Remitly Global (NASDAQ:RELY) Posts Quarterly Earnings Results, Beats Expectations By $0.81 EPS

Remitly Global (NASDAQ:RELY) announced its quarterly earnings results on Wednesday. The financial services provider reported $0.93 EPS for the quarter, topping analysts’ consensus estimates of $0.12 by $0.81, FiscalAI reports. The company had revenue of $495.16 million during the quarter, compared to analyst estimates of $486.25 million. Remitly Global had a return on equity of 35.95% and a net margin of 16.85%.The firm’s revenue was up 20.2% on a year-over-year basis. During the same quarter last year, the firm posted $0.03 earnings per share.

Here are the key takeaways from Remitly Global’s conference call:

• Record Q2 results exceeded guidance: Revenue rose 20% year over year to $495 million, adjusted EBITDA reached a record $115 million with a 23% margin, and quarterly active users surpassed 10 million.
• Core momentum remained strong, with send volume up 27% to $23.5 billion, U.S. revenue up 24%, and transaction margin improving 235 basis points to 67%. Management raised its full-year revenue outlook to $1.978-$1.988 billion and expects more than 20% growth in the second half.
• Growth accelerators are gaining traction, including High-Value Senders, Remitly Business, receivers, and the newly launched Remitly Global Card. These initiatives are expected to contribute about 5% of 2026 revenue and exceed 10% by 2028, although management emphasized that the longer-term opportunity could be substantially larger.
• AI-driven productivity and operating discipline supported substantial leverage across technology, customer support, fraud prevention, and G&A. Free cash flow nearly tripled year over year to more than $130 million, while the company repurchased $21 million of stock in Q2 and expects full-year adjusted EBITDA of $410-$415 million.
• Management expects transaction-loss rates to normalize in the second half after better-than-expected Q2 performance, contributing to a sequential decline in Q3 adjusted EBITDA margin to approximately 18%-19%. High-Value Sender growth also softened in June because of foreign-exchange volatility and temporary measures affecting Indian corridors.

Remitly Global Trading Down 5.8%

Shares of RELY stock traded down $1.51 during trading hours on Friday, hitting $24.42. The company’s stock had a trading volume of 2,538,346 shares, compared to its average volume of 4,017,220. The business has a fifty day moving average of $22.15 and a 200-day moving average of $19.05. Remitly Global has a twelve month low of $12.08 and a twelve month high of $27.15. The stock has a market cap of $5.14 billion, a price-to-earnings ratio of 17.56 and a beta of 0.34.

Insider Transactions at Remitly Global

In related news, insider Pankaj Sharma sold 16,000 shares of Remitly Global stock in a transaction dated Thursday, May 28th. The stock was sold at an average price of $20.01, for a total transaction of $320,160.00. Following the completion of the sale, the insider owned 767,810 shares in the company, valued at approximately $15,363,878.10. This trade represents a 2.04% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Joshua Hug sold 16,800 shares of the company’s stock in a transaction dated Monday, June 29th. The shares were sold at an average price of $22.97, for a total transaction of $385,896.00. Following the completion of the transaction, the director owned 3,385,457 shares in the company, valued at approximately $77,763,947.29. This trade represents a 0.49% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 170,388 shares of company stock worth $3,725,510 in the last quarter. Insiders own 6.53% of the company’s stock.

Institutional Trading of Remitly Global

A number of hedge funds have recently bought and sold shares of the company. Cibc World Markets Corp purchased a new position in Remitly Global in the fourth quarter valued at approximately $154,000. Inceptionr LLC purchased a new stake in Remitly Global during the 4th quarter worth $204,000. Franklin Resources Inc. acquired a new stake in Remitly Global in the 4th quarter valued at $176,000. PharVision Advisers LLC acquired a new position in shares of Remitly Global during the third quarter worth about $259,000. Finally, Caxton Associates LLP grew its stake in shares of Remitly Global by 27.3% in the second quarter. Caxton Associates LLP now owns 13,330 shares of the financial services provider’s stock valued at $250,000 after buying an additional 2,859 shares in the last quarter. Institutional investors and hedge funds own 74.25% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on the stock. Wolfe Research reissued an “outperform” rating and issued a $31.00 target price on shares of Remitly Global in a report on Thursday. KeyCorp boosted their target price on Remitly Global from $28.00 to $33.00 and gave the stock an “overweight” rating in a research note on Thursday. Citizens Jmp raised their target price on shares of Remitly Global from $30.00 to $32.00 and gave the stock a “market outperform” rating in a report on Thursday. Weiss Ratings raised shares of Remitly Global from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, June 3rd. Finally, The Goldman Sachs Group boosted their price target on shares of Remitly Global from $27.00 to $30.00 and gave the company a “buy” rating in a research report on Thursday, July 9th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $27.44.

About Remitly Global

Remitly Global, Inc operates as a digital financial services company specializing in cross-border money transfers. Through its proprietary online platform and mobile applications, the company enables immigrants, expatriates and international workers to send remittances swiftly and securely to their families abroad. By focusing on fast deliverability and transparent pricing, Remitly seeks to streamline a process traditionally dominated by cash-based methods and legacy money transfer operators.

Founded in 2011 by Matt Oppenheimer and headquartered in Seattle, Washington, Remitly has grown from a startup into a publicly traded corporation listed on NASDAQ under the ticker RELY.