Here’s how Amsterdam fintech unicorn Adyen performed in H2 2024

Amsterdam-based fintech unicorn Adyen published its shareholder letter and financial statements for H2 2024 on Thursday.

The letter focuses on the company’s activities, finances, growth pillars, and more.

Here are the key takeaways:

Adyen’s Net revenue increased by 22%

In the second half of 2024, Adyen reported a substantial increase in net revenue, reaching €1082.7M, which represented a notable 22 per cent surge compared to the previous year.

For the Full Year (FY) 2024, net revenue was €1,996.1M, up 23 per cent YoY.

Net revenue in H2 2024 includes €5.8M of net interest income relating to the company’s Embedded Financial Products suite.

For FY 2024, net interest income was €8.3M, says the report.

Regional net revenue contributions remained consistent, with EMEA contributing 58 per cent, followed by North America at 27 per cent, APAC at 10 per cent, and LATAM contributing 5 per cent of total net revenue H2 2024.

EMEA was the Adyen’s fastest-growing region, with net revenue up 27 per cent YoY in H2 2024.

22% increase in processed transaction

In H2 2024, the company processed €666.4B, a 22 per cent increase from the previous year.

For the entire fiscal year 2024, the total processed amount was €1,285.9B, up 33 per cent from last year.

Digital services continued to be the main contributor, bringing in €383.5B in H2 2024, a 13 per cent increase YoY. 

For the full year, digital volumes reached €783.4B, a 29 per cent increase from the previous year.

Unified Commerce volumes up by 35%

Unified Commerce volumes reached €194.2B in H2 2024, a 35 per cent increase compared to the previous year.

For all of 2024, Unified Commerce volumes totalled €334.8B, up 32 per cent from last year.

In the second half of the year, the Platforms segment brought in €88.5B, a 44 per cent increase year-over-year, making it our fastest-growing area.

For all of 2024, Platforms volumes reached €167.6B, up 51 per cent from the previous year. 

Excluding eBay, Platform growth was even stronger, at 58 per cent in H2 and 70 per cent for the entire year.

Operating Expenses up by 17%

In H2 2024, Adyen’s operating expenses reached €576.9M, up 17 per cent from the previous year.

For the entire fiscal year 2024, they amounted to €1,115.3M, an 18 per cent increase.

Employee benefits for H2 2024 were €353.7M, a 15 per cent increase YoY.

For FY 2024, employee benefits totalled €701.2M, also an 18 per cent rise.

Adyen added 111 new employees in H2, bringing the total to 4,345 full-time staff by year-end.

EBITDA margin up by 35%

EBITDA was €569.2M in H2 2024, up 35 per cent YoY. For FY 2024, EBITDA was €992.3M, up 34 per cent YoY.

EBITDA margin was 53 per cent in H2 2024, compared to 48 per cent in H2 2023.

Net income, CapEx, and cash flow

Net income was €515.6M for the H2 2024, up 24 per cent YoY. For FY 2024, net income was €925.2M, up 32 per cent YoY.

CapEx was €48.8M, or 5 per cent of net revenue, in-line with 5 per cent of net revenue in H1 2024. In FY 2024, CapEx was €91.1M.

Free cash flow was €499.2M in H2 2024, up 27 per cent YoY. The free cash flow conversion ratio was 88 per cent. For FY 2024, free cash flow was €859.8M, up 34 per cent YoY.

Financial objectives

According to Adyen, it has not seen any developments in the business over H2 2024. As a result, the company’s financial objectives remain unchanged from the last time they published results.

• To continue to grow net revenue annually between the low-twenties and high-twenties per cent, up to and including 2026.
• To improve EBITDA margin to levels above 50 per cent in 2026,
• To maintain a sustainable capital expenditure level of up to 5 per cent of our net revenue.