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Dec 31, 2025
Repay Q4 2025 Earnings Report
Repay reported fourth quarter 2025 financial results, highlighting strong normalized growth and significant non-cash impairment charges.
Key Takeaways
REPAY reported flat year-over-year revenue for Q4 2025, heavily impacted by the lapping of 2024 political media spending. However, the company saw strong normalized growth of 10%. The quarter was marked by a significant net loss of $148.3 million, primarily due to a $138.5 million non-cash goodwill impairment charge in the Consumer Payments segment.
Normalized revenue and gross profit growth increased by 10% and 9% respectively, excluding cyclical political media spending.
Net loss of $148.3 million was driven by a $138.5 million non-cash goodwill impairment loss in the Consumer Payments segment.
The AP supplier network grew significantly to over 602,000, representing a 67% increase year-over-year.
Free Cash Flow for the quarter was $13.8 million with a conversion rate of 43%, down from 64% in the prior year period.
Revenue by Segment
Forward Guidance
REPAY provided a full year 2026 outlook expecting double-digit reported revenue growth and improved free cash flow conversion.
Positive Outlook
- Expected reported revenue growth of 10% to 12%.
- Anticipated Adjusted EBITDA margins of 40% plus.
- Projected Free Cash Flow Conversion increase to 45%.
- Benefit from operational improvements for a scaled future.
- Strategic capital deployment towards long-term growth opportunities.
Challenges Ahead
- Exposure to economic conditions and political risk affecting consumer loan markets.
- Potential impact from bank failures or adverse events affecting financial institutions.
- Inflationary pressures and general economic slowdown risks.
- Rapidly evolving technology and competitive landscape in payment processing.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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