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Jun 30, 2021

Euronet Q2 2021 Earnings Report

Euronet's financial performance improved in Q2 2021, with revenue and earnings increasing significantly compared to the same period last year.

Key Takeaways

Euronet Worldwide reported a strong second quarter with revenues increasing by 35% to $714.7 million and adjusted EPS of $0.53, compared to $0.04 in the prior year. The epay and Money Transfer segments delivered record second quarter earnings, driving overall growth. The company anticipates adjusted EBITDA for the third quarter of 2021 to be in the range of $135 million to $145 million.

Revenues increased by 35% to $714.7 million.

Operating income was $30.1 million, compared to an operating loss of $101.3 million.

Adjusted earnings per share reached $0.53, up from $0.04 year-over-year.

epay and Money Transfer segments achieved record second quarter earnings with double-digit growth.

Total Revenue
$715M
Previous year: $528M
+35.4%
EPS
$0.53
Previous year: $0.04
+1225.0%
Active ATMs
43.56K
Previous year: 41.65K
+4.6%
epay Transactions
788M
Previous year: 585M
+34.7%
Money Transfer Transactions
34.2M
Previous year: 25.8M
+32.6%
Gross Profit
$244M
Previous year: $178M
+37.2%
Cash and Equivalents
$995M
Previous year: $865M
+15.0%
Free Cash Flow
$147M
Previous year: $57.6M
+155.8%
Total Assets
$4.44B
Previous year: $3.96B
+12.1%

Euronet

Euronet

Euronet Revenue by Segment

Forward Guidance

The Company anticipates that its third quarter 2021 adjusted EBITDA will be in the range of approximately $135 million to $145 million.

Positive Outlook

  • Continued strength in year-over-year growth trends in the Money Transfer segment.
  • Expansion of the Company's physical and digital networks.
  • Immediate improvement in transactions in the EFT Segment as borders began to reopen.
  • Easing of quarantine restrictions.
  • Approximately 3,700 more active Euronet-owned ATMs than the prior year for this year's peak travel season.

Challenges Ahead

  • The pace of reopening efforts was more irregular than expected.
  • Fewer higher-value cross-border transactions than anticipated at the beginning of the quarter.
  • Consolidated adjusted EBITDA came in at the lower end of our expected range.
  • Trends in more contagious COVID variants.
  • Current COVID-19 management mandates.

Revenue & Expenses

Visualization of income flow from segment revenue to net income