Worldpay Inc. reported Thursday that the integration of its predecessor companies, U.S.-based Vantiv Inc. and United Kingdom-based Worldpay Group plc, continued apace in the first quarter, and that revenues on a combined basis grew 12% year-over-year.
The 115,000 merchants served by pre-merger Worldpay’s Atlanta-based U.S. operation are moving to Vantiv’s platform. In a presentation released with its first-quarter financial results, Worldpay Inc. said “hundreds” of heritage Worldpay merchants moved to the combined platform during the quarter. But, reiterating its earlier predictions, Worldpay said the full migration won’t be done until 2019’s first half.
Other benchmarks achieved in 2018’s first three months included integration of U.S. sales forces, creation of a global executive team, and establishment of a global “strategic e-commerce solutions team,” the company said.
Symmes Township, Ohio-based Vantiv acquired Worldpay Jan. 16 and took its name for the merged organization. On a pro-forma basis that assumes the companies were combined throughout 2017, Worldpay Inc. posted first-quarter revenues of $915 million, up 12% from $815 million a year earlier. The biggest of the company’s three segments, Merchant Solutions, which generates 51% of total revenues, saw its revenues grow 5% to $466 million.
The fastest-growing segment, however, is Technology Solutions, which includes e-commerce and Vantiv’s integrated-payments business. That segment posted a 29% increase in pro-forma revenues to $366 million and is now bringing in 40% of the total. Worldpay plans to follow its U.S. e-commerce and integrated-payments partners as they expand abroad, at first targeting the U.K. and then the rest of Europe.
Worldpay’s smallest segment, Issuer Solutions, had a 4% drop in pro-forma revenues to $82 million. The segment is the card-processing and debit-services unit that comes from the Vantiv side, and it’s generating 9% of total revenues.
Including merger-related expenses, Worldpay posted a net loss of $97.6 million in the first quarter. On a pro-forma basis, the company said adjusted net income rose 26% to $254 million.