Worldline Earnings: Revenue Progression Decent; Investors May Have To Be Patient

Worldline reported first-quarter revenue of EUR 1,097 million, up 2.5% on an organic basis versus the same period a year prior and well ahead of flat consensus expectations collected by the group prior to the release. Moreover, merchant terminations in the merchant services business have been completed, allowing Worldline to reset its focus on stronger organic growth figures in its largest segment toward the end of the year. Merchant services expanded 3.9%, or 6.5% if we exclude merchant terminations, highlighting the potential for greater top-line results once the initial merchant termination impact during the third quarter last year is in the base. We maintain our EUR 28.90 per share fair value estimate and narrow economic moat rating.