Business
Usio Announces Record Fourth Quarter and Full Year 2022 Financial Results
Full Year Revenues up 12%; Sixth Consecutive Year of Record Revenue Strong Momentum Expected to Drive 18-20% Growth in Revenue and Positive Operating Cash
About this update from Usio, Inc.
[{"type":"text","content":"\nFull Year Revenues up 12%; Sixth Consecutive Year of Record Revenue\n\nStrong Momentum Expected to Drive 18-20% Growth in Revenue and Positive Operating Cash Flow and Adjusted EBITDA in Fiscal 2023\n\n SAN ANTONIO--(BUSINESS WIRE)--\nUsio, Inc. (Nasdaq:USIO), a leading FinTech company that operates a full stack of integrated, cloud-based electronic payment and embedded financial solutions, today announced financial results for the fourth quarter and year 2022, which ended December 31, 2022.\n\nLouis Hoch, Chairman and Chief Executive Officer of Usio, said, “Usio ended the year on a high note, as revenue in the fourth quarter was a record, as well as our tenth consecutive quarter of quarterly revenue growth, which led to our sixth consecutive year of record revenue. Revenue for the year also met our guidance. For the quarter, revenue growth accelerated sequentially from the third quarter in our ACH, Prepaid, and Output Solution businesses as we generate strong momentum that we expect will propel accelerated revenue growth. We also posted record gross profits in the fourth quarter, in part due to the success of our prepaid business, which generated strong residual revenues from large, completed contracts. This led to $1.0 million of positive Adjusted EBITDA in the quarter.1\"\n\nMr. Hoch continued, \"Growth in both our Prepaid and Output Solutions businesses was very strong in both the quarter and the year. We expect Output Solutions to continue to generate attractive growth in 2023 as we potentially implement one of our largest contracts, expand capacity and implement new technology that will enable our services and solutions to be more efficient and effective. We expect that prepaid revenues and margins should almost double in the upcoming year as we anticipate generating approximately $10-12 million in revenue on programs where we have fulfilled our contractual obligations. The Card business grew, albeit slowly, in 2022 due to customers delaying the start of new implementations, many of which appear to be now ramping up. Our Credit Card business segment is also being integrated into prepaid and ACH programs, a feature that is being well received by many of our customers. Our ACH business was adversely impacted by disruption in the cryptocurrency market in 2022, which began affecting a large customer in the second quarter and ...