RELY Outperforms Q4 Expectations: Revenue Soars, Stock Surges

Key Highlights:

* Revenue: $351.9 million (32.9% YoY growth, exceeding estimates by $8.2 million)
* EPS (GAAP): -$0.03 (67.6% beat, outperforming estimates by $0.06)
* Adjusted EBITDA: $43.69 million (significant 12.4% margin, surpassing estimates by $22.34 million)
* Guidance for FY2025: Revenue of $1.57 billion (1% above estimates), EBITDA of $190 million (exceeding estimates by $13.4 million)

Company Overview:

Remitly is a digital platform that facilitates secure and efficient global money transfers. Backed by Amazon founder Jeff Bezos as an early investor, Remitly operates in a rapidly expanding financial technology market driven by digital payment adoption, e-commerce, and advancements in AI-driven credit underwriting.

Impressive Sales Growth:

Remitly's revenue has grown at a remarkable 40.2% CAGR over the past three years, outperforming the average consumer internet company. This consistent growth indicates strong customer demand for its offerings.

Active Customer Growth:

Remitly has rapidly expanded its user base, with active customers growing by 39.9% annually over the past two years to reach 7.8 million in Q4. This growth highlights the company's ability to attract and retain users.

Financial Performance:

Remitly's solid financial performance includes a 32% YoY revenue increase in Q4 and strong profitability metrics. Its operating margin has improved from -11.7% in Q4 CY2023 to -1.1% in Q4 CY2024.

Investment Potential:

Remitly's strong performance and growth potential make it an attractive investment opportunity for investors seeking exposure to the thriving fintech industry. The company's positive earnings report has boosted its stock price by 7.7%, indicating market optimism.

Conclusion:

Remitly's exceptional Q4 results demonstrate the company's robust growth trajectory and financial strength. Its expanding customer base, innovative offerings, and favorable market conditions position it for future success. Investors should consider Remitly's full research report for a comprehensive analysis of its investment potential.