FISERV INC lowered its annual earnings forecasts for the second consecutive quarter on Wednesday and announced an overhaul of its senior leadership as the payments firm grapples with slowing growth in its merchant business.

Shares of the Milwaukee, Wisconsin-based company plunged 43% in Wednesday trading. The stock has fallen nearly 39% this year as of last close.

Analysts and investors had been skeptical of Fiserv's ability to meet its full-year merchant business forecast, given the acceleration needed in the second half of the year to hit the target.

"Our current performance is not where we want it to be nor where our stakeholders expect it to be," CEO Mike Lyons said in a statement.

Slowing growth in the Clover business, Fiserv's point-of-sale and business management platform housed within its merchant solutions arm, has been a key concern for investors this year.

Clover's gross payment volume growth was 8% in the three months ended September 30, compared with 15% a year earlier.

Fiserv's adjusted profit was $2.04 per share in the third quarter, missing analysts' expectation of $2.64 per share, according to estimates compiled by LSEG.

Adjusted revenue of $4.92 billion also fell short of an estimate of $5.36 billion.

The company now expects annual revenue growth of 3.5% to 4%, compared with its prior forecast of 10%.

Adjusted profit per share is expected between $8.50 and $8.60 for 2025, down from its earlier forecast of $10.15 to $10.30 per share.

LEADERSHIP REJIG

Fiserv also announced an overhaul of its senior leadership on Wednesday, appointing Paul Todd as its finance boss, effective October 31.

Todd has previously served as the finance boss of payments firm Global Payments and succeeds Robert Hau, who will be a senior adviser through the first quarter of 2026.

Takis Georgakopoulos and Dhivya Suryadevara have been named Fiserv's co-presidents, effective December 1.

The rejig comes as Lyons, who took the helm at Fiserv just a few months ago, looks to turn around the ship and deal with growing investor worries.

Amid intense investor scrutiny around Clover, Lyons said earlier this year he had walked into a "bit of a firestorm".