Payoneer Global Inc. (NASDAQ:PAYO) Q4 2023 Earnings Conference Call February 28, 2024 8:30 AM ET

Company Participants

Michelle Wang - Vice President-Investor Relations

John Caplan - Chief Executive Officer

Bea Ordonez - Chief Financial Officer

Conference Call Participants

Darrin Peller - Wolfe Research

Will Nance - Goldman Sachs

Trevor Williams - Jefferies

Josh Siegler - Cantor Fitzgerald

Chris Kennedy - William Blair

Operator

Operator

Good morning. Thank you for standing by. Welcome to Payoneer’s Fourth Quarter and Full Year 2023 Earnings Conference Call. At this time, all lines have been placed on mute to prevent any background noise. Following the speakers’ remarks, we will open the lines for your questions. As a reminder, this conference call is being recorded.

I would now like to turn this call over to Michelle Wang, Payoneer’s VP of Investor Relations.

Michelle Wang

Thank you, operator. With me on today’s call are Payoneer's Chief Executive Officer, John Caplan; and Payoneer's Chief Financial Officer, Bea Ordonez. Before we begin, I’d like to remind you that today’s call may contain forward-looking statements which are subject to risks and uncertainties. For more information, please refer to our filings with the SEC, which are available in the Investor Relations section of payoneer.com. Actual results may differ materially from any forward-looking statements we make today.

These forward-looking statements speak only as of today and the company does not assume any obligation or intent to update them, except as required by law. In addition, today’s call may include non-GAAP measures. These measures should be considered in addition to and not instead of GAAP financial measures.

Reconciliation to the nearest GAAP measure can be found in today’s earnings press release, which is available on our website. Additionally, please note we have posted an earnings presentation supplement alongside our earnings press release on investor.payoneer.com. All comparisons made on today's call are on a year-over-year basis unless otherwise noted.

With that, I’d like to turn the call over to John to begin.

John Caplan

Good morning. Thank you for joining us today. In 2023, we delivered 32% revenue growth and 25% adjusted EBITDA margins. Our strong performance is the direct result of our focus on our ideal customers, interests we earn on the funds, our customers hold in their Payoneer accounts, and our disciplined approach to unlocking increased efficiency.

As we exit 2023, the key performance indicators of our business are all pointing in the right direction. We have approximately 2 million active customers and 516,000 who meet our ideal customer profile for ICPs. We grew our ICPs by 6% in 2023. We increased ARPU for our 2 million active customers by 36% and by 9% when you exclude interest income.