Business
Marqeta Reports First Quarter 2023 Financial Results
Company announces total purchase volume crosses $50 billion a quarter for the first time as well as a $200 million share repurchase program and expected
About this update from Marqeta, Inc.
[{"type":"text","content":"\nCompany announces total purchase volume crosses $50 billion a quarter for the first time as well as a $200 million share repurchase program and expected annual operational expense reductions of $40-45 million.\n\n\n OAKLAND, Calif.--(BUSINESS WIRE)--\nMarqeta, Inc. (NASDAQ: MQ), the global modern card issuing platform, today reported financial results for the first quarter ended March 31, 2023.\n\n\nTotal processing volume (TPV) was $50 billion, with net revenue of $217 million, representing year-over-year increases of 37% and 31%, respectively. Gross profit was $89 million, an increase of 19% year over year, resulting in a gross margin of 41%. GAAP net loss was $69 million and Adjusted EBITDA loss was $4 million.\n\n\n“In the first quarter of 2023, we started to see our strategic focus on embedded finance and the implementation of new operating efficiencies pay off, laying a strong foundation for Marqeta’s future. Our financial results once again showed our ability to innovate at scale,” said Simon Khalaf, CEO of Marqeta.\n\n\nRecent Business Updates:\n\n\nMarqeta highlighted several recent business updates that demonstrate its current business momentum:\n\n\n\nMarqeta announced that over 50% of its bookings in the past year are with embedded finance customers, with accelerating momentum in Q1 2023.\n\n\n\nMarqeta deepened its partnership with ONE, a leading consumer fintech backed by Walmart and Ribbit Capital, powering the ONE debit card to deliver on the company's mission of helping consumers save, spend, and grow their money — all in one place.\n\n\n\nMarqeta was chosen by WorkWhile to power accelerated wage access to its workers, which will allow WorkWhile workers faster-than-ever access to their earned wages, as soon as their shift hours are approved, helping to significantly reduce their need for credit and improving their financial well-being.\n\n\n\nOperational Efficiency:\n\n\n\nMarqeta announced that it will accelerate the realization of its efficiency goals and take restructuring actions in Q2 to reduce operating expenses by $40-$45 million on an annual run rate basis to help put the company on a path to profitability.\n\n\n\nShare Repurchase:\n\n\n\nMarqeta announced that its Board of Directors has authorized a share repurchase program for up to $200m of its Class A common stock. \"This plan demonstrates the conf...