WU

Interested in Remitly Global, Inc.? Here are five stocks we like better. Strong second-quarter performance: Revenue rose 20% year over year to $495 million, while adjusted EBITDA reached a record $115 million with a 23% margin. Quarterly active customers surpassed 10 million, and send volume increased 27% to $23.5 billion. Expansion beyond core remittances: Remitly expanded its network to 179 receive geographies and reported traction in high-value transfers, Remitly Business and receiver products. It also launched the Global Card and expanded stablecoin offerings, though monetization of newer products remains early. Raised full-year outlook: The company increased its 2025 revenue forecast to $1.978 billion–$1.988 billion and expects adjusted EBITDA of $410 million–$415 million, supported by operating leverage, AI-driven efficiency and strong free cash flow. Old Money, New Tech: Western Union's Crypto Reboot Remitly Global (NASDAQ:RELY) reported second-quarter results above its guidance range, with revenue rising 20% year over year to $495 million and adjusted EBITDA reaching a record $115 million, or a 23% margin. Chief Executive Officer Sebastian Gunningham said the company also surpassed 10 million quarterly active users for the first time, supported by record new-customer additions. Quarterly active customers increased 20% from a year earlier to 10.2 million, while send volume rose 27% to $23.5 billion. Send volume per active customer reached a record $2,300, up 6% year over year. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control 3 Stocks Well Below 52-Week Highs With Strong Growth Projections “Record revenue, record adjusted EBITDA, both above the high end of guidance again,” Gunningham said. He attributed the results to the company’s remittance strategy, network scale and what he described as structural cost discipline. Remitly added five receive countries during the quarter—New Zealand, Niger, Mali, Angola and Botswana—bringing its network to 179 receive geographies. Thirty-two countries are now enabled for both sending and receiving, according to the company. → 3 Drone Stocks That Should Soar After the Summer Slump The company said new real-time pay-in rails, including FedNow and real-time payments in the U.S., helped improve funding speeds. Nearly 70% of globally funded transfers were delivered in less than 20 seconds during the quarter, an all-time high, Gunningham said. The company also cited record pay-in acceptance rates and record-low defect rates. In the U.S., revenue grew 24% year over year, while revenue from the rest of the world rose 18%, Chief Financial Officer Vikas Mehta said. Revenue from receive regions outside India, the Philippines and Mexico grew faster than overall company revenue and accounted for more than half of the revenue mix. → The Bitcoin Comeback May Already Be Underway—2 ETFs for Exposure Mehta said regulatory changes in the U.S. continued to support a shift toward digital remittances, contributing to record customer acquisition. He also said volume over Mother’s Day weekend exceeded the company’s expectations. Remitly continued expanding products beyond its core consumer remittance service, which it calls “growth accelerators.” These include high-value senders, Remitly Business, receiver products, and offerings to spend, save and borrow. The company expects these categories to represent about 5% of total revenue in 2026 and more than 10% by 2028. High-value sender volume, defined as transfers of $5,000 or more, increased 37% year over year and gained 70 basis points of mix. The company completed its first $300,000 transfer and had a customer send more than $1 million in a single quarter. Remitly added bank wires as a funding method, with customers using wires sending nearly three times more per transaction, Mehta said. Gunningham said high-value send volume more than doubled in the U.S.-Mexico corridor after the company reduced customer friction, raised send limits and added Wise as a funding option. Mehta noted, however, that high-value volume growth softened in June because of Indian rupee fluctuations and foreign-currency mobilization measures announced by the Reserve Bank of India. He said the company expects those trends affecting Indian corridors to normalize during the year. Remitly Business ended the quarter with more than 25,000 users, with sequential growth in both revenue and volume accelerating from the prior quarter. More than 80% of customers added to the business platform were new to Remitly, and the average business customer sent money 10 times per quarter, Gunningham said. The company expanded its receiver product from six countries to 130 countries. The offering generated revenue for the first time in the second quarter. Management said the product could provide direct access to more than 30 million receivers on its platform, although Gunningham said monetization remains in its early stages. Remitly launched the Remitly Global Card last week, offering customers a single account for sending, spending, saving and receiving money. The product includes no-fee everyday spending, direct deposit, global ATM access, multicurrency and USDC capabilities, instant transfers between cardholders, and no foreign transaction fees, according to Gunningham. The company also offers a $9.99 monthly membership plan that includes an open-end line of credit, which customers can use to remit money before payday and repay over time. Mehta said the associated lines of credit are funded by a third-party bank partner and that the newer card plan format has shown response and conversion rates above prior benchmarks. Separately, Remitly launched a global stablecoin wallet with a debit card in Latin America, allowing receivers to receive, hold and spend USDC. The company also joined the OpenUSD stablecoin consortium as a founding member. Gunningham said the stablecoin could potentially reduce pay and settlement times by up to one day. Mehta said stablecoins are already producing early treasury-settlement benefits, though the absolute impact remains modest. Management emphasized artificial intelligence as a contributor to productivity and operating leverage. Technology and development expense increased in the mid-single digits, while declining 175 basis points as a percentage of revenue to 11.2%. General and administrative expense fell 11% year over year to $41 million, its first annual decline as a public company, Mehta said. The company said AI-driven fraud prevention and detection helped keep provisions for transaction losses below expectations. Transaction margin, formerly called revenue less transaction expense, increased 25% to $334 million, with margin improving 235 basis points to 67%. Net income was $206 million, including a $140.6 million release of a tax valuation allowance. Free cash flow nearly tripled from a year earlier to more than $130 million, aided by operating leverage, favorable working capital and lower property and equipment spending. Remitly repurchased $21 million of stock, or more than 1.1 million shares, during the quarter. Year to date, it has repurchased nearly 4 million shares. For the third quarter, the company forecast revenue of $505 million to $507 million, representing 20% to 21% growth, and adjusted EBITDA of $92 million to $94 million, implying an 18% to 19% margin. For the full year, Remitly raised its revenue outlook to $1.978 billion to $1.988 billion, or 21% to 22% growth, and projected adjusted EBITDA of $410 million to $415 million, for an approximately 21% margin. Gunningham said the company intends to pursue market-share gains aggressively through sharper pricing, faster money movement and improved service, while continuing to invest selectively in its newer products. Remitly Global, Inc operates as a digital financial services company specializing in cross-border money transfers. Through its proprietary online platform and mobile applications, the company enables immigrants, expatriates and international workers to send remittances swiftly and securely to their families abroad. By focusing on fast deliverability and transparent pricing, Remitly seeks to streamline a process traditionally dominated by cash-based methods and legacy money transfer operators. Founded in 2011 by Matt Oppenheimer and headquartered in Seattle, Washington, Remitly has grown from a startup into a publicly traded corporation listed on NASDAQ under the ticker RELY. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Remitly Global Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

The Western Union Company WU reported second-quarter 2026 adjusted earnings per share (EPS) of 31 cents, which missed the Zacks Consensus Estimate by 27.9%. The bottom line declined 26.2% year over year. Total revenues were $1.01 billion, which declined 1.3% from the prior-year period's level. However, the top line beat the Zacks Consensus Estimate by 0.6%. Lower revenues and higher expenses in the Consumer Money Transfer (“CMT”) retail business, lower margins in the Consumer Services business, and increased operating expenses weighed on second-quarter earnings. These headwinds were partly offset by growth in the Consumer Services and Branded Digital businesses, driven by higher bill payment revenues and growth in the Travel Money business. The Western Union Company price-consensus-eps-surprise-chart | The Western Union Company Quote Adjusted operating margin fell 400 bps to 15%, caused by lower revenues and higher expenses in the CMT retail business, lower margins in the Consumer Services business, and higher operating expenses. Total expenses rose 5.7% year over year to $881.1 million. The year-over-year increase resulted from higher cost of services and SG&A expenses. Operating income of $132.1 million declined 31% year over year and lagged our estimate of $175.3 million. The Consumer Money Transfer segment recorded revenues of $866.1 million, which slipped 2% year over year. The figure exceeded both the Zacks Consensus Estimate of $852.2 million and our model estimates of $844.1 million. Operating income declined 25% year over year to $125.7 million. The metric missed the consensus mark of $145.5 million and our estimate of $146.8 million. The operating income margin declined 400 bps year over year to 15%. Transactions in the CMT segment grew 3% year over year. Excluding Iraq, adjusted revenues declined 4% year over year. Branded Digital transactions increased 25% year over year. Branded Digital revenues, which accounted for 32% of CMT's second-quarter revenues, rose 7% on a reported basis and 6% on an adjusted basis. The Consumer Services segment’s revenues rose 4% year over year on a reported basis and 12% on an adjusted basis, reaching $147.1 million in the quarter. This growth was driven by the expansion of the Travel Money business and increased revenues from the bill payment segment. The metric missed the Zacks Consensus Estimate of $154.7 million. Operating income totaled $23.3 million, which decreased 26% year over year. The metric missed the consensus mark as well as our estimate. The operating income margin declined 600 bps year over year to 16%. Western Union exited the second quarter with cash and cash equivalents of $919.8 million, which decreased from the 2025-end level of $1.2 billion. Total assets of $8 billion declined from $8.3 billion as of 2025-end. Borrowings totaled $2.7 billion, down from $2.9 billion as of 2025-end. Total stockholders’ equity declined to $914.7 million from $957.8 million at the end of 2025. WU generated net cash from operations of $213.9 million in the first six months of 2026, up from $147.9 million in the year-ago period. Western Union returned $73.3 million to shareholders through dividends in the second quarter of 2026. During the first six months of 2026, the company repurchased $53.7 million of its common stock. As of June 30, 2026, $721.6 million remained available under its share repurchase authorization. The company now expects adjusted revenue growth of 4-6%, down from the previous guidance of 6-9%. Adjusted EPS guidance was lowered to $1.25-$1.35 from the earlier projection of $1.75-$1.85. The midpoint of the revised guidance implies a 25.7% decline from the 2025 adjusted EPS of $1.75. The company also expects an adjusted effective tax rate of 13-15% and a GAAP effective tax rate of 20-22%. In the second quarter, Western Union did not provide GAAP EPS guidance, citing the inability to reliably estimate certain reconciling items. Previously, the company had projected GAAP EPS in the range of $1.50-$1.60, the midpoint of which implied approximately 2% growth from the 2025 GAAP EPS of $1.52. WU currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Several companies in the business services space, including Marsh & McLennan Companies, Inc. MRSH, Visa Inc.V and Mastercard Incorporated MA, have reported their financial results for the June quarter of 2026. Here’s how they have performed: MRSH reported second-quarter 2026 adjusted earnings per share of $2.96, which surpassed the Zacks Consensus Estimate by 2.8%. The bottom line advanced 8.8% year over year. Consolidated revenues of $7.4 billion improved 6.2% year over year. The figure rose 5% on an underlying basis. The top line beat the consensus mark by 2%. Marsh’s quarterly results benefited from solid growth in the Risk and Insurance Services and Consulting units. However, the upside was partially offset by elevated operating expenses, primarily due to increased compensation and benefits. Visa delivered third-quarter fiscal 2026 adjusted earnings of $3.32 per share, which rose 11% year over year and beat the Zacks Consensus Estimate by 2.8%. Net revenues were $11.63 billion, rising 14% year over year. Visa’s quarterly results reflected resilient spending trends, higher cross-border volumes and solid network activity, including a 10% year-over-year increase in payments volume on a constant-dollar basis. However, the upside was partly offset by increased operating expenses. Mastercard reported second-quarter 2026 adjusted earnings of $5.04 per share, which topped the Zacks Consensus Estimate by 5.7%. The bottom line improved 21.4% year over year. Net revenues advanced 14.1% year over year to $9.3 billion. The top line beat the consensus mark by 2.4%. Mastercard’s quarterly results benefited from strong cross-border volume growth, increased switched transactions and robust demand for value-added services. However, the upside was partly offset by higher payment network rebates from renewed deals and an escalating operating expense level. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Western Union Company (WU) : Free Stock Analysis Report Mastercard Incorporated (MA) : Free Stock Analysis Report Visa Inc. (V) : Free Stock Analysis Report Marsh (MRSH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in The Western Union Company? Here are five stocks we like better. Second-quarter results fell short of expectations: Revenue declined 1% year over year to $1 billion, while adjusted EPS dropped to $0.31 from $0.42. Weakness in Americas retail transfers, lower-margin digital payouts, higher agent commissions and Middle East profitability pressures weighed on results. Consumer Money Transfer transactions grew 3%, but the shift from higher-margin cash payouts to digital account and wallet payouts continued to pressure margins. Branded Digital transactions rose 25% and Consumer Services revenue increased 12%, although profitability declined in both areas due to unfavorable mix and higher costs. Western Union launched its Beyond Efficiency program, targeting $50 million in annualized cost savings by the end of 2026 and $200 million by the end of 2027, while expanding its Beyond Digital platform and stablecoin initiatives. The company maintained its 2026 outlook for 4%–6% adjusted revenue growth and $1.25–$1.35 in adjusted EPS, including the planned Intermex acquisition. Old Money, New Tech: Western Union's Crypto Reboot Western Union (NYSE:WU) reported second-quarter 2026 revenue of $1 billion, with adjusted revenue declining 1% from a year earlier, as continued weakness in Americas retail money transfers and a shift toward lower-profit digital payout transactions weighed on results. Adjusted earnings per share were $0.31, down from $0.42 in the prior-year quarter and below the company’s expectations. Chief Executive Officer Devin McGranahan said the result reflected lower profitability in the Americas retail business, lower profitability in the Middle East, higher agent commissions and continued migration from cash payouts to digital account and wallet payouts. → Microsoft Just Flipped the AI Spending Narrative Overnight 5 best fintech stocks to buy now “Our financial results in this quarter came in below our expectations for the second quarter in a row,” McGranahan said. “This is not acceptable, we are not satisfied with the current operating performance and will be implementing significant changes as a result.” Consumer Money Transfer transactions increased 3% year over year, marking the company’s highest transaction growth rate since the second quarter of 2024. McGranahan said the result was a 300-basis-point improvement from the first quarter and a 600-basis-point improvement from the prior year. → 2 Unique Space ETFs That Could Upend the Industry However, the growth came disproportionately from lower-contribution-profit channels. The company said cash payouts generally generate higher revenue per transaction and contribution profit per transaction than digital payout transactions. Western Union has also seen rapid growth in digital payout-to-account and payout-to-wallet activity, which management said has created margin headwinds. Account payout transactions grew 50% during the quarter, while CEO McGranahan said payout-to-account and payout-to-wallet transactions have increased 25% over the past 12 months. He cited Colombia as an example of the changing mix, where remittance volumes have shifted from cash payouts toward bank accounts, the Nequi wallet and the country’s Bre-B real-time payments system. → MarketBeat Week in Review – 07/27- 07/31 Chief Financial Officer Matt Cagwin said retail money transfers in the U.S. remained under pressure because immigration policy has reduced new migration, which management described as a key source of new retail customers. U.S. retail transactions remained down in the mid-teens during the quarter, though U.S.-to-Mexico transaction declines improved to slightly more than 3%. Management said policy-related impacts have stabilized in some corridors and improved from the lows of 2025, but have not eased as much as the company expected at the beginning of the year. Western Union’s Branded Digital business recorded 25% transaction growth and 6% adjusted revenue growth in the second quarter. The company said much of that growth was driven by partnerships in the Middle East, where transaction volumes have expanded but revenue per transaction and profitability are lower than in its traditional licensed operations. McGranahan said the company has started to pull back on certain promotional offers in the U.S. and Europe after determining that aggressive customer incentives were not delivering acceptable longer-term returns. He said new-customer growth has recently improved at higher revenue per transaction levels. The company is also accelerating deployment of its Beyond Digital platform, with planned launches in Australia, Europe and the U.S. before year-end. Western Union expects the platform to improve onboarding and customer acquisition returns, and continues to target deployment across major markets by the end of 2027. Consumer Services adjusted revenue rose 12%, supported by Bill Pay, Travel Money and check-cashing contributions. Consumer Services represented 15% of total revenue during the quarter, compared with 6% in 2022, according to Cagwin. Segment profitability declined, however, due to lower Travel Money operating profit, lower float income in Retail Money Order and delayed overhead reductions tied to a check-cashing acquisition. Western Union launched a cost-reduction initiative called Beyond Efficiency, targeting $50 million in run-rate operating cost reductions by the end of 2026 and $200 million by the end of 2027. The program includes reducing redundant work, cutting discretionary operations and technology capacity by 20%, expanding automation and artificial intelligence use, localizing certain operating functions and reducing the costs of moving money. Among the actions, the company plans to close its existing digital wallets in Europe, which management said should save $6 million to $8 million on a run-rate basis. Western Union expects to replace those wallets with its Beyond Digital platform by the end of the year. Management also said it is pursuing lower digital payout costs. McGranahan said the company recently reduced the payout cost for transactions to Colombia’s Nequi wallet from more than $2 to less than $0.50. Western Union said it launched its USDPT U.S. dollar stablecoin in May and has made it available through four exchanges. The company is testing USDPT with counterparties for settlement of cross-border money transfers and has introduced a Treasury Bridge solution intended to improve liquidity movement and settlement speed. The company also launched its Digital Asset Network, designed to connect exchanges and digital-asset partners to Western Union’s payout infrastructure. McGranahan said the first partner is live, with several additional launches expected in coming weeks. Western Union also launched its USDPT Stablecard. For 2026, Western Union now expects adjusted revenue growth of 4% to 6%, including the planned Intermex acquisition and assuming a Sept. 1 close. The company expects adjusted EPS of $1.25 to $1.35 for the year, with second-half earnings anticipated to exceed first-half earnings due to new agent wins, seasonality, improved revenue mix and efficiency actions. Western Union generated $214 million in year-to-date operating cash flow, up 45% from the prior year, and ended the quarter with $920 million of cash and cash equivalents and $2.7 billion of debt. The company returned more than $80 million to shareholders through dividends and repurchases during the quarter, but said it has paused buybacks to maintain targeted leverage levels while awaiting the Intermex transaction. Western Union Company (NYSE: WU) is a global leader in cross-border, cross-currency money movement and payments. The company enables individuals and businesses to send and receive money through a variety of channels, including its vast agent network, online platforms, and mobile applications. Core services include person-to-person money transfers, business-to-business cross-border payments, bill payment services and prepaid card programs. Through its digital offerings, Western Union provides customers with the ability to initiate transfers via its website and mobile app, as well as track transactions in real time. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Western Union Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Western Union recently reported second-quarter 2026 results showing sales of US$1,013.2 million and net income of US$76.7 million, alongside updated 2026 GAAP revenue guidance to 3% to 5% growth. The quarter underscored a tension between expanding digital initiatives like its stablecoin-linked Digital Asset Network and pressure on profitability, with diluted EPS from continuing operations dropping to US$0.24 from US$0.37 a year earlier. Now we’ll explore how weaker earnings guidance, despite ongoing digital expansion, reshapes Western Union’s existing investment narrative and risk outlook. Explore 26 top quantum computing companies leading the revolution in next-gen technology and shaping the future with breakthroughs in quantum algorithms, superconducting qubits, and cutting-edge research. To own Western Union, you have to believe its shift from cash remittances to higher-margin digital and stablecoin-enabled services can offset pressure on its legacy retail network and fees. The latest quarter, with weaker EPS and trimmed earnings expectations despite reaffirmed GAAP revenue growth of 3% to 5%, puts near term focus on whether the digital pivot and cost cuts can stabilize margins. The biggest current risk is that both retail and digital growth slow while competition pushes fees lower. The most relevant recent announcement here is Western Union’s updated 2026 guidance, which reaffirmed low single digit GAAP revenue growth while earnings guidance softened. That combination highlights the tension between investing in initiatives like the Digital Asset Network and maintaining profitability. It also raises questions about how quickly programs such as Beyond, aimed at reducing operating costs by 2027, can offset margin headwinds from agent incentives and slower retail volumes. Yet investors should also be aware that if fee compression from digital first and stablecoin competitors accelerates faster than Western Union’s cost savings and digital growth... Read the full narrative on Western Union (it's free!) Western Union's narrative projects $4.7 billion revenue and $560.6 million earnings by 2029. This requires 4.8% yearly revenue growth and about a $119.8 million earnings increase from $440.8 million today. Uncover how Western Union's forecasts yield a $8.64 fair value, a 12% upside to its current price. Some of the most optimistic analysts were expecting revenue of about US$5.1 billion and earnings of roughly US$691 million by 2029, but after a quarter where EPS missed forecasts and stablecoin initiatives did not prevent margin pressure, you can see how views on whether early stablecoin adoption really boosts cash flow could now diverge even more. Explore 7 other fair value estimates on Western Union - why the stock might be worth just $8.43! Don't just follow the ticker - dig into the data and build a conviction that's truly your own. A great starting point for your Western Union research is our analysis highlighting 4 key rewards and 2 important warning signs that could impact your investment decision. Our free Western Union research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Western Union's overall financial health at a glance. Every day counts. These free picks are already gaining attention. See them before the crowd does: Uncover the next big thing with 21 elite penny stocks that balance risk and reward. Invest in the nuclear renaissance through our list of 89 elite nuclear energy infrastructure plays powering the global AI revolution. The latest GPUs need a type of rare earth metal called Dysprosium and there are only 29 companies in the world exploring or producing it. Find the list for free. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include WU. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Track your investments for FREE with Simply Wall St, the portfolio command center trusted by over 7 million individual investors worldwide. Western Union (WU) is in focus after a mixed quarterly earnings release and a cut to full year adjusted EPS guidance, with management pointing to margin pressure and slower than expected acquisition synergies. See our latest analysis for Western Union. Western Union’s 1 day share price return of down 4.94% and 90 day share price return of down 16.50% suggest pressure has been building for some time, even though the 1 year total shareholder return of 6.66% has remained positive. If this earnings move has you reassessing your watchlist, it could be a useful moment to broaden your search and check out 19 top founder-led companies Western Union still runs a large global money transfer and consumer services business, yet the share price reaction and trimmed earnings guidance raise a different question: Is this a strong franchise that the market now prices on the cheap or not cheap enough? Western Union’s most followed valuation narrative points to a fair value of $8.64 against a last close of $7.69, which implies meaningful upside in that framework and puts the recent earnings disappointment in a different light. Read the complete narrative. The narrative hangs on a simple question: Can Western Union convert a mature cash business into a leaner digital engine with higher margins and steady revenue growth? The fair value hinges on that digital mix shift, the earnings path that comes with it, and the valuation multiple investors apply if that story plays out. Result: Fair Value of $8.64 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, Western Union still faces clear threats from faster growing digital and fintech competitors, as well as from potential regulatory or tax changes that could squeeze margins and remittance volumes. Find out about the key risks to this Western Union narrative. With Western Union pulled between credible risks and attractive rewards, it makes sense to move quickly and review the details yourself. To see the full breakdown of both sides, including the key concerns and potential upsides investors are focused on, check out the 4 key rewards and 2 important warning signs. If Western Union’s latest move has you rethinking your portfolio, this is a good moment to scan other opportunities that might suit your goals and risk comfort. Target resilient businesses that prioritise financial strength by checking the solid balance sheet and fundamentals stocks screener (46 results). Spot potential mispricings where quality and valuation meet through the 56 high quality undervalued stocks. Hunt for opportunities the crowd may be overlooking using the screener containing 20 high quality undiscovered gems. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include WU. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Revenue: GAAP revenue was $1 billion, down 1% year-over-year on an adjusted basis. Adjusted EPS: $0.31 in the quarter, compared to $0.42 in the prior year quarter. Adjusted Operating Margin: 15% in the quarter, impacted by lower retail revenue, mix, higher agent signing bonuses, and higher operating expenses. Consumer Money Transfer (CMT) Transactions: Grew 3% year-over-year. CMT Adjusted Revenue: Declined 3% year-over-year, a 300 basis point improvement from Q1. Branded Digital Revenue: Adjusted revenue grew 6% year-over-year. Branded Digital Transactions: Increased 25% year-over-year. Account Payout Transactions: Grew 50% in the quarter. Consumer Services Adjusted Revenue: Increased 12% year-over-year. Operating Cash Flow: $214 million year-to-date, up 45% versus last year. Capital Expenditures: $88 million year-to-date, 65% higher than the prior year. Adjusted Effective Tax Rate: 14% in the quarter, compared to 16% in the prior year. Cash and Cash Equivalents: $920 million at the end of the quarter. Debt: $2.7 billion at the end of the quarter. 2026 Adjusted Revenue Guidance: 4% to 6% growth, inclusive of the Intermex acquisition. 2026 Adjusted EPS Guidance: Between $1.25 and $1.35. Warning! GuruFocus has detected 5 Warning Signs with WU. Is WU fairly valued? Test your thesis with our free DCF calculator. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. The Western Union Co (NYSE:WU) reported adjusted revenue of $1 billion, a decline of only 1% year-over-year, a meaningful improvement from the 5% decline in the prior year. Consumer money transfer transactions grew 3% in the quarter, a 300 basis point improvement from Q1 and the highest transaction growth rate since Q2 2024. The branded digital business continued to perform well, with transactions increasing 25% and adjusted revenue growing 6% in the quarter. Consumer Services adjusted revenue was up 12% in the quarter, driven by growth in the bill pay and Travel Money businesses. The company launched its Beyond efficiency program, targeting a run rate operating cost reduction of $50 million by the end of the year and $200 million by the end of 2027. The Western Union Co (NYSE:WU) successfully launched its USDPT stablecoin and Digital Asset Network, with the first four exchanges live and trading, and introduced a USDPT stable card. Year-to-date operating cash flow was $214 million, up 45% versus last year, driven by lower cash taxes. Adjusted EPS came in at $0.31 in the quarter, down from $0.42 a year ago, below expectations due to lower profitability in the Americas retail and Middle East businesses. The ongoing slowdown in the retail business in the Americas, particularly in the US, continued to be a significant headwind, with US retail transactions down mid-teens. The accelerated shift from cash payout transactions to lower-revenue digital payout-to-account transactions continues to weigh on profitability and margins. Higher agent commissions and signing bonuses associated with new partner wins and renewals are increasing costs and pressuring margins. The company has paused its share buyback program to maintain its debt-to-EBITDA ratio between 2.5 times and 3 times. New customer acquisition economics remain challenged, impacting the overall revenue growth and profitability of the digital business. The company lowered its 2026 adjusted EPS guidance to a range of $1.25 to $1.35, reflecting the ongoing margin pressures and weaker-than-expected performance. Q: Can you provide more detail on the cost side and the drivers behind the margin pressure?A: CFO Matt Cagwin explained that the margin pressure stems from two major drivers. First, the pace of cost reduction has slowed compared to last year, when the company was able to rightsize departments and exit programs. Second, and more significantly, there has been a shift in revenue mix toward lower contribution profit per transaction (CPPT). This is driven by the acceleration of cash payout to digital in both the US and the Middle East, where digital transactions yield lower profit dollars per transaction than cash payouts. The company is addressing this through its "Beyond efficiency" program, targeting $50 million in run rate cost savings by year-end and $200 million by the end of 2027. Q: Can you decompose the extent to which payout-to-account transactions are less profitable than retail, and how much of that gap can be closed?A: CEO Devin McGranahan noted that while digital transactions are roughly margin-similar to retail on a percentage basis, the contribution profit per transaction is significantly different. The company has two levers to address this: growing higher revenue and higher contribution per transaction in the digital business, and aggressively lowering digital payout costs. He provided a concrete example in Colombia, where the team recently lowered the payout cost from over $2 to less than $0.50 for Nequi wallet transactions, dramatically improving contribution profit. CFO Matt Cagwin added that the pressure is also driven by Middle East partners, which have very low revenue per transaction and thus very low profit. Q: Given the current profitability pressures and broader business headwinds, how are you thinking about the sustainability of the current dividend over the medium term?A: CEO Devin McGranahan affirmed that the Board of Directors believes the dividend is a strong return to shareholders and that the company has sufficient financial capacity to maintain it. CFO Matt Cagwin added that the company has over $900 million in cash on its books and expects to free up additional capital through its USDPT treasury bridge solution, which could ramp over $1 billion of float in the first quarter of next year. This provides line of sight to improved cash flow, supporting the Board's commitment to the dividend. Q: After one month into the third quarter, what do you see in terms of US immigration policy? Have things gotten worse or started to ease?A: CEO Devin McGranahan described the situation as a continuation of the policies and effects seen over the past year, but noted that the effects have stabilized at a certain level. While the negative effects continue, they are no longer worsening and in some cases are abating, though slower than anticipated at the beginning of the year. He noted that the company expected to see more stability by this time due to lapping the effects that peaked in Q3 2025. The impact varies by corridor, with more stability in US-to-Mexico but continued pressure in other corridors like those affected by events in Venezuela. Q: Can you revisit the opportunities to expand ARPU beyond just customer growth, and where are you with the Beyond digital platform?A: CEO Devin McGranahan explained that the company has begun pulling back on new customer incentives, as competitive intensity has driven up customer acquisition costs with offers like free transactions for a month. The focus is now on optimizing CAC to LTV, targeting the most valuable customers with higher send frequency and principal amounts. The Beyond digital platform, which is being rolled out in Australia, Europe, and the US before year-end, is expected to improve new customer onboarding success rates and reduce the magnitude of needed new offer incentives, thereby improving returns on acquisition investments. Q: On the higher agent bonuses, is that same dynamic playing out in other regions, and what drove lower profitability in Travel Money?A: CFO Matt Cagwin addressed Travel Money first, noting that travel is down in Europe, with Heathrow travel patterns negative for the first time since COVID, putting pressure on profitability. On agent bonuses, he explained that it's a heavy agent renewal cycle this year, with wins like Deutsche Post and Canada Post being competitive takeaways at the higher end of typical strategic partner economics. CEO Devin McGranahan added that the company successfully renewed contracts with major US retailers like Kroger, Walmart, and Albertsons in the face of increased competition, securing these relationships at economics not too different from previous terms. Q: On remittance taxes, what are your thoughts on the Tennessee proposal and any other state or local taxes on the horizon?A: CEO Devin McGranahan noted that the federal remittance tax drove up card acceptance to over 20% in the retail network, as customers moved to bank products to avoid the tax. Several states, most notably Tennessee, have passed or proposed state-specific taxes. While Tennessee is an important state, it's not comparable to Florida, Texas, or California in magnitude. He noted that customers can simply cross state borders to send money if the tax equation becomes significant, and the company doesn't expect significant impact from these proposals. Q: Can you disaggregate how much of the change in EPS guidance is coming from each of the various factors outlined?A: CFO Matt Cagwin explained that the first half of the year saw EPS down $0.15 in Q1 and $0.11 in Q2 year-over-year, with the full-year guide effectively down $0.50. He noted that Q1 had pressure from FX losses and delayed money from a partner, while roughly 50-60% of the pressure in both quarters came from the mix shift items discussed, including lower profitability in Americas retail and Middle East business. The remainder was driven by other factors like higher operating expenses and agent signing bonuses. Q: Can you provide more color on the mix shift dynamics, particularly the acceleration in some corridors versus deceleration in others?A: CFO Matt Cagwin explained that retail is very profitable, particularly cash payout, but the company has faced double-digit declines in US retail for about six quarters. While there have been improvements in US-to-Mexico and US-to-Canada corridors, there's been deterioration in US to the rest of the world, which has higher yields. CEO Devin McGranahan highlighted Colombia as a surprising example, where the shift from cash payout to digital wallets like Nequi and real-time payment systems like Bre-B has been remarkably fast, significantly impacting economics as digital payout economics differ greatly from cash payout in the same corridor. Q: On the cost side, what are the real levers within the product-specific P&L for retail For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Western Union (WU) reported $1.01 billion in revenue for the quarter ended June 2026, representing a year-over-year decline of 1.3%. EPS of $0.31 for the same period compares to $0.42 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $1.01 billion, representing a surprise of +0.59%. The company delivered an EPS surprise of -27.91%, with the consensus EPS estimate being $0.43. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Western Union performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Consumer Money Transfer transactions - Total: 73.5 million compared to the 72.29 million average estimate based on four analysts. Consumer Money Transfer - Cross-border principal: 27.2 billion versus the two-analyst average estimate of 27.29 billion. Revenue- Consumer Services: $147.1 million versus $154.74 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +4.3% change. Revenue- Consumer Money Transfer: $866.1 million compared to the $852.19 million average estimate based on five analysts. The reported number represents a change of -2.1% year over year. Segment Operating Income (Loss)- Consumer Services: $23.3 million versus $40.82 million estimated by two analysts on average. Segment Operating Income (Loss)- Consumer Money Transfer: $125.7 million versus $145.48 million estimated by two analysts on average. View all Key Company Metrics for Western Union here>>> Shares of Western Union have returned +3.1% over the past month versus the Zacks S&P 500 composite's -1.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Western Union Company (WU) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

GAAP revenue of $1.0 billion, down 1% on both a reported basis and an adjusted basis Consumer Services GAAP revenue grew 4%, or 12% on an adjusted basis Branded Digital GAAP revenue grew 7%, or 6% on an adjusted basis GAAP EPS of $0.24, or adjusted EPS of $0.31 DENVER, July 30, 2026--(BUSINESS WIRE)--The Western Union Company (the "Company" or "Western Union") (NYSE: WU) today reported second quarter 2026 financial results. The Company’s second-quarter revenue of $1.0 billion decreased 1% on both a reported and an adjusted basis. The change in adjusted revenue was largely driven by a slowdown in the Americas retail business offset by growth in our Consumer Services and Branded Digital businesses. "In the second quarter, we did not see the improvement in Americas Retail that we had expected, and the delayed close of our Intermex acquisition pushed out expected synergies, contributing to meaningful margin pressure and lower-than-expected EPS. This difficult operating environment requires us to accelerate cost reductions more forcefully in the second half of the year," said Devin McGranahan, President and Chief Executive Officer. "With revenue in line with our expectations, we remain focused on our dual-track strategy: accelerating reductions in operating expenses while continuing to invest in the future through our digital products and consumer services businesses." Second quarter GAAP EPS was $0.24, down from $0.37 in the prior year period. Adjusted EPS was $0.31 in the second quarter, down from $0.42 in the prior year period. GAAP and Adjusted EPS in the current year period were driven by lower revenues and higher expenses from our Consumer Money Transfer ("CMT") retail business, lower margins in our Consumer Services business, and higher operating expenses, partially offset by a lower tax rate in the quarter. Q2 Business Results Consumer Services segment revenue grew 4% on a GAAP basis, or 12% on an adjusted basis compared to the prior year period, driven by higher revenues from our bill payment business and growth in our travel money business. Branded Digital revenue increased 7% on a GAAP basis, and 6% on an adjusted basis, with transaction growth of 25% compared to the prior year period. The Branded Digital business represented 32% and 43% of total CMT revenues and transactions in the second quarter, respectively. CMT segment revenue decreased 2% on a GAAP basis, while transactions grew 3% compared to the prior year period, and on an adjusted basis, revenues declined 3% compared to the prior year period. Q2 Financial Results GAAP operating margin in the quarter was 13%, compared to 19% in the prior year period, while the adjusted operating margin was 15%, compared to 19% in the prior year period. GAAP and adjusted operating margin in the current year period were impacted by lower revenues and higher expenses from our CMT retail business, lower margins in our Consumer Services business, and higher operating expenses. GAAP effective tax rate was 20%, compared to 24% in the prior year period, while the adjusted tax rate was 14%, compared to 16% in the prior year period. The decrease in GAAP and adjusted effective tax rates was primarily due to discrete expenses in the prior year period. Business Development On August 10, 2025, the Company announced an agreement to acquire International Money Express, Inc. ("Intermex"). Western Union remains actively engaged in discussions with regulators, including the New York State Department of Financial Services, to obtain the final regulatory approval. Western Union anticipates closing the transaction as soon as reasonably practicable upon receipt of such approval as well as satisfaction of other customary closing conditions. 2026 Outlook The Company is updating the financial outlook for full year 2026, which assumes no material changes in macroeconomic conditions, including changes in immigration policies, foreign currencies, Argentina inflation, or any prolonged impact or escalations of the ongoing conflicts in the Middle East. Non-GAAP Measures Western Union presents non-GAAP financial measures because management believes that these metrics provide meaningful supplemental information in addition to the GAAP metrics and provide comparability and consistency to prior periods. Constant currency revenues translate revenues denominated in foreign currencies to the United States dollar, net of the effect of foreign currency hedges, at rates consistent with those in the prior year. The Company calculates Argentina inflation as the revenue growth not attributable to either transaction growth or the change in price (revenue divided by principal). Reconciliations of non-GAAP to comparable GAAP measures are available in the accompanying schedules and in the "Investor Relations" section of the Company’s website at https://ir.westernunion.com. Additional Statistics Additional key statistics for the quarter and historical trends can be found in the supplemental tables included with this press release. All amounts included in the supplemental tables to this press release are rounded to the nearest tenth of a million, except as otherwise noted. As a result, the percentage changes and margins disclosed herein may not recalculate precisely using the rounded amounts provided. Investor and Analyst Conference Call and Presentation The Company will host a conference call and webcast at 4:30 p.m. ET today. The webcast and presentation will be available at https://ir.westernunion.com. Registration for the event is required, so please register at least 15 minutes prior to the scheduled start time. A webcast replay will be available shortly after the event. To listen to the webcast, please visit the Investor Relations section of the Company’s website or use the following link: Webcast Link. Alternatively, participants may join via telephone. In the U.S., dial +1 (719) 359-4580, followed by the meeting ID, which is 974 4233 9241, and the passcode, which is 697572. For participants outside the U.S., dial the country number from the international directory, followed by the meeting ID, which is 974 4233 9241, and the passcode, which is 697572. Safe Harbor Compliance Statement for Forward-Looking Statements This press release contains certain statements that are forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions that are difficult to predict. Actual outcomes and results may differ materially from those expressed in, or implied by, our forward-looking statements. Words such as "expects," "intends," "targets," "anticipates," "believes," "estimates," "guides," "provides guidance," "provides outlook," "projects," "designed to," and other similar expressions or future or conditional verbs such as "may," "will," "should," "would," "could," and "might" are intended to identify such forward-looking statements. Readers of this press release of The Western Union Company (the "Company," "Western Union," "we," "our," or "us") should not rely solely on the forward-looking statements and should consider all uncertainties and risks discussed in the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2025 and in our subsequent filings with the Securities and Exchange Commission. The statements are only as of the date they are made, and the Company undertakes no obligation to update any forward-looking statement. Possible events or factors that could cause results or performance to differ materially from those expressed in our forward-looking statements include the following: changes in economic conditions, trade disruptions, or significantly slower growth or declines in the money transfer, payment service, and other markets in which we operate; interruptions in migration patterns, slowdown in travel, or other events, such as public health emergencies, any changes arising as a result of policy changes in the United States and/or other key markets, civil unrest, war, terrorism, natural disasters, or non-performance by our banks, lenders, insurers, or other financial services providers; failure to compete effectively in the money transfer and payment service industry, including among other things, with respect to digital, mobile and internet-based services, card associations, and card-based payment providers, and with digital currencies, including cryptocurrencies; geopolitical tensions, political conditions, armed conflicts or wars, and related actions, including trade restrictions, tariffs, and government sanctions; deterioration in customer confidence in our business; failure to maintain our agent network and business relationships; our ability to adopt new technology; the development, deployment, and use of AI, machine learning, and automated decision-making technologies in our operations, including risks or unintended outcomes; the failure to realize anticipated financial benefits from mergers, acquisitions and divestitures; decisions to change our business mix; exposure to foreign exchange rates; changes in tax laws, or their interpretation, and unfavorable resolution of tax contingencies; cybersecurity incidents involving any of our systems or those of our vendors or other third parties; cessation of or defects in various services provided to us by third-party vendors; our ability to realize the anticipated benefits from restructuring-related initiatives; our ability to attract and retain qualified key employees; failure to manage credit and fraud risks presented by our agents, clients, and consumers; adverse rating actions by credit rating agencies; our ability to protect our intellectual property rights, and to defend ourselves against potential intellectual property infringement claims; material changes in the market value or liquidity of securities that we hold; restrictions imposed by our debt obligations; liabilities or loss of business resulting from a failure by us, our agents, or their subagents to comply with laws and regulations and regulatory or judicial interpretations thereof; increased costs or loss of business due to regulatory initiatives and changes in laws, regulations, and industry practices and standards; developments resulting from governmental investigations and consent agreements with, or investigations or enforcement actions by, regulators and other government authorities; liabilities resulting from litigation; failure to comply with regulations and evolving industry standards regarding data privacy; failure to comply with consumer protection laws; effects of unclaimed property laws or their interpretation or the enforcement thereof; failure to comply with working capital requirements; changes in accounting standards, rules and interpretations; and other unanticipated events and management’s ability to identify and manage these and other risks. Important factors that could cause Western Union’s or the combined company’s actual results to differ materially from the results referred to in the forward-looking statements in this release include: the possibility that the conditions to the consummation of the proposed acquisition of Intermex (the "Proposed Acquisition") will not be satisfied on the terms or timeline expected, or at all; failure to obtain, or delays in obtaining, or adverse conditions related to obtaining regulatory approvals sought in connection with the Proposed Acquisition; dependence on key agents and the potential effects of network disruption; the possibility that we may be unable to achieve expected benefits, synergies and operating efficiencies in connection with the Proposed Acquisition; continued availability of capital and other changes in capital markets; potential litigation or regulatory actions relating to the Proposed Acquisition, which could result in significant costs of defense, indemnification, and liability; the risk that disruptions from the Proposed Acquisition, such as diverting management’s attention from the ongoing business operations and relationships of Western Union or Intermex, may harm our business, including current plans and operations, the market price of our capital stock, or our operating results; and failure to retain key management. About Western Union The Western Union Company (NYSE: WU) is committed to helping people around the world who aspire to build financial futures for themselves, their loved ones and their communities. Our leading cross-border, cross-currency money movement, payments and digital financial services empower consumers, businesses, financial institutions and governments—across more than 200 countries and territories and nearly 130 currencies—to connect with billions of bank accounts, millions of digital wallets and cards, and a global footprint of hundreds of thousands of retail locations. Our goal is to offer accessible financial services that help people and communities prosper. For more information, visit www.westernunion.com. WU-G View source version on businesswire.com: https://www.businesswire.com/news/home/20260730194138/en/ Contacts Media Relations: Amanda [email protected] Investor Relations: Tom [email protected]

Western Union (WU) came out with quarterly earnings of $0.31 per share, missing the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.42 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -27.91%. A quarter ago, it was expected that this money transfer company would post earnings of $0.4 per share when it actually produced earnings of $0.25, delivering a surprise of -37.5%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Western Union, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $1.01 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.59%. This compares to year-ago revenues of $1.03 billion. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Western Union shares have lost about 13.1% since the beginning of the year versus the S&P 500's gain of 6.9%. While Western Union has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Western Union was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.52 on $1.08 billion in revenues for the coming quarter and $1.74 on $4.18 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial Transaction Services is currently in the bottom 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, RB Global (RBA), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 4. This heavy equipment auctioneer is expected to post quarterly earnings of $1.09 per share in its upcoming report, which represents a year-over-year change of +1.9%. The consensus EPS estimate for the quarter has been revised 2.1% higher over the last 30 days to the current level. RB Global's revenues are expected to be $1.25 billion, up 5.3% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report The Western Union Company (WU) : Free Stock Analysis Report RB Global, Inc. (RBA) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research