Wex Inc or Wright Express is one of the top digital payments company focusing on fleet payments. The company also has business segments in travel and corporate solutions and healthcare solutions. However, the fleet solutions segment is by far the largest segment when it comes to revenues generated. In the third quarter of 2020, the segment accounted for $228 million of revenues, travel and corporate solutions accounted for $64 million, while health and employee benefit solutions accounted for $89 million in revenue. Most of Wex Inc’s business is focused in the US. With the economy opening up gradually and vaccination drives kicking in, the future may be more promising for the company than the year that just went by.
Wex Inc Reports Q32020 Earnings
Wex Inc reported its third-quarter 2020 earnings in October of 2020. Total revenue was $382 million, a drop of 17% year-on-year from the $459 million achieved in the third quarter of 2019. Segment-wise the performance was positive for health and employee benefits solutions, with revenues for the segment rising by 7% year-on-year. Travel and corporate solutions was the worst hit segment with a 35% drop year-on-year while the fleet solutions segment also had revenues falling by 18% year-on-year. Net income per share went down from $0.33 in Q32019 to a net loss of $1.49 in Q32020. Adjusted net income was also down from $2.59 per share in Q32019 to $1.59 per share in Q32020.
Wex Inc’s stock may not have had the kind of performance that Zoom or Docusign’s stocks might have had. However, it could be one for the future. The stock closed at $201 on 22nd January 2021. It is down 0.67% for the preceding 30 days. However, the 5-year performance is better, with the stock rising from around $70 to $200. Another fleet card focused business is Fleetcor. Its stock is down 0.83% for the preceding 30 days but is up from $122 5 years ago to $267 on 22nd January 2021.