Fiserv CEO Takis Georgakopoulos said the company is prioritizing customer service, platform stability, product simplification and faster execution of its technology roadmap as it works to improve performance across its Financial Solutions and Merchant Solutions businesses. Management said Project Elevate has identified $500 million in savings and is expected to contribute 200 basis points of cumulative margin expansion over several years, with the margin benefits back-loaded so that the expected 2029 impact is nearly twice the impact projected for 2027. Fiserv also disclosed an incremental $100 million technology-infrastructure investment, primarily in Financial Solutions, following testing against Frontier AI models and intended to accelerate remediation of security vulnerabilities. CFO Paul Todd said Fiserv expects adjusted revenue to decline 1% to 3% in the third quarter due to non-recurring comparison dynamics, followed by mid-single-digit growth in the fourth quarter, and that Clover volume growth is already at the low end of the company's 10% to 15% target range while revenue growth adjusted for certain items is at the low end of its 15% to 20% target. On capital allocation, Todd said the first priority remains reducing leverage below 3 times, with a target range of 2.5 times to 3 times over the 2027-to-2029 cycle, after which share repurchases become the highest priority for excess free cash flow.
Fiserv, Inc.Project Elevate targets $500M in savings and 200bps cumulative margin expansion, plus a $100M tech-infrastructure investment and deleveraging/share-buyback plans.
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