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FIS Cuts Banking Growth Outlook Amid Project Delays

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FIS Cuts Banking Growth Outlook Amid Project Delays

FIS shares fell 20% in early trading Wednesday amid revised growth forecasts.

FIS reported selling 550,000 new accounts to community banks and credit unions through the third quarter.

Debit and credit issuer volumes held steady even as payments revenue growth slowed.

Banks are still buying technology from Fidelity National Information Services (FIS), but some of its largest customers are making the company wait longer to put it to work.

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FIS cut its 2026 pro forma Banking Solutions revenue growth forecast to 3.5-4% from 5-5.5%. Large clients moved conversion dates, bank consolidation affected the timing of revenue, and demand for traditional software licenses weakened as customers favored cloud products sold by subscription. Companywide, FIS now expects pro forma revenue growth of 3.1-3.6% in fiscal year 2026, down from 4.5-5%.

Shares fell 20% in early trading Wednesday after FIS released its results and lowered its outlook. The company separately announced that Chief Financial Officer James Kehoe would step down effective Thursday (Nov. 5) and that Alexandra Brooks, its chief accounting officer, would take over as interim CFO.

“Almost all of the delayed client conversions are contractually required, and almost all of them have already been planned in terms of the dates as they come into next year,” FIS CEO and President Stephanie Ferris told analysts on the Wednesday (Nov. 4) conference call. She said fewer than 10 clients were involved. Some projects have already restarted this quarter, while others are now scheduled as late as the third quarter of 2027.


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