Paysafe Ltd. Q4 FY2025 earnings call

In 2025, delivered third consecutive year of organic revenue growth. Made deep structural changes, modernizing platform, upgrading talent. Vitality Index progress, digital wallet active users reached 7.8 million at quarter end. Code generation via AI over 30% in 2025, shortening time to market. Reduced integration times for new payment methods by ~80%. Focused on retooling SMB portfolio and enhancing consumer and merchant experiences in 2026.

Full year reported revenue was $1.7 billion, with 6% organic growth excluding disposition. Merchant solutions segment: Q4 revenue was $222.7 million, full-year $904.7 million, organic growth 2% in Q4 and 5% full-year; adjusted EBITDA Q4 $28.8 million, full-year $145.7 million, full-year adjusted EBITDA margin 16.1%. Digital wallet segment: Q4 revenue increased 13% to $220.2 million, organic growth 6%; full-year revenue $815 million, reported growth 6% and organic growth 4%; adjusted EBITDA Q4 $93.1 million, full-year $352 million, full-year margin 43.2%.

Expect revenue $1.79 billion - $1.83 billion in 2026, growth 5%-8%, organic growth ~5%-7%; adjusted EBITDA $449 million - $464 million; DPS $2.12 per share - $2.32 per share, aiming for double digit growth vs 2025.

Q: Dan Perling from RBC Capital Markets asked about SMB strategic initiatives.

A: Bruce said on SMB side, put energy in 2025 and building momentum into 2026, new team, strong product, value-added services and increased marketing.

Q: Darren Baller from Wolf Research asked about PaySafe wallet opportunity.

A: Bruce said excited about PaySafe wallet, in 18 countries, tracking well with embedded finance peers, focus on Europe in 2026.

Q: Andrew Hart from BTIG asked about digital wallet segment change.

A: Bruce said no one-off in Q4, momentum building, vitality index moving from 2% in 2022 to 16%, progress in product set.

Q: Timothy Chiodo from UBS asked about sales team and agentic commerce.

A: Bruce said enterprise sales team number at end of 2025 similar to 2024, about 132; agentic commerce creates opportunity, complex, industry will participate.

Q: Jamie Friedman from Susquehanna International Group asked about sales strategy and cross-sales.

A: Bruce said between ISO and direct, direct higher margin, focused on SMB agent program, cross-sell growth from near zero in 2022 to 40% in Q4, focusing on new products for cross-sell.