Filing Flows › Paymentus Holdings (PAY) › Q1 2025
Paymentus Holdings (PAY) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 7, 2025
Paymentus Holdings (PAY) reported revenue of $275M for the first quarter 2025 (Q1 2025), +49% from a year earlier and +7% from the quarter before. Operating margin was 5.7%, net earnings $13.8M (5.0% of revenue).
Paymentus Holdings, Q1 2025: revenue $275M (+49% year over year), operating margin 5.7%, net earnings $13.8M, operating cash flow $50.4M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $275M | +7% | +49% |
| Gross profit | $66.0M | 0% | +25% |
| Operating profit | $15.7M | +11% | +88% |
| Net earnings | $13.8M | +5% | +91% |
| Operating cash flow | $50.4M | +81% | +360% |
| Free cash flow | $41.1M | — | 26× |
What changed
Revenue was $275.2M in Q1 2025, up 49% year over year and up 7% from the previous quarter. Payment Transaction Processing Revenue was the largest line at 99% of revenue. Payment Transaction Processing Revenue added $90.5M year over year (up 50%), 100% of the total change. Other declined 8%.
Gross margin was 24.0%, down 4.5 points from a year earlier. Operating profit was $15.7M, a 5.7% margin (up 1.2 points year over year). Of the extra revenue versus a year earlier, 8% reached operating profit, above the 5% margin then. Operating expenses grew 13% against revenue growth of 49%. The fastest-growing cost line was Research & development (+25%). Net earnings were $13.8M, up 91% year over year. The effective tax rate was 22.4%.
Operating cash flow was $50.4M (up 360% year over year), 365% of net earnings. Non-cash charges added back $10.7M of depreciation and amortization and $3.0M of share-based compensation. Working capital and other items added $22.8M. After capitalized internal-use software development costs ($9.3M) and purchases of property and equipment ($60K), free cash flow as the company reports it was $41.1M.
Questions
What was Paymentus Holdings' revenue in the first quarter 2025?
Paymentus Holdings (PAY) reported revenue of $275M for the first quarter 2025 (Q1 2025), +49% from a year earlier and +7% from the quarter before.
Was Paymentus Holdings profitable in the first quarter 2025?
Operating profit was $15.7M (5.7% of revenue) and net earnings $13.8M.
Source: Paymentus Holdings 10-Q on SEC EDGAR.