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Fidelity National Information Services, Inc. (NYSE:FIS)
Q2 2019 Earnings Call
Aug 6, 2019, 8:30 a.m. ET

Contents:

  • Prepared Remarks
  • Questions and Answers
  • Call Participants

Prepared Remarks:

Operator

Welcome to the FIS Second Quarter 2019 Earnings Call. [Operator Instruction]

At this time, I'll turn the call over to your host, Head of Investor Relations, Mr. Nate Rozof. Please go ahead, sir.

Nathan Rozof -- Executive Vice President, Investor Relations

Thank you. Good morning, and thank you for joining us today for the FIS second quarter 2019 earnings conference call. This conference call is being webcasted. Today's webcast, news release and corresponding presentation are all available at our website at fisglobal.com.

Turning to Slide 2, today's remarks will contain forward-looking statements. These statements are subject to risks and uncertainties as described in the press release and other filings with the SEC. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Please refer to the safe harbor language.

Also, throughout this conference call, we will be presenting non-GAAP information, including adjusted EBITDA, adjusted net earnings and adjusted net earnings per share. These are important financial performance measures for the Company, but are not financial measures as defined by GAAP. Reconciliations of our non-GAAP information to the GAAP financial information are presented in our earnings release.

During today's call Gary Norcross, our Chairman, President and CEO , will discuss our second quarter 2019 highlights and the successful closing of the Worldpay acquisition. Woody Woodall, our CFO will review FIS's and Worldpay's second quarter financial results and provide guidance for the remainder of the year.

With that, I'll turn the call over to Gary, who will begin his comments on Slide 3. Gary?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you, Nate. Good morning and welcome to today's call. I'm very pleased to announce that FIS and Worldpay have officially combined. We now begin the next exciting chapter in our pivot to growth strategy. And I'm especially excited to welcome the Worldpay team, as well as their clients and investors into the FIS family. Charles, Mark, Stephanie and key leaders from Worldpay are staying with the company and joining our team to continue driving growth in the merchant business and other areas of FIS. I couldn't be more optimistic about the future of this Company and what we will accomplish together.

Clients and partners from both companies have shared how excited they are about the opportunities that the new FIS will bring to the table with our expanded capabilities. As a leading provider of technology for merchants, financial institutions and capital markets across the globe, this gives us the unique ability to create seamless end-to-end experiences. Together, we will advance the way the world pays, banks and invest, positioning us to power the digital economy. This combination redefines our roadmap to accelerating organic growth.

Both FIS and Worldpay had a strong second quarter, providing us confidence that our markets remain robust and that our teams remain focused on execution. FIS has successfully generated six consecutive quarters of exceptionally strong sales. In the second quarter, sales were up more than 30%, increasing our backlog by 7% organically, giving us clear line of sight to continued accelerating revenue growth.

Wins in the quarter continued to amplify client demand for our solutions to improve the digital experience for their customers and drive operational efficiencies. For example, in our IFS segment, a large regional bank with more than $35 billion in assets, expanded its relationship with us through a significant new multi-year agreement for our DIGITAL ONE item processing and capture solutions to gain new efficiencies, reduce cost and improve the digital experience for its customers.

This move toward outsourced solutions also propelled a large US-based insurance company to select our hosted enterprise platform to streamline key back office processes and improve the customer support experience. Additionally, in our GFS segment, a regional arm of the top 5 UK institution signed a long-term agreement for an FIS core banking solution in support of the bank's goals to better serve its German-speaking markets post Brexit.

Also, a large asset management firm with more than $60 billion in assets under management chose to partner with IFS to gain cost and servicing efficiencies within its transfer agency operations. Similarly, Worldpay has maintained a strong growth trajectory as the business is ideally positioned in secular high growth payments markets, including Global eCommerce and Integrated Payments. Within Global eCommerce, Worldpay continued its exciting sales momentum by adding 14 new cross-sell wins during the quarter, bringing the total to 56. These wins show that Worldpay's global reach and tailored solutions are clearly resonating with merchants.

On day one of FIS-Worldpay combination, FIS organic growth rate increases from 4% to 6% on a proforma annualized basis. The combination also creates a significant revenue synergy opportunities of $500 million. We expect to begin realizing revenue synergies in the coming months, accelerating organic revenue growth trends toward 7% next year and then, into the 7% to 9% range in the future.

In addition, we will continue to invest in new value creating opportunities to reinforce and enhance our growth by harnessing the power of our combined cash flow. Later in the call, I'll provide further perspective on our transformation into a unique global leader within commerce and financial services and the differentiated value proposition that we will bring to our clients.

But first, Woody will take us through our second quarter financial results. Woody?

James Woody Woodall -- Chief Financial Officer

Thanks, Gary. I'd also like to express my enthusiasm for closing the transaction and my sincere thanks to our teams for making this a success. We have been hard at work since the transaction announcement to provide the investment community with a complete package of information today in order to paint a clear picture of how we see FIS going forward. This includes presenting both companies outstanding second quarter results, as well as quarterly historical proforma combined financials, combined Company guidance for the rest of the year, plus initial thoughts for 2020. It's been a heavy lift, but our teams have done a great job.

Turning to FIS's consolidated results on Slide 4, in the second quarter, revenue increased 5% on an organic basis. Our EBITDA margins expanded 170 basis points to 37.6% and adjusted EPS grew 9% to $1.78 per share. Our top-line growth continues the acceleration we saw in the first quarter and reflects the strong sales momentum that Gary mentioned. Our healthy margin expansion was enhanced by our data center consolidation program and the ongoing benefits of prior year divestitures. We are very pleased with the first half of the year and we're excited for the future of FIS.

Moving to Slide 5, our IFS segment continues to accelerate and increased 6% on an organic basis as EBITDA margins expanded by 150 basis points IFS's strong top-line performance was broad-based and our banking and wealth, payments and corporate and digital businesses each grew 6% during the quarter.

GFS also had a very strong quarter, with organic revenue growth accelerating to 4%, and EBITDA margins expanding by 120 basis points. Within the GFS division, our institutional and wholesale business returned to growth, increasing by 3% on an organic basis. We anticipate this business will continue to experience improving trends in the second half of the year.

It was another impressive quarter for Worldpay, as you can see on Slide 6. Revenue increased 9% when excluding crypto and foreign currency headwinds, adjusted EBITDA margins expanded by 330 basis points and adjusted EPS increased by 19% to $1.24 per share. Fueling Worldpay's strong top-line, it's Technology Solutions segment continues to deliver exceptional upper teens growth, increasing by 19% when excluding crypto and foreign currency headwinds.

The Merchant Solutions and Issuer Solutions segments each grew 2% on a constant currency basis, in line with the expectations. Worldpay achieved $50 million in cost synergies during the quarter and completed its US platform migration, keeping it on track to successfully complete its 250 million annualized cost synergy program by the end of the year.

These results reflect continued strong business momentum, providing a solid base to begin the second half of the year.

I'll now turn the call back over to Gary, to discuss our go-forward operating model beginning on Slide 7.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Woody. As we bring our two great companies together, we will structure our organization into three operating segments. This new structure reflects our distinct, but complementary global businesses and the integration of Worldpay's talent and technologies. Going forward, our segments will be Merchant Solutions, Banking Solutions and Capital Market Solutions.

Starting with Merchant Solutions, FIS will go to market using the Worldpay brand. The segment will be led by Mark Heimbouch, Worldpay's former President and Chief Operating Officer, who will continue to build its leading market position in Global eCommerce and Integrated Payments. Our Banking Solutions segment will be led by Bruce Lowthers, who previously led IFS. In his expanded role, Bruce will continue to drive accelerating growth across our global client base.

Our third segment will provide best-in-class solutions across all facets of the capital markets industry. Martin Boyd will lead this segment, serving the buy side and sell side firms, as well as corporations and insurance companies. The common denominator across all three of these segments is digital enablement across global markets. All three serve the largest multinational clients, with leading solutions at global scale. They also bring innovative capabilities to help our small and mid-size clients to be agile, resilient, and to reach their full potential. Finally, all three are uniquely positioned in secular high growth markets.

Turning to Slide 8, we will go to market in all three of our segments with a powerful client value proposition. For over 50 years, FIS has driven growth for clients around the world by creating tomorrow's technology, solutions and services to modernize today's business and customer experiences. We do more than develop technology. We provide access to innovation by continuously investing to create innovative, secure, enterprise-grade solutions that position our clients and their customers for success today and in the future.

With our data and insights, we create new intersections between markets and technology that solve for our clients' future, while delivering experiences that are more simple, seamless and secure to advance the way the world pays, banks, and invest. Using our world-class scale, we enable our clients global reach at the local level. With our connections across the global financial ecosystem, we provide our clients access to new enterprise-grade solutions that enable them to run their businesses more efficiently, grow more effectively, and enter into new markets with greater speed and lower cost of entry.

Delivering innovation and insight at this global scale puts us at the heart of commerce, and the financial world. This is why I'm so confident in our ability to build on the strong foundations already laid at FIS and Worldpay to accelerate our revenue growth even further together.

I will now turn the call back to Woody to round out our financial discussion, before he opens the call for questions. Woody?

Woody Woodall -- Chief Financial Officer

Thanks, Gary. Moving to Slide 9, we have a compelling financial profile, which is further strengthened by the Worldpay acquisition. Our high quality revenue is supported by long-term contracts for mission-critical solutions. This creates recurring revenue that's predictable and resilient. The Worldpay transaction enhances these attributes by providing meaningful exposure to secular, high-growth markets like eCommerce and Integrated Payments.

Our world-class scale creates operating leverage and drives substantial margin expansion. We deliver solutions using a one-to-many SaaS model and aggressively focus on operational excellence. One of the attractive components of this transaction is that the Worldpay team has the same focus and together, we will use this operating mantra to drive significant cost synergies.

Finally, FIS is known as a strong cash flow generator, which will be significantly enhanced going forward. As we achieve our integration targets, free cash flow will almost double over the next three years, dramatically expanding our capacity to invest for future growth. These attractive qualities, combined with our constant focus on creating shareholder value, will create substantial earnings growth.

Turning to Slide 10, consistent with past practices, we have taken advantage of the past four months to do detailed integration planning. Through this planning, we've identified opportunities to accelerate our timeline to achieving synergies. We now have line of sight to exit 2020 at $150 million of annual run rate revenue synergies, $50 million more than our original expectations, making us even more confident in our ability to generate a total of $500 million in annual run rate synergies by the end of 2022.

As we achieve these synergies, we expect our organic growth rate to accelerate from approximately 6% on a proforma annualized basis in 2019, toward 7% in 2020 and higher in the future, as Gary mentioned. We will initially generate revenue synergies by driving additional volumes across our payment networks, optimizing our loyalty and fraud solutions, and enhancing Worldpay's Issuer business.

All of these opportunities are supported by solutions that are in market today, with a demonstrated value proposition for our clients. As we move further out, longer term opportunities include increasing authorization rates for our eCommerce platform, leveraging our global presence to expand market share in emerging geographies, and utilizing our global bank channel for merchant referrals.

Turning to Slide 11, through integration planning, we've validated the timeline that we expect to deliver cost synergies, including increasing our total expected expense savings to more than $500 million on an annual run rate basis by the end of 2022. This includes more than $100 million in net interest expense savings annually, due to our successful refinancing of Worldpay's debt.

We will quickly begin executing our operational synergies by achieving operational efficiencies, technology optimization, and corporate alignment now that the transaction is closed and expect to exit 2020 at a $200 million annual run rate. This annual run rate will step up to $300 million and $400 million by the end of 2021 and 2022, respectively.

Consistent with past transactions, we look forward to updating you on our progress for both revenue and cost synergies in the upcoming quarters.

Turning to Slide 12, our capital allocation strategy remains consistent. This quarter, we generated over $400 million of free cash flow, representing a 20% conversion to revenue and 18% growth year-over-year. Our current leverage is approximately 3.5 times and we are committed to rapidly de-lever to approximately 2.7 times in 12 months to 18 months. Even as we de-lever, the strength of our balance sheet gives us the flexibility to consider tuck-in acquisitions to further enhance growth.

We will also continue to maintain and grow our current dividend program, which returned over $100 million to shareholders this quarter. Finally, we'll continue to use our strong free cash flow to invest in industry-leading technology initiatives to drive sustained organic growth. With the strength of our balance sheet and the power of our free cash flow, we can do each of these things, while still hitting our leverage targets.

Turning to Slide 13, we are presenting third and fourth quarter 2019 guidance for the combined Company, which includes Worldpay's contribution to our results beginning on August 1st. Our revenue guidance supports 6% organic growth for the full year on an adjusted combined basis and it supports our conviction in approaching 7% organic revenue growth in 2020.

Our EBITDA guidance reflects ongoing margin expansion at both companies, primarily driven by our data center consolidation program and Worldpay's $250 million cost synergy program. Going forward, we will continue to expense stock compensation, which Worldpay has previously added back. This creates approximately $70 million in stock compensation within our guidance that would not have been incorporated into the prior expectations for Worldpay. We expect to incur approximately $30 million in stock compensation expense for Worldpay employees during the third quarter and approximately $40 million during the fourth quarter, which is factored into this guidance.

I am pleased to report that following constructive dialog with the Securities and Exchange Commission, we will resume our prior method of reporting adjusted EPS, which excludes amortization of purchase accounting intangibles only. For the third quarter, we anticipate adjusted EPS of $1.33 per share to $1.37 per share and $1.47 per share to $1.53 per share in the fourth quarter.

We've provided a reconciliation of our EPS guidance between both methods in our earnings release and the appendix of this presentation to ensure transparency.

Along with the additional assumptions provided on this slide, I would also like to message that we believe our full year weighted average shares outstanding will be approximately 453 million to 455 million.

While we'll provide formal 2020 guidance on our Q4 call, I wanted to give a quick recap on some of our 2020 commentary. Given the strong trends within our business and our confidence to exit 2020 at $150 million of annual run rate revenue synergies, we expect our organic revenue growth rate to accelerate from 6% toward 7% in 2020.

Further, we expect to exit 2020 at $200 million of annual run rate cost synergies in addition to generating over $100 million in net interest expense savings. Given our success to-date with this integration, we now expect the Worldpay acquisition to be accretive in 2020.

With that, I'll turn the call over for Q&A. Operator, you may open the line.

Questions and Answers:

Operator

Thank you very much. [Operator Instructions] And we will take our first question from Dave Koning with Baird. Please go ahead.

David Koning -- Baird Equity Research -- Analyst

Yeah. Hey, guys. Congrats on all the progress.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Dave.

Woody Woodall -- Chief Financial Officer

Thanks, Dave.

David Koning -- Baird Equity Research -- Analyst

Yeah. I guess, first of all, it's interesting to see the new segment results along Merchant Banking and Capital Markets. And I'm wondering, you gave the 10%, 5%, and 3% growth for the three segments. I know you're expecting acceleration over the next couple of years. Maybe you could talk a little bit about how each of those segments contributes to the acceleration, which ones maybe more than others and how do you see those segments growing?

James Woody Woodall -- Chief Financial Officer

Yeah. I think you're right. We're looking at the merchant to be in a high-single, low-double digit growth rate over the next few years. We're looking at Banking in the mid-single digits and Capital Markets to be in the lower-single digits. I think we'll see revenue synergies in both Banking and in the Merchant business, driving higher growth over the next few years, but are very pleased with the acceleration we've seen in both businesses and the momentum both businesses have going into 2020.

David Koning -- Baird Equity Research -- Analyst

Okay. Great. Thanks. And then, I guess, originally, I think maybe 18 months ago or 12 months ago, you talked about I think, it was 2021 being $700 million to $750 million. And now since then, you've said that this deal will be accretive to the midpoint of that range, I think, or accretive to at least that range, but now also you've had better results than expected across both companies, you've had interest expense going down. I mean, are we kind of thinking higher end of that range now?

James Woody Woodall -- Chief Financial Officer

I think what we really clarified, Dave, was that instead of a dilutive deal in 2020, we're looking at an accretive deal in 2020. Hadn't really updated as far as where we're at on 2021, but certainly pleased with progress to-date and are certainly pleased with being able to accelerate the revenue synergies earlier.

David Koning -- Baird Equity Research -- Analyst

Okay. Great. Lastly, just free cash flow nearly double exiting 2022, what does that mean exactly, double from what level or just how do we think of that maybe in dollars ?

James Woody Woodall -- Chief Financial Officer

Yeah. If we go back to the announcement day deck. I think you looked at -- we described a 2022 or a post-synergy number of $4 billion to $4.5 billion and are still looking at that number in the out year, Dave.

David Koning -- Baird Equity Research -- Analyst

Okay. Great. Well, thanks guys. Appreciate it.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

Operator

Thank you. Our next question in queue comes from David Togut with Evercore. Please go ahead.

David Togut -- Evercore ISI -- Analyst

Hi. Good morning, and congratulations.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Dave.

David Togut -- Evercore ISI -- Analyst

Looks like the second consecutive quarter of 5% organic growth for core FIS and that's probably the first time in, at least, three years. So what would be your assumption for organic growth for FIS stand-alone for the back half of this year, because it seems like you're trending above the 4% to 4.5% organic revenue guide for the full year?

James Woody Woodall -- Chief Financial Officer

Yeah. So it's a good question. We're certainly seeing the investments that we've been making paying off into sales, sales turning into revenue now. We've talked about that for the last few quarters. If we were on a stand-alone basis, we would be raising our stand-alone guide to more like a 5% number right now for the consolidated FIS stand-alone, Dave.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. Absolutely. Dave, let me -- we've now had six quarters of consecutive strong sales. Obviously, very strong sales this past quarter, pipeline looks really good, so we're real pleased with all the investments we've made on modernization, all of the work that we've done around data center consolidation. We've talked about new availability limits that we're bringing into market, our mass enablement programs, all of those are really pushing the former FIS into mid-single digits, and we feel very confident that's going to continue across that base.

David Togut -- Evercore ISI -- Analyst

Good to see. And then, on the synergy targets, the $50 million revenue raise by year-end 2020 on revenue synergy and $100 million raise on cost synergy for year three exit rate. What specifically changed in the last few months to give you the conviction to raise the targets so early on?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

I think, Dave, when we started pulling the teams together and when we started working on the various tracks where the business lines got together and start working on the revenue opportunities and what we saw as the potential new product deployments across the various client basis and even when we saw it across on the operating side as well, we just started building a lot of confidence in our ground up planning. When we come into announcement, we've done top down due diligence. Based on experience and based on what we saw during due diligence, we come into to a synergy number. And that always gives us high confidence.

I mean we always have a -- we're always very good at exceeding those expectations, but then, as you build ground-up, you really start gaining confidence on how you're thinking about what products, where the market opportunities are, what the cross-sell is, what's the total addressable market to address against that and all of that's driven us a lot of confidence going into next year and delivering the revenue earlier than what we thought. We've also had great feedback from our clients, both on the Worldpay and on the FIS side. Our clients have been reaching out to us. They are excited about what this combination could mean for them. So all of those things come in the play with why we are confident in the revenue synergies going forward.

David Togut -- Evercore ISI -- Analyst

Understood. Congrats again.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks Dave.

Operator

Thank you. The next question in queue will come from Jim Schneider with Goldman Sachs. Please go ahead.

James Schneider -- Goldman Sachs -- Analyst

Good morning. Thanks for taking my question. Maybe just following up on David's previous question. Can you maybe just give us a bit of a sense about some of the earliest revenue synergies you expect to materialize and some examples of what those could be, whether that's more on the eCommerce side, or whether that's global distribution throughout your bank network of Worldpay's products, et cetera?

Woody Woodall -- Chief Financial Officer

I think in the short-term, what we're going to see, Jim, is as Woody discussed in his prepared remarks, it's really our existing capabilities or Worldpay's existing capabilities and our ability to deliver that across our new combined client base. So, early on, obviously, we will be focusing on debit routing initiatives. We talked a lot about that on the launch. We think there's some real opportunity to be gained there. When you start thinking about the data and analytics that Worldpay can do around merchants and merchants' portfolios, to provide that access into that information to merchants, we were really nascent in that space over our merchant portfolio. So a real opportunity going that way.

You see other areas where, as you think about cross selling and other capabilities on both sides, that will also step up. Longer term, we'll start seeing more pickup of merchant referral programs. We're going to start seeing more pickup of using our loyalty as a currency that we've talked about in the past, [Indecipherable] deploy across that base. So we've got really good line of sight into the revenue opportunities.

The sales teams now, post close, are coming together and really building out all their go-to-market plans, marketing has done a great job letting them hit the ground running with launch materials on what we're going to be selling in those basis. So all of that's triggering a good strong insight into our revenue side.

James Schneider -- Goldman Sachs -- Analyst

That's helpful. Thanks. And then, maybe as a follow-up, can you maybe just give us, Gary, a little bit of an update on the strategic and macro level from your core Banking Solutions clients, what they're saying about the current interest rate environment, if it's having any kind of impact on their spending or outsourcing decisions and how do you feel about the remainder of the year in that specific segment and heading into 2020?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Jim, it's a good question. I mean everybody watches as interest rates go up and go down, what does this mean for financial institutions. And clearly, as you're looking at interest rates being lowered, especially on a number of our customers that were directly hit their net interest margin and therefore, hit their income. But what we're seeing, honestly, is what's going on in the industry, I think, a lot of financial institutions and we've talked about this on prior calls, they have really held on too long to their historical legacy technologies. And I think they're really in a mode now where they have to invest.

And so, we've seen six consecutive quarters of very strong sales. We have a very full pipeline going in the back half of the year across all of our businesses, both Banking and Capital Markets and Merchant Solutions. So, all of those things make us bullish and confident on the future. I don't think that banks are going to be able to pull back their spend in the short term because at this point in time, they have to move to the next-generation platforms. They have to move to the cloud. They have to move to digital enablement in order to survive. And FIS is very well positioned to capture those revenue opportunities as people are making next-generation decisions and really pushing in that direction.

James Schneider -- Goldman Sachs -- Analyst

Congratulations on the updated guidance and thank you.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Jim.

Operator

Thank you. Our next question in queue, that will come from Ashwin Shirvaikar with Citi. Please go ahead.

Ashwin Shirvaikar -- Citi -- Analyst

Thank you. And let me add my congratulations, Gary and Woody, on both closing the deal, as well as this initial presentation deck here is very useful.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you, Ashwin. We appreciate it.

Ashwin Shirvaikar -- Citi -- Analyst

Sure. Yeah. Let me actually start with some disclosure type of question. FIS used to provide obviously, both for IFS and GFS, the underlying multiple lines, sub-segment information. Worldpay used to also provide three segments underneath. What should investors expect going forward as you think about that next level of underlying information as well as if you can provide the timing of when some of the historical information, so we can do proper analysis, any color on that would be great?

James Woody Woodall -- Chief Financial Officer

Yeah. Ashwin. Thanks. I think the team did a great job in pulling the proforma combined historical information. If you look at the data in the earnings release today, you can see it all the way back by quarter, back to Q1 2018, which I think can help you with there. We are going to continue to have new segments around Merchant Banking and Capital Markets. That will be the external disclosure, if you will. We'll continue to provide some color in the commentary around Technology Solutions, the Merchant Solutions and what's going on both globally and domestically within Banking, but probably won't externally disclose at that level of granular detail, but we will continue to provide transparent information to the market on our results and what's driving those results.

Ashwin Shirvaikar -- Citi -- Analyst

Got it. Thank you for that. And then, with regards to, obviously, there is a market expectation that's based on your track record, that you will exceed your synergy number. You've started off well here with increased confidence on one side and also exceeding synergies on the other. I wanted to get a little bit deeper into that, what's changed between the last time you were speaking publicly and now with regards to bringing up the near-term synergy expectation and why would that not explicitly bring up the longer term as well?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, why don't I start, Ashwin, and we will let Woody chime in. I mean honestly, when you look at the operating synergies, the team just did an outstanding job refinancing Worldpay's debt, I mean really generating over $100 million of savings there. So that's why we obviously we needed to increase our $400 million target on that number going forward. Obviously, we've got very high confidence in the operating synergies. As you know, we've historically exceeded our synergy expectations by more than 30%. As you look at our revenue side, we're increasing the rate at which our revenue is on boarding. We've not extended beyond $500 million. I think we just, to my points earlier, really are getting clear line of sight of how those revenues are going to come on board.

So, Woody, talked about it, but I can't trivialize how hard the teams have worked between signing and close. If you look at all of the prepared information, you do a combined call like this, is nothing short of amazing. But also all of the business owners have really been doing deep dives week-in and week-out, building those plans around where we're going to tackle the expense side and the revenue side. So that's really what's been the big change since our last public conversation about those topics. So high confidence on the $500 million. We see that revenue coming in earlier than what we originally expected, which is great. That will actually smooth that curve out some over the next three years.

When you look at the operating expense, frankly, we are going to make sure that everybody saw the interest savings that we did here and stay committed to the original guide on our OpEx, so that's why we raised that overall expense savings number. But we're very pleased at where we are at this point in time. The cultures of the companies have come together very well. I commented the landing of the leadership team from Worldpay in key positions in FIS was very important to me personally. So all of that just gives us a lot of confidence as we go into the back half of the year and into 2020.

Ashwin Shirvaikar -- Citi -- Analyst

Got it. And one quick thing if I could squeeze it in is, just to be clear, the $100 million incremental on the interest side, is that all going to the bottom line or are you going to reinvest a piece of it to get better growth or I mean how should we think of that?

James Woody Woodall -- Chief Financial Officer

That interest savings will go dollar-for-dollar to the bottom line and it will start August 1st.

Ashwin Shirvaikar -- Citi -- Analyst

Got it. Thank you, guys. This is great.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Ashwin.

Operator

Thank you. The next question in queue comes from Dan Perlin with RBC Capital Markets. Please go ahead.

Daniel Perlin -- RBC Capital Markets -- Analyst

Thanks guys, and congratulations again on everything you guys have accomplished thus far.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Dan. Appreciate it.

Daniel Perlin -- RBC Capital Markets -- Analyst

You bet. I just wanted to get a sense, the macro backdrop has been evolving pretty quickly here. And there is a fair amount of exposure in terms of cross-border eCommerce opportunities that you guys have, but it also can be somewhat of a risk in these kinds of environments. And so I was just curious, what you're hearing from your clients, what if anything are you seeing in near-term? Obviously, your guidance suggests that things are going to be OK, but I'd love to get any incremental color on that. Thanks.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. Dan, it's early. I mean, as you would expect, I have already met with several of the largest Worldpay clients since close. So, we've been real busy in engagement that -- in those areas. Frankly, not seeing any concerns at this point in time. Frankly, when we look at the trends, they are very consistent across the board. We've modeled continued slowing in the UK due to Brexit. Obviously, we're not expecting any turnaround there, but our eCommerce volumes seem like they are performing well, our same-store sales are growing well, and so all of those things would indicate we're pretty pleased with what we're seeing and that we feel very confident in the forecast.

Daniel Perlin -- RBC Capital Markets -- Analyst

Great. Woody, maybe can you just help us a little bit on the third and fourth quarters' organic growth assumptions? I think you said you thought for the year you'd land at 6%, if I heard you correctly. I'm just trying to think about how that trend, since we got little bit of a stub in terms of the third quarter and then rolling into the fourth quarter? Thank you.

James Woody Woodall -- Chief Financial Officer

That's right. I'll start with the fourth quarter first. It's about a 6% organic grower in the fourth quarter, as you get all three months of Worldpay and get a more consistent point of view on the numbers flowing through. Third quarter is a little lower than that. Really, you're getting two months instead of three months of Worldpay's higher growth as a contribution there. We've got -- and our difficult comp from last year, that was our high watermark last year in terms of growth, was the third quarter. And we've got little bit of accounting conformity in both the third and the fourth quarter, but impacting Q3 a little heavier. So that's what you're looking at there. You add those -- you pull those out, you're looking at more like a 5% grower in Q3, really driven by some of those points I just mentioned.

Daniel Perlin -- RBC Capital Markets -- Analyst

Okay. And then if I can sneak one more in. Worldpay's EBITDA margins were off the chart, strong. I just want to make sure, is that just the synergy attainments in terms of closing the US platform or was there something one-time in nature? Thank you.

James Woody Woodall -- Chief Financial Officer

No. Not one-time, very strong synergy attainment, as they look to $50 million in quarter, still on-track for the $250 million for the full year and drove it just like we thought we would.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. Dan, also, they are completely done with the US consolidation movement, which is really positive. So just as we thought and we talked about in the announcement today, we felt very confident that not only the NAP program over in the UK was going very well, we also felt very confident in the US and that US platform has been consolidated now, so that's behind us.

Daniel Perlin -- RBC Capital Markets -- Analyst

Excellent. Thank you.

Operator

Thank you. The next question in queue comes from Lisa Ellis with MoffettNathanson. Please go ahead.

Lisa Ellis -- MoffettNathanson -- Analyst

Terrific. Thanks and thanks guys. Good morning.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Good morning.

Lisa Ellis -- MoffettNathanson -- Analyst

Gary, could you comment on -- from your perspective, what aspect of the merger is going to be the most challenging and where are you spending your personal time focused?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, right now, I'm not seeing -- I mean it's great question, Lisa. Right now, I'm not seeing any red flags, but with that being said, where I always spend most of my time in these very early days post-close is with employees and clients. I have already been out. On day of close, I met with two of the largest clients in Worldpay's portfolio. Right after this call, I'm on my way to London. We've already been in front of on a global town hall our employees. Because you want to make sure that everybody stays focused on our commitments and that's something that I hit very strong. Focus on our clients, make sure that we meet the expectations in the market and then, frankly, focused on sales, we just don't want anybody to get distracted.

So early on I'm focused there. I also spend a lot of time making sure that the cultures blend together. I talked about that on the earlier call. These cultures are very aligned, which is great, but we will find subtle differences. And it's important to get those identified and get those perceived barriers or cultural barriers eliminated, so everything come together as a team. Landing the leadership team, as I talked about, was very important. So I feel great that we were able to do that between signing and close. We've brought a lot of talent into FIS because of that, but right now, in the early days, that's where I'm focused.

Obviously, that will shift very quickly to -- we are pivoting the growth here. And so we're going to have to shift very quickly in the next few weeks and really start focusing on go-to-market prospects and I'll make sure that I'm getting engaged there as well. But Mark's doing an excellent job. He has been with Worldpay for years, so really understands the business and obviously, he's hitting the ground running, but that's really where I'm focused now.

Lisa Ellis -- MoffettNathanson -- Analyst

Terrific. And then, my follow up, the global expansion revenue synergy is one of the critical ones over the longer term and in the out years. Can you just describe what sort of actions you are taking over the next 18 months to make sure you're on track to begin generating that synergy revenue out in 2021, like how will we know it's progressing and is on track? Thank you.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, you're going to see it through the revenue growth line. Obviously, you're going to see our organic growth rate accelerate, as we talked about, to approximately 7% next year. You're going to see it move beyond that to 8% and 9% in the years out. What we're doing and we've already been doing it, we've got our teams together, our Banking teams and our Capital Markets team, sales teams and go-to-market teams together with our Worldpay teams. We've got it in certain markets where we have a huge presence, whether it's India, whether it's Brazil, whether it's Australia, we're getting those teams together.

One of the things that's different about us is, we're really a global company, but we have a local presence, which is very important and us being able to leverage that local presence to make those introductions and accelerate Shane's business through eCom penetration in those markets is going to be very important. So we're well down the path with those conversations today. Obviously, we're also doing stuff to augment the product. We want to increase those authorization rates.

We want to decrees those fraud rates. Really, we're already separate and apart with regards to eCommerce when you think about where the authorization rates are today, but how do we raise that 200 basis points, 300 basis points and really further distances. So those two things will really help us accelerate into those new markets and we're pretty excited about it. And I think we will have some really good traction. While we said that's going to be later in the process, I think, we will have potentially some good early wins here in the next 12 to 18 months.

Lisa Ellis -- MoffettNathanson -- Analyst

Okay. And then, maybe one last one that's not related to the merger. I know you've highlighted for core FIS that faster payments and fast ACH is an important growth area for you. Can you just quickly comment on how announcements like the Fed announcement of FedNow, and then, this morning's announcement from Mastercard of buying Nets' account to account business, how those types of changes in the market impact you? Are they...

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Look, I think it's a great question. I saw the Nets' announcement today. It looks like good acquisition by Mastercard. A lot of people are focused on where faster payments is going, how money movement is going to occur. We've talked about it a lot. It's been a huge area of focus for us. We actually got into real-time payments now little over four years ago with our Clear2Pay acquisition. That's gone very well. We're now in more than 20 countries, running their real-time payment platforms today for them on FIS software. When you look at what the Fed announced, didn't surprise me. It's logical that the Fed would also look to accelerate what they're doing in real-time payments. What I would tell you is, all of those things create opportunities for FIS. So as money moves across the various channels, what's important to us is to make sure that we have the full breadth of capability to capture those payments as they move across various verticals.

So, as real-time payments accelerate, we're very well positioned to capture that volume. As eCommerce accelerates, we're very well positioned to capture those volumes. So we've talked a lot about the breath on a global basis across Merchant, across Banking, across Capital Markets. The other thing we have to realize is, there is a breadth across our asset portfolio that really allows us to not be disintermediated as these new technologies roll on. So, all of these announcements will long term be positive things for FIS, as more and more money moves to various channels, so we can absolutely capture that and drive our revenue stream.

Lisa Ellis -- MoffettNathanson -- Analyst

Terrific. Thank you and congrats again and I look forward to working with you guys. Thanks.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

James Woody Woodall -- Chief Financial Officer

Thanks.

Operator

Thank you. Our next question comes from Jason Kupferberg, Bank of America Merrill Lynch. Please go ahead.

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Great. Good morning, guys. How are you?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Doing great, Jason.

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Terrific. So I just wanted to see if we can go a little deeper on the commentary around the deal now becoming accretive in 2020. Can you just clarify, did you mean that on a full year basis it will be accretive or that, exiting 2020, it will be accretive?

James Woody Woodall -- Chief Financial Officer

So we think it's accretive on a full year basis in 2020. And really to get to your base, we use some assumptions and projections that are disclosed in our joint merger proxy that show what our expectations were on a stand-alone FIS basis. That's a $6.16 number for 2020. So that's the mark that we are talking about.

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Okay. That's very, helpful. And I was just curious, on the OpEx side of things, I know at this juncture, obviously, the deal just closed, so you're still sticking with the $400 million target, excluding the interest expense savings. But hypothetically, if you do ultimately deliver upside potential on that $400 million, would you expect that to be more on the operational side, technology, the corporate alignment piece?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

It's too early, Jason, to really talk about that at this point in time. I think, Woody gave some insight into how we see the $400 million spreading. As we dig into these situations, we're very confident on the $400 million. At FIS, we look at across the full enterprise to make sure that we're taking advantage and getting the maximum leverage we have out of these combinations, without damaging the business. Obviously, we want -- we've said, this number of times, this is about pivoting to growth, accelerating our growth into upper single digits and hopefully, higher in the long term.

But we feel very good that a lot of those synergies will come out of the technology and business side, but also the corporate side of FIS. But as we build into more of that, it's early. One of the things that we've always taken great pride in is, being very transparent on where we are on synergies throughout the process. So, as we get several quarters into this, we will start giving more insight into where the majority of the synergies we see are coming from and where we might see upside in any of those three areas.

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Okay. That's helpful. Just last one from me. I know on the Worldpay side Tech Solutions was really quite strong, again, at 19% on an adjusted basis. Was just curious what kind of trajectory you're assuming for the second half of the year on that metric?

James Woody Woodall -- Chief Financial Officer

Yeah. We've been thinking about Technology Solutions in line with that mid-to-high teens growth rate that's been outlined for a number of quarters. It's executing very well and our expectations are, it to continue to execute in line with what's been described in the marketplace.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

And if you look on, Shane and his team had another great quarter of cross sales. We talked about it in the prepared remarks. I mean, that really gives us strong confidence that he is going to continue -- he and his team are going to continue to execute. And based on what we're seeing, volumes and everything, there is no indication that it should come off that guide.

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Okay. I appreciate the comments. Nice job. Thank you.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

Operator

Thank you. The next question in queue comes from Brett Huff with Stephens. Please go ahead.

Brett Huff -- Stephens -- Analyst

Hey,Gary and Woody. Congrats again on getting this deal done.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Hey, Brett. Thank you.

Brett Huff -- Stephens -- Analyst

Two questions. One unrelated to the merger. I've been focused on the modularization, the rewriting of your guys' chores that you've been, where you rewrite a back office thing and then spread it out. Where are we in that process, are we still early innings? And then, also, related to that, what's the uptake on that particular program right now?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

I appreciate the question. Brett. As you know, when we announced that, that was a very long-term project -- program build. It is going very well. I would say, we're in mid-innings to late-innings. So we continue to -- the response has been terrific in market. We've actually made some announcements of key wins with some really early stage innovators. We have now one in production on that platform. The product continues to be being built out on a modular basis. Obviously, we're doing it in a very agile, nimble way, launching from the ground up in the cloud. We're going to have some really nice announcements on that platform in the coming quarters and we feel very good about that program.

Brett Huff -- Stephens -- Analyst

Great. And then second one related to the deal. One of the great things that you guys have done over the years with the deals you've done is, you've taken on the data center consolidation behemoth several times.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah.

Brett Huff -- Stephens -- Analyst

And I know that this one has started I think three years ago. Tell us how this gives you insight into getting the cost synergies with Worldpay? I'm assuming it's getting rolled in. And then, what potential pitfalls do we have joining the Worldpay data center project, which I assume is going to start soon, with the one that's ongoing? Is there any -- how do we manage that risk? Thanks for that.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, it's a great question. Brett. I'd tell you, Ido Gileadi, our Global CIO and his team have just done a phenomenal job with data center consolidation. We have over 80% of our digital applications now in the private cloud. We've launched -- we've announced publicly to our clients availability of less -- guaranteed of less than 15 minutes now, which the industry is at 24 hours, and in some instances, 48 hours. So, it's really, really going well. And so, naturally, as we put these two technology groups together that comes under common ownership within FIS and naturally those data centers will become part of the overall consolidation plan in the future. So we feel very confident. We've got a great team geared up.

We are well -- we're three years into this program. You're seeing the benefits drop to our bottom line, and we'll just keep the team now churning as we bring these groups together. So we have very high confidence on execution, we have very high confidence in taking advantage of the next generation technologies, and they will be a key contributor to our synergy saves.

Brett Huff -- Stephens -- Analyst

Thanks guys.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

Operator

Thank you. The next question will come from George Mihalos with Cowen. Please go ahead.

George Mihalos -- Cowen -- Analyst

Hey. Good morning, guys. And let me add my congrats on getting the deal done.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, George.

James Woody Woodall -- Chief Financial Officer

Thanks.

George Mihalos -- Cowen -- Analyst

Wanted to go back to the Tech Solutions segment within Worldpay, which again, as Jason said, was very, very strong. Can you talk a little bit about the trends? It sounds like there is a lot of momentum continuing on the eCom side, but maybe what you're also seeing on the Integrated Payments side? And then, as it relates to eCom, some of the changes that are happening, SCA in Europe coming on at some point at least over the next couple of months, is that really more of an opportunity for FIS, or are you concerned there could be some disruption there?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, let me first start with the Integrated side. Obviously, it still continues to be strong. We continue to win new business. We actually think there's increased opportunity with the combination just given our size and scale and reach. So we're very excited about Integrated and how that business performs. We've talked a number of times on the call, Shane's really has been very strong on the overall eCommerce side. So we don't see any issues. Frankly, as you talk about changes, typically changes is a benefactor to us. I mean it's the same way in Worldpay. As we talked, what's interesting about the businesses is, when we see any kind of regulatory change or any kind of change whatsoever, we typically see that convert into a tailwind for FIS. And so we're confident that our growth rates are going to continue to be strong.

James Woody Woodall -- Chief Financial Officer

We saw really good growth in both components there, with eCommerce probably a little higher than the 19% that we saw, and IP a little lower, blending to the 19%, but that was in line with expectations and where things are going at FIS.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

That's right.

James Woody Woodall -- Chief Financial Officer

If you look at some of the regulatory changes that are coming on board, we think some of our low fraud rates can actually drive the exemptions and drive some wallet share opportunity in some of those areas to reduce friction with that new authentication that's coming down the line.

George Mihalos -- Cowen -- Analyst

That's great color. Thanks for that. And just a quick follow-up. Shifting gears a little bit to Capital Markets, so that return to growth is as you expected. I think, Woody, you laid out kind of long-term low single-digit growth. Should we expect that over the back half of '19 that growth to accelerate a little bit from 3%, given the somewhat easier comparisons over the second half? Thank you.

James Woody Woodall -- Chief Financial Officer

That's exactly right. We're seeing some accelerated growth. Some of that is just good execution by Martin and the team, but we also are facing a little easier comps in the back half of 2019 within Capital Markets, you're exactly right.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Sales continues to be strong in that area, George. I mean, when you look at the historical backlogs and look where backlogs are today and you look at the execution, we will continue to go through a little bit of volatility noise just on that movement from license on-premise to outsourcing, and we will continue to see that. But honestly, from an execution standpoint, our ability to take share, the teams are delivering very nicely against those sales. So we feel good about that business going forward.

George Mihalos -- Cowen -- Analyst

Congrats again.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

Woody Woodall -- Chief Financial Officer

Thank you.

Operator

Thank you. The next question in queue comes from Darrin Peller with Wolfe Research. Please go ahead.

Darrin Peller -- Wolfe Research -- Analyst

Hey. Thanks, guys. Congrats on deal closing.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks, Darrin.

James Woody Woodall -- Chief Financial Officer

Hi, Darrin.

Darrin Peller -- Wolfe Research -- Analyst

Hey. You know listen, when we look at the FIS trends stand-alone and we look at where they're trending now, 5% this quarter and even last quarter 4% adjusting for one-time items and we compare that to the prior year, I know you guys said, you would expect it to be 5% this year. But just what exactly is different, can you specifically point to what products are growing more quickly, is it the end market that's better? I'd be curious to hear what changed so substantially and why that's sustainable? It's great to see, just curious, more color on that...

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Well, I think two things, Darrin. What's really changed is, honestly, if you look, we're well positioned in the larger financial institutions around the world, right. So whether you look at the mid-tier or a large financial institutions, FIS is well positioned. If you look at that client base specifically, they really have held on to their technology investment way too long. Look at SunTrust and BB&T coming together, all about scale to drive innovation. So you're just seeing in that secular market an increased spend rate around technologies. And they're focusing on a number of different things. They are focusing on digital enablement of their capabilities, where they're really going, trying to go the next generation omni-channel capabilities.

Obviously, we're a leader in that space with our DIGITAL ONE application.

If you look at some of the things that Brett talked about -- asked about on Stephens, where you are even looking at [Indecipherable] and how do I move my legacy technology from some of these applications that have been in place for 30 years or 40 years, how do I really move them to a next generation cloud-based platform. All of these things are just driving an increased spend rate. And when you look at six quarters in of really strong sales, that just gives us high confidence that's going to continue. We've got a number of significant opportunities in flight, pipeline is very full, teams are really engaged. And so I think timing is just really working in favor of FIS.

Giving where we're positioned in market, giving the type of clients we have, also giving where we've made investments. We started these investments on cloud-based technologies four plus years ago. We started these investments on next generation applications four years ago and all of that's really accelerating to our benefit as our customers look to modernize and transform themselves.

Darrin Peller -- Wolfe Research -- Analyst

Okay. All right. That's helpful. And then, guys, I mean with regard to the eCom side and again, there was 19% growth at overall Tech Solutions. Did you already have the benefit of any other revenue from the cross sells between them and Worldpay? When you list off the incremental 14% or so this quarter, there were some that were already started last year. I think the second half is where we're hoping for the revenue from some of those to really start to come on. Is that still on target and should that help with the growth rate of eCom and overall Tech Solutions in the second half?

James Woody Woodall -- Chief Financial Officer

Yeah, I think what we actually described was more of that revenue benefiting 2020 from a growth perspective. Year-over-year, we're certainly seeing the cross-sell right now and are excited about it, but more of that revenue growth is in 2020, as those convert.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. Keep in mind, Darrin, I mean, as you think about new sales across eCommerce, very similar to the FIS business in Banking. Can be a long sales cycle, but it also can be a fairly lengthy implementation cycle, right. You've got to integrate the software into the eCommerce environment, they're going to actually slowly start moving volume over, so the ramp really you start seeing in 2020. But...

Darrin Peller -- Wolfe Research -- Analyst

Okay.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

As Woody shared earlier, we still feel very confident about the back half of the year and what we're seeing in those current growth rates. So really sales, as we talk about it in any of these quarters, are really indicative of what it's going to look like three and four quarters out.

Darrin Peller -- Wolfe Research -- Analyst

All right. Just last quick one. Those low-hanging fruit revenue synergies around the nice network and co-production, those still should be coming on on plan?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. We talked about it. We really think that we're going to start seeing some revenue benefit here very early in the process. And so that gives us high confidence as we guided in 2020 that really start pushing toward 7%, and we've got really good line of sight into some of those topics we've discussed on prior calls and today.

Darrin Peller -- Wolfe Research -- Analyst

Very good. Thanks guys.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thank you.

James Woody Woodall -- Chief Financial Officer

Thank you.

Operator

Thank you. We do have time for one more question, that will come from Ramsey El-Assal with Barclays. Please go ahead.

Ramsey El-Assal -- Barclays -- Analyst

Hi. Thanks for taking my question and squeezing me in here. I actually wanted to follow up on Darrin's last question about the near-term synergies. Woody, you mentioned, in addition to some of the network optimization, you mentioned optimizing loyalty, fraud and enhancing Worldpay's Issuer business. I'm trying to just get a little more granularity about that. I thought maybe optimizing loyalty might have to do with your Pay With Points program, but it seems like that might have been a little later on in the planning in terms of revenue synergy realization. So if you could just give us a little more color on what exactly is optimizing royalty fraud and enhancing Worldpay's Issuer business? I'd be grateful.

James Woody Woodall -- Chief Financial Officer

Yeah. On the loyalty side, I think, you're going to see that in the short-term and in the longer term as well, as we take that capability and push it through the existing distribution channel. It was already growing for FIS on a stand-alone basis. So that will continue. We can accelerate that with Worldpay's distribution. And then, longer term, we can build it into the eCommerce platform and drive incremental differentiation there. So that's the biggest component there.

On the fraud side, it's really incrementally having more data sets to work through, max [Phonetic] data sets to drive through our processes. Those are the two biggest components from additional color standpoint. We will see some level of revenue synergy more in the fourth quarter starting to come online, but it's pretty minimal in terms of its end year contribution for 2019. More of that's coming in 2020.

Ramsey El-Assal -- Barclays -- Analyst

Okay. And then lastly from me, can you give us some indication. You spoke a bit about the evolution in the marketplace of faster payments and how you're well positioned on a lot of different axis to benefit from that. Can you speak to any capabilities that the merger will unlock in terms of potential on us, alternative routing paths to go from merchant to bank or is that something that's in your roadmap or any color there would be helpful too?

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Yeah. No, Ramsey, we think there could be a real opportunity there. Obviously, when you start talking about long-term combination of the Company and some opportunities that might exist, that's one of them that we're looking at, but we're not really prepared to talk about that today.

Ramsey El-Assal -- Barclays -- Analyst

Fair enough. Thanks a lot .

James Woody Woodall -- Chief Financial Officer

Thank you.

Operator

Thank you. At this time, we'll turn the conference back over to our presenters for any closing comments.

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

Thanks for joining us today. We are thrilled with this combination. Worldpay is a respected global brand with the best-in-class executive team and over 8,000 talented employees. They have a loyal and expansive client base and partner network who represent some of the most successful businesses in the industry. This, combined with our profitable and very predictable financial institution business, Banking and Capital Markets, all aimed at the heart of commerce and the financial transactions that power the world's digital economy, makes us a powerful combination. We are grateful to all our loyal clients who depend on us to keep their businesses running and growing every day.

Finally, I'm personally thankful for our now 55,000 leaders and employees for their hard work and dedication in serving our clients. FIS is dedicated to advancing the way the world pays, banks and invests. Thank you for joining us today.

Operator

[Operator Closing Remarks]

Duration: 63 minutes

Call participants:

Nathan Rozof -- Executive Vice President, Investor Relations

Gary Adam Norcross -- Executive Chairman, President & Chief Executive Officer

James Woody Woodall -- Chief Financial Officer

Woody Woodall -- Chief Financial Officer

David Koning -- Baird Equity Research -- Analyst

David Togut -- Evercore ISI -- Analyst

James Schneider -- Goldman Sachs -- Analyst

Ashwin Shirvaikar -- Citi -- Analyst

Daniel Perlin -- RBC Capital Markets -- Analyst

Lisa Ellis -- MoffettNathanson -- Analyst

Jason Kupferberg -- Bank of America Merrill Lynch -- Analyst

Brett Huff -- Stephens -- Analyst

George Mihalos -- Cowen -- Analyst

Darrin Peller -- Wolfe Research -- Analyst

Ramsey El-Assal -- Barclays -- Analyst

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