EML Payments (EML) investor relations material

Executive summary

• Transformation strategy AML 2.0 advanced with a refreshed global leadership team, expanded commercial teams, and new executive appointments driving operational and cultural improvements.

• Delivered FY25 results at the top end of guidance, with strong operational momentum and 28 new customers secured; most revenue impact expected in FY26 and beyond.

• Major technology refresh underway via Project Arlo, including a global partnership with Visa Pismo to support next-gen payments infrastructure.

• Class action provisionally settled, subject to court approval, and credit facilities expanded by $55M, strengthening the balance sheet.

• 8 major contract renewals, including 2 in the top 5, and significant commercial and sales team overhaul.

Financial highlights

• Revenue up 9% year-over-year to $220.9M, with customer revenue (ex-interest) up 3% to $157M.

• Underlying EBITDA increased 13% to $58.6M, with a margin of 27%, at the upper end of guidance.

• Statutory loss of $53M, impacted by nonrecurring items including a $37.4M class action settlement.

• Cash balance at $59.3M, up 46% year-over-year, with net cash movement of $18.6M.

• Interest income rose 28% to $63.9M, driven by higher bond yields and float balances.

Outlook and guidance

• FY26 underlying EBITDA guidance set at $58M–$63M, factoring in new business, client runoffs, and weaker interest income.

• Customer revenue net growth expected at 4–5%, with $15M new revenue offset by $8M client runoff.

• Interest revenue forecast to decline by $6M due to lower central bank rates, partially offset by float growth.

• Project Arlo and Dialog to drive operational efficiency and product innovation, with major transitions planned through 2027.

• Overhead costs expected to remain flat as efficiency measures continue.