Remitly Global Reports 39% Revenue Growth, Net Income Turnaround in Q3 2024

Remitly Global, Inc. reported significant financial performance improvements in its latest 10-Q filing for the three and nine months ended September 30, 2024. The company achieved revenues of $336.5 million for the third quarter, a 39% increase from $241.6 million in the same period of 2023. For the nine months, revenue rose 34% to $912.1 million, compared to $679.5 million in the prior year. This growth was primarily driven by a 35% increase in active customers, reaching 7.3 million, and a 42% rise in send volume, totaling $14.5 billion for the quarter.

Despite the revenue growth, total costs and expenses also increased, rising 21% to $336.2 million for the third quarter and 24% to $947.4 million for the nine months. The company reported a modest income from operations of $368,000 for the third quarter, a notable recovery from a loss of $36.9 million in the same period last year. However, for the nine months, the company still recorded an operating loss of $35.3 million, although this was an improvement from a loss of $83.2 million in 2023.

Net income for the third quarter was $1.9 million, a significant turnaround from a net loss of $35.7 million in the prior year. For the nine months, the net loss narrowed to $31.3 million from $82.8 million in 2023. Adjusted EBITDA also showed strong performance, reaching $46.7 million for the third quarter and $91.1 million for the nine months, compared to $10.5 million and $36.3 million, respectively, in the previous year.

The company’s balance sheet reflects a decrease in total current assets from $932.1 million at the end of 2023 to $861.3 million as of September 30, 2024. However, total liabilities significantly decreased from $507.0 million to $339.6 million, leading to an increase in total stockholders’ equity from $529.3 million to $630.8 million.

Strategically, Remitly completed the acquisition of Rewire in January 2023 for $77.9 million, which has been integrated into its operations. The company has not reported any significant acquisitions or layoffs in the current fiscal period. Additionally, Remitly has continued to invest in its technology platform, which is expected to impact short-term profitability but aims to support long-term growth.

Overall, Remitly's performance in the latest quarter indicates a positive trajectory, driven by increased customer engagement and transaction volumes, despite ongoing challenges related to rising costs and market conditions.