Paysafe (NYSE:PSFE) shares rallied in premarket trading on Wednesday as the company kicked off fiscal 2026 by beating analyst expectations.
The payments platform reported quarterly earnings of 41 cents per share, topping the consensus of 39 cents and up from 34 cents a year ago.
Revenue came in at $442.7 million, exceeding estimates of $424.7 million and rising 10% from last year, with organic growth of 8%. Adjusted EBITDA reached $99.2 million, up 4% year-over-year.
2026 Outlook Remains Steady
Paysafe reaffirmed its fiscal 2026 guidance. It expects sales between $1.79 billion and $1.83 billion. This aligns with the analyst estimate of $1.804 billion.
The company also sticks to its adjusted earnings per share guidance of $2.12 to $2.32. “These results give us confidence in reaffirming our 2026 guidance,” Lowthers said.
Debt Management and Liquidity
As of March 31, Paysafe held $257.2 million in cash and cash equivalents. Total debt remains at $2.5 billion, resulting in net debt of $2.2 billion.
The company made $104.3 million in net debt repayments during the quarter. This lowered its net leverage ratio to 5.2 times. Management aims to bring this ratio below 5 times by year-end.
Operational Momentum and the Super Bowl
CEO Bruce Lowthers attributed the growth to strategic expansion and major events.
“We are seeing momentum from our expansion in Latin America, recent product launches, and strong performance around the Super Bowl,” Lowthers stated.
Lowthers also highlighted internal efficiency. He noted a “13% increase in revenue per employee” through the use of modern technology.
Price Action
Paysafe shares were up 9.32% at $9.50 during premarket trading Wednesday, according to Benzinga Pro. Over the past month, PSFE has gained about 29.4% versus a 9.0% rise in the S&P 500 and is up roughly 16% year-to-date compared to the index’s 7.7% gain.
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