Paymentus (PAY) - 2025 Q2 - Quarterly Results

Revenue and Growth - Revenue for Q2 2025 was $280.1 million, an increase of 41.9% year-over-year, driven by a higher number of billers and transactions[1][8] - Revenue for Q2 2025 reached $280,077,000, a 42% increase from $197,422,000 in Q2 2024[29] - For Q3 2025, the company expects revenue between $278 million and $282 million, and for the full fiscal year 2025, revenue guidance is set at $1,123 million to $1,132 million[1][7] Profitability Metrics - Adjusted EBITDA rose to $31.7 million, reflecting a 40.7% year-over-year increase and a 33.9% adjusted EBITDA margin[1][8] - Contribution profit for Q2 2025 was $93.5 million, up 22.3% year-over-year[1][8] - Gross profit for Q2 2025 was $71.5 million, an increase of 21.7% year-over-year[1][8] - Adjusted gross profit for Q2 2025 was $77,906,000, a 22% increase from $64,010,000 in Q2 2024[36] - Net income for Q2 2025 was $14,707,000, representing a 57% increase compared to $9,364,000 in Q2 2024[29] - Non-GAAP net income was $19.3 million, compared to $13.4 million in the prior period, with diluted non-GAAP earnings per share at $0.15[1][8] - Total net income for the first half of 2025 was $28,520, a 72.0% increase from $16,590 in the first half of 2024[38] Operational Performance - The company processed 175.8 million transactions in Q2 2025, representing a 25.2% increase from Q2 2024[1][8] - The company ended the quarter with significant momentum in bookings, resulting in a substantial backlog for the remainder of 2025[2] - Free cash flow for Q2 2025 was $22,475, significantly higher than $8,756 in Q2 2024, indicating strong operational cash generation[42] - Net cash provided by operating activities for the first half of 2025 was $81,920,000, significantly higher than $28,984,000 in the same period of 2024[33] Expenses and Investments - Operating expenses increased to $55,555,000 in Q2 2025 from $48,515,000 in Q2 2024, reflecting a 14% rise[29] - Operating expenses on a GAAP basis for Q2 2025 were $55,555, an increase from $48,515 in Q2 2024, while non-GAAP operating expenses were $49,049 compared to $44,065 in the prior year[40] - The amortization of capitalized software development costs increased to $8,189 in Q2 2025 from $6,739 in Q2 2024, indicating ongoing investment in technology[38] Cash and Assets - Cash and cash equivalents at the end of Q2 2025 totaled $266,422,000, up from $205,900,000 at the end of 2024[31] - Total assets as of June 30, 2025, were $609,523,000, compared to $576,247,000 at the end of 2024[31] - Total stockholders' equity increased to $516,699,000 as of June 30, 2025, from $485,596,000 at the end of 2024[31] Earnings Per Share - Diluted GAAP earnings per share increased to $0.11 from $0.07 in the prior period[1][8] - Earnings per share (EPS) on a diluted GAAP basis for Q2 2025 was $0.11, up from $0.07 in Q2 2024, while non-GAAP EPS before tax adjustments was $0.17 compared to $0.12[41] Foreign Exchange and Other Gains - The company experienced a foreign exchange gain of $111 in Q2 2025, compared to a gain of $39 in Q2 2024, contributing positively to financial results[38] Strategic Focus - Paymentus continues to focus on expanding its cloud-based bill payment technology and solutions across North America, serving over 2,500 billers and financial institutions[1][11]