Overview

* Flywire ( FLYW ) Q2 revenue grows 27.2% yr/yr, beating analyst expectations, per LSEG data

* Adjusted EBITDA for Q2 beats consensus, reflecting operational efficiency

* Co raises adjusted EBITDA margin guidance for fiscal yr 2025

Outlook

* Flywire ( FLYW ) reaffirms FY 2025 revenue guidance, raises aEBITDA margin by 75 bps

* Company expects FY 2025 FX-neutral revenue less ancillary services growth of 17-23% YoY

* Flywire ( FLYW ) anticipates Sertifi to contribute $35-40 mln in FY 2025 revenue

* Company raises full-year 2025 adj EBITDA margin outlook by 200-350 bps YoY

Result Drivers

* SERTIFI CONTRIBUTION - Sertifi acquisition added 12 points to revenue growth in Q2

* NEW CLIENTS - Nearly 200 new clients signed across all verticals, excluding Sertifi and Invoiced accounts

* TRAVEL VERTICAL - Scaled fast-growing travel vertical, expanding client roster and growing Sertifi's revenue by 35% year-over-year

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $131.90 $122 mln

Revenue mln (12

Analysts

)

Q2 EPS -$0.1

Q2 Net -$12 mln

Income

Q2 Beat $16.60 $10.10

Adjusted mln mln (12

EBITDA Analysts

)

Q2 61.1%

Adjusted

Gross

Margin

Q2 Gross $75.10

Profit mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 8 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the business support services peer group is "buy."

* Wall Street's median 12-month price target for Flywire Corp ( FLYW ) is $13.79, about 25.1% above its August 4 closing price of $10.33

* The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 49 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)