Shift4 Payments Inc (NYSE:FOUR) reported second-quarter adjusted earnings that fell short of analyst expectations on Tuesday, leading to a 9.6% drop in its shares despite revenue growth.
The payment processor posted adjusted earnings per share of $1.10 for the quarter, missing the consensus estimate of $1.22 by $0.12. Revenue reached $966.2 million, while gross revenue less network fees rose 29% year-over-year to $413.4 million. Payment volume processed during the quarter increased 25% to $50.1 billion compared to the same period last year.
“This quarter was a particularly eventful one at Shift4,” said CEO Taylor Lauber. “We delivered results that were largely within our expectations while also executing on numerous long-term strategic objectives, which will pay off for many years to come.”
The company reported net income of $41.1 million and adjusted EBITDA of $205.1 million, up 26% from the prior year. Adjusted EBITDA margin remained strong at 50% for the quarter.
Shift4 raised its full-year 2025 guidance for gross revenue less network fees to between $1.965 billion and $2.035 billion, up from the previous range of $1.660 billion to $1.730 billion. Adjusted EBITDA guidance was also increased to a range of $965 million to $990 million, compared to the earlier forecast of $840 million to $865 million.
The updated outlook incorporates contributions from Global Blue, acquired by Shift4 in early July. Global Blue is expected to add $330 million in revenue and $125 million in adjusted EBITDA for the remainder of the year.
In leadership news, CFO Nancy Disman will retire at year-end and rejoin the company’s board. Christopher Cruz, a decade-long company veteran, will take over as CFO.
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