Overview

* Western Union ( WU ) Q2 revenue falls 4% yr/yr, narrowly missing analyst expectations

* Adjusted EPS for Q2 misses consensus, reflecting challenges in North America retail

* Co's Branded Digital and Consumer Services segments show growth

Outlook

* Western Union ( WU ) expects 2025 GAAP revenue of $4.085 bln to $4.185 bln

* Company projects 2025 adjusted revenue of $4.035 bln to $4.135 bln

* Western Union ( WU ) sees 2025 GAAP EPS of $1.45 to $1.55

* Company anticipates 2025 adjusted EPS of $1.65 to $1.75

Result Drivers

* NORTH AMERICA SLOWDOWN - Revenue decline attributed to slowdown in North America retail business

* IRAQ REVENUE IMPACT - Lower revenue from Iraq contributed to overall decline

* CONSUMER SERVICES GROWTH - Revenue growth driven by expansion of Travel Money business in Europe, including acquisition of Eurochange Limited

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $1.03 $1.04

Revenue bln bln (13

Analysts

)

Q2 Miss $0.42 $0.44

Adjusted (16

EPS Analysts

)

Q2 EPS $0.37

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 11 "hold" and 7 "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 Western Union Co ( WU ) is $10.25, about 16.3% above its July 25 closing price of $8.58

* The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 6 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.)