Paysign Reports 23.5% Revenue Growth to $58.4 Million for Fiscal Year 2024

Paysign, Inc. reported a significant increase in its financial performance for the fiscal year ending December 31, 2024, with total revenues reaching $58.4 million, a 23.5% increase from $47.3 million in 2023. The growth was primarily driven by a substantial rise in revenue from the pharmaceutical sector, which surged by 212.3% to $12.7 million, alongside a 4.6% increase in plasma industry revenue to $43.9 million. Despite the revenue growth, the company experienced a decline in net income, which fell by 40.9% to $3.8 million, compared to $6.5 million in the previous year, largely due to increased operating expenses and a higher income tax provision.

In terms of operational developments, Paysign expanded its customer base significantly, growing to approximately 7.3 million cardholders across about 600 card programs by the end of 2024. The company added 16 new plasma programs and launched 33 new pharmaceutical programs during the year, reflecting its strategic focus on enhancing its offerings in the healthcare sector. The increase in cardholder engagement was also evident, with a reported 270% rise in claims processed compared to the previous year, indicating a growing adoption of its services.

The company's operational costs also rose, with total operating expenses increasing by 28.3% to $31.2 million, driven by higher selling, general, and administrative expenses, which rose by 24.2% to $25.2 million. This increase was attributed to hiring to support growth, particularly in the pharmaceutical sector, as well as rising technology and telecom costs related to ongoing platform security investments. The gross profit margin improved to 55.1%, up from 51.1% in 2023, reflecting a favorable shift in revenue composition towards higher-margin pharmaceutical services.

Looking ahead, Paysign plans to continue investing in technology improvements, sales and marketing, and regulatory compliance to support its growth trajectory. The company believes that its available cash, along with projected revenues and cash flows, will be sufficient to sustain operations for the next 24 months. However, it acknowledges the potential risks associated with regulatory changes and market competition, which could impact future growth and profitability. The company remains committed to leveraging its integrated payment solutions to capture a larger share of the growing prepaid card market, particularly in the healthcare and corporate sectors.