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Business payments firm Fleetcor profit rises on higher spending

(Reuters) - Business payments firm Fleetcor Technologies posted a 9% jump in its fourth-quarter adjusted profit on Wednesday, helped by higher spending from its customers.

Firming bets of a soft landing have eased fears of a recession and encouraged businesses to spend on employee travel and other corporate activities, boosting earnings of companies such as Fleetcor.

The company's fleet segment, which lets governments and business entities that operate vehicle fleets track and manage payments for fuel, generates majority revenue.

Fleetcor also earns a significant chunk of revenue from its corporate payments business, which allows business to automate and manage payments for their vendors.

On an adjusted basis, the company's profit was $326.1 million, or $4.44 per share, for the three months ended Dec. 31, compared with $300.2 million, or $4.04, a year earlier.

Revenue rose 6% to $937.3 million.

The company also forecast adjusted net income per diluted share between $19.20 and $19.60 for 2024. Analysts were expecting $19.34 per diluted share, according to LSEG data.

(Reporting by Jaiveer Singh Shekhawat and Pritam Biswas in Bengaluru; Editing by Shinjini Ganguli)