Remitly Global (NASDAQ:RELY) Issues Earnings Results

Remitly Global (NASDAQ:RELY) announced its earnings results on Wednesday. The financial services provider reported $0.32 earnings per share for the quarter, beating analysts’ consensus estimates of $0.15 by $0.17, FiscalAI reports. Remitly Global had a net margin of 16.85% and a return on equity of 33.33%. The business had revenue of $509.84 million during the quarter, compared to analyst estimates of $507.31 million.

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

• Remitly delivered a record quarter, with revenue up 22% to $510 million, adjusted EBITDA up to $121 million at a record 24% margin, and net income of $68 million.
• Core activity remained strong: send volume grew 25%, active customers grew 17% to 10.3 million, and transaction margin dollars increased 27%. Management said customer acquisition and retention were strong, while noting that larger transfers and business customers are lifting volume per customer.
• Remitly is expanding beyond consumer remittances: its business product has more than 30,000 users, its Global Card is expanding across the U.S., and new businesses are expected to grow from about 5% of revenue in 2026 to more than 10% in 2028.
• Management’s early 2027 outlook calls for high-teens revenue growth, currently expected at the low end, and adjusted EBITDA margins broadly in line with 2026. Tougher comparisons from the remittance tax and more normalized investment spending are expected to weigh on growth and limit margin expansion.
• Temporary Indian foreign-currency measures affected large transfers, though management said the impact was difficult to quantify; large-transfer volume outside India grew 80% year over year, and the company expects the disruption to stabilize over time.

Remitly Global Trading Up 6.7%

Remitly Global stock traded up $1.70 during trading on Wednesday, reaching $27.08. The company had a trading volume of 7,973,647 shares, compared to its average volume of 3,854,112. The firm has a market capitalization of $5.73 billion, a price-to-earnings ratio of 19.48 and a beta of 0.46. The firm’s 50-day simple moving average is $23.73 and its 200 day simple moving average is $20.56. Remitly Global has a 52 week low of $12.08 and a 52 week high of $28.00.

Insider Buying and Selling

In other news, Director Joshua Hug sold 5,500 shares of Remitly Global stock in a transaction dated Tuesday, October 6th. The stock was sold at an average price of $23.18, for a total transaction of $127,490.00. Following the transaction, the director directly owned 2,653,389 shares of the company’s stock, valued at $61,505,557.02. The trade was a 0.21% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Pankaj Sharma sold 21,000 shares of the business’s stock in a transaction that occurred on Friday, August 28th. The shares were sold at an average price of $26.39, for a total value of $554,190.00. Following the transaction, the insider owned 716,022 shares of the company’s stock, valued at approximately $18,895,820.58. This trade represents a 2.85% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 478,738 shares of company stock worth $11,874,000. Company insiders own 6.53% of the company’s stock.

Wall Street Analyst Weigh In

RELY has been the topic of a number of recent research reports. Wolfe Research increased their target price on Remitly Global from $31.00 to $32.00 and gave the company an “outperform” rating in a report on Tuesday, August 25th. KeyCorp raised their target price on Remitly Global from $28.00 to $33.00 and gave the stock an “overweight” rating in a research report on Thursday, August 6th. Weiss Ratings downgraded Remitly Global from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday. The Goldman Sachs Group upped 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. Finally, Zacks Research lowered shares of Remitly Global from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 5th. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $27.78.

About Remitly Global

Remitly Global, Inc is a digital financial services company that enables consumers to send money internationally. Its platform is designed primarily for immigrants and other customers who regularly transfer funds to family and friends in their countries of origin.

Through its mobile application and website, Remitly allows users to initiate cross-border remittances and select delivery options such as bank deposits, mobile-wallet transfers, cash pickup and, in some markets, home delivery.