Business
Marqeta Reports Second Quarter 2023 Financial Results, Announces Four Year Extension to Cash App Contract
The global modern card issuer had $54 billion in total processing volume, up 33 percent year-over-year, with net revenue of $231 million in the second
About this update from Marqeta, Inc.
[{"type":"text","content":"\nThe global modern card issuer had $54 billion in total processing volume, up 33 percent year-over-year, with net revenue of $231 million in the second quarter of 2023, up 24 percent year-over-year.\n\n\n OAKLAND, Calif.--(BUSINESS WIRE)--\nMarqeta, Inc. (NASDAQ: MQ), the global modern card issuing platform, today reported financial results for the second quarter ended June 30, 2023.\n\n\nTotal processing volume (TPV) was $54 billion, with net revenue of $231 million, representing year-over-year increases of 33% and 24%, respectively. Gross profit was $85 million, an increase of 8% year over year, resulting in a gross margin of 37%. GAAP net loss was $59 million and Adjusted EBITDA was $1 million.\n\n\n\"In the second quarter, we grew our business to ever-increasing levels of scale, exceeded our sales bookings goals again and reduced our cost structure. Our execution has been strong, including accelerating our go-to-market motion, enhancing our product offering, and extending our partnership with Cash App. I firmly believe Marqeta is well positioned to capitalize on the fast-growing embedded finance market,\" 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 today that it had signed a four year extension with Block to continue powering its popular Cash App card product. This extended deal to power the Cash Card is effective on July 1, 2023 and continues through June of 2027. We believe this renewal demonstrates the value Block sees in the Marqeta platform and this partnership, exemplified by Marqeta’s flexibility, innovation and breadth of service.\n\n\n\n\nMarqeta announced a new expansion into Brazil with a partnership with Latin American banking-as-a-service platform Fitbank. Through this partnership, Fitbank will be both a Marqeta customer and act as Marqeta's BIN sponsor for customers looking to launch in the region. Brazil is a highly valued expansion point for many of Marqeta’s global customers and has a base of local fintechs looking to build new innovations on modern payment infrastructure.\n\n\n\nOperating Highlights\n\n\n\n\nIn thousands, except percentages and per share data. % change is calculated over the comparable prior-year period (unaudited)\n\n\n\n\n\n\nThree Months ...