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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2022
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from             to             

Commission file number: 001-16111
gpn-20220630_g1.jpg
GLOBAL PAYMENTS INC.
(Exact name of registrant as specified in charter)
Georgia58-2567903
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
3550 Lenox Road, Atlanta, Georgia
30326
(Address of principal executive offices)(Zip Code)
Registrant’s telephone number, including area code: (770) 829-8000
Securities registered pursuant to Section 12(b) of the Act
Title of each classTrading symbolName of exchange on which registered
Common stock, no par valueGPNNew York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes    No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.
Large accelerated filer Accelerated filer
Non-accelerated filer Smaller reporting company
Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
YesNo
The number of shares of the issuer’s common stock, no par value, outstanding as of July 28, 2022 was 277,162,888.


GLOBAL PAYMENTS INC.
FORM 10-Q
For the quarterly period ended June 30, 2022

TABLE OF CONTENTS
  Page
PART I - FINANCIAL INFORMATION
ITEM 1.
ITEM 2.
ITEM 3.
ITEM 4.
PART II - OTHER INFORMATION
ITEM 1.
ITEM 1A.
ITEM 2.
ITEM 6.


2

PART I - FINANCIAL INFORMATION

ITEM 1—FINANCIAL STATEMENTS

GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)

Three Months Ended
June 30, 2022June 30, 2021
Revenues$2,280,906 $2,137,437 
Operating expenses:
Cost of service
962,299 936,310 
Selling, general and administrative
863,179 838,569 
Impairment of goodwill833,075  
Loss on business dispositions152,211  
 2,810,764 1,774,879 
Operating (loss) income(529,858)362,558 
Interest and other income2,956 5,455 
Interest and other expense(99,188)(80,556)
 (96,232)(75,101)
(Loss) income before income taxes and equity in income of equity method investments(626,090)287,457 
Income tax expense52,776 60,808 
(Loss) income before equity in income of equity method investments(678,866)226,649 
Equity in income of equity method investments, net of tax13,815 40,164 
Net (loss) income(665,051)266,813 
Net income attributable to noncontrolling interests, net of tax(7,948)(3,223)
Net (loss) income attributable to Global Payments$(672,999)$263,590 
(Loss) earnings per share attributable to Global Payments:
Basic (loss) earnings per share $(2.42)$0.89 
Diluted (loss) earnings per share $(2.42)$0.89 

See Notes to Unaudited Consolidated Financial Statements.
3


GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)

Six Months Ended
June 30, 2022June 30, 2021
Revenues$4,437,160 $4,127,444 
Operating expenses:
Cost of service
1,919,457 1,861,556 
Selling, general and administrative
1,686,328 1,628,071 
Impairment of goodwill833,075  
Loss on business dispositions152,211  
 4,591,071 3,489,627 
Operating (loss) income(153,911)637,817 
Interest and other income4,667 9,689 
Interest and other expense(192,471)(163,697)
 (187,804)(154,008)
(Loss) income before income taxes and equity in income of equity method investments(341,715)483,809 
Income tax expense104,994 81,483 
(Loss) income before equity in income of equity method investments(446,709)402,326 
Equity in income of equity method investments, net of tax31,294 62,897 
Net (loss) income(415,415)465,223 
Net income attributable to noncontrolling interests, net of tax(12,851)(4,952)
Net (loss) income attributable to Global Payments$(428,266)$460,271 
(Loss) earnings per share attributable to Global Payments:
Basic (loss) earnings per share $(1.53)$1.56 
Diluted (loss) earnings per share $(1.53)$1.55 

See Notes to Unaudited Consolidated Financial Statements.
4

GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(in thousands)

Three Months Ended
June 30, 2022June 30, 2021
Net (loss) income $(665,051)$266,813 
Other comprehensive income (loss):
Foreign currency translation adjustments(210,882)32,671 
Reclassification of accumulated foreign currency translation losses to net loss as a result of the sale of a foreign entity
62,925  
Income tax benefit related to foreign currency translation adjustments963 4,242 
Net unrealized gains (losses) on hedging activities5,051 (410)
Reclassification of net unrealized losses on hedging activities to interest expense7,534 9,662 
Income tax expense related to hedging activities(3,052)(2,225)
Other, net of tax (1,549)
Other comprehensive (loss) income(137,461)42,391 
Comprehensive (loss) income(802,512)309,204 
Comprehensive loss (income) attributable to noncontrolling interests5,540 (5,948)
Comprehensive (loss) income attributable to Global Payments$(796,972)$303,256 

Six Months Ended
June 30, 2022June 30, 2021
Net (loss) income $(415,415)$465,223 
Other comprehensive income (loss):
Foreign currency translation adjustments(243,843)(895)
Reclassification of accumulated foreign currency translation losses to net loss as a result of the sale of a foreign entity
62,925  
Income tax benefit related to foreign currency translation adjustments1,634 4,991 
Net unrealized gains on hedging activities13,985 584 
Reclassification of net unrealized losses on hedging activities to interest expense16,979 20,500 
Income tax expense related to hedging activities(7,508)(5,089)
Other, net of tax 6,226 
Other comprehensive (loss) income(155,828)26,317 
Comprehensive (loss) income(571,243)491,540 
Comprehensive loss (income) attributable to noncontrolling interests5,981 (1,703)
Comprehensive (loss) income attributable to Global Payments$(565,262)$489,837 

See Notes to Unaudited Consolidated Financial Statements.



5

GLOBAL PAYMENTS INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
June 30, 2022December 31, 2021
(Unaudited)
ASSETS  
Current assets:  
Cash and cash equivalents$1,933,309 $1,979,308 
Accounts receivable, net989,172 946,247 
Settlement processing assets1,544,124 1,143,539 
Current assets held for sale65,998 4,779 
Prepaid expenses and other current assets684,393 637,112 
Total current assets5,216,996 4,710,985 
Goodwill23,496,495 24,813,274 
Other intangible assets, net10,272,685 11,633,709 
Property and equipment, net1,689,292 1,687,586 
Deferred income taxes30,564 12,117 
Noncurrent assets held for sale1,087,411  
Other noncurrent assets2,382,381 2,422,042 
Total assets$44,175,824 $45,279,713 
LIABILITIES AND EQUITY
Current liabilities:
Settlement lines of credit$469,540 $484,202 
Current portion of long-term debt1,279,743 78,505 
Accounts payable and accrued liabilities2,338,867 2,542,256 
Settlement processing obligations1,799,689 1,358,051 
Current liabilities held for sale93,966  
Total current liabilities5,981,805 4,463,014 
Long-term debt10,883,721 11,414,809 
Deferred income taxes2,626,096 2,793,427 
Noncurrent liabilities held for sale4,670  
Other noncurrent liabilities703,005 739,046 
Total liabilities20,199,297 19,410,296 
Commitments and contingencies
Equity:
Preferred stock, no par value; 5,000,000 shares authorized and none issued
  
Common stock, no par value; 400,000,000 shares authorized at June 30, 2022 and December 31, 2021; 277,032,813 issued and outstanding at June 30, 2022 and 284,750,452 issued and outstanding at December 31, 2021
  
Paid-in capital21,800,574 22,880,261 
Retained earnings2,326,259 2,982,122 
Accumulated other comprehensive loss(371,178)(234,182)
Total Global Payments shareholders’ equity23,755,655 25,628,201 
Noncontrolling interests220,872 241,216 
Total equity23,976,527 25,869,417 
Total liabilities and equity$44,175,824 $45,279,713 

See Notes to Unaudited Consolidated Financial Statements.
6

GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Six Months Ended
June 30, 2022June 30, 2021
Cash flows from operating activities:
Net (loss) income$(415,415)$465,223 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization of property and equipment199,875 193,574 
Amortization of acquired intangibles656,373 654,042 
Amortization of capitalized contract costs53,113 43,975 
Share-based compensation expense85,414 80,490 
Provision for operating losses and credit losses57,929 50,802 
Noncash lease expense43,036 54,533 
Deferred income taxes(180,001)(91,177)
Equity in income of equity method investments, net of tax(31,294)(62,897)
Distribution received on investments8,212 20,305 
Impairment of goodwill833,075  
Loss on business dispositions152,211  
Other, net9,361 (6,340)
Changes in operating assets and liabilities, net of the effects of business combinations:
Accounts receivable(80,580)(91,580)
Settlement processing assets and obligations, net69,595 25,312 
Prepaid expenses and other assets(191,652)(151,353)
Accounts payable and other liabilities(71,119)(75,268)
Net cash provided by operating activities1,198,133 1,109,641 
Cash flows from investing activities:
Business combinations and other acquisitions, net of cash acquired(9,931)(943,108)
Capital expenditures(324,027)(219,579)
Effect on cash from sale of business(29,755) 
Other, net16 742 
Net cash used in investing activities(363,697)(1,161,945)
Cash flows from financing activities:
Net borrowings from settlement lines of credit4,139 134,245 
Proceeds from long-term debt2,954,156 2,820,988 
Repayments of long-term debt(2,276,488)(1,830,258)
Payments of debt issuance costs(1,706)(8,569)
Repurchases of common stock(1,249,994)(1,072,934)
Proceeds from stock issued under share-based compensation plans23,619 29,304 
Common stock repurchased - share-based compensation plans(26,972)(49,664)
Distributions to noncontrolling interests(14,363) 
Payment of contingent consideration in business combination(15,726) 
Dividends paid(139,315)(114,875)
Net cash used in financing activities(742,650)(91,763)
Effect of exchange rate changes on cash, cash equivalents and restricted cash(114,968)(5,980)
Decrease in cash, cash equivalents and restricted cash(23,182)(150,047)
Cash, cash equivalents and restricted cash, beginning of the period2,123,023 2,089,771 
Cash, cash equivalents and restricted cash, end of the period$2,099,841 $1,939,724 
    
See Notes to Unaudited Consolidated Financial Statements.
7

GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
 (in thousands, except per share data)

 
Number of Shares
Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive LossTotal Global Payments Shareholders’ EquityNoncontrolling InterestsTotal Equity
Balance at March 31, 2022281,434 $22,338,086 $3,068,683 $(247,205)$25,159,564 $235,241 $25,394,805 
Net (loss) income(672,999)(672,999)7,948 (665,051)
Other comprehensive loss(123,973)(123,973)(13,488)(137,461)
Stock issued under share-based compensation plans125 15,680 15,680 15,680 
Common stock repurchased - share-based compensation plans(2)(220)(220)(220)
Share-based compensation expense47,014 47,014 47,014 
Repurchases of common stock(4,524)(599,986)(352)(600,338)(600,338)
Distributions to noncontrolling interest (8,829)(8,829)
Cash dividends declared ($0.25 per common share)
(69,073)(69,073)(69,073)
Balance at June 30, 2022277,033 $21,800,574 $2,326,259 $(371,178)$23,755,655 $220,872 $23,976,527 

 
Number of Shares
Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Total Global Payments Shareholders’ Equity
Noncontrolling InterestsTotal Equity
Balance at March 31, 2021295,158 $24,403,323 $2,500,812 $(212,373)$26,691,762 $150,429 $26,842,191 
Net income263,590 263,590 3,223 266,813 
Other comprehensive income39,666 39,666 2,725 42,391 
Stock issued under share-based compensation plans78 11,599 11,599 11,599 
Common stock repurchased - share-based compensation plans(31)(8,900)(8,900)(8,900)
Share-based compensation expense43,325 43,325 43,325 
Repurchases of common stock(1,502)(247,584)(42,393)(289,977)(289,977)
Cash dividends declared ($0.195 per common share)
(57,302)(57,302)(57,302)
Balance at June 30, 2021293,703 $24,201,763 $2,664,707 $(172,707)$26,693,763 $156,377 $26,850,140 

See Notes to Unaudited Consolidated Financial Statements.



8

GLOBAL PAYMENTS INC.
UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
 (in thousands, except per share data)

 
Number of Shares
Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive LossTotal Global Payments Shareholders’ EquityNoncontrolling InterestsTotal Equity
Balance at December 31, 2021284,750 $22,880,261 $2,982,122 $(234,182)$25,628,201 $241,216 $25,869,417 
Net (loss) income(428,266)(428,266)12,851 (415,415)
Other comprehensive loss(136,996)(136,996)(18,832)(155,828)
Stock issued under share-based compensation plans1,518 23,619 23,619 23,619 
Common stock repurchased - share-based compensation plans(196)(27,008)(27,008)(27,008)
Share-based compensation expense85,414 85,414 85,414 
Repurchases of common stock(9,039)(1,161,712)(88,282)(1,249,994)(1,249,994)
Distributions to noncontrolling interest (14,363)(14,363)
Cash dividends declared ($0.50 per common share)
(139,315)(139,315)(139,315)
Balance at June 30, 2022277,033 $21,800,574 $2,326,259 $(371,178)$23,755,655 $220,872 $23,976,527 

 
Number of Shares
Paid-in Capital
Retained Earnings
Accumulated Other Comprehensive Loss
Total Global Payments Shareholders’ Equity
Noncontrolling InterestsTotal Equity
Balance at December 31, 2020298,332 $24,963,769 $2,570,874 $(202,273)$27,332,370 $154,674 $27,487,044 
Net income460,271 460,271 4,952 465,223 
Other comprehensive income (loss)29,566 29,566 (3,249)26,317 
Stock issued under share-based compensation plans1,081 29,304 29,304 29,304 
Common stock repurchased - share-based compensation plans(253)(50,429)(50,429)(50,429)
Share-based compensation expense80,490 80,490 80,490 
Repurchases of common stock(5,457)(821,371)(251,563)(1,072,934)(1,072,934)
Cash dividends declared ($0.39 per common share)
(114,875)(114,875)(114,875)
Balance at June 30, 2021293,703 $24,201,763 $2,664,707 $(172,707)$26,693,763 $156,377 $26,850,140 
See Notes to Unaudited Consolidated Financial Statements.



9

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
 
NOTE 1—BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 
Business, consolidation and presentation - We are a leading payments technology company delivering innovative software and services to our customers globally. Our technologies, services and team member expertise allow us to provide a broad range of solutions that enable our customers to operate their businesses more efficiently across a variety of channels around the world. We operate in three reportable segments: Merchant Solutions, Issuer Solutions and Business and Consumer Solutions, which are described in "Note 13—Segment Information." Global Payments Inc. and its consolidated subsidiaries are referred to herein collectively as "Global Payments," the "Company," "we," "our" or "us," unless the context requires otherwise.

These unaudited consolidated financial statements include our accounts and those of our majority-owned subsidiaries, and all intercompany balances and transactions have been eliminated in consolidation. These unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States ("GAAP") for interim financial information pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). The consolidated balance sheet as of December 31, 2021 was derived from the audited financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2021 but does not include all disclosures required by GAAP for annual financial statements.

In the opinion of our management, all known adjustments necessary for a fair presentation of the results of the interim periods have been made. These adjustments consist of normal recurring accruals and estimates that affect the carrying amount of assets and liabilities. These financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021.

Use of estimates - The preparation of financial statements in conformity with GAAP requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reported period. Actual results could differ materially from those estimates. In particular, the future magnitude, duration and effects of the COVID-19 pandemic and the ongoing invasion of Ukraine by Russia are difficult to predict at this time, and the ultimate effect could result in additional charges related to the recoverability of assets, including financial assets, long-lived assets and goodwill and other losses. These unaudited consolidated financial statements reflect the financial statement effects based upon management’s estimates and assumptions utilizing the most currently available information.

Recently issued pronouncements not yet adopted

Accounting Standards Update ("ASU") 2021-08In October 2021, the Financial Accounting Standards Board ("FASB") issued ASU 2021-08, "Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers." Under current GAAP, an acquirer generally recognizes assets acquired and liabilities assumed in a business combination, including contract assets and contract liabilities arising from revenue contracts with customers and other similar contracts that are accounted for in accordance with Accounting Standards Codification ("ASC") Topic 606, Revenue from Contracts with Customers ("Topic 606"), at fair value on the acquisition date. ASU 2021-08 requires that an entity recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts, which should generally result in an acquirer recognizing and measuring the acquired contract assets and contract liabilities consistent with how they were recognized and measured in the acquiree’s financial statements. This update also provides certain practical expedients for acquirers when recognizing and measuring acquired contract assets and contract liabilities from revenue contracts in a business combination. The amendments in this update are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years and should be applied prospectively to business combinations occurring on or after the effective date of the amendments. Early adoption is permitted, including adoption in an interim period. Adoption during an interim period requires retrospective application to all business combinations for which the acquisition date occurs on or after the beginning of the fiscal year that includes the interim period of early application. We are evaluating the potential effects of ASU 2021-08 on our consolidated financial statements.

10

NOTE 2—ACQUISITION

On June 10, 2021, we acquired Zego, a real estate technology company that provides comprehensive resident experience management software and digital commerce solutions to property managers, primarily in the United States, for cash consideration of approximately $933 million. We accounted for this transaction as a business combination, which generally requires that we record the assets acquired and liabilities assumed at fair value as of the acquisition date. The final estimated acquisition-date fair values of major classes of assets acquired and liabilities assumed, including a reconciliation to the total purchase consideration, were as follows:

Final Amounts at June 30, 2022
(in thousands)
Cash and cash equivalents$67,374 
Accounts receivable1,017 
Identifiable intangible assets473,000 
Property and equipment575 
Other assets9,051 
Accounts payable and accrued liabilities(71,006)
Deferred income tax liabilities(10,749)
Other liabilities(8,010)
Total identifiable net assets461,252 
Goodwill471,994 
Total purchase consideration$933,246 

During the six months ended June 30, 2022, we made measurement-period adjustments that decreased the amount of deferred income tax liabilities and provisional goodwill by $3.2 million. The decrease in deferred income tax liabilities for the six months ended June 30, 2022 primarily related to finalizing the evaluation of the differences in the bases of assets and liabilities for financial reporting and tax purposes. The effects of the measurement-period adjustments on our consolidated statements of income for the three and six months ended June 30, 2022 were not material.

Goodwill of $472.0 million arising from the acquisition, included in the Merchant Solutions segment, is attributable to expected growth opportunities, potential synergies from combining our existing businesses and an assembled workforce. Substantially all of the goodwill is deductible for income tax purposes.

The following table reflects the estimated fair values of the identified intangible assets of Zego and their respective weighted-average estimated amortization periods:

Estimated Fair ValueWeighted-Average Estimated Amortization Periods
(in thousands)(years)
Customer-related intangible assets$208,000 13
Contract-based intangible assets119,000 20
Acquired technologies124,000 6
Trademarks and trade names22,000 15
Total estimated identifiable intangible assets$473,000 14

11

NOTE 3—BUSINESS DISPOSITIONS

Sale of Merchant Solutions Business in Russia

We sold our Merchant Solutions business in Russia effective April 29, 2022 for cash proceeds of $9 million. During the three months ended June 30, 2022, we recognized a loss of $127.2 million associated with the sale, comprised of the difference between the consideration received and the net carrying amount of the business and the reclassification of $62.9 million of associated accumulated foreign currency translation losses from the separate component of equity. The loss was presented within loss on business dispositions in our consolidated statement of income.

Consumer Business Disposition

During the first quarter of 2022, we commenced a strategic evaluation of the consumer portion of our Business and Consumer Solutions segment. As of June 30, 2022, we committed to a plan to sell the business within one year and were actively marketing the business in its current condition for a price that was reasonable in comparison to its estimated fair value. The assets and liabilities of the consumer business met the criteria for classification as held for sale and are reported at fair value less costs to sell in our consolidated balance sheet as of June 30, 2022. As further discussed in "Note 5— Goodwill and Other Intangible Assets," we recognized a goodwill impairment charge of $833.1 million during the three months ended June 30, 2022 related to the Business and Consumer Solutions reporting unit. We also recognized a charge of $25 million during the three months ended June 30, 2022 to reduce the disposal group to estimated fair value less costs to sell, which is presented within loss on business dispositions in our consolidated statement of income. On July 31, 2022, we entered into a definitive agreement to sell the consumer business for $1 billion. We will provide up to $675 million of seller financing and $80 million of future services in connection with the sale. The transaction is expected to close prior to the end of the first quarter of 2023 and is subject to customary terms and conditions.

For the three and six months ended June 30, 2022, the consumer business contributed $21.9 million and $44.6 million to the Business and Consumer Solutions segment operating income. For the three and six months ended June 30, 2021, the consumer business contributed $33.9 million and $87.6 million to the Business and Consumer Solutions segment operating income.

The major classes of assets presented as held for sale in the consolidated balance sheet as of June 30, 2022, primarily related to the consumer business, include cash of $0.7 million, accounts receivable of $11.6 million, other current assets of $53.6 million, goodwill of $366.4 million, other intangible assets of $651.2 million, property and equipment of $48.9 million, and other noncurrent assets of $20.9 million. The major classes of liabilities presented as held for sale in the consolidated balance sheet as of June 30, 2022 include accounts payable and accrued liabilities of $94.0 million, and other noncurrent liabilities of $4.7 million.

12

NOTE 4—REVENUES

The following tables present a disaggregation of our revenues from contracts with customers by geography for each of our reportable segments for the three and six months ended June 30, 2022 and 2021:
Three Months Ended June 30, 2022
Merchant
Solutions
Issuer
Solutions
Business and
Consumer
Solutions
Intersegment
Eliminations
Total
(in thousands)
Americas$1,334,231 $412,023 $183,404 $(14,476)$1,915,182 
Europe187,450 114,011 4,228  305,689 
Asia Pacific60,035 8,437  (8,437)60,035 
$1,581,716 $534,471 $187,632 $(22,913)$2,280,906 

Three Months Ended June 30, 2021
Merchant
Solutions
Issuer
Solutions
Business and
Consumer
Solutions
Intersegment
Eliminations
Total
(in thousands)
Americas$1,202,970 $379,121 $224,529 $(16,768)$1,789,852 
Europe166,644 120,974 2,826  290,444 
Asia Pacific57,141 5,837  (5,837)57,141 
$1,426,755 $505,932 $227,355 $(22,605)$2,137,437 

Six Months Ended June 30, 2022
Merchant
Solutions
Issuer
Solutions
Business and
Consumer
Solutions
Intersegment
Eliminations
Total
(in thousands)
Americas$2,576,851 $797,266 $374,836 $(29,927)$3,719,026 
Europe361,505 231,682 8,568  601,755 
Asia Pacific116,379 17,024  (17,024)116,379 
$3,054,735 $1,045,972 $383,404 $(46,951)$4,437,160 

Six Months Ended June 30, 2021
Merchant
Solutions
Issuer
Solutions
Business and
Consumer
Solutions
Intersegment
Eliminations
Total
(in thousands)
Americas$2,283,440 $757,164 $465,163 $(33,673)$3,472,094 
Europe299,578 238,386 5,778  543,742 
Asia Pacific111,609 10,633  (10,634)111,608 
$2,694,627 $1,006,183 $470,941 $(44,307)$4,127,444 


13

The following table presents a disaggregation of our Merchant Solutions segment revenues by distribution channel for the three and six months ended June 30, 2022 and 2021:
Three Months EndedSix Months Ended
June 30, 2022June 30, 2021June 30, 2022June 30, 2021
(in thousands)
Relationship-led$827,577 $778,978 $1,564,982 $1,445,890 
Technology-enabled754,139 647,777 1,489,753 1,248,737 
$1,581,716 $1,426,755 $3,054,735 $2,694,627 

ASC Topic 606, Revenues from Contracts with Customers ("ASC 606"), requires that we determine for each customer arrangement whether revenue should be recognized at a point in time or over time. For the three and six months ended June 30, 2022 and 2021, substantially all of our revenues were recognized over time.

Supplemental balance sheet information related to contracts from customers as of June 30, 2022 and December 31, 2021 was as follows:
Balance Sheet LocationJune 30, 2022December 31, 2021
(in thousands)
Assets:
Capitalized costs to obtain customer contracts, net
Other noncurrent assets$312,728 $291,914 
Capitalized costs to fulfill customer contracts, net
Other noncurrent assets$131,580 $113,366 
Liabilities:
Contract liabilities, net (current)Accounts payable and accrued liabilities$211,799 $227,783 
Contract liabilities, net (noncurrent)Other noncurrent liabilities$45,066 $44,502 

Net contract assets were not material at June 30, 2022 or at December 31, 2021. Revenue recognized for the three months ended June 30, 2022 and 2021 from contract liability balances at the beginning of each period was $83.2 million and $85.0 million, respectively. Revenue recognized for the six months ended June 30, 2022 and 2021 from contract liability balances at the beginning of each period was $149.8 million and $146.6 million, respectively.

ASC 606 requires disclosure of the aggregate amount of the transaction price allocated to unsatisfied performance obligations. The purpose of this disclosure is to provide additional information about the amounts and expected timing of revenue to be recognized from the remaining performance obligations in our existing contracts. The following table includes estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied or partially unsatisfied at June 30, 2022. However, as permitted, we have elected to exclude from this disclosure any contracts with an original duration of one year or less and any variable consideration that meets specified criteria. Accordingly, the total amount of unsatisfied or partially unsatisfied performance obligations related to processing services is significantly higher than the amounts disclosed in the table below (in thousands):
14

Year Ending December 31,
2022$514,844 
2023903,194 
2024640,729 
2025510,197 
2