WEX Reports $780.1 Million in Revenue and Raises 2026 Annual Guidance
Key Facts
WEX reported revenue of $780.1 million for the third quarter ended September 30, 2026, up 12.8% from the same period a year earlier, and raised its full-year revenue and earnings outlook. The company said in its earnings release that adjusted net income reached $211.9 million, or $6.13 per diluted share, up 33.6% year over year. GAAP net income was $134.1 million, or $3.88 per diluted share. The company also recorded year-over-year improvement in operating margins. The actual results and updated annual guidance put the third quarter at the center of the company's disclosure.
Chief Executive Melissa Smith said the results reflected "real progress in pricing, winning new business and innovation across all our segments." Total volume across the three segments was $78.5 billion, up 18.5% from the year-earlier quarter. Mobility led revenue growth, generating $435.1 million, an increase of 20.6%. Benefits revenue was $207.6 million, up 4.8%, while Corporate Payments revenue was $137.4 million, up 3.5%. The figures show revenue growth was more concentrated in Mobility, while the other two segments posted slower year-over-year gains.
The company attributed part of the revenue increase to a favorable net fuel-price impact of $57.3 million and a favorable foreign-exchange impact of $0.8 million during the quarter. It said GAAP operating income margin rose to 30.6% from 26.5% in the year-earlier period. Adjusted operating income margin also increased to 42.6% from 39.5%. Both margins improved alongside higher revenue, with the fuel impact notable for its size compared with the foreign-exchange impact reported by the company. In her comments on the results, Smith linked performance to pricing, new business and innovation across the company's segments.
WEX raised its fiscal 2026 revenue outlook to a range of $2.97 billion to $2.99 billion, and adjusted net income guidance to $21.28–$21.48 per diluted share. Previous guidance had put revenue at $2.86 billion to $2.90 billion and adjusted earnings at $19.68 to $20.08 per diluted share. The revised outlook moves the company to a higher range for expected annual revenue and earnings following its third-quarter results. The company also reported that its previous adjusted net income guidance range was $667 million to $703 million. These figures remain fiscal-year estimates, separate from the revenue and earnings achieved in the third quarter.
The company repurchased about $200 million in shares during the third quarter, then made additional repurchases worth $75 million through October 26. The buybacks coincided with the company reporting adjusted free cash flow of $234.3 million, compared with $166.2 million in the year-earlier quarter. In contrast, net cash used in operating activities was $11.2 million, while the company reported net cash provided by operating activities of $376.6 million in the corresponding period of 2025. The comparison highlights a clear difference in operating cash flow between the two periods, alongside an increase in adjusted free cash flow under the company's measure. The buyback figures provide a more recent picture of capital allocation than the figures the company reported for the prior quarter.
WEX expects fourth-quarter 2026 revenue of $760 million to $780 million and adjusted net income of $193 million to $200 million, or $5.67–$5.87 per diluted share. The company scheduled a call to discuss the results for October 29, 2026, at 10:00 a.m. Eastern Time. The upcoming quarterly outlook is the next point at which to compare the company's performance with its estimates after it raised its annual guidance range. The scheduled call gives the company an opportunity to present its third-quarter results and details of its outlook for the following period. The call is scheduled after the results announcement on October 28.