Corpay, Inc.

Hello and welcome everyone joining today's Corpe First Quarter 2026 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, you will have the opportunity to ask questions during a question and answer session. To register to ask a question at any time, please press star 1 on your telephone keypad. Please note this call is being recorded. We are standing by if you should need any assistance. It is now my pleasure to turn the meeting over to Jim Egglestetter, Investor Relations, please go ahead.

Good afternoon, and thank you for joining us today for our earnings call to discuss the first quarter 2026 results. With me today are Ron Clark, our Chairman and CEO, and Peter Walker, our CFO. Our earnings release and supplemental materials for the quarter are available on the Investor Relations section of Corpay.com. Please refer to these materials for an explanation of the non-GAAP financial measures discussed on this call, along with a reconciliation of those measures to the nearest applicable GAAP measures. Our remarks today will include forward-looking statements about expected operating and financial results, strategic initiatives, acquisitions and synergies, and divestitures, among other matters. Forward-looking statements may differ materially from actual results and are subject to a number of risks and uncertainties. Some of those risks are mentioned in today's press release on Form 8K and can also be found on our annual report on Form 10K. These documents are available on our website and at sec.gov. So now I'll turn the call over to Ron Clark, our Chairman and CEO. Ron?

Okay, Jim. Thanks. Good afternoon, everyone, and thanks for joining today's call. Up front here, I'll plan to cover four subjects. First, provide my take on Q1 results. Second, I'll share our revised guidance for full year 2026. Third, I'll review progress against our top priorities. And then lastly, I'll share our thoughts on the midterm direction for the company and where we're headed. Okay, let me begin with our Q1 results, which were really outstanding. We reported revenue of $1.26 billion, up 25%, and cash EPS of $580, up 29%. Importantly, about two-thirds of our $50 million Q1 revenue beat versus guidance was really just Better performance across the board, not macro related. So for us, this Q1 was really a blowout quarter. Q1 overall organic revenue growth, 11%. That makes four consecutive quarters of 11%. Inside of that, corporate payments grew 16%. That's 18% excluding our flow compression and did reach 40% of our overall revenues in the quarter. Vehicle payments grew 10%, all three geographies, contributing the U.S., Europe, and Brazil. And lodging improved meaningfully, sequentially, landing flat to the quarter. So big improvement there. The Q1 operating trends, also quite good. Overall retention finished at 93.5%. I do want to note that this metric now includes our cross-border business. New sales or bookings up 24%. Happy with that. And same-store sales finishing flat for the quarter. So, look, we are clearly off to a terrific start here. All right, let me transition to our 2026 guidance. Given our Q1 performance and the current trends, the raise to full year guidance is really pretty straightforward. So we're raising full year 2026 revenue guidance today to $5,290,000,000 at the midpoint. And that's driven really by a few things. First, we'll flow through the $50,000,000 Q1 revenue beat. Second, we'll increase rest-of-year revenue guidance another $50 million as a result of higher fuel price expectations and ongoing or continued better fundamental performance. We'll also net out $75 million from rest-of-year revenue to reflect the divestiture paid by phone on March 31st. We do continue to expect 10% organic revenue growth for the year, which, again, is our most important measure of durability. On the earnings side, we are raising full-year 2026 cash EPS guidance to 2670 at the midpoint. So that's a result of flowing through our Q1 EPSB to 35 cents. It's adding a rest of year cash EPS raise of $0.35 also. That's coming from the expected $50 million in rest of year higher revenue. We do expect to have a lower share count from year-to-date share buybacks, which will basically offset the expected higher interest expense rest of year. You can see this bridge guidance map on page 11 of the earnings supplement. This higher full-year 2026 guidance implies for the full year 17% revenue growth and 25% cash EPS growth for the full year. So, look, all the ingredients for a very good 2026 year, financial performance are holding. First off here, the terrific start Q1 print. We've got very good sales and retention trends. We're continuing to enjoy a favorable macro environment and our two big acquisitions and investments, Alpha and Avid, both performing well. So we're in a good spot. Okay, let me make the turn now to our top five priorities laid out in February, which really are unchanged. So they are, one, our portfolio. Again, rotating our portfolio to corporate payments with the hope of having fewer bigger businesses. Two, USA sales, so increasing sales production in the middle market versus in the micro market. Payables. widening monetization there beyond virtual cards and launching a spend management business in Europe. Fourth, cross-border. Priority is to further develop our multi-currency account banking business, integrate the alpha acquisition, and now add real-time blockchain rails to our global settlement network. And lastly, AI, like others, we are incorporating AI into most of our products. And secondly, working internally to redesign processes and get expense savings. So what I'll do here is I'll just touch on progress just in a couple of areas, our portfolio and cross-border initiatives. So on the portfolio front, we really are making good progress. You know, our newest acquisitions and investments there are working. So Alpha grew organic revenue 17% in Q1. That's excluding the flow compression. And Avid grew EVDA 50% in the quarter. So really an outstanding performance and improvement there. So both off a really good start. We're in the late innings with a non-core vehicle payments divestiture and actually teeing up a couple more businesses potentially for sale. And on the other side, we're digging into a couple new corporate payment acquisition opportunities that do look quite interesting to us. So, look, these actions are evidence that we're committed to further rotating the portfolio to corporate payments. On the cross-border front, you know, lots happening there. We are extending the geographies of our multi-currency accounts and seeing some real momentum from that. On the alpha front, we've converted about 15% of alpha clients to our tech platform. A lot more to follow in June. We just signed JP Morgan and BBNK agreements. to speed the addition of blockchain rails to our global settlement network. And look, while working on all these initiatives, the core cross-border business rocking, continuing to perform exceptionally well. So just wanted everyone to know we are laser-focused on these top five priorities. Okay, so last up today, I do want to share our thoughts on our midterm direction and where we're heading with the company. We did just return from our annual offsite strategy session where each year we get away, we debate the purpose of the company, our portfolio, the objectives to decide if it makes sense to change course. And we always come back clearer than when we go into these sessions. Here are this year's conclusions. So purpose, so on the purpose front, we are staying put. We'll continue to have a single purpose here at Corpay, which is to help businesses, you know, better manage and control expenses. You know, the tagline, Corpay for every way your business moves money. You will see our new Corpe brand campaign, Hammer Home, this simple theme. And, in fact, I think one of our newest introductory ads is now on our website. On the portfolio front, again, we'll continue to rotate to corporate payments and to fewer bigger businesses. You will see us divest more non-core TAM constrained businesses and you will see us acquire more corporate payment assets. So we're heading towards building really three global businesses over time. So the first wrapper really is employee payments. So We've got a set of spend management solutions that control really all distributed employee spend, whether fuel or T&E or just one-off discretionary purchases. So those programs all about preventing the misuse of company monies. We'll have a big B2B payments business, AP and supplier solutions that automate the workflow really through the entire centralized procurement invoice and payment chain. The goal there is to de-risk V2V money movement. And then third big business, cross-border payments will have, you know, FX payments, risk management solutions, and foreign bank accounts. really for middle market companies all over the world. Our goal there is to make global commerce easier. So post this midterm period portfolio remix, we'll really end up in these three main global business categories, each of which have like massive TAMs. And again, all centered around the same common purpose of helping businesses better manage and control their spending on the objective front really our midterm objectives really remain intact most important is to grow revenue organically 10% and remain a top quartile grower our business model and operating leverage do enable us to grow earnings much faster you know think 15% plus and our goal is to double cash EPS and to $50 a share during the forecast period. We do expect to generate about $15 billion in cash during the forecast period. That's from a combo of annual free cash flow and increased borrowing capacity as our earnings grow. We may buy back more than half the company at this current valuation. So, look, net-net, we are very clear and super excited about the way forward and where the company is headed. We'll build a simpler, more attractive, more consistent, high-growth company that we believe will outperform most. Look, in conclusion, we're delighted with the start of the year. We are raising full year 26 revenue and earnings guidance, high confidence in that. We're working the same five priorities very hard, and we've reaffirmed the midterm purpose, portfolio, and objectives for the company, really leading us to a super exciting place. So with that, let me turn the call back over to Peter to provide some additional detail on the quarter and our 26 outlook.