Adyen NV’s first-half earnings missed estimates, as the Dutch fintech company’s hiring push continues to hurt its profit margin.
(Bloomberg) — Adyen NV’s first-half earnings missed estimates, as the Dutch fintech company’s hiring push continues to hurt its profit margin.
Its margin on earnings before interest, taxes, depreciation and amortization – a measure of profitability – was 43% in the first six months of the year, Amsterdam-based Adyen said in a statement on Thursday. That compared with an average estimate of 48.6% among analysts surveyed by Bloomberg.
Adyen added about 1,150 employees last year and has said it will hire a similar number in 2023 as it prepares for its next growth phase. Hiring at the payments firm sets it apart from larger peers that have announced job cuts to lower costs amid rising interest rates and economic uncertainty.
Net revenue rose 21% to €739.1 million ($803 million) in the period, compared with €776.5 million estimated in a Bloomberg survey of analysts. “Net revenue growth was simultaneously impacted by the shifting macroeconomic environment and industry pricing competition,” the company said in the statement.
Adyen, which handles transactions for company’s such as McDonald’s Corp. and Hennes & Mauritz AB, reaffirmed its guidance for Ebitda margin at above 65% in the long term. It continues to expect net revenue growth at a rate between the mid-20s and low-30s in the medium term.
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