This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Fiserv's CEO Discusses Q4 2011 Results - Earnings Call Transcript

Free cash flow of $734 million was essentially flat due primarily to increased capital expenditures and timing of working capital which we generally expect to reverse. Free cash flow per share increased 5% to $5.09 for the full year.

Free cash flow and free cash flow per share over the last 4 years have grown at a cumulative annual growth rates of 14% and 19%, respectively, reflecting the strength of our business model and consistent execution of our strategies. We allocated over $1 billion in capital in 2011, split about evenly between strategic acquisition and share repurchase.

We also refinanced a large block of our debt at historically low rates while extending our average duration by nearly 50%. Our balance sheet is strong, and we remain within our targeted debt-to-EBITDA range.

For 2011, we were focused on 3 key priorities: first, to deliver an increased level of high-quality revenue growth and meet our earnings commitments; next, to center the Fiserv culture on growth, leading to more clients, deeper relationships and a larger share of our strategic solutions; and third, to deliver innovation that increases differentiation and enhances results for our clients.

Adjusted internal revenue growth accelerated in both segments in 2011. The majority of our growth continues to be from high-quality recurring revenue in our existing businesses. Innovative new solutions such as Mobile, P2P and Acumen are important element of our plan to further accelerate growth and are just beginning to ramp. Adjusted EPS growth of 13% marked our 26th consecutive year of double-digit growth. Earnings grew while investing in these new solutions that should have the dual benefit of accelerating revenue growth and expanding margin.

Fostering a step change in our revenue growth is a rationale for centering the Fiserv culture on growth. The record success of our single sales organization is a proof point to that focus. We have significantly increased our expectations for sales performance in each of the last 2 years, and that's leading to better results.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.99 0.37%
FB $118.57 0.00%
GOOG $698.21 0.00%
TSLA $238.50 -1.40%
YHOO $36.53 0.00%


Chart of I:DJI
DOW 17,891.16 +117.52 0.66%
S&P 500 2,081.43 +16.13 0.78%
NASDAQ 4,817.5940 +42.2360 0.88%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs