- Adjusted EBITDA was $64 million, representing a 16% margin and $18 million above the midpoint of guidance.
- GAAP net income was $6.5 million, a significant improvement from a $12.1 million net loss in Q2 2024.
- Marketing spend was $79.8 million, up 10.4% year-over-year but declined as a percentage of revenue to 19.4%.
- Quarterly active customers increased 24% year-over-year to over 8.5 million.
- Remitly reported Q2 2025 revenue of $411.9 million, up 34% year-over-year, exceeding guidance by $28 million.
- Send volume grew 40% to $18.5 billion, with send volume per active customer increasing a record 12% year-over-year.
- Stock-based compensation was $38.1 million, 9.2% of revenue, down 288 basis points from prior year.
- Technology and development expenses grew 15% year-over-year but improved as a percentage of revenue.
- Transaction expenses were $143.8 million or 34.9% of revenue, with provision for transaction losses at $28 million due to a fraud incident.
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- Adjusted EBITDA grew 5%, exceeding the top end of the outlook, with margins improving 200 basis points sequentially.
- Adjusted EPS was $1.36, meeting expectations despite higher depreciation and amortization expenses.
- Banking EBITDA margin contracted 70 basis points due to an $8 million bad debt charge; Capital Markets margin contracted 50 basis points due to acquisition-related dilution.
- Banking revenue grew 6%, above the high end of guidance, driven by commercial excellence and strong client retention.
- Capital Markets revenue grew 5%, slightly below expectations due to temporary slowdown in loan syndication activity.
- FIS delivered 5% revenue growth in Q2 2025, accelerating from 4% in Q1, driven primarily by momentum in the Banking segment.
- Free cash flow was $292 million with a cash conversion rate of 52% in Q2, and 61% year-to-date, improving from 53% prior year.
- Leverage increased modestly to 3x, or 2.9x excluding currency impacts, with a long-term target of 2.8x.
- Recurring revenue represented 81% of total revenue, growing 6% overall with 7% growth in Banking recurring revenue.
- Adjusted operating margin expanded to 39.6% in Q2, up 120 basis points from prior year.
- Financial Solutions segment grew 7% organically in Q2, led by issuing and digital payments growth.
- Fiserv delivered 8% adjusted and organic revenue growth in Q2 2025, with 16% adjusted EPS growth year-over-year.
- Free cash flow was $1.2 billion in Q2 and $1.5 billion for the first half of 2025, with an expected full year of approximately $5.5 billion.
- Merchant Solutions operating margin declined 200 basis points to 34.6% due to investments and acquisitions, while Financial Solutions margin expanded to 48.7%.
- Merchant Solutions segment grew 9% organically in Q2, with 10% adjusted revenue growth, driven by Clover and Commerce Hub.
- Share repurchases totaled $2.2 billion in Q2, with guidance increased to approximately 130% of free cash flow for 2025.
Dafinchi