XBP Europe (US:XBP)2025-08-14 13:04Financial Performance - Total revenue for Q2 2025 was $39.6 million, representing a year-over-year increase of 17.8% and a sequential increase of 5.2%[6] - Bills & Payments segment revenue reached $28.8 million, up 15.9% year-over-year and 9.3% sequentially[7] - Adjusted EBITDA from continuing operations was $3.3 million, an increase of 173.8% year-over-year, with an adjusted EBITDA margin of 8.3%, up 470 basis points year-over-year[7] - Revenue for the three months ended June 30, 2025, was $39,431 million, a 17.9% increase from $33,534 million in the same period of 2024[21] - Adjusted EBITDA from continuing operations for the six months ended June 30, 2025, was $6,974 million, up from $4,142 million in 2024, indicating a 68.5% increase[25] - The total cost of revenue (exclusive of depreciation and amortization) for the six months ended June 30, 2025, was $54,096 million, a decrease of 1.8% from $55,069 million in 2024[21] Losses and Expenses - Operating loss for Q2 2025 was $1.6 million, compared to an operating loss of $1.4 million in the same quarter last year[7] - Net loss from continuing operations was $3.4 million, slightly improved from a net loss of $3.6 million a year ago[7] - Net loss for the six months ended June 30, 2025, was $11,239 million, compared to a net loss of $6,931 million for the same period in 2024, representing a 62.5% increase in losses[23] - The company reported a basic and diluted loss per share of $0.34 for the six months ended June 30, 2025, compared to $0.23 in 2024, reflecting a 47.8% increase in loss per share[21] - The company incurred $4,011 million in stock-based compensation expense for the six months ended June 30, 2025, compared to $160 million in 2024, a significant increase[23] - The company reported a net loss from discontinued operations of $3,938 million for the six months ended June 30, 2025, compared to $2,521 million in 2024, a 56.2% increase in losses[26] Cash Flow and Financing - Cash flows from operating activities resulted in a net cash used of $4,008 million for the six months ended June 30, 2025, compared to $5,540 million in 2024, showing a 27.7% improvement[23] - Net cash provided by (used in) financing activities was a negative $371 million for the six months ended June 30, 2025, compared to a positive $15,618 million in 2024[23] Company Operations and Governance - The acquisition of BPA was completed, eliminating $1.1 billion of BPA's secured debt and resulting in the issuance of approximately 81.8 million new shares[4] - XBP Global's annual revenue is projected to approach $900 million, with a workforce of approximately 11,000 employees across 20 countries[4] - The company now serves over 2,500 clients, including many from the Fortune 100[4] - The company has appointed four new independent board members to enhance governance and accountability[4] Margins and Currency Impact - Gross margin for Q2 2025 was 29.8%, reflecting a 1,020 basis points increase year-over-year[6] - Foreign currency exchange impact on revenues for the three months ended June 30, 2025, was a negative $2,227 million, affecting the reported revenue[24]