What is Global Payments's SMB — cost of service?

Global Payments (GPN) reported SMB — cost of service of $161.24M in Q2 2026.

What does SMB — cost of service mean?

Direct costs incurred to deliver payment processing and related services to small and medium-sized business customers. This includes expenses such as interchange fees, network assessments, and other variable costs directly tied to transaction volume. Monitoring this metric is essential for evaluating the gross margin efficiency of the SMB segment.

Global Payments (GPN) SMB — Cost of service

Screener

Other segment segments

Enterprise

$71.44M—

Platforms

$30.64M—

Similar metrics at other companies

TBIService — Cost of Services

$318.54M+12.6%

OIIService — Cost of services and products

$408.21M+2.1%

TXTService — Cost of products/services sold

$374M-0.8%

TDS

TDSService — Cost of goods and services

$124.03M+6.6%

IRDMServices — Cost of Product and Service Sold

$51.31M-4.3%

WABServices — Cost of Product and Service Sold

$308M+7.3%

Other financials

Income statement

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Revenue$3.3B+68.6%

Gross profit$2.0B+38.1%

Operating income$337.1M-14.3%

Net income$13.0M-94.6%

EPS (diluted)$0.05-94.9%

Balance sheet

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Cash & equivalents$5.4B+62.0%

Total debt$22.5B-12.3%

Total equity$23.1B+2.3%

Total assets$63.6B+31.0%

Cash flow

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Operating cash flow$662.6M-18.9%

CapEx$235.7M+54.9%

Free cash flow-$550.2M-229%

Valuation

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Market cap$23.93B+15.3%

Enterprise value$40.97B-4.8%

P/S2.3×-0.3×

Profitability

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Gross margin63.9%-9.8pp

Operating margin12.4%-12.3pp

Net margin-9.1%-27.6pp

FCF margin12%-19.5pp

Returns & leverage

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Return on equity-4.1%-10.4pp

Debt / equity1×-0.2×

Current ratio0.8×-0.1×

Where this comes from

Reported directly by Global Payments in its filing.

Tagged under the XBRL concept us-gaap:CostOfGoodsAndServicesSold.

The source filing: Global Payments’s 10-Q, filed August 5, 2026.

Filed: Aug 5, 2026, 4:09 PM EDT
Fiscal quarter: Q2 FY2026
Calendar quarter: Q2 2026
Accession: 0001123360-26-000084

(in thousands)	Enterprise	Platforms	SMB	Total
Segment revenues (1)	$838,301	$652,768	$1,648,952	$3,140,021
Less segment expenses:
Cost of service (2)	71,438	30,641	161,240	263,319
Selling, general and administrative (2)	108,843	330,598	527,726	967,167
Depreciation and amortization (3)	410,427	98,735	331,526	840,688
Segment operating income	$247,593	$192,794	$628,460	$1,068,847
Reconciliation of segment operating income
Other revenues (1)				180,770

Item 1. Unaudited Consolidated Statements of Income for the three

FAQ

What is Global Payments's SMB — cost of service?: Global Payments (GPN) reported SMB — cost of service of $161.24M in Q2 2026.
What does SMB — cost of service mean?: Direct costs incurred to deliver payment processing and related services to small and medium-sized business customers. This includes expenses such as interchange fees, network assessments, and other variable costs directly tied to transaction volume. Monitoring this metric is essential for evaluating the gross margin efficiency of the SMB segment.