Repay (RPAY) - 2024 Q2 - Quarterly Results

Financial Performance - Q2 2024 revenue was $74.9 million, a 4% year-over-year increase from $71.8 million in Q2 2023[2] - Gross profit for Q2 2024 was $58.6 million, reflecting a 7% growth compared to $54.9 million in Q2 2023[2] - Adjusted EBITDA for Q2 2024 reached $33.7 million, a 10% increase from $30.5 million in Q2 2023[2] - Free Cash Flow for Q2 2024 was $19.3 million, representing a 93% increase compared to $10.0 million in Q2 2023[2] - Revenue for the three months ended June 30, 2024, was $74,906 thousand, an increase from $71,783 thousand for the same period in 2023, representing a growth of 2.9%[18] - Adjusted Net Income per share for the three months ended June 30, 2024, was not explicitly stated, but the net loss attributable to the Company was $4,071 thousand, compared to a loss of $4,643 thousand in the same period of 2023[18] - Revenue for the six months ended June 30, 2024, was $155,626 thousand, an increase of 6.5% compared to $146,320 thousand in 2023[25] - Adjusted EBITDA for the six months ended June 30, 2024, was $69,241 thousand, up from $61,463 thousand in 2023, reflecting a growth of 12.9%[25] - Net loss for the six months ended June 30, 2024, was $9,602 thousand, a significant improvement from a net loss of $33,262 thousand in 2023[25] - The Company reported a net loss of $4,237 thousand for the three months ended June 30, 2024, compared to a net loss of $5,330 thousand for the same period in 2023, indicating an improvement of 20.5%[18] Operating Expenses - Total operating expenses for the three months ended June 30, 2024, were $78,327 thousand, down from $81,649 thousand in the same period of 2023, reflecting a decrease of 2.8%[18] - Total operating expenses for the six months ended June 30, 2024, were $161,551 thousand, down from $174,150 thousand in 2023, indicating a reduction of 7.2%[25] - Total operating expenses for the three months ended June 30, 2024, decreased to $78,327 thousand from $81,649 thousand in 2023, a reduction of 4.5%[26] Cash Flow and Assets - Cash flows from operating activities for the six months ended June 30, 2024, provided $55,780 thousand, compared to $40,784 thousand in 2023, marking a 36.8% increase[22] - Cash, cash equivalents, and restricted cash at the end of the period were $174,036 thousand, an increase from $127,921 thousand at the end of the same period in 2023[22] - Cash and cash equivalents increased to $147,092 thousand as of June 30, 2024, compared to $118,096 thousand at the end of 2023, indicating a growth of 24.6%[19] - Free Cash Flow Conversion was not provided, but Free Cash Flow represents net cash flow from operating activities less total capital expenditures[18] Market and Growth - Consumer Payments gross profit grew approximately 7% year-over-year, while Business Payments gross profit increased by approximately 11%[3] - The company expanded its AP supplier network to over 300,000, marking a 55% year-over-year increase[3] - REPAY added seven new integrated software partners, bringing the total to 273 as of the end of Q2 2024[3] - The company anticipates continued demand for its electronic payment solutions and plans to expand its market presence, although specific financial guidance for 2024 was not detailed[15] - The company reaffirms its 2024 outlook with projected revenue between $314 million and $320 million[11] - Gross profit for the full year 2024 is expected to be between $245 million and $250 million[11] - REPAY's Free Cash Flow Conversion is anticipated to be approximately 60% for the full year 2024[11] Shareholder Information - Shares of Class A common stock outstanding as of June 30, 2024, were 97,665,464, an increase from 96,796,143 in 2023[26] - The weighted average shares of Class A common stock outstanding increased to 91,821,369 for the three months ended June 30, 2024, compared to 89,170,814 for the same period in 2023, reflecting a growth of approximately 2%[34] - The total shares of Class A common stock outstanding on an as-converted basis reached 97,665,464 for the three months ended June 30, 2024, up from 96,796,143 in the prior year, indicating a year-on-year increase of about 0.9%[34] - The weighted average Post-Merger Repay Units exchangeable for Class A common stock decreased to 5,844,095 for the three months ended June 30, 2024, down from 7,625,329 in the same period of 2023, representing a decline of approximately 23.4%[34] Other Financial Metrics - Loss from operations for the three months ended June 30, 2024, was $3,421 thousand, an improvement from a loss of $9,866 thousand in 2023[23] - Interest income for the three months ended June 30, 2024, was $554 thousand, compared to an expense of $(388) thousand in 2023[26] - Change in fair value of tax receivable liability for the six months ended June 30, 2024, resulted in a loss of $6,279 thousand, compared to a loss of $482 thousand in 2023[25] - Payments for tax withholding related to shares vesting under the Incentive Plan amounted to $2,489 thousand for the six months ended June 30, 2024, compared to $1,376 thousand in 2023[22] - Organic gross profit growth for the six months ended June 30, 2024, was 9%, compared to a 1% decline from acquisitions and dispositions[30] - Capital expenditures for the three months ended June 30, 2024, totaled $(11,691) thousand, compared to $(9,985) thousand in 2023[28]