Lesaka(LSAK) - 2026 Q2 - Quarterly Results

Financial Performance - Lesaka reported Q2 FY2026 revenue of $178.734 million, a slight increase of 1.4% year-on-year compared to $176.216 million in Q2 FY2025[3] - Net revenue for Q2 FY2026 was $93.403 million, representing a 16% increase from $77.060 million in Q2 FY2025[3] - Operating income surged to $2.150 million, a 265% increase from $547,000 in the same quarter last year[3] - The company achieved a positive net income of $3.645 million, a significant turnaround from a loss of $32.456 million in Q2 FY2025[3] - Group Adjusted EBITDA for Q2 FY2026 was $17.777 million, up 47% from $11.580 million in Q2 FY2025[3] - Lesaka reported a GAAP net income of $3,645 for the three months ended December 31, 2025, compared to a loss of $32,456 in the same period of 2024, marking a significant turnaround[28] - The company's Group Adjusted EBITDA for the six months ended December 31, 2025, was $32,872, up from $20,719 in the prior year, reflecting a 58.5% increase[28] - Net Revenue for the three months ended December 31, 2025, was $93,403, representing a 21.3% increase from $77,060 in the same period of 2024[32] - Adjusted net income for the six months ended December 31, 2025, was $11,085, compared to $2,551 in the same period of 2024, reflecting a substantial increase[35] Future Guidance - Lesaka reaffirmed its full-year guidance for FY2026, projecting a 49% growth in Group Adjusted EBITDA at the mid-point[5] - For Q3 FY2026, Lesaka expects net revenue between ZAR 1.65 billion and ZAR 1.80 billion[6] - The company anticipates Group Adjusted EBITDA for Q3 FY2026 to be between ZAR 300 million and ZAR 340 million[6] - FY2026 guidance includes net revenue expectations of ZAR 6.4 billion to ZAR 6.9 billion and adjusted earnings per share of at least ZAR 4.60, indicating over 100% year-on-year growth[14] Segment Performance - The Merchant segment revenue for the three months ended December 31, 2025, was $131,919, down from $145,209 in the same period of 2024, indicating a decline of 9.0%[32] - The Enterprise segment revenue for the three months ended December 31, 2025, increased to $14,796 from $8,933 in the prior year, showing a growth of 65.5%[33] Assets and Liabilities - Total current assets as of December 31, 2025, were R 4,723,610, an increase from R 4,330,950 as of June 30, 2025[41] - Total liabilities as of December 31, 2025, were R 7,097,257, slightly down from R 7,036,164 as of June 30, 2025[41] Transaction Costs and Acquisitions - The company incurred transaction costs related to acquisitions totaling $373 for the six months ended December 31, 2025, compared to $537 in the same period of 2024[29] - The company incurred transaction costs related to acquisitions amounting to R 805 for the three months ended December 31, 2025, down from R 3,957 in 2024[38] - Lesaka's acquisition of Bank Zero is pending regulatory approvals and will not impact the FY2026 guidance[7] Fair Value Changes - The company reported a change in fair value of equity securities of R 50,000 for the three months ended December 31, 2025, compared to a loss of R 614,710 in 2024[38] Exchange Rates - The exchange rate for USD to ZAR was 16.9556 for the three months ended December 31, 2025, compared to 17.8495 in 2024[38]