Marketa Q2 loss narrows, Q3 revenue growth slows 53% in Q2 (NASDAQ:MQ)

JONGHO SHIN

Marqueta (NASDAQ: MQ) shares fell 2.4% Wednesday after hours as it expects its third-quarter net revenue growth to slow and its EBITDA margin to decline. Still, the second-quarter results improved Wall Street estimates as total processing volume climbed 53% during the quarter.

For the third quarter, the credit card issuing platform forecasts net revenue growth of 36% to 38% YoY (compared to +53% YoY in the second quarter of 2022), a gross profit margin of 43% to 44% (vs. 42% in Q2), and an adjusted EBITDA margin of -8% to -9% (vs. -5% in Q2).

Total second-quarter processing volume of $40.5 billion increased from $36.6 billion in the first quarter and $26.5 billion a year ago; that compares to Visible Alpha’s estimate of $39.8 billion.

Second-quarter revenue of $187 million, beating consensus of $180.1 million, was up $166 million in the first quarter and $122.3 million in the year-ago quarter.

GAAP EPS of -$0.8 was above consensus of -$0.11 and improved from -$0.11 in the prior quarter and -$0.29 in the prior year quarter.

Second-quarter marketing and advertising expenses of $886 million increased from $559 million in the first quarter of 2022 and $495 million in the second quarter of 2021.

Q2 Adjusted EBITDA of -$10.2M vs. -$19.1M Visible Alpha estimate and -$10.5M in Q1 and $10.6M in Q2 2021.

Conference call at 4:30 p.m. ET.

Previously, Marqeta (MQ) GAAP EPS -$0.08 beats $0.03, Revenue of $186.67M beats $6.53M