Usio (NASDAQ:USIO) Releases Quarterly Earnings Results, Beats Expectations By $0.01 EPS

Usio (NASDAQ:USIO) issued its earnings results on Wednesday. The company reported $0.00 earnings per share for the quarter, topping the consensus estimate of ($0.01) by $0.01, reports. The company had revenue of $25.47 million for the quarter, compared to analyst estimates of $23.20 million. Usio had a negative return on equity of 13.52% and a negative net margin of 2.94%.

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

• Usio said it delivered a record quarter with 16% year-over-year revenue growth, record processing volumes, and positive adjusted EBITDA, GAAP net income, and operating cash flow.
• Card was a standout, with revenue up 23% to a record $9.7 million as PayFac-driven growth, new enterprise implementations, and ongoing merchant onboarding drove all-time highs in revenue, transactions, and dollar volume.
• ACH and complementary services posted strong momentum, with revenue up 25% and April ACH transactions reaching an all-time monthly high, while PINless Debit continued growing at more than 50%.
• The company highlighted emerging growth from Real-Time Payments, which surged from about 2,000 transactions in January to over 200,000 in the latest month, and said the product carries a more attractive margin profile than PINless Debit.
• Management reiterated full-year guidance for 10%-12% revenue growth and continued positive adjusted EBITDA, while also pointing to major upcoming catalysts such as PostCredit, new prepaid and card-issuing deals, and a large school voucher distribution program expected to scale materially.

Usio Stock Performance

Shares of NASDAQ:USIO traded up $0.28 during trading on Thursday, hitting $1.59. 682,063 shares of the stock were exchanged, compared to its average volume of 50,097. The company has a market capitalization of $43.92 million, a price-to-earnings ratio of -17.67 and a beta of 1.29. The company has a debt-to-equity ratio of 0.06, a quick ratio of 1.08 and a current ratio of 1.08. Usio has a 1-year low of $1.03 and a 1-year high of $2.02. The company’s fifty day simple moving average is $1.21 and its 200-day simple moving average is $1.33.

Institutional Investors Weigh In On Usio

A number of institutional investors have recently added to or reduced their stakes in the stock. Rothschild Wealth LLC acquired a new position in shares of Usio in the 4th quarter worth approximately $563,000. Scoggin Management LP acquired a new stake in shares of Usio during the 3rd quarter worth about $114,000. Citadel Advisors LLC boosted its position in Usio by 103.7% in the third quarter. Citadel Advisors LLC now owns 78,493 shares of the company’s stock valued at $111,000 after buying an additional 39,959 shares in the last quarter. Goldman Sachs Group Inc. increased its holdings in shares of Usio by 34.6% during the first quarter. Goldman Sachs Group Inc. now owns 59,692 shares of the company’s stock worth $87,000 after buying an additional 15,334 shares in the last quarter. Finally, Osaic Holdings Inc. raised its stake in shares of Usio by 246.1% in the second quarter. Osaic Holdings Inc. now owns 28,353 shares of the company’s stock valued at $43,000 after acquiring an additional 20,161 shares during the last quarter. 20.23% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on USIO shares. HC Wainwright reaffirmed a “buy” rating and set a $4.00 target price on shares of Usio in a research report on Friday, March 20th. Zacks Research lowered shares of Usio from a “hold” rating to a “strong sell” rating in a research report on Friday, March 20th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Usio in a research report on Friday, March 27th. One research analyst has rated the stock with a Buy rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Reduce” and a consensus target price of $4.00.

Usio Company Profile

Usio, Inc (NASDAQ: USIO) is a financial technology company that delivers integrated payment, transaction processing, and money services solutions. The company’s platform combines merchant acquiring, multi‐rail payment enablement and business management tools to support merchants, financial institutions and business partners in automating and securing electronic and cash‐based transactions.

Through its subsidiaries, Usio provides a broad range of products and services, including point-of-sale terminals, payment gateway services, automated teller machine (ATM) processing, bill payment, money order issuance, domestic and international money transfer and remittance solutions.