Repay (NASDAQ:RPAY) Announces Earnings Results, Misses Expectations By $0.03 EPS

Repay (NASDAQ:RPAY) released its quarterly earnings results on Monday. The company reported $0.19 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.03), FiscalAI reports. Repay had a negative net margin of 39.08% and a positive return on equity of 9.04%. The company had revenue of $78.59 million during the quarter, compared to analysts’ expectations of $76.79 million. During the same period in the previous year, the company posted $0.24 earnings per share. The company’s quarterly revenue was up .4% compared to the same quarter last year.

Here are the key takeaways from Repay’s conference call:

• Q4 results showed strengthened momentum with normalized revenue up 10% (reported revenue $78.6M), normalized gross profit up 9%, ~41% Adjusted EBITDA margin, and 43% free cash flow conversion while still reinvesting in growth.
• Business payments drove the quarter, with normalized revenue +41% and gross profit +73% YoY, supplier network growing to 602,000 (up ~65% YoY), and monetization initiatives (float income, enhanced ACH, TotalPay) and AP wins in healthcare and hospitality building momentum.
• 2026 guidance targets revenue of $340–$346M (10%–12% reported, ~7%–9% normalized), Adjusted EBITDA $136.5–$141.5M (~40% margin), and >45% free cash flow conversion, with stronger H2 growth expected and ~$8–$10M of political media revenue tailwind.
• Reported Q4 net income was materially impacted by a $138.9M non?cash goodwill impairment tied to the consumer payments segment, reducing reported earnings despite positive adjusted metrics.
• Balance sheet and capital plan: REPAY paid off $147M of 0% convertible notes using $37M cash and a $110M revolver draw (pro forma cash ~$79M, pro forma debt ~$398M, pro forma liquidity ~$219M, net leverage ~2.5x), and plans to allocate capital to organic growth, selective M&A, capex, and up to $23M of share repurchases.

Repay Stock Down 4.4%

Shares of NASDAQ:RPAY opened at $2.81 on Tuesday. Repay has a 1 year low of $2.70 and a 1 year high of $6.05. The company has a market capitalization of $256.69 million, a PE ratio of -2.05 and a beta of 1.64. The business has a fifty day moving average price of $3.35 and a two-hundred day moving average price of $4.10. The company has a debt-to-equity ratio of 0.45, a current ratio of 0.81 and a quick ratio of 0.81.

Analyst Ratings Changes

RPAY has been the subject of several recent analyst reports. Canaccord Genuity Group reiterated a “buy” rating and issued a $12.00 target price on shares of Repay in a research note on Tuesday, November 11th. DA Davidson reissued a “buy” rating and set a $10.00 price target on shares of Repay in a research report on Tuesday, November 11th. Weiss Ratings restated a “sell (e+)” rating on shares of Repay in a report on Monday, December 29th. UBS Group reduced their price objective on shares of Repay from $5.75 to $4.00 and set a “neutral” rating for the company in a research report on Tuesday, November 11th. Finally, Benchmark reiterated a “buy” rating on shares of Repay in a research note on Friday, November 14th. Four investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, Repay presently has a consensus rating of “Hold” and a consensus price target of $6.41.

Hedge Funds Weigh In On Repay

A number of hedge funds and other institutional investors have recently made changes to their positions in RPAY. Quarry LP bought a new stake in Repay in the third quarter worth about $26,000. Blair William & Co. IL grew its holdings in Repay by 18.5% during the fourth quarter. Blair William & Co. IL now owns 41,044 shares of the company’s stock valued at $150,000 after purchasing an additional 6,409 shares during the period. Merit Financial Group LLC lifted its position in shares of Repay by 56.2% during the 3rd quarter. Merit Financial Group LLC now owns 19,551 shares of the company’s stock valued at $102,000 after buying an additional 7,036 shares during the last quarter. EverSource Wealth Advisors LLC raised its stake in Repay by 224.4% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 10,433 shares of the company’s stock valued at $50,000 after acquiring an additional 7,217 shares during the period. Finally, Creative Planning increased its stake in shares of Repay by 13.0% in the second quarter. Creative Planning now owns 64,340 shares of the company’s stock worth $310,000 after purchasing an additional 7,381 shares in the last quarter. 82.73% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Repay

Here are the key news stories impacting Repay this week:

• Positive Sentiment: Management set FY?2026 revenue guidance of roughly $340.0M–$346.0M, above the consensus (~$320.7M), which is constructive for top?line growth expectations. REPAY Reports Fourth Quarter and Full Year 2025 Financial Results
• Neutral Sentiment: Brokerage consensus on the name is muted — recent aggregation shows an average rating of “Hold,” suggesting limited near?term analyst enthusiasm. Repay Holdings Corporation (NASDAQ:RPAY) Receives Average Rating of “Hold” from Brokerages
• Neutral Sentiment: The Q4 earnings call transcript is available for investors who want management color on margins, one?time items and the drivers of guidance; review for detail on how the company plans to reach the raised revenue range. Repay Holdings Corporation (RPAY) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Reported Q4 EPS of $0.19 missed the Zacks/Street estimate (~$0.22) and fell from $0.24 a year ago — an EPS miss typically pressures short?term sentiment. Repay Holdings (RPAY) Lags Q4 Earnings Estimates
• Negative Sentiment: Third?party summaries flagged a large operating and net loss in Q4 (wide swings driven by reported non?cash/one?time charges) plus weaker cash balances and notable insider sales — all factors that raise profitability and governance concerns for investors. Repay Holdings Corporation (RPAY) stock falls on Q4 2025 Earnings

Repay Company Profile

Repay Holdings Corp. (Nasdaq: RPAY) is a specialized financial technology company that delivers integrated payment solutions to businesses operating within key vertical markets. The company’s platform enables merchants and service providers to accept a range of payment types, including credit and debit cards, automated clearing house (ACH) transfers and electronic checks. Repay’s offerings are designed to seamlessly integrate with third-party software applications, such as enterprise resource planning, customer relationship management and point-of-sale systems, empowering industries such as utilities, telecommunications, automotive finance, healthcare, insurance, property management and education.

Tracing its roots to the formation of Pinnacle Payment Systems in 1997, Repay expanded its capabilities through strategic acquisitions, including Southeastern Integrated Solutions and Payliance, before completing a business combination with Thunder Bridge Acquisition II in 2019 to become a publicly traded company on the Nasdaq.