Adyen Shares Fall After 2nd Half Earnings Missed Market Views

By Joe Hoppe

Adyen NV shares fell Wednesday after its second-half earnings rose but missed market expectations by 16%, together with a miss for net revenue.

Shares at 0818 GMT were down 15% at EUR1,304.8.

The Dutch payments company said for the six months ended Dec. 31, earnings before interest, taxes, depreciation and amortization for the period rose to 372.0 million euros ($399.1 million) compared with EUR357.3 million for the second half of the comparable period, with a margin of 52%. However, this was a material miss of market consensus of Ebitda at EUR444 million and a margin of 61%, according to Citi analysts.

The company made a net profit for the period of EUR282.0 million compared with EUR264.9 million for the same period a year earlier.

The result was affected by higher costs incurred from financial institutions, and increased administrative and other expenses, Adyen said.

Net revenue for the period rose 30% to EUR721.7 million from EUR556.5 million, though this missed market views of EUR735 million, according to Citi. Adyen said it processed payments worth EUR421.7 billion in the half year, up 41%.

Total revenue for the period rose to EUR4.99 billion from EUR3.44 billion a year earlier, and against a consensus of EUR4.85 billion, taken from FactSet and based on seven analysts' forecasts.

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(END) Dow Jones Newswires

February 08, 2023 03:50 ET (08:50 GMT)

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