Shares of payments platform Paysafe (NYSE:PSFE) are trending higher today after its second-quarter numbers outperformed estimates on the top-line as well as bottom-line fronts. Revenue rose 6.2% year-over-year to $402.34 million, scaling past expectations by $7.3 million. EPS at $0.56 too handily beat estimates by $0.20.
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During the quarter, the total payment volume on the platform increased by 6% to $35.5 billion. Additionally, the company managed to bring down its net leverage to 5.6x from 5.8x over the prior year.
Moreover, while healthy medium-sized business (SMB) volume in North America coupled with gains from iGaming helped drive 6% gains in the merchant solutions segment, gains across classic digital wallets helped push the digital wallets segment revenue 6% higher as well.
Looking ahead, for full-year 2023, Paysafe expects revenue to hover between $1,595 million to $1,608 million versus the prior outlook between $1,580 million to $1,600 million. Adjusted EBITDA for the year is now seen as landing between $454 million to $462 million. In comparison, the company had earlier guided for adjusted EBITDA in the range of $452 million to $462 million.
While the consensus rating on the Street remains a Hold, the consensus price target of $31.30 points to a mouth-watering 164.8% potential upside in Paysafe shares.
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