•
Jun 30, 2023

Payoneer Q2 2023 Earnings Report

Payoneer reported record quarterly revenue with significant profitability expansion and strategic investments.

Key Takeaways

Payoneer's Q2 2023 results showcased record revenue, up 40% year-over-year, driven by growth in active ICPs and increased monetization. Net income saw a substantial increase, and the company announced strategic acquisitions and partnerships to further growth.

Revenue increased by 40% year-over-year, reaching a record $206.7 million.

Net income increased significantly to $45.5 million, a 930% increase year-over-year.

Active ICPs grew by 6% year-over-year, with larger ICPs growing by 18%.

The company announced an agreement to acquire a licensed China-based payment service provider.

Total Revenue
$207M
Previous year: $148M
+39.5%
EPS
$0.12
Previous year: $0.01
+1100.0%
Gross Profit
$178M
Previous year: $122M
+46.1%
Cash and Equivalents
$581M
Previous year: $492M
+18.1%
Free Cash Flow
$55.4M
Previous year: $24.1M
+129.7%
Total Assets
$6.34B
Previous year: $5.84B
+8.6%

Payoneer

Payoneer

Forward Guidance

Payoneer raised its full year 2023 guidance, expecting revenue between $820 million and $830 million and adjusted EBITDA between $160 million and $170 million.

Positive Outlook

  • Steady acquisition of ICPs.
  • Significant revenue growth.
  • Margin expansion.
  • Investment for future growth.
  • Expected $210 million of interest income revenue for the full year.

Challenges Ahead

  • Cannot reconcile its expected adjusted EBITDA to expected net income under “2023 Guidance” without unreasonable effort because certain items that impact net income and other reconciling metrics are out of the Company's control and/or cannot be reasonably predicted at this time, which unavailable information could have a significant impact on the Company’s GAAP financial results.
  • Forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward looking statements.
  • These forward-looking statements are based upon estimates and assumptions that are inherently uncertain.
  • Changes in applicable laws or regulations could affect results.
  • Geopolitical and other economic, business and/or competitive factors could adversely affect results.