MoneyGram International, Inc.

MoneyGram International, Inc. (NASDAQ: MGI) recently stated fiscal results for its 3rd-quarter ending September 30, 2k19.

Business Update

  • Business transformation continues to accelerate, demonstrated by both the expansion of digital capabilities to over 60 countries, counting 25 countries with MoneyGram Online capabilities. Total digital transactions represented 20.00 percent of money transfer transactions.
  • Outside the US, money transfer transactions improved to a 7.0 percent year-over-year growth rate while returning to positive revenue growth. 60.00 percent of our total money transfer revenue now comes from business generated outside the United States.
  • 1st-money transfer company to launch Visa Direct.
  • 1st-money transfer company to utilize blockchain capabilities at scale through our Ripple planned partnership.

“Our 3rd-quarter results reflect the continued transformation of our business as we increasingly focus on customer experience improvements, cross-border digital growth and industry-leading innovation through our planned partnership with Ripple,” said Alex Holmes Chairman and CEO. He added: “While the US market, which continues to be our primary challenge, showed signs of improvement on a sequential basis, we are very happy that our non-US business achieved year-over-year growth for the quarter.”

3rd-Quarter 2k19 Financial Results

  • Total revenue was $324.60M and $347.20M for the three months finished September 30, 2k19 and 2k18, respectively.
    • Money transfer revenue was $284.90M for the quarter contrast to $304.20M for the three months finished September 30, 2k18.
    • Investment revenue was $13.40M for the quarter.
  • Net loss was $7.70M contrast to $20.90M for the 3rd-quarter of 2k18. EBITDA was $44.60M, a boost of $24.20M as contrast to the year-ago duration. The previous year duration included a $30.00M accrual related to the resolution of the deferred prosecution agreement (the “DPA”).
  • Adjusted EBITDA was $51.70M and $59.50M for the three months finished September 30, 2k19 and 2k18, respectively. Adjusted EBITDA margin was 15.90 percent for the three months finished September 30, 2k19.
  • For the quarter, diluted loss for each share was $0.100 and adjusted diluted loss for each share was $0.030.
  • Adjusted Free Cash Flow was $9.30M for the quarter.

Balance Sheet Highlights and Capital Structure Highlights

The Company finished the 3rd-quarter of 2k19 with a cash and cash equivalents balance of $119.10M contrast to $145.50M at the end of 2k18. 3rd-quarter interest cost was $24.80M and capital expenditures were $13.30M.

4th-Quarter 2k19 Outlook

The Company is revising its guidance to reflect the forecast for its 4th-quarter results.  For the 4th-quarter of 2k19, the Company anticipates total revenue of about $330.00M, and adjusted EBITDA of about $50.00M.