Sales Strategies Under Scrutiny: Contradictions in E-commerce Growth and Team Productivity in 2025 Q2 Earnings Call

Revenue and Growth Trends:
- Paysafe reported organic revenue growth of 5% for Q2, with a strong adjusted EBITDA growth of 12% excluding the divested direct marketing business.
- The growth was driven by continued execution on strategic priorities and growth across all major product lines, including strong performance from existing customers and new customer wins.

Digital Wallet Expansion:
- Revenue from Digital Wallets increased 3% on an organic basis, with 7.2 million 3-month actives, up 3% compared to last year.
- Growth was supported by strong consumer acquisition activity and marketing campaigns, while the launch of PagoEfectivo wallet in Peru showed early success with nearly 40,000 sign-ups.

E-commerce Performance:
- Paysafe's e-commerce segment experienced 30% year-over-year growth, with gaming business maintaining consistent growth over 50% for the last two years.
- Growth was attributed to expanding the portfolio beyond gaming, with notable traction in other verticals, and geographic expansion, particularly in Europe.

SMB and Enterprise Sales:
- SMB revenue was up 6% across the portfolio, including a 7% growth in the direct channel, despite some attrition.
- Enterprise-level deals and annual contract value of bookings are up more than 20% year-to-date, driven by strong performance in gaming and fintech sectors.

Product Initiatives and Innovations:
- Paysafe's focus on product innovation, such as Skrill digital wallet evolution and launches like PagoEfectivo wallet in Peru, is contributing to growth.
- The company aims to achieve 10%-12% annual revenue contribution from products released in the last three years, which supports future growth and market differentiation.