Remitly Global, Inc. Q4 FY2025 earnings call

• Matt Oppenheimer noted 2025 was a phenomenal year with 29% revenue growth and $272 million adjusted EBITDA, announced Sebastian Gunningham as new CEO. • Core money movement had rapid customer growth, new products launched with early traction. • Achieved record levels of efficiency, profitability, and cash generation, driven by AI-enabled operating enhancements, scale strengthening the flywheel, and optimization in treasury operations. • Priorities for 2026 include expanding AI use, testing and optimizing new products, growing customer categories like high amount senders, and geographical expansion.

In 2025, core money movement saw growth with over 9 million quarterly active users, close to $75 billion annual send volume, and over $1.6 billion revenue (29% year-over-year growth). New products like Flex (Send Now, Pay Later) had over 120,000 users, Remitly Business had over 15,000 business customers, and Remitly One membership program was launched. Adjusted EBITDA was $272 million. Revenue contribution: Core money movement was the main driver, with new products starting to contribute, though still a small percentage currently.

• For Q1 2026, expected revenue of $436 million to $438 million (21% growth). • Full year 2026 revenue expected between $1.94 billion and $1.96 billion (19% to 20% growth). • Q1 adjusted EBITDA expected between $82 million and $84 million (margin around 19%). • Full year 2026 adjusted EBITDA expected between $340 million and $360 million (margin around 18%). • Expect to generate positive GAAP net income each quarter and strong year-over-year growth in GAAP net income and free cash flow. • Plan to increase quarterly share buyback pacing in 2026.

Q: What's your prior experience preparing you to lead Remitly?

A: Sebastian Gunningham mentioned prior experience leading product and engineering organizations in various companies, running payments business at Amazon, and playing Board and product roles at Santander, which positions him well.

Q: Any macro impacts on the business?

A: Vikas Mehta said strong execution, customer resilience, and 1% remittance tax tailwind helped, with diversification across geographies, customers, and new products giving confidence.

Q: Revenue cadence and margin outlook for 2026?

A: Vikas Mehta said H2 growth may moderate, Q1 benefits from remittance tax, and margin in 2026 balances growth and profitability.

Q: Main areas of focus as new CEO?

A: Sebastian Gunningham said product development in large markets is key.

Q: Color on AI opportunity at Remitly?

A: Sebastian Gunningham said AI has multiple buckets and will be a tailwind.

Q: Benefits from Flex and willingness to pay?

A: Vikas Mehta said Flex has 120,000 users, revenue doubling, users sending more, and positive unit economics.

Q: Strategy around higher spenders?

A: Vikas Mehta said high amount senders' volume growing, with product improvements and marketing campaigns driving it.