Currency Exchange International (CXI) Q2 2026 earnings summary

Executive summary

• Revenue for Q2 2026 increased 13% year-over-year to $18 million, driven by strong payments growth and stable banknotes performance.

• Payments revenue surged 73% year-over-year, now representing 27% of total revenue.

• Net loss of $4.2 million reported, primarily due to a $6.6 million loss from discontinued operations, offsetting $2.4 million net income from continuing operations.

• Completed discontinuance and dissolution of Exchange Bank of Canada (EBC), with all related losses recognized and operations now fully focused on core business and U.S. fintech/payments growth.

• Adjusted net income from continuing operations was flat at $2.4 million for the quarter; six-month adjusted net income up 25%.

Financial highlights

• Q2 2026 revenue: $18 million, up $2.1 million or 13% year-over-year.

• Payments revenue increased 73% ($2.0 million), Banknotes revenue up 1% ($0.1 million) year-over-year.

• Operating expenses rose 27% to $13.6 million, mainly due to higher bank charges and a $1.2 million swing from FX gains to losses.

• Reported EBITDA fell 8% to $4.5 million; adjusted EBITDA down 11% to $4.7 million.

• Adjusted net income was $2.4 million, flat year-over-year; adjusted diluted EPS rose 8% to $0.40.

Outlook and guidance

• Expecting stronger banknote performance in the second half of the year due to seasonality and events like the World Cup.

• Continued focus on payments growth, WireHub expansion, and new Software as a Service revenue streams.

• Focus remains on expanding U.S. digital payments and branch network, despite macroeconomic and geopolitical headwinds.

• Management prioritizes revenue growth in both Banknotes and Payments, supported by cost management and digital expansion.

• No further restructuring charges anticipated following EBC closure.