Fiserv reshaped a portion of its debt structure during the second quarter of 2026, retiring approximately $1.41 billion of senior-note principal for $1.23 billion in cash and recording a $154 million GAAP gain on early debt extinguishment.
The transaction involved a cash tender offer and open-market repurchases of portions of Fiserv’s 5.150% senior notes due March 2027 and its 4.400% senior notes due July 2049.
Fiserv disclosed that $1.41 billion in aggregate principal was accepted for purchase during June and July, with total consideration of approximately $1.23 billion paid to holders.
The company reported a $154 million gain on early debt extinguishment in its GAAP second-quarter results. For adjusted reporting purposes, Fiserv excluded $130 million of the gain after considering related accounting items and tax effects.
Fiserv also issued €1 billion of new four-year and eight-year senior notes at a weighted-average coupon of 4.0%. Total long-term debt declined to $26.68 billion at June 30 from $27.76 billion at the end of 2025.
The debt actions came as Fiserv generated $2.08 billion of operating cash flow during the first six months of 2026 and $1.36 billion of free cash flow. The company also repurchased $300 million of common stock during the first half, including $100 million during Q2.
Fiserv reported Q2 revenue of $5.29 billion and adjusted revenue of $4.96 billion. The company updated its full-year outlook to organic revenue growth of negative 1% to flat and adjusted EPS of $7.20 to $7.40.
KEY QUOTES:
“Our business continues to be supported by volume growth and strong positions in attractive markets. Our recurring revenue base is durable, client demand for our strategic platforms remains strong, and we are improving execution, enhancing our technology and are committed to long-term shareholder value.”
Takis Georgakopoulos, CEO of Fiserv
“Growth in overall volumes, transactions and accounts, coupled with recurring revenue growth, highlight the underlying performance of our business in the second quarter.”
Paul Todd, CFO of Fiserv
