Euronet Reports Fourth Quarter and Full Year 2025 Financial Results

Core Insights - Euronet reported a challenging financial performance in Q4 2025, with a focus on long-term value creation despite economic pressures, particularly in Money Transfer and epay segments [6][9] - The company achieved a full-year adjusted earnings per share growth of 12%, consistent with previous expectations, following a 15% increase in 2024 [7] Financial Performance - Q4 2025 revenues reached $1,108.7 million, a 6% increase from $1,047.3 million in Q4 2024, with a 1% increase on a constant currency basis [9] - Operating income for Q4 2025 was $101.0 million, an 18% decrease from $122.7 million in Q4 2024, reflecting a 23% decrease on a constant currency basis [9] - Full-year 2025 revenues totaled $4,244.2 million, a 6% increase from $3,989.8 million in 2024, with a 4% increase on a constant currency basis [9] - Full-year operating income was $529.8 million, a 5% increase from $503.2 million in 2024, with a 1% increase on a constant currency basis [9] Segment Performance - The Money Transfer segment experienced a 2% decline in U.S.-originated money transfers, while international-originated transfers grew by 1%, including a 32% increase in direct-to-consumer digital transactions [19] - The epay segment reported revenues of $303.3 million in Q4 2025, a 14% increase from $265.6 million in Q4 2024, with transactions increasing by 34% [15] - Euronet Merchant Services added approximately 3,700 new acquiring merchants in Q4 2025, demonstrating continued expansion [14] Strategic Initiatives - The company signed an agreement to acquire CrediaBank's merchant acquiring business, which will add approximately 20,000 merchants [8] - Euronet expanded its epay digital content distribution with Revolut to 20 countries, enhancing its global partnership [18] - A $20.4 million charge was recorded for a Money Transfer optimization initiative aimed at improving margins and driving growth in digital products [11][24] Balance Sheet and Financial Position - As of December 31, 2025, Euronet had cash and cash equivalents of $1,040.3 million, with total indebtedness of $2,021.8 million [26] - The company reported availability under its revolving credit facilities of approximately $1,780.5 million [26] Future Outlook - Euronet anticipates delivering another year of double-digit adjusted earnings growth in 2026, projected in the range of 10%-15%, excluding impacts from foreign exchange rates and other unforeseen factors [12]