Priority (PRTH) investor relations material

Business overview and strategy

• Operates as a 20-year-old payments and banking fintech, serving consumer and B2B segments with a unified commerce engine for money movement, storage, and lending.

• Handles all payment routes including credit, debit, ACH, checks, wires, and issues both virtual and physical cards.

• Serves 1.4 million customer accounts, managing $1.6 billion in customer accounts and $1.4 billion in money under administration daily.

• Competes with major acquirers and fintechs, ranking as the fifth largest nonbank US acquirer and expanding internationally, starting with Canada.

• Utilizes a mix of reseller and direct sales channels, with a focus on software-led solutions to accelerate cash flow and optimize working capital.

Financial performance and revenue model

• Generates revenue primarily from transaction processing, software, and platform fees, with over 60% of gross profit from recurring sources.

• Achieved 9% net revenue growth, 13% adjusted gross profit growth, and 9% adjusted EBITDA growth in Q2.

• EPS reached $0.26, up $0.15 year over year, and guidance for annual revenue was raised to $970–$990 million, with 10–12.5% growth expected.

• Maintains high revenue visibility, with 98% of revenue recurring or reoccurring.

Market opportunity and growth drivers

• Targets a $6 trillion US B2C payments market and a $20 trillion B2B market, with B2B digital penetration at only 50%.

• B2B segment gross profit grew 30% year over year, with EBITDA up over 100%, reflecting strong momentum.

• Adds 2,500–3,000 new customers monthly, with growth outpacing peers and market share gains in both B2C and B2B.

• Focuses on delivering integrated solutions for complex, multiparty environments like property management, construction, and healthcare.