Payfare (TSE:PAY) Third Quarter 2024 Results

Key Financial Results

• Revenue: CA$59.0m (up 25% from 3Q 2023).

• Net income: CA$4.46m (down 7.2% from 3Q 2023).

• Profit margin: 7.6% (down from 10% in 3Q 2023). The decrease in margin was driven by higher expenses.

• EPS: CA$0.092 (down from CA$0.10 in 3Q 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Payfare Revenues and Earnings Miss Expectations

Revenue missed analyst estimates by 5.7%. Earnings per share (EPS) also missed analyst estimates by 25%.

Looking ahead, revenue is expected to decline by 70% p.a. on average during the next 2 years, while revenues in the Diversified Financial industry in Canada are expected to grow by 15%.

Performance of the Canadian Diversified Financial industry.

The company's shares are up 2.5% from a week ago.

Risk Analysis

What about risks? Every company has them, and we've spotted 3 warning signs for Payfare (of which 2 are significant!) you should know about.

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