Financial results Q3 2023 unveiled by Payoneer with the participation of CEO John Caplan and CFO Bea Ordonez
Payoneer Announces Q3 2023 Growth Strategy and Strong Financial Results
Payoneer, the global financial platform for cross-border small and medium-sized businesses (SMBs), has unveiled its Q3 2023 growth strategy, focusing on driving strong revenue growth through targeted emerging-market expansion and new product innovation, underpinned by disciplined cost management to ensure steady progress toward long-term profitability and shareholder value.
The strategy, discussed by Payoneer's CEO, John Caplan, and CFO, Bea Ordonez, during a recent conversation, is rooted in a profitability-oriented approach. This approach has led to a significant shift in the company's financial performance. In 2023, Payoneer posted a core EBITDA loss of $25 million, which transformed into positive adjusted EBITDA of $14 million in 2024, and is projected to reach $43 million in 2025.
A key element of this strategy is the company's emphasis on emerging markets, such as APAC, LATAM, and EMEA. These regions are transforming digital payments and represent key growth areas for Payoneer. The collaboration with Etsy Payments has been instrumental in expanding Payoneer's footprint in these markets.
Payoneer's new product strategy is another crucial component of its growth plan. The company is advancing its global cross-border payment capabilities by expanding partnerships, adding new currencies, and leveraging strong bank and marketplace relationships. This strategy has resulted in a 21% year-over-year increase in the average revenue per user (ARPU) in Q2 2025.
Maintaining marginal profitability is also a priority for Payoneer. The company has consistently improved its margin structure, achieving a 25% adjusted EBITDA margin in Q2 2025 despite headwinds from interest income. This focus on profitability allows Payoneer to invest in profitable growth and share repurchases while targeting sustained marginal profitability.
The strategy is paying off, as evidenced by Payoneer's strong financial results. The company reported a 31% year-over-year increase in revenue for Q3 2023, reaching $208 million. Payoneer has also maintained its FY revenue guidance of $820m-830m, but has significantly increased its adjusted EBITDA guidance from $160m-170m up to $195m-205m.
Moreover, Payoneer's Q3 2023 adjusted EBITDA climbed 357% to $58.2 million, giving Payoneer an adjusted EBITDA margin of 28%. The company also saw a 12% increase in customers in APAC, SAMEA, and LatAm, where it has a higher blended take rate of above 2%.
Active Ideal Customer Profiles (ICPs) grew 5% year-over-year, while high-value ICPs (over $10,000 a month in volume) increased by 17%. Payoneer's B2B business volume in APAC, SAMEA, and LatAm increased by 23% year-over-year.
Payoneer's March 2022-launched Checkout product is also seeing gains, with volume increasing 50% quarter-over-quarter to pass $1 million daily volumes in September.
In summary, Payoneer's Q3 2023 and beyond growth strategy is focused on delivering profitability alongside growth, with a focus on emerging markets, new product innovation, and disciplined cost management. This strategy is expected to drive long-term profitability and shareholder value for the company.
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