Western Union Q1 2025 Earnings Report
Key Takeaways
Western Union's Q1 2025 results showed a 6% drop in revenue to $983.6 million, largely driven by a sharp decline in Iraq-related revenue. Net income also fell 13% year-over-year. However, the Branded Digital segment maintained strong momentum, with 14% transaction growth and 7% revenue growth. The company reaffirmed its full-year guidance, indicating confidence in strategic execution.
Revenue declined 6% to $983.6 million, primarily due to reduced contribution from Iraq.
Branded Digital revenue grew 7% with 14% increase in transactions.
Net income dropped 13% year-over-year to $123.5 million.
Consumer Services segment grew 27%, supported by recent acquisition in the UK.
Western Union
Western Union
Western Union Revenue by Segment
Western Union Revenue by Geographic Location
Forward Guidance
Western Union reaffirmed its 2025 guidance, expecting revenue between $4.09B and $4.19B and adjusted EPS between $1.75 and $1.85, with stable operating margins and effective tax rate outlook.
Positive Outlook
- Full-year revenue expected between $4.09B–$4.19B (GAAP).
- Adjusted EPS projected between $1.75–$1.85.
- Adjusted operating margin range of 19%–21%.
- Stable GAAP tax rate outlook of 19%–21%.
- Digital momentum expected to continue driving growth.
Challenges Ahead
- Revenue negatively impacted by Iraq operations volatility.
- Pressure from Argentina inflation continues in Consumer Services.
- Flat to declining revenue outlook in some regions (e.g., LACA, APAC).
- Currency headwinds remain a risk factor.
- Geopolitical and regulatory uncertainties could impact key markets.