Payoneer (US:PAYO)2025-08-06 11:35Revenue Performance - Revenue excluding interest income for Q2 2025 reached $202.3 million, a 16% increase year-over-year[2] - Total revenue for Q2 2025 was $260.6 million, reflecting a 9% year-over-year growth[2] - Total revenues for the three months ended June 30, 2025, increased to $260,614,000, up from $239,520,000 in the same period of 2024, representing an increase of approximately 8.3%[20] - The company’s revenue from contracts with customers for Q2 2025 was $200,496,000, up from $171,243,000 in Q2 2024, reflecting an increase of about 17%[21] - Revenue recognized at a point in time rose to $199,560,000, compared to $170,751,000 in 2024, reflecting a growth of about 16.9%[21] Profitability Metrics - Net income for Q2 2025 was $19.5 million, down 40% compared to the previous year[2] - Operating income decreased to $30,077,000 for Q2 2025, down from $46,309,000 in Q2 2024, a decline of approximately 35%[20] - Net income for the three months ended June 30, 2025, was $19,480,000, down from $32,425,000 in 2024, indicating a decrease of about 40%[20] - Adjusted EBITDA for Q2 2025 was $66.4 million, a decrease of 9% year-over-year[2] - Adjusted EBITDA for Q2 2025 was $66,425,000, compared to $72,778,000 in Q2 2024, a decline of approximately 8.8%[26] - The company reported a comprehensive income of $27,987,000 for Q2 2025, down from $32,724,000 in Q2 2024, a decrease of about 14.5%[20] Customer and Market Metrics - Active Ideal Customer Profiles (ICPs) totaled 559,000, representing a 2% increase year-over-year[2] - SMB customer revenue grew to $183 million, an 18% increase year-over-year, with B2B SMBs revenue up 37%[5] - Payoneer recorded $1.5 billion in spend on its cards, a 25% increase year-over-year, indicating higher customer usage[9] - Customer funds reached $7.0 billion as of June 30, 2025, marking a 17% year-over-year increase[9] Future Projections - Payoneer expects 2025 revenue to be between $1.04 billion and $1.06 billion, with adjusted EBITDA projected at $260 million to $275 million[8] Expenses and Liabilities - Research and development expenses increased significantly to $37,387,000 in Q2 2025, up from $27,580,000 in Q2 2024, marking an increase of about 35.5%[20] - Total operating expenses for Q2 2025 were $230,537,000, compared to $193,211,000 in Q2 2024, an increase of approximately 19.4%[20] - Total liabilities increased to $7,339,523 thousand as of June 30, 2025, from $7,205,590 thousand at December 31, 2024, indicating a rise of 1.86%[30] Shareholder Actions - The company announced a $300 million share repurchase authorization to enhance shareholder value[1] - Common stock repurchased amounted to $49,756 thousand in the first half of 2025, down from $98,654 thousand in the same period of 2024, a decrease of 49.61%[32] Asset Management - Total assets increased to $8,110,428 thousand as of June 30, 2025, up from $7,930,380 thousand at December 31, 2024, representing a growth of 2.27%[30] - Total current assets rose to $7,212,530 thousand as of June 30, 2025, compared to $7,099,642 thousand at December 31, 2024, marking an increase of 1.59%[30] - Cash, cash equivalents, restricted cash, and customer funds at the end of the period totaled $5,657,385 thousand, slightly down from $5,688,197 thousand at the end of June 30, 2024[32] - Capital advance extended to customers was $167,223 thousand for the six months ended June 30, 2025, compared to $154,357 thousand in 2024, an increase of 8.06%[32] - The company reported a depreciation and amortization expense of $29,943 thousand for the six months ended June 30, 2025, compared to $20,120 thousand in 2024, an increase of 48.7%[32] - Total shareholders' equity increased to $770,905 thousand as of June 30, 2025, from $724,790 thousand at December 31, 2024, reflecting a growth of 6.38%[30] Cash Flow - Net cash provided by operating activities was $124,401 thousand for the six months ended June 30, 2025, compared to $80,914 thousand in 2024, reflecting an increase of 53.73%[32] - Net income for the six months ended June 30, 2025, was $40,057 thousand, a decrease of 34.73% compared to $61,399 thousand for the same period in 2024[32]