Flywire's Q2 2025 Earnings Call: Unpacking Contradictions in U.S. and U.K. Education Market Dynamics

U.S. higher education market performance, U.K. market growth contribution, global student population and travel trends, U.S. visa trends and impact on education market, and U.S. education market growth opportunities are the key contradictions discussed in Flywire's latest 2025Q2 earnings call.



Revenue Growth Across Verticals:
- Flywire reported revenue less ancillary services of $127.5 million in Q2, representing a 25% FX-neutral growth rate or 27.7% on a spot basis, above the high end of guidance.
- Growth was driven by strong performance in the Flywire travel business and lower-than-expected macro impacts, with Sertifi contributing $12 million, adding roughly 12% to the growth.

Education Business Expansion:
- Flywire signed nearly 200 new clients across verticals, with notable wins in global education, particularly in markets outside the traditional big 4.
- Expansion was fueled by larger, more strategic deals and growing demand for integrated solutions, reflecting increased consolidation of vendor relationships by institutions.

Sertifi Integration and Growth:
- Sertifi's revenue grew above 35% year-over-year in Q2, marking 750 net new software location wins and 141 new payment sites signed.
- The integration of Sertifi's workflow software with Flywire's global payment capabilities is enhancing value propositions and expanding payment flow opportunities.

Operational Efficiency and Margin Expansion:
- Flywire achieved 13% adjusted EBITDA margin for Q2, a 723 basis point year-over-year expansion, driven by disciplined operational expenditures and strategic investments.
- The company's focus on data infrastructure, AI, and automation has yielded efficiencies, enabling cost savings and improved productivity.