The following is a summary of the Adyen N.V. (ADYEY) H2 2023 Earnings Call Transcript:
Financial Performance:
Adyen N.V. posted net revenue of EUR 887 million for H2 2023, marking a 23% increase year-on-year, primarily driven by the growth of the existing customer base.
EBITDA grew by 14% year-on-year in H2, despite continued investment in the team, with an EBITDA margin of 48%.
Net income recorded substantial growth, owing to significant interest income.
Adyen expects net revenue growth to be between the low 20s and high 20s percentage-wise over the next three years, with 2024 leaning towards the lower end. They also anticipate an increase in the EBITDA margin in 2024 compared to 2023.
Business Progress:
Over 80% of Adyen's growth stemmed from existing customers with less than 1% volume churn from the customer base, underlining the strength of their partnerships.
Product innovation led to a growth of digital volume by 33% year-on-year, Unified commerce volume by 24%, and SaaS business model by 19% year-on-year.
Adyen is gearing up for the next scale of opportunities, with strategic plans including global team expansion, strategic partnerships, and product innovation.
Adyen continues to invest in Brazil and Mexico, tailoring their products to these complex markets.
In 2024, Adyen plans a slower hiring pace and to continue adapting their sales and account management strategies to emphasize total cost of ownership.
They also foresee embedding payments into more SaaS platforms as a significant growth opportunity.
More details: Adyen N.V. Unsponsored ADR IR
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