Remitly Global | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 495.16 M

Revenue: As of FY2026 Q2, the actual value is USD 495.16 M, beating the estimate of USD 485.97 M.

EPS: As of FY2026 Q2, the actual value is USD 0.93, beating the estimate of USD 0.1249.

EBIT: As of FY2026 Q2, the actual value is USD 68.35 M.

Financial and Operational Highlights

Operational Metrics

• Active customers for Remitly Global, Inc. increased to 10.2 million in the second quarter of 2026, representing a 20% year-over-year (YoY) increase compared to 8.5 million in the second quarter of 2025.
• Send volume rose to $23.5 billion in the second quarter of 2026, an increase of 27% from $18.5 billion in the second quarter of 2025.

Revenue

• Remitly Global, Inc. reported revenue of $495 million for the second quarter of 2026, marking a 20% year-over-year increase.

Net Income

• Net income for the second quarter of 2026 was $205.9 million, which included a $140.6 million discrete tax benefit from the U.S. valuation allowance release, compared to $6.536 million in the second quarter of 2025.
• For the six months ended June 30, 2026, net income was $254,961 thousand, compared to $17,888 thousand for the same period in 2025.

Operating Profit (Income from Operations)

• Income from operations for the second quarter of 2026 was $66,681 thousand, significantly up from $14,643 thousand in the second quarter of 2025.
• For the six months ended June 30, 2026, income from operations was $120,421 thousand, compared to $26,876 thousand for the same period in 2025.

Operating Costs (Total Costs and Expenses)

• Total costs and expenses for the second quarter of 2026 were $428,475 thousand, compared to $397,209 thousand in the second quarter of 2025.
• For the six months ended June 30, 2026, total costs and expenses were $827,537 thousand, compared to $746,600 thousand for the same period in 2025.

Adjusted EBITDA

• Adjusted EBITDA was $114.7 million in the second quarter of 2026, marking a 79% increase from $64.0 million in the second quarter of 2025.
• The Adjusted EBITDA Margin for the second quarter of 2026 was 23%.
• For the six months ended June 30, 2026, Adjusted EBITDA was $216,292 thousand, up from $122,425 thousand for the same period in 2025.

Transaction Margin

• Transaction margin dollars reached $333,982 thousand in the second quarter of 2026, compared to $268,096 thousand in the second quarter of 2025.
• The transaction margin was 67% or 67.4% in the second quarter of 2026, an increase from 65% in the second quarter of 2025.
• For the six months ended June 30, 2026, transaction margin dollars were $641,844 thousand, compared to $508,327 thousand for the same period in 2025.
• The transaction margin for the six months ended June 30, 2026, was 68%, up from 66% for the same period in 2025.

Cash Flow

• Net cash provided by operating activities for the six months ended June 30, 2026, was $216,512 thousand, compared to $135,472 thousand for the same period in 2025.
• Net cash provided by operating activities for the second quarter of 2026 was $134,620 thousand.
• Free cash flow for the six months ended June 30, 2026, was $202,810 thousand, an increase from $110,976 thousand for the same period in 2025.
• Free Cash Flow for the second quarter of 2026 amounted to $130,104 thousand, with a Free Cash Flow Margin of 26.3%.

Operational Efficiencies (YoY Change)

• Transaction Margin improved by 235 basis points.
• Non-GAAP operating expenses as a percentage of revenue saw decreases in Marketing by 11 basis points, Customer Support by 68 basis points, Technology and Development by 175 basis points, and General and Administrative by 295 basis points.

Growth Accelerators

• High Value Senders volume grew 37% YoY, contributing to a 70 basis point increase in volume mix YoY.
• Remitly Business now serves over 25,000 active businesses in Q2, showing sequential acceleration in both volume and revenue growth.
• The Receivers product generated revenue for the first time in Q2, and Send Now, Pay Later revenue more than doubled YoY in Q2.

Outlook / Guidance

Remitly Global, Inc. expects total revenue for fiscal year 2026 to be in the range of $1.978 billion to $1.988 billion, representing a year-over-year growth rate of 21% to 22%. The company anticipates year-over-year growth in net income and expects Adjusted EBITDA to be between $410 million and $415 million for fiscal year 2026, with a 21% Adjusted EBITDA margin. For the third quarter of 2026, total revenue is projected to be between $505 million and $507 million, indicating 20-21% YoY growth, and Adjusted EBITDA in the range of $92 million to $94 million, with an 18-19% Adjusted EBITDA margin.