Overview

* Payoneer Q3 revenue of $270.9 mln beats analyst expectations

* Revenue excluding interest income grew 15% yr/yr, driven by 9% volume growth

* Net income for Q3 fell 66% yr/yr to $14.1 mln

* Company repurchased $45 mln shares, totaling $94 mln year-to-date

Outlook

* Payoneer raises 2025 revenue guidance to $1,050 mln - $1,070 mln

* Company increases 2025 adjusted EBITDA guidance to $270 mln - $275 mln

* Payoneer expects transaction costs to be ~16.0% of revenue in 2025

Result Drivers

* REVENUE GROWTH - Revenue excluding interest income grew 15% yr/yr, driven by 9% volume growth and significant take rate expansion with SMB customers

* ARPU INCREASE - ARPU excluding interest income grew 22% yr/yr, driven by larger customers and strategic pricing initiatives

* CARD USAGE - Record $1.6 bln of spend on Payoneer cards, up 19% yr/yr, driven by higher usage per customer

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $270.90 $263.37

Revenue mln mln (10

Analysts

)

Q3 EPS $0.04

Q3 Net $14.10

Income mln

Q3 $234.50

Operatin mln

g

Expenses

Q3 $36.34

Operatin mln

g income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "hold" and no "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 Payoneer Global Inc ( PAYO ) is $9.23, about 37.3% above its November 4 closing price of $5.79

* The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 27 three months ago

Press Release:

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(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.)