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

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

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 USIO traded up $0.28 during mid-day trading on Thursday, hitting $1.59. The stock had a trading volume of 682,138 shares, compared to its average volume of 50,098. The company has a market cap of $43.92 million, a PE ratio of -17.67 and a beta of 1.29. The company’s fifty day simple moving average is $1.21 and its two-hundred day simple moving average is $1.33. The company has a quick ratio of 1.08, a current ratio of 1.08 and a debt-to-equity ratio of 0.06. Usio has a fifty-two week low of $1.03 and a fifty-two week high of $2.02.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on USIO shares. HC Wainwright reissued a “buy” rating and issued a $4.00 price objective on shares of Usio in a research report on Friday, March 20th. Zacks Research lowered Usio from a “hold” rating to a “strong sell” rating in a research note on Friday, March 20th. Finally, Weiss Ratings restated a “sell (d)” rating on shares of Usio in a research note on Friday, March 27th. One equities research analyst has rated the stock with a Buy rating and three have given a Sell rating to the company. According to MarketBeat, Usio presently has a consensus rating of “Reduce” and a consensus price target of $4.00.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Rothschild Wealth LLC acquired a new position in shares of Usio in the 4th quarter worth approximately $563,000. Citadel Advisors LLC grew its position in shares of Usio by 103.7% in the 3rd quarter. Citadel Advisors LLC now owns 78,493 shares of the company’s stock worth $111,000 after acquiring an additional 39,959 shares in the last quarter. Scoggin Management LP acquired a new position in Usio during the 3rd quarter valued at approximately $114,000. Goldman Sachs Group Inc. boosted its position in Usio by 34.6% during the 1st quarter. Goldman Sachs Group Inc. now owns 59,692 shares of the company’s stock valued at $87,000 after purchasing an additional 15,334 shares during the period. Finally, Osaic Holdings Inc. boosted its position in Usio by 246.1% during the 2nd quarter. Osaic Holdings Inc. now owns 28,353 shares of the company’s stock valued at $43,000 after purchasing an additional 20,161 shares during the period. Institutional investors and hedge funds own 20.23% of the company’s stock.

About Usio

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.