Shift4 Payments Inc. reported fourth-quarter FY21 gross revenue growth of 89 percent year-on-year to $399.4 million, beating the consensus of $382.9 million. Gross revenue minus network fees were up 65 percent Y/Y to $146.9 million.
End-to-end payment volume climbed 97 percent Y/Y to $13.4 billion.
Adjusted EPS of $0.08 missed the consensus of $0.18.
Adjusted EBITDA improved 65 percent Y/Y to $44 million. The margin contracted 800 bps Q/Q to 30 percent.
Shift4 generated $3.6 million in operating cash flow and held $1.23 billion in cash and equivalents.
Outlook
Shift4 sees FY22 revenue of $1.9 billion–$2.0 billion versus the consensus of $1.94 billion.It sees adjusted EBITDA of $240 million–$250 million.
Acquisitions
Shift4 agreed to acquire Finaro, a cross-border eCommerce payments provider with a significant European presence, and The Giving Block, specializing in cryptocurrency fundraising for nonprofits. The financial terms of the transactions remain undisclosed.The acquisitions will likely contribute over $15 billion of end-to-end payment volume and $35 million of adjusted EBITDA in 2023.
By Anusuya Lahiri
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