Payoneer Reports Fourth Quarter and Full Year 2024 Financial Results
PAYO
Achieved record annual volume of $80 billion, 18% annual revenue growth and record profitability 2025 guidance reflects business momentum and confidence in further strong performance
Payoneer Global Inc. (“Payoneer” or the “Company”) (NASDAQ: PAYO), the financial technology company empowering the world’s small and medium-sized businesses to transact, do business and grow globally, today reported financial results for its fourth quarter and full year ended December 31, 2024.
Fourth Quarter 2024 Financial Highlights
4Q 2023
1Q 2024
2Q 2024
3Q 2024
4Q 2024
2023
2024
$159.4
$162.9
$173.7
$183.1
$201.1
26%
$600.5
$720.9
20%
64.9
65.3
65.8
65.2
60.6
-7%
230.6
256.8
11%
$224.3
$228.2
$239.5
$248.3
$261.7
17%
$831.1
$977.7
18%
16.2%
14.9%
15.4%
15.3%
16.5%
30 bps
14.7%
15.6%
90 bps
$27.0
$29.0
$32.4
$41.6
$18.2
-33%
$93.3
$121.2
30%
52.2
65.2
72.8
69.3
63.3
21%
205.1
270.6
32%
$19.0
$18.5
$18.7
$20.4
$22.5
18%
$66.0
$80.1
21%
516
530
547
557
560
8%
516
560
8%
118 bps
124 bps
128 bps
122 bps
116 bps
-2 bps
126 bps
122 bps
-4 bps
100 bps
108 bps
111 bps
109 bps
109 bps
9 bps
105 bps
109 bps
4 bps
“2024 was a defining year for Payoneer. We achieved new records for annual volume, revenue and profitability, saw exceptional volume and revenue growth with B2B SMBs, drove increased adoption of our high value products and expanded our financial stack. These achievements are proof of our scalable, increasingly profitable business model, the size of our opportunity and the strength of our execution.
Looking ahead to 2025, we will focus on expanding our regulatory moat, modernizing our technology infrastructure and further enhancing our financial stack, while seeking to deliver continued strong growth and profitability.”
John Caplan, Chief Executive Officer
Full Year 2024 Business Highlights
Fourth Quarter 2024 Business Highlights
2025 Guidance
“Payoneer delivered record revenue and profitability in 2024. We achieved 20% growth in revenue excluding interest income and delivered three consecutive quarters of positive adjusted EBITDA excluding interest income.
Our 2025 guidance is consistent with our medium-term financial targets and reflects our confidence in our strategy and in our ability to continue to build upon the strong momentum of 2024.”
Bea Ordonez, Chief Financial Officer
2025 guidance is as follows:
Revenue
$1,040 million - $1,050 million
Transaction costs
~18.0% of revenue
Adjusted EBITDA (1)
$255 million to $265 million
(1) The Company cannot reconcile its expected adjusted EBITDA to expected net income under “2025 Guidance” without unreasonable effort because certain items that impact net income and other reconciling metrics are out of the Company's control and/or cannot be reasonably predicted at this time, including income taxes, other financial (income) expense, net. Such unavailable information could have a significant impact on the Company’s GAAP financial results. Please refer to “Financial Information; Non-GAAP Financial Measures” below for a description of the calculation of adjusted EBITDA.
Webcast
Payoneer will host a live webcast of its earnings on a conference call with the investment community beginning at 8:30 a.m. ET today, February 27, 2025. To access the webcast, go to the investor relations section of the Company’s website at https://investor.payoneer.com. A replay will be available on the investor relations website following the call.
About Payoneer
Payoneer is the financial technology company empowering the world’s small and medium-sized businesses to transact, do business, and grow globally. Payoneer was founded in 2005 with the belief that talent is equally distributed, but opportunity is not. It is our mission to enable any entrepreneur and business anywhere to participate and succeed in an increasingly digital global economy. Since our founding, we have built a global financial stack that removes barriers and simplifies cross-border commerce. We make it easier for millions of SMBs, particularly in emerging markets, to connect to the global economy, pay and get paid, manage their funds across multiple currencies, and grow their businesses.
Forward-Looking Statements
This press release includes, and oral statements made from time to time by representatives of Payoneer, may be considered “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or Payoneer’s future financial or operating performance. For example, projections of future revenue, transaction cost and adjusted EBITDA are forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may,” “should,” “expect,” “intend,” “plan,” “will,” “estimate,” “anticipate,” “believe,” “predict,” “potential” or “continue,” or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Payoneer and its management, as the case may be, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: (1) changes in applicable laws or regulations; (2) the possibility that Payoneer may be adversely affected by geopolitical events and conflicts, such as Israel’s ongoing conflicts in the Middle East, and other economic, business and/or competitive factors, such as trade policies (including tariffs); (3) changes in the assumptions underlying our financial estimates; (4) the outcome of any known and/or unknown legal or regulatory proceedings; and (5) other risks and uncertainties set forth in Payoneer’s Annual Report on Form 10-K for the period ended December 31, 2024 and future reports that Payoneer may file with the SEC from time to time. Nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Payoneer does not undertake any duty to update these forward-looking statements.
Financial Information; Non-GAAP Financial Measures
Some of the financial information and data contained in this press release, such as adjusted EBITDA, have not been prepared in accordance with United States generally accepted accounting principles (“GAAP”). Payoneer uses these non-GAAP measures to compare Payoneer’s performance to that of prior periods for budgeting and planning purposes. Payoneer believes these non-GAAP measures of financial results provide useful information to management and investors regarding certain financial and business trends relating to Payoneer’s results of operations. Payoneer's method of determining these non-GAAP measures may be different from other companies' methods and, therefore, may not be comparable to those used by other companies and Payoneer does not recommend the sole use of these non-GAAP measures to assess its financial performance. Payoneer management does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP. The principal limitation of these non-GAAP financial measures is that they exclude significant expenses and income that are required by GAAP to be recorded in Payoneer’s financial statements. In addition, they are subject to inherent limitations as they reflect the exercise of judgments by management about which expense and income are excluded or included in determining these non-GAAP financial measures. In order to compensate for these limitations, management presents non-GAAP financial measures in connection with GAAP results. You should review Payoneer’s financial statements, which are included in Payoneer’s Annual Report on Form 10-K for the year ended December 31, 2024 and its subsequent Quarterly Reports on Form 10-Q, and not rely on any single financial measure to evaluate Payoneer’s business.
Non-GAAP measures include the following item:
Adjusted EBITDA: We provide adjusted EBITDA, a non-GAAP financial measure that represents our net income (loss) adjusted to exclude, as applicable: M&A related expense (income), stock-based compensation expenses, restructuring charges, share in losses (gain) of associated company, loss (gain) from change in fair value of warrants and warrant repurchase/redemption, other financial expense (income), net, income taxes, and depreciation and amortization.
Other companies may calculate the above measure differently, and therefore Payoneer’s measures may not be directly comparable to similarly titled measures of other companies.
In addition, in this earnings release, we reference volume, which is an operational metric. Volume refers to the total dollar value of transactions successfully completed or enabled by our platform, not including orchestration transactions. For a customer that both receives and later sends payments, we count the volume only once. We also reference ARPU (Average Revenue Per User), which is defined as the Revenue from Active Customers divided by the number of Active Customers over the period in which the Revenue was earned. Active Customers for these purposes are defined as Payoneer accountholders with at least 1 financial transaction over the period. Revenue from Active Customers represents revenue attributed to Active Customers based on their use of the Payoneer platform, including interest income earned from their balances, and excluding revenues unrelated to their activities.
2024
2023
2024
2023
261,739
224,320
977,716
831,103
43,121
36,320
152,106
122,291
43,133
39,686
169,550
160,609
40,384
34,972
134,631
119,197
59,024
51,762
211,839
196,654
33,227
27,124
113,263
100,929
13,666
8,750
47,296
27,814
232,555
198,614
828,685
727,494
29,184
25,706
149,031
103,609
—
11,824
2,767
17,359
—
—
(14,746
)
—
(2,978
)
3,763
2,419
11,568
(2,978
)
15,587
(9,560
)
28,927
26,206
41,293
139,471
132,536
8,016
14,272
18,308
39,203
18,190
27,021
121,163
93,333
(13,539
)
—
(412
)
—
2,906
—
90
—
(15,976
)
—
(15,473
)
—
3,519
—
3,428
—
(66
)
—
(66
)
—
(23,156
)
—
(12,433
)
—
(4,966
)
27,021
108,730
93,333
0.05
0.08
0.34
0.26
0.05
0.07
0.31
0.24
360,292,619
354,697,812
358,345,945
361,678,893
385,074,151
379,881,231
386,237,179
392,665,718
Disaggregation of revenue
The following table presents revenue recognized from contracts with customers as well as revenue from other sources:
2024
2023
2024
2023
197,456
156,114
707,644
573,902
777
660
2,650
16,925
198,233
156,774
710,294
590,827
60,595
64,867
256,846
230,634
2,911
2,679
10,576
9,642
63,506
67,546
267,422
240,276
261,739
224,320
977,716
831,103
The following table presents the Company’s revenue disaggregated by primary regional market, with revenues being attributed to the country (in the region) in which the billing address of the transacting customer is located, with the exception of global bank transfer revenues, where revenues are disaggregated based on the billing address of the transaction funds source.
Note that the Company has updated the definition of its primary regional markets to align with the view used by Management. This update eliminates South Asia, Middle East and North Africa as a separate region and instead includes revenues from South Asia in the Asia-Pacific region and Middle East and North Africa in the Europe, Middle East, and Africa region. The update has been applied to all periods reflected in the table below.
2024
2023
2024
2023
89,938
80,244
340,846
287,944
65,312
59,878
253,096
225,703
52,628
40,116
186,582
142,737
25,898
23,499
96,868
97,434
27,963
20,583
100,324
77,285
261,739
224,320
977,716
831,103
2024
2023
2024
2023
18,190
27,021
121,163
93,333
13,666
8,750
47,296
27,814
8,016
14,272
18,308
39,203
2,978
(3,763
)
(2,419
)
(11,568
)
42,850
46,280
184,348
148,782
18,614
17,338
64,787
65,767
1,807
451
9,439
3,468
—
(11,824
)
(2,767
)
(17,359
)
—
—
14,746
—
—
—
—
4,488
63,271
52,245
270,553
205,146
27,021
28,974
32,425
41,574
18,190
8,750
9,408
10,712
13,510
13,666
14,272
13,910
15,866
(19,484
)
8,016
(3,763
)
(2,747
)
(976
)
(1,674
)
2,978
46,280
49,545
58,027
33,926
42,850
17,338
15,077
13,666
17,430
18,614
451
2,375
2,091
3,166
1,807
(11,824
)
(1,761
)
(1,006
)
—
—
—
—
—
14,746
—
52,245
65,236
72,778
69,268
63,271
2024
2023
2024
2023
18,190
27,021
121,163
93,333
360,292,619
354,697,812
358,345,945
361,678,893
23,903,275
24,453,273
27,104,075
30,256,559
878,257
730,146
787,159
730,266
385,074,151
379,881,231
386,237,179
392,665,718
0.05
0.08
0.34
0.26
0.05
0.07
0.31
0.24
2024
2023
497,467
617,022
6,633
7,030
6,439,153
6,390,526
11,937
7,980
56,242
45,493
88,210
40,672
7,099,642
7,108,723
16,053
15,499
77,785
19,889
102,390
76,266
525,000
—
17,653
5,780
41,523
15,291
757
840
19,403
24,854
30,174
15,977
7,930,380
7,283,119
37,302
33,941
6,964,153
6,390,526
129,621
117,508
7,131,076
6,541,975
—
18,411
—
8,555
1,471
—
73,043
49,905
7,205,590
6,618,846
—
—
3,960
3,687
(193,724
)
(56,936
)
821,196
732,894
(12,609
)
(176
)
105,967
(15,196
)
724,790
664,273
7,930,380
7,283,119
2024
2023
121,163
93,333
47,296
27,814
(22,616
)
(11,122
)
64,787
65,767
(2,767
)
(17,359
)
14,746
—
(8,577
)
—
3,522
(4,359
)
(44,821
)
(4,310
)
1,127
(8,326
)
2,039
1,348
337
4,898
(329,512
)
(299,139
)
318,763
290,801
3,967
13,619
6,358
232
14,068
10,248
(12,955
)
(3,956
)
176,925
159,489
(8,189
)
(8,459
)
(52,203
)
(39,333
)
—
(3,600
)
83
255
(50,768
)
930
(35,200
)
—
(1,443,772
)
—
277,000
—
(600,000
)
—
(48,218
)
—
—
5,953
(1,961,267
)
(44,254
)
21,119
13,203
563,622
551,914
15,120
26,855
(33,531
)
(24,582
)
37,890
—
(19,100
)
—
(19,834
)
—
(137,513
)
(55,436
)
427,773
511,954
(3,588
)
4,458
(1,360,157
)
631,647
7,018,367
6,386,720
5,658,210
7,018,367
52,320
40,910
1,399
1,767
1,530
810
7,108
10,159
8,617
19,842
775
1,500
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