Remitly Global (RELY) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 2026 revenue of $495.2 million, up 20% year-over-year, with net income of $205.9 million, including a $140.6 million discrete tax benefit from the U.S. valuation allowance release.

• Adjusted EBITDA rose 79% year-over-year to $114.7 million, with a 23% margin, reflecting operational leverage and AI-driven cost efficiencies.

• Quarterly active customers grew 20% year-over-year to 10.2 million, with send volume up 27% to $23.5 billion.

• Product innovation included the launch of the Remitly Global Card and expansion into new geographies and product categories.

• AI-driven productivity gains enabled cost discipline, operating leverage, and reinvestment in growth.

Financial highlights

• Revenue for Q2 2026 was $495.2 million, up 20% year-over-year, and adjusted EBITDA reached $114.7 million (23% margin), both above guidance.

• Net income was $205.9 million, including a $140.6 million tax valuation allowance release.

• Free cash flow for Q2 2026 was $130.1 million, nearly tripling year-over-year.

• Send volume grew 27% to $23.5 billion; send volume per active customer hit a record $2,300, up 6% year-over-year.

• Transaction margin improved to 67% (up 235 bps year-over-year).

Outlook and guidance

• FY 2026 revenue guidance raised to $1.978–$1.988 billion (21–22% growth); Q3 2026 revenue expected at $505–$507 million (20–21% growth).

• FY 2026 adjusted EBITDA projected at $410–$415 million (21% margin); Q3 adjusted EBITDA at $92–$94 million (18–19% margin).

• Management expects continued growth in active customers and send volume, supported by product and geographic expansion, and ongoing investments in technology and marketing.

• Transaction margins expected to remain strong; marketing spend per active customer to rise slightly in Q3.

• No material impact anticipated from recent regulatory changes, including the One Big Beautiful Bill Act remittance tax.