Fleetcor Technologies Inc (NYSE:FLT) stock rose 5.21% (As on August 9, 11:53:47 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the second quarter of FY 23 and  raised the 2023 guidance . Adjusted net income decreased 4% to $314.3 million in the second quarter of 2023, compared to $326.1 million in the second quarter of 2022, largely due to lower fuel prices and higher net interest expense. EBITDA increased 11% to $497.1 million in the second quarter of 2023, compared to $448.9 million in the second quarter of 2022. The company expects solid growth in the second half of 2023 as the company lap the interest and credit overhangs from last year and the organic revenue growth continues.

FLT in the second quarter of FY 23 has reported the adjusted earnings per share of $4.19, beating the analysts’ estimates for the adjusted earnings per share of $4.18, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 10 percent to $948.2 million in the second quarter of FY 23, beating the analysts’ estimates for revenue of $9452 million.

For the current quarter ending in September, FleetCor Technologies expects its per-share earnings to range from $4.44 to $4.64. The company expects revenue to  be in the range of $980 million to $1 billion for the fiscal third quarter.

FleetCor Technologies expects full-year earnings to be in the range of $17.09 to $17.35 per share, with revenue ranging from $3.84 billion to $3.86 billion. For fiscal year 2023, the company expects adjusted net income to be between $1,281 million and $1,303 million. For the full year, Interest expense is expected to be between $330 million and $340 million.

For the balance of the year, weighted average U.S. fuel prices is expected to be of $3.66 per gallon; Market fuel spreads to decline compared to the second half of 2022 average; and foreign exchange rates to be equal to the monthly average for July 2023.

Meanwhile, in August 2023, the Company entered into $2.0 billion of interest rate swaps, with an average term of three and a half years and average fixed rate of 4.30%, to reduce the variability of interest payments on our floating rate debt. The combination of these swaps, along with existing swaps, helps to manage interest rate risk on approximately 60% of floating rate debt in our Credit Facility.