Fintech firm Q2 Holdings Q3 revenue up 15% on record bookings

Overview

• Q2 Holdings Q3 revenue grows 15% yr/yr to $201.7 mln

• Adjusted EBITDA for Q3 beats analyst expectations

• Company announces $150 mln share repurchase program

Outlook

• Q2 Holdings sees Q4 2025 revenue of $202.4 mln to $206.4 mln

• Company expects Q4 2025 adjusted EBITDA of $47.2 mln to $50.2 mln

• Q2 Holdings raises full-year 2025 revenue guidance to $789 mln - $793 mln

• Company forecasts 2026 subscription revenue growth of approximately 13.5%

Result Drivers

• STRONG SALES - Co attributes revenue growth to strong sales across Enterprise and Tier 1 segments, driving record bookings

• CONTRACT SIGNINGS - Signed contracts with top U.S. banks for digital banking solutions, contributing to growth

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for Q2 Holdings Inc is $100.43, about 39.7% above its November 4 closing price of $60.53

• The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 34 three months ago

Press Release: ID:nBw11D2Z6a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)