File photo / Courtesy of WEX
Jagtar Narula
Updated: July 24, 2025
WEX beats the Street on Q2 results, raises full-year outlook
File Photo / Renee Cordes
WEX Inc. is a global financial technology company headquartered in Portland.
WEX Inc. (Nasdaq: WEX) posted better-than-expected second-quarter results and raised its full-year financial guidance.
Revenue fell 2% in the quarter to $659.6 million, from $673.5 million a year earlier, the company said Wednesday after stock markets closed.
The revenue decrease includes a $15.9 million unfavorable impact from fuel prices and spreads, and a $1.9 million favorable impact from foreign exchange rates.
Adjusted second-quarter net income was $136.2 million, or $3.95 per diluted share. That’s 1% higher than a year earlier.
Both earnings and revenue exceeded the consensus forecast of analysts polled by Zacks Investment Research. Over the last four quarters, the company has surpassed consensus earnings per share estimates three times.
WEX, led by CEO Melissa Smith, provides fintech services to businesses in fleet mobility and fueling, corporate payments, travel industry payments and employee and member benefits.
“We delivered stronger financial results than anticipated in the second quarter with adjusted EPS exceeding guidance and revenue coming in at the top end of our guidance,” Smith said in Wednesday’s release. “As we continue to execute against our strategy and invest in growth initiatives, we’re well-positioned to drive long-term returns for our shareholders.”
Jagtar Narula, the company’s CFO, attributed the earnings increase to higher fuel prices and "incremental benefits" from better cost management.
He also said the company is encouraged by positive returns from investments in sales and marketing this year and a strengthening new business pipeline.
“We are confident that the operational momentum we’re seeing will support sustained earnings growth and long-term value for shareholders,” Narula said.
Bullish outlook
For the third quarter, the company said it expects revenue in the range of $669 million to $689 million and adjusted net income in the range of $4.30 to $4.50 per diluted share.
The company also raised its full-year financial outlook.
WEX said it now expects adjusted income for all of 2025 to be in the range of $15.37 to $15.77 per diluted share, up from a previous forecast of $14.72 to $15.32 per diluted share issued in May.
WEX also now projects 2025 revenue to be in the range of $2.61 billion to $2.65 billion. That compares to May’s forecast of $2.57 billion to $2.63 billion.
Third-quarter and full-year 2025 guidance is based on assumed average U.S. retail fuel prices of $3.23 and $3.21 per gallon, respectively, and a 25.0% adjusted net income effective tax rate.
Stock snapshot
As of Wednesday's market close, WEX shares were trading at $163.40, giving the stock an equity value of around $5.6 billion. The stock is down more than 15% from a year ago.
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