WEX Inc. Posts $77.7M Q1 Profit as Revenue Climbs 6% to $673.8M
WEX Inc., a payment processing and information management company, reported net income of $77.7 million for the three months ending March 31, up from $71.5 million in the prior-year quarter. Total revenue rose 5.8% to $673.8 million.
WEX Inc. (NYSE: WEX) reported net income of $77.7 million for the three months ending March 31, 2026, up from $71.5 million in the same period a year earlier. The payment processing and information management company posted total revenue of $673.8 million, a 5.8% increase from $636.6 million in the first quarter of fiscal 2025. Read more earnings reports.
Diluted earnings per share rose to $2.22 from $1.81 a year earlier, reflecting both higher profits and a reduced share count. The weighted average diluted shares outstanding declined to 35.0 million from 39.4 million.
Operating income for the quarter reached $158.2 million, up slightly from $157.3 million in the prior-year period. The company reported cost of revenue of $280.1 million compared to $270.0 million a year earlier. Income tax expense totaled $30.8 million, up from $28.9 million in the first quarter of fiscal 2025.
Cash Flow Under Pressure
Cash from operations swung to a negative $330.8 million in the quarter, compared to a negative $481.6 million in the same period last year. Cash from investing activities totaled a negative $524.1 million, a substantial increase in cash deployed compared to the negative $23.5 million in the prior-year quarter.
Cash from financing activities generated $423.1 million, up from $318.4 million a year earlier. The company reported cash and cash equivalents of $633.5 million as of March 31, 2026, down from $905.8 million at the end of December 2025 and up from $610.3 million at the end of the prior-year quarter.
Balance Sheet Expansion
Total assets grew to $15.43 billion as of March 31, 2026, up from $14.40 billion at the end of December 2025. Current assets stood at $10.71 billion, compared to $9.71 billion three months earlier. Short-term investments increased to $4.78 billion from $4.33 billion at year-end.
Total liabilities rose to $14.15 billion from $13.17 billion at the end of December 2025. Current liabilities climbed to $10.22 billion from $9.29 billion. Long-term debt increased to $3.61 billion from $3.53 billion at the end of the prior quarter.
Stockholders' equity stood at $1.27 billion as of March 31, 2026, up from $1.23 billion at the end of December 2025. Retained earnings totaled $2.45 billion, up from $2.37 billion three months earlier. The company reported 34.7 million common shares outstanding, up from 34.3 million at year-end.
Financial Summary
| Metric | Q1 FY2026 | Q1 FY2025 | Change |
|---|---|---|---|
| Total Revenue | $673.8M | $636.6M | +5.8% |
| Operating Income | $158.2M | $157.3M | +0.6% |
| Net Income | $77.7M | $71.5M | +8.7% |
| Diluted EPS | $2.22 | $1.81 | +22.7% |
| Cash from Operations | -$330.8M | -$481.6M | — |
Depreciation and amortization for the quarter totaled $43.7 million, down from $44.7 million in the prior-year period. Total assets as of the end of the quarter were $15.43 billion, with total liabilities of $14.15 billion.