Tyro Payments (TYR) H2 2024 earnings summary

Executive summary

• Achieved strong FY24 financial performance, with net profit after tax rising four-fold to AUD 25.7 million, EBITDA up 31.6% to AUD 55.7 million, and gross profit up 9.1% to AUD 210.8 million, driven by pricing transformation, product innovation, and operating efficiency.

• Free cash flow increased five-fold year-over-year to AUD 30.4 million.

• Strategic focus on expanding into new verticals, leveraging a strong balance sheet, and enhancing merchant proposition through partnerships and proprietary tech stack.

Financial highlights

• Gross profit increased by 9.1% to AUD 210.8 million, within guidance range.

• EBITDA rose 31.6% to AUD 55.7 million, with margin up to 26.4% from 21.9% last year.

• Net profit after tax quadrupled to AUD 25.7 million from AUD 6 million.

• Free cash flow reached AUD 30.4 million, over five times last year’s figure.

• Payments transaction value grew 0.8% to AUD 42.9 billion; banking gross profit up 29.4% to AUD 12.6 million.

Outlook and guidance

• FY25 gross profit guidance set at AUD 218–226 million, reflecting cautious optimism amid economic uncertainty.

• EBITDA margin expected to improve to approximately 28% in FY25, with further increases to 29% in FY26 and 31% in FY27.

• Medium-term target to achieve a Rule of 40 score of at least 40 by FY26, balancing growth and profitability.

• Plans to enter two new verticals in FY25, including an adjacent health-related sector and unattended devices.