Paymentus Posts Record-Breaking Q4 Results, Exceeds 2025 Guidance with No New Client Sign-Ups
Paymentus, a leading fintech company, has reported record-breaking fourth quarter results that exceeded expectations across all areas of its business. In a recent conference call, the company's Founder and CEO, Dushyant Sharma, highlighted the outstanding year the company had in 2024, citing continued sales momentum, strong bookings, significant exit backlog, successful onboarding, and innovative framework as key factors driving success.
According to the transcript, Paymentus' fourth quarter revenue reached a record $257.9 million, up 56.5% year-over-year. Contribution profit was $86.2 million, up 30% year-over-year, while adjusted EBITDA came in at $27.3 million, up 36.9% year-over-year. The company's adjusted EBITDA margin also increased sequentially to 62%.
For the full year 2024, revenue grew 41.9% over last year to $871.7 million, far exceeding the company's long-term target of 20% top-line growth. Adjusted EBITDA increased 62.2% for the year to $94.2 million, well ahead of the company's long-term target of 20% to 30% growth.
Paymentus also reported a strong year for bookings in 2024, with multi-year commitments under its typical agreements providing confidence in achieving its CAGR model. The company has committed to delivering top-line and adjusted EBITDA growth rates of 20% and 20-30%, respectively, for 2025, and believes it can deliver the top end of this guidance without signing any new clients, provided implementations are executed as planned.
The company's CEO, Dushyant Sharma, expressed satisfaction with the execution of its business strategy over the past two years, stating that the best is yet to come. He emphasized that Paymentus operates on a 2-year horizon and is excited about future prospects based on five key factors: continued sales momentum, strong bookings, significant exit backlog, successful onboarding, and innovative framework.
Paymentus' commitment to using its strong operating leverage to calibrate contribution profit and OpEx as necessary to achieve its targets demonstrates the company's focus on delivering long-term growth. As the fintech market continues to evolve, Paymentus is poised for continued success with its strategy of expanding margins by pursuing products and solutions that offer the ability to convert part of the interchange from a cost center to a revenue center.
Paymentus' record-breaking Q4 results demonstrate the company's leadership in the fintech space. With its commitment to delivering top-line and adjusted EBITDA growth, Paymentus is well-positioned for continued success in 2025 and beyond.
