Paysafe Q4 earnings fall, revenue up; provides FY22 guidance.

Paysafe Limited's Q4 adjusted earnings fell, but revenue rose. The company set full-year guidance. Paysafe is a payments platform provider with a range of payment solutions including credit and debit card processing, digital wallet, eCash, and real-time banking solutions. Its Merchant Solutions segment offers payment acceptance and transaction processing solutions, while its Digital Wallets segment provides digital commerce solutions for specialized industry verticals.

Paysafe Limited, a leading payments platform provider, reported its financial results for the fourth quarter and full year of 2023. Despite a decline in adjusted net income, the company recorded an increase in revenue, total payment volume, and adjusted EBITDA [1].

In Q4 2023, Paysafe generated $414.5 million in revenue, marking an 8% increase compared to the same period in 2022. The company's total payment volume reached $35.8 billion, a 8% year-over-year growth. Adjusted net income for the quarter was $40.9 million, or $0.66 per diluted share, compared to $33.1 million, or $0.54 per diluted share in Q4 2022.

For the full year 2023, Paysafe reported revenue of $1,601.1 million, a 7% increase compared to 2022. The company's total payment volume surpassed $140.2 billion, an 8% year-over-year growth. Adjusted net income for the year was $143.9 million, or $2.33 per diluted share, compared to $137.0 million, or $2.25 per diluted share in 2022.

Despite the decline in adjusted net income, Paysafe's CEO, Bruce Lowthers, expressed satisfaction with the company's performance. "We closed out 2023 strong with 8% revenue growth in Q4 and full year growth of 7%," he said. "We have undergone significant operating changes during this past year which has allowed us to deliver on the commitments that we set last March, driving revenue growth, Adjusted EBITDA expansion and a reduction in our net debt leverage ratio."

Paysafe's investment plans for 2024 include expanding its go-to-market capabilities to support growth in target verticals, enhancing client experience, and improving operational efficiency. The company's focus on growth and efficiency has paid off, as it ranked 2nd in the J.D. Power 2024 U.S. Merchant Services Satisfaction Study, outperforming the industry average for all [1].

References:
[1] Paysafe Limited. (2023, February 8). Paysafe Reports Fourth Quarter and Full Year 2023 Results, Provides 2024 Outlook. Business Wire. https://www.businesswire.com/news/home/20230208005208/en/