PSFE · Paysafe Limited

Paysafe's first quarter 2026 results reflect solid revenue growth of 10% to $442.7 million, driven by strong performance in Digital Wallets (up 15%) and Merchant Solutions (up 6%). Organic revenue grew 8%, with Digital Wallets benefiting from Latin American expansion and European PaysafeWallet growth, while Merchant Solutions was supported by North American iGaming volumes. However, net loss widened to $36.5 million from $19.5 million in the prior year, primarily due to a $9.9 million increase in share-based compensation (including a one-time employee award) and a $9.7 million rise in credit losses. Adjusted EBITDA increased 4% to $99.2 million, with favorable foreign exchange contributing $6.3 million. Adjusted EPS grew 21% to $0.41, aided by a reduced share count. The company generated $63.9 million in operating cash flow and $66.9 million in unlevered free cash flow. Net debt repayments of $104.3 million reduced total debt to $2.5 billion, bringing the net leverage ratio to 5.2x. Management reaffirmed full-year 2026 guidance: revenue of $1.79-$1.83 billion, Adjusted EBITDA of $449-$464 million, and Adjusted EPS of $2.12-$2.32. Additionally, Ignacio Caride joined the board, bringing digital commerce and Latin American expertise, while Eli Nagler stepped down. The company also published its 2025 Sustainability Report, highlighting a 49% reduction in Scope 1 and 2 GHG emissions from the 2023 baseline.