Usio (USIO) 17th Annual LD Micro Main Event Conference summary

Business evolution and growth

• Transitioned from electronic bill presentment to a growth-focused, multi-channel payments provider over the last seven years.

• Achieved 19% year-over-year revenue growth last year, reaching $82.6 million, with current guidance of 3%-7% growth as one-time revenue is replaced by recurring streams.

• Majority of revenue is recurring, with aggressive top-line growth and a healthy financial position for its size.

• Generates positive cash flow every quarter, maintains low debt, and expects earnings per share this year.

Strategic approach and technology

• Focuses on high-touch customer service, differentiating from competitors like Stripe.

• Employs a leveraged go-to-market strategy by targeting software vendors (ISVs), gaining access to their client bases and driving organic growth.

• Payment facilitation, including card and ACH processing for ISVs, represented 36% of revenue last quarter.

• Real-time merchant onboarding is enabled by a proprietary tech stack, with 90% of applicants approved instantly.

Key partnerships and market position

• Recently secured its largest ISV client, previously processing $1.4 billion annually through Stripe, with potential to add over $30 million in annual recurring revenue.

• Holds significant ACH scale, comparable to the 50th largest US bank, and operates its own Fed terminal and routing number.

• Processes payments through all Federal Reserve windows, offering high-margin services including FedNow, The Clearing House, and PINless debit.