 2024 and 2023 was as follows (in millions, except percentages): Revenues, net by Segment* Three Months Ended March 31, 2024 % 2023 % Vehicle Payments $ 494.1 53 % $ 495.5 55 % Corporate Payments 265.4 28 % 226.2 25 % Lodging Payments 111.3 12 % 122.3 14 % Other 64.5 7 % 57.3 6 % Consolidated revenues, net $ 935.3 100 % $ 901.3 100 % *Columns may not calculate due to rounding. Revenue by geography for the three months ended March 31, 2024 and 2023 was as follows (in millions, except percentages): Revenues, net by Geography* Three Months Ended March 31, 2024 % 2023 % United States $ 504.6 54 % $ 513.6 57 % Brazil 148.4 16 % 121.7 14 % United Kingdom 121.4 13 % 107.7 12 % Other 160.8 17 % 158.2 18 % Consolidated revenues, net $ 935.3 100 % $ 901.3 100 % *Columns may not calculate due to rounding. |
Schedule of Derivative Assets at Fair Value | The following table presents the Company’s spot trade assets and liabilities at their fair value at March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Gross Offset on the Balance Sheet Net Gross Offset on the Balance Sheet Net Assets Accounts Receivable $ 1,881.7 $ (1,713.6) $ 168.1 $ 2,499.9 $ (2,373.8) $ 126.1 Liabilities Accounts Payable $ 1,793.9 $ (1,713.6) $ 80.3 $ 2,457.3 $ (2,373.8) $ 83.5 March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivative Assets Prepaid expenses and other current assets $ 193.4 $ 254.2 Derivative Assets Other assets $ 59.5 $ 66.0 Derivative Liabilities Other current liabilities $ 131.4 $ 190.4 Derivative Liabilities Other noncurrent liabilities $ 47.5 $ 54.3 |
Schedule of Derivative Liabilities at Fair Value | The following table presents the Company’s spot trade assets and liabilities at their fair value at March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Gross Offset on the Balance Sheet Net Gross Offset on the Balance Sheet Net Assets Accounts Receivable $ 1,881.7 $ (1,713.6) $ 168.1 $ 2,499.9 $ (2,373.8) $ 126.1 Liabilities Accounts Payable $ 1,793.9 $ (1,713.6) $ 80.3 $ 2,457.3 $ (2,373.8) $ 83.5 March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivative Assets Prepaid expenses and other current assets $ 193.4 $ 254.2 Derivative Assets Other assets $ 59.5 $ 66.0 Derivative Liabilities Other current liabilities $ 131.4 $ 190.4 Derivative Liabilities Other noncurrent liabilities $ 47.5 $ 54.3 |
Accounts and Other Receivables
Accounts and Other Receivables (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Receivables [Abstract] | |
Company's Accounts Receivable and Securitized Accounts Receivable | The Company's accounts and securitized accounts receivable include the following at March 31, 2024 and December 31, 2023 (in thousands): March 31, 2024 December 31, 2023 Gross domestic accounts receivable $ 999,674 $ 921,206 Gross domestic securitized accounts receivable 1,421,000 1,307,000 Gross foreign receivables 1,561,216 1,420,543 Total gross receivables 3,981,890 3,648,749 Less allowance for credit losses (184,887) (180,163) Net accounts and securitized accounts receivables $ 3,797,003 $ 3,468,586 |
Allowance for Doubtful Accounts Related to Accounts Receivable | A roll forward of the Company’s allowance for credit losses related to accounts receivable for the three months ended March 31, 2024 and 2023 is as follows (in thousands): 2024 2023 Allowance for credit losses beginning of period $ 180,163 $ 149,846 Provision for credit losses 25,342 39,270 Write-offs (19,532) (34,128) Recoveries 3,093 2,444 Impact of foreign currency (4,179) 3,156 Allowance for credit losses end of period $ 184,887 $ 160,588 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value | The following table presents the Company’s financial assets and liabilities which are measured at fair value on a recurring basis as of March 31, 2024 and December 31, 2023 (in thousands): Fair Value Level 1 Level 2 Level 3 March 31, 2024 Assets: Overnight deposits $ 252,146 $ — $ 252,146 $ — Money market 149,686 — 149,686 — Certificates of deposit 285,313 — 285,313 — Treasury bills 59,075 — 59,075 — Interest rate swaps 36,654 — 36,654 — Cross-currency interest rate swap 7,922 — 7,922 — Foreign exchange contracts 252,914 — 252,914 — Total assets $ 1,043,710 $ — $ 1,043,710 $ — Cash collateral for foreign exchange contracts $ 36,929 Liabilities: Interest rate swaps $ 16,823 $ — 16,823 — Cross-currency interest rate swap 9,498 — 9,498 — Foreign exchange contracts 178,895 — 178,895 — Total liabilities $ 205,216 $ — $ 205,216 $ — Cash collateral obligation for foreign exchange contracts $ 155,781 December 31, 2023 Assets: Overnight deposits $ 256,466 $ — $ 256,466 $ — Money market 376,465 — 376,465 — Certificates of deposit 266,316 — 266,316 — Treasury bills 236,505 — 236,505 — Interest rate swaps 23,485 — 23,485 — Foreign exchange contracts 320,216 — 320,216 — Total assets $ 1,479,453 $ — $ 1,479,453 $ — Cash collateral for foreign exchange contracts $ 39,219 Liabilities: Interest rate swaps $ 55,796 $ — $ 55,796 $ — Cross-currency interest rate swap 14,522 — 14,522 — Foreign exchange contracts 244,745 — 244,745 — Total liabilities $ 315,063 $ — $ 315,063 $ — Cash collateral obligation for foreign exchange contracts $ 180,168 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Expense Related to Share-Based Payments | The following table summarizes the expense recognized within general and administrative expenses in the Unaudited Consolidated Statements of Income related to stock-based compensation for the three months ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, 2024 2023 Stock options $ 6,119 $ 8,950 Restricted stock 18,860 17,146 Stock-based compensation $ 24,979 $ 26,096 |
Summary of Total Unrecognized Compensation Cost Related to Stock-Based Compensation | The following table summarizes the Company’s total unrecognized compensation cost related to outstanding stock awards as of March 31, 2024 (cost in thousands): Unrecognized Weighted Average Period of Expense Recognition Remaining (in Years) Stock options $ 52,539 2.35 Restricted stock 76,494 1.05 Total $ 129,033 |
Summary of Changes in Number of Shares of Common Stock Under Option | The following summarizes the changes in the number of shares of stock options outstanding for the three months ended March 31, 2024 (shares and aggregate intrinsic value in thousands): Shares Weighted Options Weighted Weighted Aggregate Outstanding at December 31, 2023 4,983 $ 192.18 3,182 $ 163.54 $ 451,039 Granted 138 251.10 $ 95.87 Exercised (539) 167.72 $ 64,000 Forfeited (14) 223.39 Outstanding at March 31, 2024 4,568 $ 197.22 2,851 $ 167.09 $ 508,550 Expected to vest as of March 31, 2024 866 $ 234.40 |
Summary of Changes in Number of Shares of Restricted Stock and Restricted Stock Units | The following table summarizes the changes in the number of shares of restricted stock awards and restricted stock units outstanding for the three months ended March 31, 2024 (shares in thousands): Shares Weighted Outstanding at December 31, 2023 542 $ 219.63 Granted 233 269.30 Issued (311) 219.07 Cancelled (36) 216.33 Outstanding at March 31, 2024 428 $ 243.72 |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Summary of Acquisition Accounting | The following table summarizes the preliminary acquisition accounting for the Zapay acquisition noted above (in thousands): Trade and other receivables $ 2,542 Prepaid expenses and other current assets 112 Other long term assets 960 Goodwill 77,846 Intangibles 18,624 Accounts payable (1,486) Other current liabilities (7,884) Other noncurrent liabilities (6,332) Total fair value of net assets acquired $ 84,382 Less: Noncontrolling interest (28,057) Aggregate purchase price $ 56,325 The following table summarizes the acquisition accounting, in aggregate, for the business acquisitions noted above (in thousands): Trade and other receivables $ 6,004 Prepaid expenses and other current assets 46,425 Other long term assets 13,302 Goodwill 383,851 Intangibles 158,689 Accounts payable (24,842) Other current liabilities (129,561) Other noncurrent liabilities (18,923) Aggregate purchase price $ 434,945 |
Summary of Preliminary Estimated Fair Value of Intangible Assets Acquired and the Related Estimated Useful Lives | The estimated fair value of intangible assets acquired and the related estimated useful lives consisted of the following (in thousands): Useful Lives (in Years) Value Trade names and trademarks 2 to Indefinite $ 12,459 Proprietary technology 5 to 7 11,885 Customer relationships 6 to 20 134,345 $ 158,689 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Changes in Goodwill by Reportable Business Segment | A summary of changes in the Company’s goodwill is as follows (in thousands): December 31, 2023 Acquisitions 1 Acquisition Accounting Foreign March 31, 2024 Goodwill $ 5,644,958 $ 77,846 $ 1,058 $ (50,130) $ 5,673,732 1 |
Schedule of Other Intangible Assets | As of March 31, 2024 and December 31, 2023, other intangibles consisted of the following (in thousands): March 31, 2024 December 31, 2023 Weighted- Gross Accumulated Net Gross Accumulated Net Customer and vendor relationships 16.2 $ 3,038,204 $ (1,542,504) $ 1,495,700 $ 3,044,522 $ (1,511,173) $ 1,533,349 Trade names and trademarks—indefinite lived N/A 436,204 — 436,204 440,900 — 440,900 Trade names and trademarks—other 2.0 50,684 (16,420) 34,264 51,510 (15,334) 36,176 Software 5.8 297,498 (242,477) 55,021 299,780 (238,819) 60,961 Non-compete agreements 4.2 84,256 (72,339) 11,917 85,111 (70,834) 14,277 Total other intangibles $ 3,906,846 $ (1,873,740) $ 2,033,106 $ 3,921,823 $ (1,836,160) $ 2,085,663 N/A = Not Applicable |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Summary of Debt Instruments | The balances of the Company’s debt instruments under the Credit Agreement and the Securitization Facility are as follows (in thousands): March 31, 2024 December 31, 2023 Term Loan A note payable, net of discounts $ 3,185,375 $ 2,882,595 Term Loan B note payable, net of discounts 1,836,326 1,840,244 Revolving line of credit facilities 320,014 692,318 Other obligations 1,339 748 Total notes payable, credit agreements, and other obligations 5,343,054 5,415,905 Securitization Facility 1,421,000 1,307,000 Total debt $ 6,764,054 $ 6,722,905 Current portion $ 1,901,433 $ 2,126,749 Long-term portion 4,862,621 4,596,156 Total debt $ 6,764,054 $ 6,722,905 |
Schedule of Contractual Maturities of Notes Payable and Other Obligations | The contractual maturities of the Company’s total debt at March 31, 2024 were as follows (in thousands): Remaining 2024 $ 439,562 2025 185,250 2026 185,250 2027 2,774,312 2028 1,778,375 Thereafter — Total principal payments 5,362,749 Less: debt discounts and issuance costs included in debt (19,695) Total debt $ 5,343,054 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Summary of Earnings Per Share, Basic and Diluted | The calculation and reconciliation of basic and diluted earnings per share attributable to Corpay for the three months ended March 31, 2024 and 2023 is as follows (in thousands, except per share data): Three Months Ended March 31, 2024 2023 Net income attributable to Corpay $ 229,769 $ 214,835 Denominator for basic earnings per share 71,769 73,521 Dilutive securities 1,776 962 Denominator for diluted earnings per share 73,545 74,483 Basic earnings per share attributable to Corpay $ 3.20 $ 2.92 Diluted earnings per share attributable to Corpay $ 3.12 $ 2.88 |
Segments (Tables)
Segments (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Company's Segment Results | The Company’s segment results are as follows for the three month periods ended March 31, 2024 and 2023 (in thousands): Three Months Ended March 31, 2024 1 2023 2 Revenues, net: Vehicle Payments $ 494,061 $ 495,490 Corporate Payments 265,396 226,172 Lodging Payments 111,295 122,334 Other 64,499 57,337 $ 935,251 $ 901,333 Operating income: Vehicle Payments $ 225,695 $ 223,480 Corporate Payments 104,711 80,382 Lodging Payments 47,276 54,563 Other 19,656 16,770 $ 397,338 $ 375,195 Depreciation and amortization: Vehicle Payments $ 50,321 $ 50,350 Corporate Payments 20,803 20,160 Lodging Payments 11,630 11,398 Other 2,006 2,324 $ 84,760 $ 84,232 1 Results from Zapay acquired in the first quarter of 2024 are reported in the Vehicle Payments segment from the date of acquisition. 2 |
Derivative Financial Instrume_2
Derivative Financial Instruments and Hedging Activities (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments at Fair Value | The following table summarizes the fair value of derivatives reported in the Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 Fair Value, Gross Fair Value, Net Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives - undesignated: Foreign exchange contracts $ 484.4 $ 410.4 $ 252.9 $ 178.9 Less: Cash collateral 36.9 155.8 36.9 155.8 Total net derivative assets and liabilities $ 447.5 $ 254.6 $ 216.0 $ 23.1 December 31, 2023 Fair Value, Gross Fair Value, Net Derivative Assets Derivative Liabilities Derivative Assets Derivative Liabilities Derivatives - undesignated: Foreign exchange contracts $ 594.9 $ 519.4 $ 320.2 $ 244.7 Less: Cash collateral 39.2 180.2 39.2 180.2 Total net derivative assets and liabilities $ 555.7 $ 339.2 $ 281.0 $ 64.5 |
Schedule of Derivative Assets at Fair Value | The following table presents the Company’s spot trade assets and liabilities at their fair value at March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Gross Offset on the Balance Sheet Net Gross Offset on the Balance Sheet Net Assets Accounts Receivable $ 1,881.7 $ (1,713.6) $ 168.1 $ 2,499.9 $ (2,373.8) $ 126.1 Liabilities Accounts Payable $ 1,793.9 $ (1,713.6) $ 80.3 $ 2,457.3 $ (2,373.8) $ 83.5 March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivative Assets Prepaid expenses and other current assets $ 193.4 $ 254.2 Derivative Assets Other assets $ 59.5 $ 66.0 Derivative Liabilities Other current liabilities $ 131.4 $ 190.4 Derivative Liabilities Other noncurrent liabilities $ 47.5 $ 54.3 |
Schedule of Derivative Liabilities at Fair Value | The following table presents the Company’s spot trade assets and liabilities at their fair value at March 31, 2024 and December 31, 2023 (in millions): March 31, 2024 December 31, 2023 Gross Offset on the Balance Sheet Net Gross Offset on the Balance Sheet Net Assets Accounts Receivable $ 1,881.7 $ (1,713.6) $ 168.1 $ 2,499.9 $ (2,373.8) $ 126.1 Liabilities Accounts Payable $ 1,793.9 $ (1,713.6) $ 80.3 $ 2,457.3 $ (2,373.8) $ 83.5 March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivative Assets Prepaid expenses and other current assets $ 193.4 $ 254.2 Derivative Assets Other assets $ 59.5 $ 66.0 Derivative Liabilities Other current liabilities $ 131.4 $ 190.4 Derivative Liabilities Other noncurrent liabilities $ 47.5 $ 54.3 |
Schedule of Notional Amounts of Outstanding Derivative Positions | As of March 31, 2024, the Company had the following outstanding interest rate swap derivatives that qualify as hedging instruments within designated cash flow hedges of variable interest rate risk (in millions): Notional Amount Fixed Rates Maturity Date $250 4.01% 7/31/2025 $250 4.02% 7/31/2025 $500 3.80% 1/31/2026 $250 3.71% 7/31/2026 $250 3.72% 7/31/2026 $100 4.35% 7/31/2026 $250 4.40% 7/31/2026 $250 4.40% 7/31/2026 $400 4.33% 7/31/2026 $250 4.29% 1/31/2027 $250 4.29% 1/31/2027 $250 4.19% 7/31/2027 $250 4.19% 7/31/2027 $150 3.87% 1/31/2027 $50 3.83% 1/31/2027 $50 3.85% 1/31/2027 $125 4.00% 1/31/2028 $125 3.99% 1/31/2028 |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following table presents the fair value of the Compa ny’s interest rate swap contracts, as well as their classification on the accompanying Consolidated Balance Sheets, as of March 31, 2024 and December 31, 2023 (in millions). See Note 3 for additional information on the fair value of the Company’s swap contracts. March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Derivatives designated as cash flow hedges: Swap contracts Prepaid expenses and other current assets $ 34.3 $ 23.5 Swap contracts Other assets $ 2.4 $ — Swap contracts Other current liabilities $ — $ — Swap contracts Other noncurrent liabilities $ 16.8 $ 55.8 The following table presents the fair value of the Compa ny’s cross-currency interest rate swaps designated as a net investment hedge, as well as their classification on the accompanying Consolidated Balance Sheets, as of March 31, 2024 and December 31, 2023 (in millions). March 31, 2024 December 31, 2023 Balance Sheet Classification Fair Value Cross-currency interest rate swaps designated as a net investment hedge: Net investment hedge Prepaid expenses and other current assets $ 7.9 $ — Net investment hedge Other current liabilities $ — $ 14.5 Net investment hedge Other noncurrent liabilities $ 9.5 $ — |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (AOCL) (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The changes in the components of AOCL, net of tax and noncontrolling interest, for the three months ended March 31, 2024 and 2023 are as follows (in thousands): March 31, 2024 Cumulative Foreign Currency Translation Unrealized Gains (Losses) on Derivative Instruments Total Accumulated Other Comprehensive Loss Attributable to Corpay Balance at December 31, 2023 $ (1,258,282) $ (30,817) $ (1,289,099) Other comprehensive (loss) income before reclassifications (95,870) 72,951 (22,919) Amounts reclassified from AOCL — (12,688) (12,688) Tax effect — (16,141) (16,141) Other comprehensive (loss) income, net of tax (95,870) 44,122 (51,748) Balance at March 31, 2024 $ (1,354,152) $ 13,305 $ (1,340,847) Other comprehensive loss attributable to the Company's noncontrolling interest, which are not included in the table above, for the three months ended March 31, 2024 consisted of foreign currency translation losses of $0.2 million. March 31, 2023 Cumulative Foreign Currency Translation Unrealized (Losses) Gains on Derivative Instruments Total Accumulated Other Comprehensive Loss Attributable to Corpay Balance at December 31, 2022 $ (1,518,640) $ 8,990 $ (1,509,650) Other comprehensive income (loss) before reclassifications 81,107 (3,640) 77,467 Amounts reclassified from AOCL — (5,089) (5,089) Tax effect — 3,256 3,256 Other comprehensive income (loss), net of tax 81,107 (5,473) 75,634 Balance at March 31, 2023 $ (1,437,533) $ 3,517 $ (1,434,016) |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Foreign Currency Translation (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Accounting Policies [Abstract] | ||
Foreign exchange losses | $ 3.1 | $ 0.7 |
Foreign currency losses (gains) on long-term intra-entity transactions | $ 12.4 | $ (4.9) |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Disaggregation of Revenue [Line Items] | |||
Deferred revenue contract liabilities | $ 42.4 | $ 45.7 | |
Deferred revenue recognized | 15.7 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01 | |||
Disaggregation of Revenue [Line Items] | |||
Revenues to be recognized | $ 29.4 | ||
Revenues to be recognized, period | 12 months | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-04-01 | |||
Disaggregation of Revenue [Line Items] | |||
Revenues to be recognized | $ 13 | ||
Revenues to be recognized, period | 5 years | ||
Sales Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Revenues, net (percent) | 100% | 100% | |
Contracts with customers | Sales Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Revenues, net (percent) | 86% | 87% | |
Late Fees and Finance Charges | Sales Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Revenues, net (percent) | 4% | 5% | |
Derivatives, Cross-Border Payments Business | Sales Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Revenues, net (percent) | 7% | 7% | |
Float Revenue Earned On Invested Funds | Sales Revenue | Product Concentration Risk | |||
Disaggregation of Revenue [Line Items] | |||
Revenues, net (percent) | 3% | 1% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 935,251 | $ 901,333 |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | 504,600 | 513,600 |
Brazil | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | 148,400 | 121,700 |
United Kingdom | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | 121,400 | 107,700 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 160,800 | $ 158,200 |
Sales Revenue | Product Concentration Risk | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 100% | 100% |
Sales Revenue | Product Concentration Risk | Vehicle Payments | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 494,100 | $ 495,500 |
Revenues, net (percent) | 53% | 55% |
Sales Revenue | Product Concentration Risk | Corporate Payments | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 265,400 | $ 226,200 |
Revenues, net (percent) | 28% | 25% |
Sales Revenue | Product Concentration Risk | Lodging Payments | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 111,300 | $ 122,300 |
Revenues, net (percent) | 12% | 14% |
Sales Revenue | Product Concentration Risk | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net | $ 64,500 | $ 57,300 |
Revenues, net (percent) | 7% | 6% |
Sales Revenue | Geographic Concentration Risk | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 100% | 100% |
Sales Revenue | Geographic Concentration Risk | United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 54% | 57% |
Sales Revenue | Geographic Concentration Risk | Brazil | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 16% | 14% |
Sales Revenue | Geographic Concentration Risk | United Kingdom | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 13% | 12% |
Sales Revenue | Geographic Concentration Risk | Other | ||
Disaggregation of Revenue [Line Items] | ||
Revenues, net (percent) | 17% | 18% |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Spot Trades (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Liabilities: | ||
Net | $ 315,063 | |
Spot Trade | ||
Assets: | ||
Gross | $ 1,881,700 | 2,499,900 |
Offset on the Balance Sheet | (1,713,600) | (2,373,800) |
Net | 168,100 | 126,100 |
Liabilities: | ||
Gross | 1,793,900 | 2,457,300 |
Offset on the Balance Sheet | (1,713,600) | (2,373,800) |
Net | $ 80,300 | $ 83,500 |
Accounts and Other Receivable_2
Accounts and Other Receivables - Company's Accounts Receivable and Securitized Accounts Receivable (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross receivables | $ 3,981,890 | $ 3,648,749 | ||
Less allowance for credit losses | (184,887) | (180,163) | $ (160,588) | $ (149,846) |
Net accounts and securitized accounts receivables | 3,797,003 | 3,468,586 | ||
Gross domestic accounts receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross receivables | 999,674 | 921,206 | ||
Gross domestic securitized accounts receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross receivables | 1,421,000 | 1,307,000 | ||
Gross foreign receivables | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total gross receivables | $ 1,561,216 | $ 1,420,543 |
Accounts and Other Receivable_3
Accounts and Other Receivables - Narrative (Details) $ in Billions | Mar. 31, 2024 USD ($) |
Securitization Facility | Second Amendment | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Securitized accounts receivable facility | $ 1.7 |
Accounts and Other Receivable_4
Accounts and Other Receivables - Allowance for Doubtful Accounts Related to Accounts Receivable (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Allowance for credit losses beginning of period | $ 180,163 | $ 149,846 |
Provision for credit losses | 25,342 | 39,270 |
Write-offs | (19,532) | (34,128) |
Recoveries | 3,093 | 2,444 |
Impact of foreign currency | (4,179) | 3,156 |
Allowance for credit losses end of period | $ 184,887 | $ 160,588 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Assets: | ||
Total assets | $ 1,043,710 | $ 1,479,453 |
Liabilities: | ||
Derivative liability | 315,063 | |
Total liabilities | 205,216 | |
Overnight deposits | ||
Assets: | ||
Cash and cash equivalents | 252,146 | 256,466 |
Money market | ||
Assets: | ||
Cash and cash equivalents | 149,686 | 376,465 |
Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 285,313 | 266,316 |
Treasury bills | ||
Assets: | ||
Cash and cash equivalents | 59,075 | 236,505 |
Interest rate swaps | ||
Assets: | ||
Derivative assets | 36,654 | 23,485 |
Liabilities: | ||
Derivative liability | 16,823 | 55,796 |
Cross-currency interest rate swap | ||
Assets: | ||
Derivative assets | 7,922 | |
Liabilities: | ||
Derivative liability | 9,498 | 14,522 |
Foreign exchange contracts | ||
Assets: | ||
Derivative assets | 252,914 | 320,216 |
Cash collateral for foreign exchange contracts | 36,929 | 39,219 |
Liabilities: | ||
Derivative liability | 178,895 | 244,745 |
Cash collateral obligation for foreign exchange contracts | 155,781 | 180,168 |
Level 1 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Derivative liability | 0 | |
Total liabilities | 0 | |
Level 1 | Overnight deposits | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 1 | Money market | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 1 | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 1 | Treasury bills | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 1 | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liability | 0 | 0 |
Level 1 | Cross-currency interest rate swap | ||
Assets: | ||
Derivative assets | 0 | |
Liabilities: | ||
Derivative liability | 0 | 0 |
Level 1 | Foreign exchange contracts | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liability | 0 | 0 |
Level 2 | ||
Assets: | ||
Total assets | 1,043,710 | 1,479,453 |
Liabilities: | ||
Derivative liability | 315,063 | |
Total liabilities | 205,216 | |
Level 2 | Overnight deposits | ||
Assets: | ||
Cash and cash equivalents | 252,146 | 256,466 |
Level 2 | Money market | ||
Assets: | ||
Cash and cash equivalents | 149,686 | 376,465 |
Level 2 | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 285,313 | 266,316 |
Level 2 | Treasury bills | ||
Assets: | ||
Cash and cash equivalents | 59,075 | 236,505 |
Level 2 | Interest rate swaps | ||
Assets: | ||
Derivative assets | 36,654 | 23,485 |
Liabilities: | ||
Derivative liability | 16,823 | 55,796 |
Level 2 | Cross-currency interest rate swap | ||
Assets: | ||
Derivative assets | 7,922 | |
Liabilities: | ||
Derivative liability | 9,498 | 14,522 |
Level 2 | Foreign exchange contracts | ||
Assets: | ||
Derivative assets | 252,914 | 320,216 |
Liabilities: | ||
Derivative liability | 178,895 | 244,745 |
Level 3 | ||
Assets: | ||
Total assets | 0 | 0 |
Liabilities: | ||
Derivative liability | 0 | |
Total liabilities | 0 | |
Level 3 | Overnight deposits | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 3 | Money market | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 3 | Certificates of deposit | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 3 | Treasury bills | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Level 3 | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liability | 0 | 0 |
Level 3 | Cross-currency interest rate swap | ||
Assets: | ||
Derivative assets | 0 | |
Liabilities: | ||
Derivative liability | 0 | 0 |
Level 3 | Foreign exchange contracts | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liability | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Fair Value Disclosures [Abstract] | ||
Carrying amount of investments without readily determinable fair value | $ 68.3 | $ 69.5 |
Stockholders' Equity - Repurcha
Stockholders' Equity - Repurchase Program (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 98 Months Ended | |||
May 08, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Mar. 31, 2024 | Jan. 25, 2024 | Jan. 24, 2024 | |
Class of Stock [Line Items] | ||||||
Shares repurchased | $ 321,776 | $ 9,597 | ||||
Program | Common Stock | ||||||
Class of Stock [Line Items] | ||||||
Increase in authorized amount to be repurchased | $ 1,000,000 | |||||
Stock repurchase program, approved amount | $ 8,100,000 | |||||
Shares repurchased (in shares) | 1,096,762 | 29,975,624 | ||||
Shares repurchased | $ 321,300 | $ 6,900,000 | ||||
Shares repurchased, not yet settled in cash | 32,600 | 32,600 | ||||
Remaining authorized repurchase amount | $ 1,200,000 | $ 1,200,000 | ||||
Program | Common Stock | Subsequent Event | ||||||
Class of Stock [Line Items] | ||||||
Shares repurchased (in shares) | 1,400,000 | |||||
Shares repurchased | $ 412,400 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Expense Related to Share-Based Payments (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation | $ 24,979 | $ 26,096 |
General and Administrative Expense | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation | 24,979 | 26,096 |
Stock options | General and Administrative Expense | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation | 6,119 | 8,950 |
Restricted stock | General and Administrative Expense | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock-based compensation | $ 18,860 | $ 17,146 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | ||
Tax benefits recorded on stock based compensation | $ 15 | $ 4.4 |
Aggregate intrinsic value of options exercisable | $ 468.4 | |
Weighted average remaining contractual term of options exercisable (in years) | 2 years 3 months 18 days |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Total Unrecognized Compensation Cost Related to Stock-Based Compensation (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Compensation Cost | $ 129,033 |
Stock options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Compensation Cost | $ 52,539 |
Weighted Average Period of Expense Recognition Remaining (in Years) | 2 years 4 months 6 days |
Restricted stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Unrecognized Compensation Cost | $ 76,494 |
Weighted Average Period of Expense Recognition Remaining (in Years) | 1 year 18 days |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Changes in Number of Shares of Common Stock Under Option (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Shares | ||
Shares at beginning of period (in shares) | 4,983 | |
Granted (in shares) | 138 | |
Exercised (in shares) | (539) | |
Forfeited (in shares) | (14) | |
Shares at end of period (in shares) | 4,568 | |
Expected to vest at end of period (in shares) | 866 | |
Weighted Average Exercise Price | ||
Weighted average exercise price, beginning of period (in dollars per share) | $ 192.18 | |
Weighted average exercise price, granted (in dollars per share) | 251.10 | |
Weighted average exercise price, exercised (in dollars per share) | 167.72 | |
Weighted average exercise price, forfeited (in dollars per share) | 223.39 | |
Weighted average exercise price, end of period (in dollars per share) | 197.22 | |
Weighted average exercise price, expected to vest (in dollars per share) | $ 234.40 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Options exercisable (in shares) | 2,851 | 3,182 |
Weighted average exercise price of exercisable options (in dollars per share) | $ 167.09 | $ 163.54 |
Weighted average exercise price of granted options (in dollars per share) | $ 95.87 | |
Aggregate Intrinsic Value | $ 508,550 | $ 451,039 |
Aggregate intrinsic value, exercised | $ 64,000 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Changes in Number of Shares of Restricted Stock and Restricted Stock Units (Details) shares in Thousands | 3 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Shares | |
Shares outstanding, beginning of period (in shares) | shares | 542 |
Granted (in shares) | shares | 233 |
Issued (in shares) | shares | (311) |
Cancelled (in shares) | shares | (36) |
Shares outstanding, end of period (in shares) | shares | 428 |
Weighted Average Grant Date Fair Value | |
Weighted average grant date fair value, beginning of period (in dollars per share) | $ / shares | $ 219.63 |
Weighted average grant date fair value, granted (in dollars per share) | $ / shares | 269.30 |
Weighted average grant date fair value, issued (in dollars per share) | $ / shares | 219.07 |
Weighted average grant date fair value, cancelled (in dollars per share) | $ / shares | 216.33 |
Weighted average grant date fair value, end of period (in dollars per share) | $ / shares | $ 243.72 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2024 | Sep. 30, 2023 | Jan. 31, 2023 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Feb. 28, 2023 | |
Business Acquisition [Line Items] | |||||||
Acquisitions, net of cash acquired | $ 56,325 | $ 126,691 | |||||
Zapay | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition, interest acquired | 70% | 70% | |||||
Acquisitions, net of cash acquired | $ 56,300 | ||||||
Period to acquire remaining percentage | 4 years | ||||||
Intangibles | $ 18,624 | $ 18,624 | |||||
Zapay | Customer and vendor relationships | |||||||
Business Acquisition [Line Items] | |||||||
Intangibles | $ 18,600 | $ 18,600 | |||||
Global Reach | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition, interest acquired | 100% | ||||||
Aggregate purchase price | $ 102,900 | ||||||
Business Gateway AG | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition, interest acquired | 100% | ||||||
PayByPhone | |||||||
Business Acquisition [Line Items] | |||||||
Business acquisition, interest acquired | 100% | ||||||
Aggregate purchase price | $ 301,600 | ||||||
Global Reach, Mina Digital, and Business Gateway AG | |||||||
Business Acquisition [Line Items] | |||||||
Intangibles | $ 158,689 | ||||||
Aggregate purchase price | 436,700 | ||||||
Cash acquired from acquisition | 117,000 | ||||||
Mina Digital Limited | |||||||
Business Acquisition [Line Items] | |||||||
Acquisitions, previously held equity-method investment | $ 8,500 |
Acquisitions - Summary of Purch
Acquisitions - Summary of Purchase Price Allocation (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Business Acquisition [Line Items] | ||
Goodwill | $ 5,673,732 | $ 5,644,958 |
Zapay | ||
Business Acquisition [Line Items] | ||
Trade and other receivables | 2,542 | |
Prepaid expenses and other current assets | 112 | |
Other long term assets | 960 | |
Goodwill | 77,846 | |
Intangibles | 18,624 | |
Accounts payable | (1,486) | |
Other current liabilities | (7,884) | |
Other noncurrent liabilities | (6,332) | |
Total fair value of net assets acquired | 84,382 | |
Less: Noncontrolling interest | (28,057) | |
Aggregate purchase price | $ 56,325 | |
Global Reach, Mina Digital, and Business Gateway AG | ||
Business Acquisition [Line Items] | ||
Trade and other receivables | 6,004 | |
Prepaid expenses and other current assets | 46,425 | |
Other long term assets | 13,302 | |
Goodwill | 383,851 | |
Intangibles | 158,689 | |
Accounts payable | (24,842) | |
Other current liabilities | (129,561) | |
Other noncurrent liabilities | (18,923) | |
Total fair value of net assets acquired | $ 434,945 |
Acquisitions - Summary of Estim
Acquisitions - Summary of Estimated Fair Value of Intangible Assets Acquired and the Related Estimated Useful Lives (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Trade names and trademarks—other | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 2 years | |
Global Reach, Mina Digital, and Business Gateway AG | ||
Business Acquisition [Line Items] | ||
Intangibles | $ 158,689 | |
Global Reach, Mina Digital, and Business Gateway AG | Trade names and trademarks—other | ||
Business Acquisition [Line Items] | ||
Indefinite-lived intangible assets | $ 12,459 | |
Global Reach, Mina Digital, and Business Gateway AG | Trade names and trademarks—other | Minimum | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 2 years | |
Global Reach, Mina Digital, and Business Gateway AG | Proprietary technology | ||
Business Acquisition [Line Items] | ||
Finite-lived intangible assets | $ 11,885 | |
Global Reach, Mina Digital, and Business Gateway AG | Proprietary technology | Minimum | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 5 years | |
Global Reach, Mina Digital, and Business Gateway AG | Proprietary technology | Maximum | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 7 years | |
Global Reach, Mina Digital, and Business Gateway AG | Customer relationships | ||
Business Acquisition [Line Items] | ||
Finite-lived intangible assets | $ 134,345 | |
Global Reach, Mina Digital, and Business Gateway AG | Customer relationships | Minimum | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 6 years | |
Global Reach, Mina Digital, and Business Gateway AG | Customer relationships | Maximum | ||
Business Acquisition [Line Items] | ||
Useful lives (in years) | 20 years |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles - Summary of Changes in Goodwill (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 5,644,958 |
Acquisitions | 77,846 |
Acquisition Accounting Adjustments | 1,058 |
Foreign Currency | (50,130) |
Goodwill, ending balance | $ 5,673,732 |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles - Schedule of Other Intangibles (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amounts | $ 3,906,846 | $ 3,921,823 |
Accumulated Amortization | (1,873,740) | (1,836,160) |
Net Carrying Amount | 2,033,106 | 2,085,663 |
Trade names and trademarks—indefinite lived | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Gross Carrying Amounts | 436,204 | 440,900 |
Net Carrying Amount | $ 436,204 | 440,900 |
Customer and vendor relationships | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Weighted- Avg Useful Lives (Years) | 16 years 2 months 12 days | |
Gross Carrying Amounts | $ 3,038,204 | 3,044,522 |
Accumulated Amortization | (1,542,504) | (1,511,173) |
Net Carrying Amount | $ 1,495,700 | 1,533,349 |
Trade names and trademarks—other | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Weighted- Avg Useful Lives (Years) | 2 years | |
Gross Carrying Amounts | $ 50,684 | 51,510 |
Accumulated Amortization | (16,420) | (15,334) |
Net Carrying Amount | $ 34,264 | 36,176 |
Software | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Weighted- Avg Useful Lives (Years) | 5 years 9 months 18 days | |
Gross Carrying Amounts | $ 297,498 | 299,780 |
Accumulated Amortization | (242,477) | (238,819) |
Net Carrying Amount | $ 55,021 | 60,961 |
Non-compete agreements | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Weighted- Avg Useful Lives (Years) | 4 years 2 months 12 days | |
Gross Carrying Amounts | $ 84,256 | 85,111 |
Accumulated Amortization | (72,339) | (70,834) |
Net Carrying Amount | $ 11,917 | $ 14,277 |
Goodwill and Other Intangible_4
Goodwill and Other Intangibles - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Impact of foreign exchange rates on intangible assets | $ (15.4) | |
Amortization expense of intangible assets | $ 55.8 | $ 57.7 |
Debt - Narrative (Details)
Debt - Narrative (Details) $ in Billions | Mar. 31, 2024 USD ($) |
Credit Agreement | |
Debt Instrument [Line Items] | |
Debt instrument, face amount | $ 7 |
Debt - Summary of Debt Instrume
Debt - Summary of Debt Instruments (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Other obligations | $ 1,339 | $ 748 |
Total notes payable, credit agreements, and other obligations | 5,343,054 | 5,415,905 |
Securitization Facility | 1,421,000 | 1,307,000 |
Total debt | 6,764,054 | 6,722,905 |
Current portion | 1,901,433 | 2,126,749 |
Long-term portion | 4,862,621 | 4,596,156 |
Term Loan A | ||
Debt Instrument [Line Items] | ||
Term note payable—domestic, net of discounts | 3,185,375 | 2,882,595 |
Term Loan B | ||
Debt Instrument [Line Items] | ||
Term note payable—domestic, net of discounts | 1,836,326 | 1,840,244 |
Revolving line of credit facilities | ||
Debt Instrument [Line Items] | ||
Revolving line of credit facilities | $ 320,014 | $ 692,318 |
Debt - Summary of Contractual M
Debt - Summary of Contractual Maturities of Notes Payable and Other Obligations (Detail) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Debt Instrument [Line Items] | ||
Total principal payments | $ 6,764,054 | $ 6,722,905 |
Long-Term Debt Excluding Securitization Facility | ||
Debt Instrument [Line Items] | ||
Remaining 2024 | 439,562 | |
2025 | 185,250 | |
2026 | 185,250 | |
2027 | 2,774,312 | |
2028 | 1,778,375 | |
Thereafter | 0 | |
Total principal payments | 5,362,749 | |
Less: debt discounts and issuance costs included in debt | (19,695) | |
Total debt | $ 5,343,054 |
Income taxes - Narrative (Detai
Income taxes - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate | 24.70% | 27.10% |
Excess tax expense (benefit) related to stock-based compensation | $ (8.5) |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | ||
Net income attributable to Corpay | $ 229,769 | $ 214,835 |
Denominator for basic earnings per share (in shares) | 71,769 | 73,521 |
Dilutive securities (in shares) | 1,776 | 962 |
Denominator for diluted earnings per share (in shares) | 73,545 | 74,483 |
Basic earnings per share attributable to Corpay (in dollars per share) | $ 3.20 | $ 2.92 |
Diluted earnings per share attributable to Corpay (in dollars per share) | $ 3.12 | $ 2.88 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Stock options | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive shares excluded from computation of earnings per share (in shares) | 300,000 | 2,400,000 |
Performance Based Restricted Stock | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive shares excluded from computation of earnings per share (in shares) | 0 | 0 |
Segments - Narrative (Detail)
Segments - Narrative (Detail) | 3 Months Ended |
Mar. 31, 2024 segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Segments - Schedule of Company'
Segments - Schedule of Company's Segment Results (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Revenues, net | $ 935,251 | $ 901,333 |
Other non-cash operating expense, net | 397,338 | 375,195 |
Depreciation and amortization | 84,760 | 84,232 |
Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Revenues, net | 935,251 | 901,333 |
Other non-cash operating expense, net | 397,338 | 375,195 |
Depreciation and amortization | 84,760 | 84,232 |
Vehicle Payments | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Revenues, net | 494,061 | 495,490 |
Other non-cash operating expense, net | 225,695 | 223,480 |
Depreciation and amortization | 50,321 | 50,350 |
Corporate Payments | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Revenues, net | 265,396 | 226,172 |
Other non-cash operating expense, net | 104,711 | 80,382 |
Depreciation and amortization | 20,803 | 20,160 |
Lodging Payments | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Revenues, net | 111,295 | 122,334 |
Other non-cash operating expense, net | 47,276 | 54,563 |
Depreciation and amortization | 11,630 | 11,398 |
Other | Operating Segments | ||
Segment Reporting Information [Line Items] | ||
Revenues, net | 64,499 | 57,337 |
Other non-cash operating expense, net | 19,656 | 16,770 |
Depreciation and amortization | $ 2,006 | $ 2,324 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) $ in Millions | Jan. 20, 2023 USD ($) |
State Derivative Action Lawsuit | |
Loss Contingencies [Line Items] | |
Amount of damages sought | $ 118 |
Derivative Financial Instrume_3
Derivative Financial Instruments and Hedging Activities - Schedule of Fair Value by Balance Sheet Location (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Derivative liability | $ 315,063 | |
Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Fair Value, Gross | $ 484,400 | 594,900 |
Less: Cash collateral | 36,900 | 39,200 |
Derivative Liabilities, Fair Value, Gross | 410,400 | 519,400 |
Cash collateral | 155,800 | 180,200 |
Derivative Assets | 252,900 | 320,200 |
Derivative liability | 178,900 | 244,700 |
Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Derivative Asset, Fair Value, Gross, Total net of cash collateral | 447,500 | 555,700 |
Derivative Liabilities, Fair Value, Gross, Total net of cash collateral | 254,600 | 339,200 |
Derivative Assets, Total net of cash collateral | 216,000 | 281,000 |
Derivative Liabilities, Total net of cash collateral | $ 23,100 | $ 64,500 |
Derivative Financial Instrume_4
Derivative Financial Instruments and Hedging Activities - Schedule of Derivative Assets and Liabilities at Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Derivative liability | $ 315,063 | |
Prepaid expenses and other current assets | ||
Derivative [Line Items] | ||
Derivative Assets | $ 193,400 | 254,200 |
Other assets | ||
Derivative [Line Items] | ||
Derivative Assets | 59,500 | 66,000 |
Other current liabilities | ||
Derivative [Line Items] | ||
Derivative liability | 131,400 | 190,400 |
Other noncurrent liabilities | ||
Derivative [Line Items] | ||
Derivative liability | $ 47,500 | $ 54,300 |
Derivative Financial Instrume_5
Derivative Financial Instruments and Hedging Activities - Narrative (Details) $ in Millions | 3 Months Ended | |||||||||
Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Feb. 28, 2024 USD ($) derivative_instrument | Feb. 01, 2024 USD ($) | Dec. 31, 2023 USD ($) derivative_instrument | Aug. 31, 2023 USD ($) derivative_instrument | May 04, 2023 USD ($) | Feb. 28, 2023 USD ($) | Jan. 31, 2023 USD ($) derivative_instrument | Jan. 22, 2019 USD ($) derivative_instrument | |
Derivative [Line Items] | ||||||||||
Notional Amount | $ 63,100 | $ 56,600 | ||||||||
Number of cash flow hedges entered into (in derivative instruments) | derivative_instrument | 5 | 8 | 5 | 3 | ||||||
Gains to be reclassified during next 12 months | 34.3 | |||||||||
Payments for termination of derivatives | $ 3.9 | |||||||||
2019 Interest Rate Swap, 1 | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | $ 1,000 | |||||||||
2019 Interest Rate Swap, 2 | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | 500 | |||||||||
2019 Interest Rate Swap, 3 | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | 500 | |||||||||
Interest rate swaps | ||||||||||
Derivative [Line Items] | ||||||||||
Derivative reclassified from AOCI | (12.7) | $ (5.1) | ||||||||
Interest rate swaps | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | $ 500 | $ 2,000 | $ 1,500 | |||||||
Interest rate swaps | Cash Flow Hedging | London Interbank Offered Rate (LIBOR) | ||||||||||
Derivative [Line Items] | ||||||||||
Pay-fixed monthly interest rate | 2.55% | |||||||||
Interest rate swaps | Cash Flow Hedging | Secured Overnight Financing Rate (SOFR) | ||||||||||
Derivative [Line Items] | ||||||||||
Pay-fixed monthly interest rate | 2.50% | |||||||||
Interest rate swaps | Net Investment Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | $ 500 | |||||||||
Number of net investment hedges entered into | derivative_instrument | 4 | |||||||||
Derivative swap rate savings, percentage | 0.0155 | |||||||||
Amended 2019 Interest Rate Swap | Cash Flow Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | $ 500 | |||||||||
Cross-currency interest rate swap | Net Investment Hedging | ||||||||||
Derivative [Line Items] | ||||||||||
Notional Amount | $ 500 | |||||||||
Derivative, interest rate savings, percentage | 1.96% | |||||||||
Derivatives, benefit recorded in interest expense | $ 2 | $ 1.5 | ||||||||
Variable Rate Debt | ||||||||||
Derivative [Line Items] | ||||||||||
Long-term debt | $ 2,000 |
Derivative Financial Instrume_6
Derivative Financial Instruments and Hedging Activities - Schedule of Cash Flow Hedge Notional Amounts (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Notional Amount | $ 63,100 | $ 56,600 |
Designated as Hedging Instrument | January 2023 Interest Rate Swap, 1 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.01% | |
Designated as Hedging Instrument | January 2023 Interest Rate Swap, 2 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.02% | |
Designated as Hedging Instrument | January 2023 Interest Rate Swap, 3 | ||
Derivative [Line Items] | ||
Notional Amount | $ 500 | |
Fixed Rates | 3.80% | |
Designated as Hedging Instrument | January 2023 Interest Rate Swap, 4 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 3.71% | |
Designated as Hedging Instrument | January 2023 Interest Rate Swap, 5 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 3.72% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 1 | ||
Derivative [Line Items] | ||
Notional Amount | $ 100 | |
Fixed Rates | 4.35% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 2 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.40% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 3 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.40% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 4 | ||
Derivative [Line Items] | ||
Notional Amount | $ 400 | |
Fixed Rates | 4.33% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 5 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.29% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 6 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.29% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 7 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.19% | |
Designated as Hedging Instrument | August 2023 Interest Rate Swap, 8 | ||
Derivative [Line Items] | ||
Notional Amount | $ 250 | |
Fixed Rates | 4.19% | |
Designated as Hedging Instrument | December 2023 Interest Rate Swap, 1 | ||
Derivative [Line Items] | ||
Notional Amount | $ 150 | |
Fixed Rates | 3.87% | |
Designated as Hedging Instrument | December 2023 Interest Rate Swap, 2 | ||
Derivative [Line Items] | ||
Notional Amount | $ 50 | |
Fixed Rates | 3.83% | |
Designated as Hedging Instrument | December 2023 Interest Rate Swap, 3 | ||
Derivative [Line Items] | ||
Notional Amount | $ 50 | |
Fixed Rates | 3.85% | |
Designated as Hedging Instrument | December 2023 Interest Rate Swap, 4 | ||
Derivative [Line Items] | ||
Notional Amount | $ 125 | |
Fixed Rates | 4% | |
Designated as Hedging Instrument | December 2023 Interest Rate Swap, 5 | ||
Derivative [Line Items] | ||
Notional Amount | $ 125 | |
Fixed Rates | 3.99% |
Derivative Financial Instrume_7
Derivative Financial Instruments and Hedging Activities - Schedule of Fair Value and Balance Sheet Location (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Derivative liability | $ 315,063 | |
Other current liabilities | ||
Derivative [Line Items] | ||
Derivative liability | $ 131,400 | 190,400 |
Other noncurrent liabilities | ||
Derivative [Line Items] | ||
Derivative liability | 47,500 | 54,300 |
Prepaid expenses and other current assets | ||
Derivative [Line Items] | ||
Derivative assets | 193,400 | 254,200 |
Designated as Hedging Instrument | Cross-currency interest rate swap | Net Investment Hedging | ||
Derivative [Line Items] | ||
Derivative assets | 7,900 | 0 |
Designated as Hedging Instrument | Cross-currency interest rate swap | Other current liabilities | Net Investment Hedging | ||
Derivative [Line Items] | ||
Derivative liability | 0 | 14,500 |
Designated as Hedging Instrument | Cross-currency interest rate swap | Other noncurrent liabilities | Net Investment Hedging | ||
Derivative [Line Items] | ||
Derivative liability | 9,500 | 0 |
Designated as Hedging Instrument | Interest rate swaps | Other current liabilities | ||
Derivative [Line Items] | ||
Derivative liability | 0 | 0 |
Designated as Hedging Instrument | Interest rate swaps | Other noncurrent liabilities | ||
Derivative [Line Items] | ||
Derivative liability | 16,800 | 55,800 |
Designated as Hedging Instrument | Interest rate swaps | Prepaid expenses and other current assets | ||
Derivative [Line Items] | ||
Derivative assets | 34,300 | 23,500 |
Designated as Hedging Instrument | Interest rate swaps | Other assets | ||
Derivative [Line Items] | ||
Derivative assets | $ 2,400 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (AOCL) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Stockholders' equity, beginning balance | $ 3,282,359 | $ 2,541,493 |
Other comprehensive (loss) income before reclassifications | (22,919) | 77,467 |
Amounts reclassified from AOCL | (12,688) | (5,089) |
Tax effect | (16,141) | 3,256 |
Other comprehensive (loss) income, net of tax | (51,748) | 75,634 |
Stockholders' equity, ending balance | 3,254,421 | 2,881,860 |
Accumulated Other Comprehensive Loss | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Stockholders' equity, beginning balance | (1,289,099) | (1,509,650) |
Other comprehensive (loss) income, net of tax | 75,634 | |
Stockholders' equity, ending balance | (1,340,847) | (1,434,016) |
Cumulative Foreign Currency Translation | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Stockholders' equity, beginning balance | (1,258,282) | (1,518,640) |
Other comprehensive (loss) income before reclassifications | (95,870) | 81,107 |
Amounts reclassified from AOCL | 0 | 0 |
Tax effect | 0 | 0 |
Other comprehensive (loss) income, net of tax | (95,870) | 81,107 |
Stockholders' equity, ending balance | (1,354,152) | (1,437,533) |
Unrealized Gains (Losses) on Derivative Instruments | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Stockholders' equity, beginning balance | (30,817) | 8,990 |
Other comprehensive (loss) income before reclassifications | 72,951 | (3,640) |
Amounts reclassified from AOCL | (12,688) | (5,089) |
Tax effect | (16,141) | 3,256 |
Other comprehensive (loss) income, net of tax | 44,122 | (5,473) |
Stockholders' equity, ending balance | $ 13,305 | $ 3,517 |
Subsequent Events (Details)
Subsequent Events (Details) $ in Millions | May 09, 2024 USD ($) | May 31, 2024 | May 08, 2024 USD ($) derivative_instrument | May 07, 2024 USD ($) derivative_instrument | Apr. 15, 2024 USD ($) derivative_instrument | Mar. 31, 2024 USD ($) | Feb. 28, 2024 USD ($) | Dec. 31, 2023 USD ($) |
Subsequent Event [Line Items] | ||||||||
Notional Amount | $ 63,100 | $ 56,600 | ||||||
Interest rate swaps | Net Investment Hedging | ||||||||
Subsequent Event [Line Items] | ||||||||
Notional Amount | $ 500 | |||||||
Derivative swap rate savings, percentage | 0.0155 | |||||||
Subsequent Event | Interest rate swaps | Net Investment Hedging | ||||||||
Subsequent Event [Line Items] | ||||||||
Number of instruments held | derivative_instrument | 4 | 3 | 4 | |||||
Notional Amount | $ 750 | $ 500 | $ 500 | |||||
Derivative swap rate savings, percentage | 0.00317 | 0.00602 | 0.0185 | |||||
Paymerang | Subsequent Event | ||||||||
Subsequent Event [Line Items] | ||||||||
Business acquisition, interest acquired | 100% | |||||||
Aggregate purchase price | $ 475 |