Dublin, Sept. 03, 2024 (GLOBE NEWSWIRE) -- The "Enterprise Tech Ecosystem Series: Western Union 2024" company profile has been added to ResearchAndMarkets.com's offering. The report provides insights into company's tech activities, including its digital transformation strategies, its innovation programs, its technology initiatives, and acquisitions. Western Union is a US-based financial services company enabling businesses, consumers, governments, and financial institutions to safely send money and make pay ...

The Western Union Company (WU) , a renowned name in the global payments industry, offers robust services in money transfer and payment solutions. With rising transaction volumes and resilience in its Branded Digital business, the company is poised for growth. Strong performance in Latin America, Caribbean region and North America are supporting its Consumer Money Transfer segment’s growth.Headquartered in Denver, CO, WU currently has a market cap of $4.1 billion. In the year-to-date period, Western Union sh ...

The latest trading session saw Western Union (WU) ending at $12.11, denoting no adjustment from its last day's close. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, lost 0.23%.The the stock of money transfer company has risen by 1.85% in the past month, lagging the Business Services sector's gain of 2.21% and the S&P 500's gain of 2.55%.The upcoming earnings release of Western Union will be of great interest to investors. The company is expected to report EPS of $0.44, up 2.33% from th ...

It has been about a month since the last earnings report for Western Union (WU) . Shares have added about 1.9% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Western Union due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Western Union Q2 Earnings Meet, Iraq Results ...

Shares of The Western Union Company (WU) lost 10% since it reported second-quarter 2024 results on Jul 30. The quarterly results suffered a blow due to a revenue and operating income decline as a result of reduced Iraq contributions and increased currency volatility. Nevertheless, the Consumer Money Transfer (“CMT”) unit saw transaction growth as a result of the solid performance of the Branded Digital business. A decline in overall expenses also provided some respite to margins.WU posted second-quarter adj ...

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Western Union (WU) reported $1.07 billion in revenue for the quarter ended June 2024, representing a year-over-year decline of 8.9%. EPS of $0.44 for the same period compares to $0.51 a year ago.The reported revenue represents a surprise of +0.57% over the Zacks Consensus Estimate of $1.06 billion. With the consensus EPS estimate being $0.44, the company has not delivered EPS surprise.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to ...

Financial Data and Key Metrics - Revenue for the quarter reached $1.70 billion, reflecting a 7% decrease on an adjusted basis Excluding Iraq, adjusted revenue growth is positive for the first time since 2021 [8] - Earnings per share came in at $0.44, down $0.07 compared to the previous year [9] - Adjusted operating margin was 19%, compared to 21.8% last year, primarily due to elevated Iraq revenues last year and foreign exchange volatility [25] - Consumer money transfer transactions grew 5% excluding Iraq, marking four consecutive quarters of mid-single-digit growth [7] Business Line Data and Key Metrics - Consumer money transfer transactions grew 4% overall and 5% excluding Iraq, driven by branded digital and digital white label businesses [26] - Branded digital adjusted revenue increased 7% with transaction growth of 13%, sustaining double-digit transaction growth for five consecutive quarters [26] - Retail transactions remained stable for the fourth consecutive quarter, with Europe and CIS leading the improvement at 3% growth [28] - Consumer services segment revenue grew 14%, driven by retail foreign exchange, media network, and retail money order businesses [29] Market Data and Key Metrics - North America revenue growth rate was slightly down but grew on an absolute basis, while the Middle East faced a difficult comparison due to higher Iraq contributions last year [27] - Australia digital transactions grew 30% with 14% revenue growth, achieving a 20% higher conversion rate than other APAC countries [17] - Net new independent agent activations in the U.S. increased nearly 50% year-over-year [11] Company Strategy and Industry Competition - The company is implementing its Evolve 2025 Strategy, focusing on improving customer and agent experiences, narrowing the revenue-to-transaction spread, and returning to sustainable, profitable revenue growth [6] - The company has gained market share in 2023 after losing share to aggressive competitors in previous years [9] - Multiple players have exited the remittance space, and others have raised prices, leading to more rational competition [10] - The company is focusing on end-to-end customer experience, increasing direct connections with banks, wallets, and real-time payout networks [20] Management Commentary on Operating Environment and Future Outlook - The World Bank estimates remittance volumes will grow north of 3% this year and next, with the company expecting mid-single-digit principal growth excluding Iraq [10] - The company remains optimistic about market opportunities and expects continued improvement in adjusted revenue excluding Iraq for the remainder of the year [34] - The company is confident in achieving its Evolve 2025 goals, driven by improved transaction trends in digital and retail businesses [23] Other Important Information - The company incurred $9 million in redeployment costs as part of its five-year $150 million expense redeployment program [31] - Year-to-date, the company returned $335 million to shareholders through dividends and share repurchases [33] - The company maintains a strong balance sheet with $1 billion in cash and cash equivalents and $2.6 billion in debt [33] Q&A Session Summary Question: Industry pricing dynamics and competitive landscape - The company noted that the World Bank data indicates some alleviation of price compression globally, with marginal and small players becoming more rational or exiting the market [39] Question: Spread between digital revenue and transaction growth - The company expects the spread to narrow towards the immediate intermediate-term goal of 400 to 500 basis points by the end of the year [66] Question: Retail transaction growth and pricing actions - Retail transactions were closer to flat, and the company expects continued progress in retail, branded digital, and white label businesses [70] Question: Impact of Argentina inflation on branded digital revenues - The company saw a 200 basis point add-back due to strong growth in Australia and FX hedges maturing in the quarter [74] Question: Rollout of Quick Resend and Remember Me products - The company expects full network penetration of these products across the globe by the end of the year [76] Question: Transactions per customer in the 2024 cohort - The company sees sustainable improvements in transactions per customer, particularly in North America and Asia [79] Question: Industry remittance growth outlook - The company is positive on the outlook for the remittance industry, with steady migration trends and resilient customers [83] Question: Market share dynamics - Banks and smaller, less scale players are losing market share, while the company is gaining share [87]

The digital transformation of Western Union continues with the money-transfer company posting double-digit growth in global mobile and online transactions for the second quarter, despite headwinds from sanctions on Iraqi banks.As CEO Devin McGranahan told the company’s earnings call, the digital growth was a major contributor to the period’s milestone of four straight quarters of double-digit transaction growth, which hasn’t been seen since 2018. That growth was adjusted due to sanctions placed on 14 Iraqi ...

Western Union (WU) came out with quarterly earnings of $0.44 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.51 per share a year ago. These figures are adjusted for non-recurring items.A quarter ago, it was expected that this money transfer company would post earnings of $0.40 per share when it actually produced earnings of $0.45, delivering a surprise of 12.50%.Over the last four quarters, the company has surpassed consensus EPS estimates three times.Western Union, whi ...