Repay (RPAY) Q4 2025 earnings summary

Executive summary

• Achieved strong normalized growth and free cash flow in Q4 2025, with normalized revenue and gross profit up 10% and 9% year-over-year, reflecting successful strategic and operational improvements.

• FY 2025 revenue was $309.3M, up 3% year-over-year excluding political media impacts; Consumer Payments showed resilient trends and Business Payments saw strong pipeline growth.

• Strengthened operations, go-to-market strategy, and leadership throughout 2025, positioning for continued momentum in 2026.

• Focused on enhancing client digital payment flows, expanding software partnerships, and growing the AP supplier network by 67% to over 602,000.

Financial highlights

• Q4 2025 revenue was $78.6M (flat year-over-year); gross profit was $58.3M (down 2%); normalized revenue and gross profit grew 10% and 9% year-over-year, excluding political media.

• Q4 2025 Adjusted EBITDA was $32.4M (41% margin); Free Cash Flow was $13.8M (43% conversion); Q4 net loss was $148.3M, primarily due to non-cash goodwill impairment.

• FY 2025 gross profit reached $232.0M; Adjusted EBITDA was $128.6M (42% margin); Free Cash Flow was $49.1M (38% conversion); FY net loss was $271.1M.

• As of Dec 31, 2025, cash was $116M; after debt repayment in Jan 2026, pro forma cash is $79M and pro forma debt is $398M.

Outlook and guidance

• 2026 revenue expected between $340M–$346M, representing 10–12% reported growth and 7–9% normalized growth (excluding political media); Adjusted EBITDA guidance is $136.5M–$141.5M (~40% margin); Free Cash Flow conversion targeted above 45%.

• Interest expense for 2026 expected to be ~$15M; Q1 2026 growth to be lower due to timing of client implementations, with stronger growth expected in the second half.

• Political media contributions expected to add $8M–$10M to revenue in 2026.