Marqeta, Inc. (NASDAQ:MQ) Q2 2024 Earnings Conference Call August 7, 2024 4:30 PM ET

Company Participants

Stacey Finerman - VP, Investor Relations
Simon Khalaf - CEO
Mike Milotich - CFO

Conference Call Participants

Timothy Chiodo - UBS
Tien-Tsin Huang - JPMorgan
Darrin Peller - Wolfe Research
Craig Maurer - FT Partners
Ramsey El-Assal - Barclays
Will Nance - Goldman Sachs
Andrew Schmidt - Citi
Andrew Bauch - Wells Fargo
Bryan Keane - Deutsche Bank

Operator

Welcome to the Marqeta Second Quarter 2024 Earnings Conference Call. [Operator Instructions].

I would now like to turn the conference over to Stacey Finerman, Vice President of Investor Relations. Thank you. You may begin.

Stacey Finerman

Thanks. Operator, before we begin, I would like to remind everyone that today's call may contain forward looking statements. These forward looking statements are subject to numerous risks and uncertainties, including those set forth in our filings with the SEC, which are available on our Investor Relations website, including our annual report on Form-10k for the period ended December 31 2023 and our subsequent periodic filings with the SEC actual results may differ materially from any forward looking statements we make today. These forward looking statements speak only as of the time of this call, and the company does not assume any obligation or intent to update them, except as required by law. In addition, today's call includes non-GAAP financial measures. These measures should be considered as a supplement to and not a substitute for GAAP financial measures. Reconciliations to the most directly comparable GAAP measures can be found in today's earnings press release or earnings release supplemental materials which are available on our Investor Relations website. Hosting today's call are Simon Khalaf, Marqeta, CEO, and Mike Milotich, Marqeta's CFO.

With that, I'd now like to turn over the call to Simon to begin.

Simon Khalaf

Thank you Stacy and thank you for joining us for Marqeta's second quarter 2024 earnings call. Our second quarter results came in ahead of expectations, and once again, we demonstrated significant discipline in operating expenses without compromising our growth trajectory, scale, service or innovation. I'll now briefly discuss our quarterly results before diving into company updates. The second quarter's net revenue, gross profit and adjusted EBITDA exceeded our expectations, total processing volume, or TPV, was 71 billion in the second quarter, a 32% increase compared to the same quarter of 2023. Our net revenue of $125 million in the quarter contracted 46% year over year, which included a decrease of 60 percentage points from the revenue presentation change related to our Cash App contract renewal.