Silicon Canals
TRENDING
  • Mobility
  • AI
  • FinTech
  • Software & SaaS
No Result
View All Result
  • Home
  • News
    • COVID-19
    • Startups
    • Scaleups
    • FinTech
    • AI and chatbots
    • Travel & Mobility
    • Software & SaaS
    • Health & Medtech
    • (Crowd)funding
    • Blockchain
    • Internet of things
    • Hardware
    • Accelerators
    • E-commerce
    • Cybersecurity
    • Gaming & Virtual Reality
    • Drones
  • Features
    • Promoted content
    • How-to
    • Knowledge & Insights
    • Guest Contributions
    • Scaling-up in Europe
  • Amsterdampartner
  • Events
  • Newsletter
  • Jobs
  • About
    • Partner with Silicon Canals
    • Team
    • Contact
  • Home
  • News
    • COVID-19
    • Startups
    • Scaleups
    • FinTech
    • AI and chatbots
    • Travel & Mobility
    • Software & SaaS
    • Health & Medtech
    • (Crowd)funding
    • Blockchain
    • Internet of things
    • Hardware
    • Accelerators
    • E-commerce
    • Cybersecurity
    • Gaming & Virtual Reality
    • Drones
  • Features
    • Promoted content
    • How-to
    • Knowledge & Insights
    • Guest Contributions
    • Scaling-up in Europe
  • Amsterdampartner
  • Events
  • Newsletter
  • Jobs
  • About
    • Partner with Silicon Canals
    • Team
    • Contact
No Result
View All Result
Silicon Canals
No Result
View All Result

This article is produced in collaboration with our partner StartupAmsterdam

6 key takeaways from Adyen’s H2 2020 financial results

Shubham Sharma by Shubham Sharma
February 11, 2021
in Amsterdam, FinTech, News, Promoted content, Scaleups, Startups
0
Adyen

image credits: Adyen

73
SHARES
LinkedInTwitterWhatsAppFacebook

The well-known Amsterdam-based payments platform Adyen has published its H2 2020 Shareholder letter and financial statements. Its details reflect a lot on what has happened in the fintech space last year, along with the payment company’s upcoming plans. Here are five key takeaways from Adyen’s H2 2020 financial results.

 - Partner content -
Cost of software - The Software house
The cost of building software
Marek Gajda, CTO of The Software House, shares his insights on building high-quality...Show More
Marek Gajda, CTO of The Software House, shares his insights on building high-quality software. Show Less
Read more

Processed volume up 29 per cent year-on-year

As per Adyen’s report, the volume of processed transactions is up by 29 per cent year on year, which amounts to about €174.5B. At the start of H2 2020, overall processed volume recovered to pre-pandemic levels and exhibited an upward trend. Adyen notes that there was an uptick in the online retail volume that followed physical store closures in the first half of the year. This trend continued well into the 2nd half of 2020. Volume in the travel sector remained below pre-pandemic levels. 

Adyen recorded peak volume during the shopping holiday season, spanning across days such as Singles’ Day, Black Friday, and Cyber Monday. POS volume for H2 2020 was €21.3B and it comprised 12 per cent of total processed volume, compared to €18.2B and 13 per cent in H2 2019

Net revenue crosses €379.4M

As the processed volume increased, the net revenue registered by the company also skyrocketed as it hit €379.4M in the second half of 2020, up 28 per cent year-on-year. For the entire year, the company’s revenue was up at 28 per cent and totalled a whopping €684.2M. There was a notable diversification across regions, which enabled Adyen to post strong growth. Europe remains the largest contributor to the fintech’s net revenue at 62 per cent, followed by North America (20 per cent), APAC (9 per cent), and LATAM (8 per cent).

The Adyen team

According to the company, offering its merchants the best technology and support is a key focus area for it. It claims that the way Adyen builds its team is indicative of that – 43 per cent of new hires in commercial roles and 42 per cent of hires in tech. It added 299 FTE in the second half of the year, so as to pave the way for long-term growth, claims the company. The Adyen team now totals 1,747 FTE. Notably, Amsterdam has the company’s highest number of FTEs – 1,011. 

Operating expenses go up for Adyen

Total operating expenses – €157.7M – were up by 18 per cent year-on-year in the second half of the year. It represented 42 per cent of the company’s net revenue. For the entirety of 2020, operating expenses were €310.3M, up by 29 per cent year-on-year, and representing 45 per cent of net revenue. 

The company offered employee benefits, which constituted €92.4M in H2 2020, up 37 per cent from €67.6 M in H2 2019. For the entire 2020, the company spent €180M on employee benefits, up 47 per cent from €122.4M for full year 2019.

Other operating expenses were notably €50.3M in the second half of 2020, down 8 per cent from €54.7Min the second half of 2019. This is being contributed to the decrease in travel expenses as travel restrictions were set in place due to the pandemic. 

EBITDA and EBITDA margin reflect sustained profitability 

EBITDA for Adyen in H2 2020 was €236.8M, up 36 per cent YoY from €174.5M in H2 2019. The EBITDA margin during the same period was 62 per cent, and 59 per cent for the full year. For FY 2020, EBITDA was €402.5M, up 27 per cent year-on-year from €316.9M in 2019. These numbers showcase sustained profitability for the company, while it invests in its long-term growth. 

Notable free cash flow conversion

The final take away from Adyen’s H2 2020 financial result was the free cash flow conversion. It was €217M in H2, 2020, up by 37 per cent from €158.1M in the second half of 2019. For the entire year, free cash flow conversion was €371.1M, up 29 per cent from €287.1M in 2019. Free cash flow conversion ratio also reached 92 per cent, with CapEx at 4 per cent of Adyen’s net revenue. 

While the above mentioned key points paint a clear picture of how well Adyen is performing, there’s more. The company has also posted its financial objectives. In a brief overview, it mentions how the fintech will aim for continued growth for its net revenue and improve its EBITDA margin. It also sets a goal to maintain a sustainable capital expenditure level of up to 5 per cent of its net revenue. You can read about this and more in detail here.

close

Want to stay on top of the latest rounds, coolest tech and hottest startups?

Subscribe to our free, daily news blast and stay up-to-date!

Check your inbox or spam folder to confirm your subscription.

 - Partner content -
Nebula CTO Andre Witte
Cloud spend management 😱
Tracking cloud spend can be tricky. Learn from Nebula's CTO Andre Witte how to keep the...Show More
Tracking cloud spend can be tricky. Learn from Nebula's CTO Andre Witte how to keep the costs at bay in 2021. Show Less
Read more
Tags: featurednews
Share5Tweet18SendShare29

Featured events

07apr10:0012:30FeaturedWorkshop: pr for startupsHow to grow your startup with the help of public relations

Partner content | Work with us

Blue Tulip Awards announce 5 finalists in the Food & Water and Education & Employment theme

Impact media foundation 5 Media offers grants up to €100,000 per year to drive a sustainable future

Here’s how cryptocurrency will take over the world

Blue Tulip Awards is driven by purpose: why innovation and equality go hand in hand

Future of coding: CTOs discuss low-code versus custom code software development for their business

Breaking news from Amsterdam | Partner

Amsterdam-based fintech unicorn Mollie enters UK market to helps merchants there grow into Europe post-Brexit

Amsterdam-based HR tech Recruitee takes a “shortcut” to a future unicorn status

Amsterdam-based mobility startup BAQME launches its shared e-box bikes in Rotterdam

Amsterdam’s TomTom resumes share buyback program for remaining €33M; revenue for FY ’20 dips by 25%

  • About Silicon Canals
  • Partner with Silicon Canals
  • Contact us
  • Newsletter
  • Disclaimer
  • Privacy policy
  • Terms & Conditions Silicon Canals

Silicon Canals 2014-2020 | Website: Bright Idiots

No Result
View All Result
  • Home
  • News
    • COVID-19
    • Startups
    • Scaleups
    • FinTech
    • AI and chatbots
    • Travel & Mobility
    • Software & SaaS
    • Health & Medtech
    • (Crowd)funding
    • Blockchain
    • Internet of things
    • Hardware
    • Accelerators
    • E-commerce
    • Cybersecurity
    • Gaming & Virtual Reality
    • Drones
  • Features
    • Promoted content
    • How-to
    • Knowledge & Insights
    • Guest Contributions
    • Scaling-up in Europe
  • Amsterdam
  • Events
  • Newsletter
  • Jobs
  • About
    • Partner with Silicon Canals
    • Team
    • Contact

Silicon Canals 2014-2020 | Website: Bright Idiots

X

This website uses cookies to ensure the best possible experience. We may share this information with our advertising and analytics partners. By clicking 'Accept', you agree to our use of cookies and similar technologies. More info