FLYW Earnings Prediction
The chart below shows how FLYW performed 10 days before and after its earnings report, based on data from the past quarters. Typically, FLYW sees a +8.00% change in stock price 10 days leading up to the earnings, and a -6.18% change 10 days following the report. On the earnings day itself, the stock moves by -0.30%. This data can give you a slight idea of what to expect for the next quarter's release.
FLYW Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
156.81M
27.16%
51.25%
Gross Margin
65.21%
0.00%
6.00%
Operating Margin
13.18%
37.87%
-184.43%
Net Margin
24.80%
187.37%
-285.21%
EPS
0.30
275.00%
-372.73%
No Data Available
FLYW Earnings Analysis
Flywire Corporation Voting Common Stock Corporation (FLYW.O) Earnings Conference Call
Positive
Revenue Surge in Education: 1. Strong Revenue Growth: Flywire reported revenue less ancillary services of $151.4 million for Q3 2024, marking a 29.6% increase year-over-year, driven by strong performance in the education vertical, particularly in the UK.
Adjusted Gross Profit Growth: 2. Increased Adjusted Gross Profit: The adjusted gross profit for the quarter reached $101.9 million, reflecting a 27.2% year-over-year growth, showcasing effective cost management and operational efficiency.
Adjusted EBITDA Expansion: 3. Significant Adjusted EBITDA Growth: Adjusted EBITDA grew to $42.2 million, an increase of $14.7 million year-over-year, with an adjusted EBITDA margin expansion of nearly 429 basis points, indicating improved profitability.
Total Payment Volume Surge: 4. Robust Total Payment Volume: Flywire enabled $11 billion in total payment volume during Q3, nearly double the average volume processed in the first half of the year, demonstrating the scalability of its payment platform.
Cash Reserves and Buybacks: 5. Strong Cash Position and Share Repurchase: The company ended the quarter with $721.5 million in cash and cash equivalents, and repurchased 1.3 million shares for approximately $23 million, reflecting confidence in its financial health and commitment to returning value to shareholders.
Negative
Canadian Market Challenges: 1. Pressure from Canadian Market: The Canadian education market continues to face significant challenges, with expectations for 2025 revenue to be relatively flat compared to 2024 due to restrictive immigration policies and demand destruction.
Declining Profit Margin: 2. Declining Adjusted Gross Profit Margin: Adjusted gross profit margin decreased by 130 basis points year-over-year to 67.3%, primarily due to a business mix shift towards faster-growing segments like travel and B2B that utilize more credit card payments.
Moderating Revenue Growth: 3. Flat Revenue Growth in Australia: The Australian education segment is expected to see a moderation in revenue growth, moving from above corporate average to at or below corporate average due to potential regulatory changes affecting international student caps.
Rising Sales and Marketing Costs: 4. Increased Operating Expenses: Sales and marketing expenses were $27 million, representing 17.8% of revenue, indicating a need for continued investment in go-to-market capabilities despite the pressure on margins.
Foreign Exchange Headwinds: 5. Negative Impact from Foreign Exchange Rates: The company experienced a high single-digit percentage point headwind related to the Canadian higher education business, which negatively impacted overall revenue growth despite a favorable FX tailwind of approximately $2.5 million.
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FLYW Earning Call Sentiment
Flywire Corporation (FLYW) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
FLYW.O
1.93%Positive
The earnings call indicates strong financial performance with significant year-over-year growth in revenue, adjusted EBITDA, and net income. The share repurchase program and optimistic guidance for 2024 support a positive outlook. Despite regulatory and competitive challenges, the company is expanding in key verticals like healthcare and B2B. The Q&A session highlighted management's confidence in continued growth and profitability, although some regulatory risks were not fully addressed. Considering the company's market cap and overall sentiment, a positive stock price movement of 2% to 8% is expected over the next two weeks.
