Fiserv Slashes Jobs As Revenue Stalls

US payments technology company Fiserv has cut approximately 3,000 employee and contractor positions since June, accelerating a restructuring programme designed to restore profitability after a period of disappointing financial performance.

Chief executive Takis Georgakopoulos disclosed the reductions during Tuesday's earnings call, revealing that the company had also eliminated more than 10% of its senior management positions. Fiserv has doubled its cost-saving target under Project Elevate from $500 million to $1 billion and plans to withdraw from more than a dozen smaller products that offer limited growth or profitability.

The announcement accompanied third-quarter results showing revenue of $5.20 billion, down 1% from a year earlier, while organic revenue remained unchanged. Adjusted earnings reached $1.75 per share, although the company reported a substantial accounting loss after recording a $6.45 billion non-cash goodwill impairment. Management reaffirmed its annual forecasts and announced plans to repurchase $500 million of shares during the fourth quarter. Fiserv shares rose in premarket trading as investors responded to the expanded restructuring measures.

The changes illustrate the financial pressures confronting established payments businesses as competition and technology investment reshape the industry. Fiserv serves banks, merchants and other financial institutions, making operational reliability particularly important even as it reduces costs. Its challenge will be improving efficiency without weakening customer service or product development. For the wider financial technology sector, the restructuring reflects growing investor scrutiny of whether established providers can translate their scale into sustainable earnings growth.