Paysafe Limited reported Q2 adjusted EPS of 46 cents, beating the consensus estimate of 45 cents. Quarterly sales of $428.218 million outpaced the Street view of $424.749 million, a decrease of 3% YoY. Paysafe registered organic revenue growth of 5% in the quarter. The company raised its full-year sales outlook to $1.710-$1.734 billion, compared to the $1.722 billion estimate.
Paysafe Limited (NYSE: PSFE) delivered a robust second quarter (Q2) performance, with adjusted earnings per share (EPS) of $0.46, surpassing the consensus estimate of $0.45. The company's revenue for the quarter reached $428.2 million, exceeding market expectations of $424.9 million, a decrease of 3% year-over-year (YoY). Paysafe's organic revenue growth stood at 5%, driven by strong performance across its Merchant Solutions and Digital Wallets segments [1].
CEO Bruce Lowthers highlighted the company's significant growth in Europe, particularly in the consumer business, which led to double-digit growth. He also noted the launch of innovative products and the higher contribution from new customer wins [1].
Despite the positive top-line results, Paysafe reported a net loss of $50.1 million for Q2 2025, largely due to a $30.6 million charge related to the recognition of a valuation allowance against the company's UK deferred tax assets. The company's adjusted net income decreased to $27.6 million, a 24% decrease from the prior year period, reflecting the impact of the disposed business [2].
Paysafe's adjusted EBITDA for Q2 2025 decreased 12% to $105.0 million, primarily due to the divestment of the direct marketing business line. However, the company maintained its full-year revenue outlook of $1,710 billion to $1,734 billion, an increase from the previous estimate of $1,722 billion. Additionally, the company reaffirmed its full-year adjusted EBITDA guidance of $463 million to $478 million and adjusted EPS guidance of $2.21 to $2.51 [1].
The company's operating cash flow for Q2 2025 was $39.6 million, compared to $54.1 million in the prior year period. Unlevered free cash flow was $53.9 million, a decrease from the prior year's $70.0 million. CEO Lowthers emphasized that the company remains on track to drive stronger growth and margin improvement in the second half of the year [2].
References:
[1] https://seekingalpha.com/news/4483860-paysafe-stock-gains-after-q2-revenue-beats-amid-robust-europe-growth
[2] https://fxnewsgroup.com/forex-news/payments/paysafe-reports-net-loss-of-50-1m-for-q2-2025/
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