FLEETCOR Technologies, Inc. (NYSE:FLT) Q4 2022 Earnings Call Transcript

Ron Clarke: But all the reasons are working, right to get to an aggregate number we’re giving you hey look, we’re looking at just a year from today 20% revenue growth organic plus obviously the print would be way higher because we’re adding the deal. Clearly almost everything for a recipe working I’m telling you that the channel which is a pretty small piece less than 10% probably has gone backwards so everything else has got to be somewhere in the low-to-mid 20s to get the entire thing to be 20%. So I don’t want to sound too cocky on it, but kind of it’s like all working. We’re just selling a lot. Retention is super great you know with those types of businesses. Obviously spend is growing in the middle market, right that’s small companies fault or obviously bigger companies to be like in trucking and other areas are picking it up.

So I think the message to you guys is, and our product line is better and more complete. I just think that this business is kind of coming into €“ it really coming into its own now for us. And it’s big finally, right. It’s going to surpass $1 billion. And it was I don’t know what it was, but $1 billion a few years ago. So it’s become a sizable thing now for the company.

Trevor Williams: Yeah, that’s great. And just one more on corporate pay. Corpay One I think last year, you know any update you can give us? There I think last year, you were talking about taking more of a measured approach with some of the migrations, but just any update on progress there or overall strategic thinking on your plan for it for the next couple of years and the cross sell opportunity? Thanks.

Ron Clarke: Yeah, so that one is really still a work-in-process, because the core business is middle market. It’ll say this is a core but there’s a pretty small part. And so when we took a swing and miss at the cross sell, I did, we did not a super smart thing. We’ve really said okay, how do we get the product to be right for the scene? And how do we get the distribution to be right for the scene so what we’ve concluded is, we’re not going to chase super-duper small accounts that don’t have much AP you know that are at the very bottom and so we’re really kind of retooling the product and distribution to be up market a bit, so still below middle market, but kind of off of the floor and particularly given you know, what we’re seeing and hearing in the marketplace that seems like the right call who have rushed into like you know, super micro kind of AP accounts.

So we’ll report wise it hasn’t been our biggest priority since we did this way of the mess you know on the cross sell but we are continuing to work it.

Trevor Williams: Okay, got it. Thank you.

Operator: And we’ve reached the allotted time for questions today. So we’d like to thank you for attending today’s presentation. This will conclude the question-and-answer session You may now disconnect your lines at this time.