RELY Earnings Prediction
The chart below shows how RELY performed 10 days before and after its earnings report, based on data from the past quarters. Typically, RELY sees a +0.78% change in stock price 10 days leading up to the earnings, and a +7.59% change 10 days following the report. On the earnings day itself, the stock moves by -1.57%. This data can give you a slight idea of what to expect for the next quarter's release.
RELY Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
351.89M
32.91%
4.57%
Gross Margin
64.70%
-0.49%
0.65%
Operating Margin
-1.06%
-90.95%
-378.95%
Net Margin
-1.63%
-87.68%
-385.96%
EPS
-0.03
-84.21%
-400.00%
No Data Available
RELY Earnings Analysis
Remitly Global Inc Corporation (RELY.O) Earnings Conference Call
Positive
Strong Revenue and EBITDA Growth: Record revenue and adjusted EBITDA exceeding $40 million for the second consecutive quarter, demonstrating customer loyalty and increasing scale across the business.
Customer Growth and Market Reach: Served almost 8 million quarterly active customers in over 170 countries, with customers sending more than $50 billion in 2024, showcasing the company's growth and market penetration.
Customer Satisfaction Ratings: Achieved a 4.9-star rating on the iOS App Store and a 4.8-star rating on Google Play Store, indicating high customer satisfaction and trust in the service.
Transaction Loss Reduction: Transaction losses were reduced to the lowest percentage of send volume in 2024, reflecting improved risk management and operational efficiency.
Customer Growth Surge: Active customers increased by 32% year over year, with a record number of new customers acquired in Q4, indicating strong market demand and customer retention.
Strong Revenue Performance: Revenue for Q4 was $351.9 million, up 33% year over year, and full-year revenue was $1.26 billion, up 34%, highlighting robust financial performance.
Customer Acquisition Efficiency: Marketing expense per quarterly active customer decreased nearly 16% year over year, demonstrating improved efficiency in customer acquisition.
Consistent Transaction Expenses: Transaction expenses as a percentage of revenue remained consistent year over year, indicating effective cost management as the business scales.
Stock-Based Compensation Decline: Stock-based compensation as a percentage of revenue decreased from 14.5% in 2023 to 12% in 2024, reflecting disciplined equity management and reduced dilution.
Future Profitability Expectations: Expectations for 2025 include a first full year of GAAP net income profitability and a projected revenue growth rate of 24% to 25%, showcasing confidence in future performance.
Negative
Net Loss Improvement: Net loss of $5.7 million in Q4 2024, although improved from a $35 million loss in Q4 2023, indicates ongoing financial challenges.
Transaction Expense Analysis: Transaction expenses were $118.4 million, representing 33.6% of revenue, consistent with Q4 2023, suggesting potential issues with cost management despite revenue growth.
Marketing Spend Deceleration: Marketing spend growth decelerated to 11.1%, the slowest since Q1 2023, which may indicate challenges in customer acquisition strategies.
Transaction Loss Provision Analysis: Provision for transaction losses was $13.9 million, with a 9 basis points loss rate, highlighting ongoing risks in transaction security and fraud management.
Q1 2025 Revenue Expectations: Expectations for Q1 2025 revenue growth of only 28% to 29% reflect seasonality and a potential slowdown in customer activity post-holiday season, which could impact overall growth trajectory.
Transaction Loss Volatility: The company anticipates transaction losses to remain volatile, indicating uncertainty in managing operational risks effectively.
RELY FAQs
How does RELY typically perform around its earnings report dates?
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RELY Earning Call Sentiment
Remitly Global (RELY) Q4 2024 Earnings Call Transcript
RELY.O
-7.48%Positive
The earnings call highlights strong financial performance with a 34% YoY revenue growth and improved margins. The raised revenue and EBITDA guidance for 2024, along with reduced stock dilution and net loss, are positive indicators. Despite some concerns about transaction losses and unclear margin guidance, the overall sentiment remains positive, supported by increased customer acquisition and strategic investments. The company's market cap suggests a moderate stock price reaction, likely in the 2% to 8% range.
