BUSINESS DISPOSITIONS AND DISCONTINUED OPERATIONS

3 Months Ended

Mar. 31, 2026

Discontinued Operations and Disposal Groups [Abstract]

BUSINESS DISPOSITIONS AND DISCONTINUED OPERATIONS

Discontinued Operations

We completed the sale of our Issuer Solution business on January 9, 2026, simultaneously with the acquisition of Worldpay. We analyzed quantitative and qualitative factors relevant to the Issuer Solutions disposal group and determined that the accounting criteria to be classified as held for sale and a discontinued operation were met. Accordingly, the operating results of our Issuer Solutions business have been reflected as discontinued operations for all periods presented through the completed divestiture date. The assets and liabilities of the Issuer Solutions disposal group are presented separately on our consolidated balance sheet as of December 31, 2025. Our consolidated statements of cash flows include cash flows from discontinued operations for all periods presented through the completed divestiture date. Unless otherwise indicated, all disclosures in the notes to the consolidated financial statements reflect only our continuing operations.

The following table presents the major classes of line items constituting income from discontinued operations, net of tax, in our consolidated statements of income for the three months ended March 31, 2026 and 2025:


	Three Months Ended
	March 31, 2026		March 31, 2025
	(in thousands)
Revenues	$	54,259	$	598,514
Operating expenses:
Cost of service	28,980		432,534
Selling, general and administrative	28,194		67,054
Gain on business disposition	(22,174)		—
	35,000		499,588
Operating income	19,259		98,926



Interest and other income (expense), net	1,688		(7,221)
Income from discontinued operations before income taxes and equity in income of equity method investments	20,947		91,705
Income tax expense	1,607,197		14,909
Income (loss) from discontinued operations before equity in income of equity method investments	(1,586,250)		76,796
Equity in income of equity method investments	23		38
Income (loss) from discontinued operations, net of tax	$	(1,586,227)	$	76,834

The following table presents the carrying amounts of the major classes of assets and liabilities of discontinued operations as of December 31, 2025:


	December 31, 2025
	(in thousands)
Cash and cash equivalents	$	403,689
Accounts receivable, net	333,142
Prepaid expenses and other current assets	466,703
Current assets of discontinued operations	1,203,534

Goodwill	9,284,218
Other intangible assets, net	4,201,245
Property and equipment, net	1,111,243
Other noncurrent assets	632,914
Valuation allowance to adjust assets to estimated fair value, less costs to sell	(160,449)
Noncurrent assets of discontinued operations	15,069,171

Accounts payable and accrued liabilities	810,301
Current liabilities of discontinued operations	810,301

Deferred income taxes	277,226
Other noncurrent liabilities	155,796
Noncurrent liabilities of discontinued operations	433,022

Cash flows related to discontinued operations are included in our consolidated statements of cash flows for the three months ended March 31, 2026 and 2025. The following table presents selected items affecting the statements of cash flows:


	Three Months Ended
	March 31, 2026		March 31, 2025
	(in thousands)
Depreciation and amortization of property and equipment	$	—	$	27,434
Amortization of acquired intangibles	—		132,087

During the three months ended March 31, 2025, Issuer Solutions entered into an agreement to acquire software and related services, of which $37.5 million was financed utilizing a two-year vendor financing arrangement. During the three months ended March 31, 2026, we recognized tax expense in discontinued operations of $1.6 billion, primarily related to the derecognition of goodwill in the sale of the Issuer Solutions business which was not deductible for U.S. federal income tax purposes, along with other taxable differences recognized upon sale.