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EarningsQ2 2026 Earnings Report

Paysafe (PSFE) Q2 2026 Earnings Report

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Previous Report: Q1 2026

PSFE Q2 2026 EPS Results

Actual EPS$0.43

Consensus EPS$0.31

Beat/MissBeat by +$0.12

One Year Ago EPS$0.46

PSFE Q2 2026 Revenue Results

Actual Revenue$447.44M

Expected Revenue$446.85M

Beat/MissBeat by +$592.00K

YoY Revenue Growth+4.49%

Earnings Announcement Details

QuarterQ2 2026

Date08/13/2026

TimeBefore Open

Conference CallThursday, August 13, 2026

PSFE Upcoming Earnings

Paysafe's next earnings date is estimated for November 18, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

PSFE Q2 2026 Earnings Call

0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026

Earnings Call Date:Aug 13, 2026|

% Change Since:

Earnings Call Sentiment|Positive

The call communicated meaningful strategic progress: consistent revenue growth (Q2 +4%, H1 +7%), active user momentum (3-month actives 7.8M, +8% YoY), strong Merchant segment profitability (+28% EBITDA) and important balance sheet actions (refinancing, settlement resolving SPAC-era litigation). Management reiterated full-year revenue and adjusted EBITDA guidance and outlined clear deleveraging priorities (midterm net leverage target 3.5x). Offsetting these positives are margin pressure (overall adjusted EBITDA down 2% and margin decline to 23%), a decline in Digital Wallet EBITDA and ARPU, an expected H2 cash settlement (~$39M), and a higher cash interest burden from the refinancing (~$25M–$35M incremental). Overall the call projects a constructive path forward with material strategic improvements and manageable near-term headwinds.

Company Guidance

Paysafe reaffirmed 2026 revenue and adjusted EBITDA guidance while updating adjusted EPS to reflect higher interest from the refinancing (cash interest step‑up roughly $25–35M), expects net leverage to finish 2026 around 5.1x–5.2x (5.3x at quarter end, down from 5.5x at Q4) and targets a mid‑term leverage of ~3.5x; management said Q4 should be the strongest quarter supported by product launches, client ramps and July trends (including double‑digit 3‑month active user growth). They expect $25–30M of SG&A savings in H2 versus H1, will prioritize using free cash flow to deleverage (Q2 unlevered free cash flow $45M, LTM unlevered FCF $298M with 69% LTM conversion and 44% Q2 conversion), and flagged a $39M H2 cash payment for the preliminary legal settlement. For context, Q2 results were revenue $447.4M (+4% reported/organic), adjusted EBITDA $102.8M (−2%, margin 23%), adjusted EPS $0.43 (−7%); Digital Wallets: $6.6B volume, $206.6M revenue (+3%), 3‑month actives 7.8M, adj EBITDA $74.9M (−9%, 36.2% margin or ~40% ex‑VAT/marketing); Merchant: $37.3B volume, $246.1M revenue (+6%), adj EBITDA $50.6M (+28%, 20.6% margin or ~18% ex‑$6M accrual release); total debt $2.5B (down $106M vs Q4).

Top-line Growth and Quarterly Revenue

Q2 revenue of $447.4M, up 4% year-over-year (reported and organic); first half 2026 revenue growth of 7% (reported) and 6% organic, reaffirming full-year revenue guidance.

Active User Momentum

3-month actives reached 7.8 million, representing five consecutive quarters of growth and an 8% year-over-year increase in 3-month actives; double-digit user growth in Latin America and double-digit consumer acquisition in priority European countries from incremental marketing.

Merchant Solutions Outperformance

Merchant segment volume increased 5% to $37.3B and revenue rose 6% to $246.1M; segment adjusted EBITDA increased 28% to $50.6M and margin expanded by ~350 basis points to 20.6% (normalized margin ~18% after adjusting for a ~$6M accrual release).

Improved Free Cash Flow on LTM Basis

Generated $45M unlevered free cash flow in Q2 (44% conversion of adjusted EBITDA); LTM unlevered free cash flow of $298M, up 10% year-over-year, with a 69% conversion rate.

Debt Reduction and Refinancing Milestones

Total debt reduced to $2.5B (down $106M vs Q4); completed refinancing that extends maturities to 2030, upsizes revolver and attracted new lender relationships; net leverage improved to 5.3x from 5.5x at Q4 and expected to be 5.1x–5.2x at year-end.

Resolution of Major Legacy Litigation

Preliminary settlement in principle resolving the SPAC-era Farzad litigation and related indemnification overhang, removing a significant GAAP and cash drain (previous associated restructuring expenses ~$57M on the P&L).

Product Vitality and New Growth Engines

Product vitality index tracking toward ~20% for 2026 (vs <2% three years ago); PaysafeWallet live in 19 European countries (recent Poland launch); commercialization of data assets contributed $12.5M in Q2 with management estimating a potential long-term revenue stream north of ~$50M ARR.

Strategic Brand and Marketing Initiatives

Successful World Cup marketing initiatives and announced partnership with Envision Racing (Formula E) to expand brand awareness across sport, gaming and digital commerce audiences; increased marketing spend showing early double-digit consumer acquisition in targeted European markets.

Clover and Value-Added Services Strength

Clover-related revenue growing double digits; lending and other value-added services showing healthy traction, supporting POS and SMB-related offerings.

PSFE Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change
Nov 18, 2026	2026 (Q3)	0.55 / -	0.7	―
Aug 13, 2026	2026 (Q2)	0.31 / 0.43	0.46	-6.52% (-0.03)
May 13, 2026	2026 (Q1)	0.37 / 0.41	0.34	20.59% (+0.07)
Mar 03, 2026	2025 (Q4)	0.36 / 0.46	0.48	-4.17% (-0.02)
Nov 13, 2025	2025 (Q3)	0.72 / 0.70	0.51	37.25% (+0.19)
Aug 12, 2025	2025 (Q2)	0.46 / 0.46	0.59	-22.03% (-0.13)
May 13, 2025	2025 (Q1)	0.39 / 0.34	0.57	-40.35% (-0.23)
Mar 04, 2025	2024 (Q4)	0.72 / 0.48	0.66	-27.27% (-0.18)
Nov 13, 2024	2024 (Q3)	0.61 / 0.51	0.57	-10.53% (-0.06)
Aug 13, 2024	2024 (Q2)	0.59 / 0.59	0.56	5.36% (+0.03)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed