Repay Holdings Corp Q1 2025 Earnings Report: Revenue Exceeds Estimates, EPS Misses Expectations

Repay Holdings Corp reported Q1 2025 earnings with revenue at $77.3M, beating estimates, but EPS of -$0.09 missed expectations. The company faced a net loss of $8.2M and revenue decreased by 4% YoY. Despite challenges, Repay Holdings Corp achieved a 12% YoY growth in normalized gross profit for its Business Payments segment and increased its share repurchase program authorization to $75M. The company is focused on executing core growth and strategic initiatives to position itself for future success in the payment processing industry.

Repay Holdings Corp (RPAY) reported its first-quarter (Q1) 2025 earnings on May 12, 2025, with revenue of $77.3 million, exceeding analysts' estimates. However, the company's earnings per share (EPS) of -$0.09 fell short of expectations, resulting in a net loss of $8.2 million. The company's revenue decreased by 4% year-over-year (YoY) compared to the same period last year.

Despite the challenges, Repay Holdings Corp achieved a notable 12% YoY growth in normalized gross profit for its Business Payments segment. This growth was driven by the strength of its core accounts payable business, the onboarding of new enterprise customers, and the success of recent monetization efforts.

The company also announced an increase in its share repurchase program authorization to $75 million, reflecting its commitment to returning value to shareholders. The increase was approved by the Board of Directors, who concluded the strategic review process at this time.

Repay Holdings Corp is focused on executing its core growth strategy, which includes accelerating normalized gross profit growth and improving free cash flow conversion throughout the year. The company expects sequential quarterly normalized gross profit growth, including a high-single-digit to low double-digit fourth-quarter growth rate, and free cash flow conversion to exceed 50% in the second quarter, accelerating above 60% by the fourth quarter of 2025.

John Morris, CEO of Repay Holdings Corp, stated, "Our core growth strategy remains robust, with a relentless focus on profitable growth, optimized payment flows, and operational efficiency to create lasting value for our shareholders." The company is well-positioned for positive organic results as it moves through 2025.

The company will host a conference call to discuss its first-quarter financial results on May 12, 2025, at 5:00 pm ET. The call will be webcast live from REPAY's investor relations website and can also be accessed by phone.

[1] https://finance.yahoo.com/news/repay-holdings-q1-earnings-snapshot-203516445.html
[2] https://www.businesswire.com/news/home/20250512344859/en/REPAY-Reports-First-Quarter-2025-Financial-Results