NASDAQ$MQ

Marqeta Inc. · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

Marqeta's Q4 2023 financial results reflected a decrease in net revenue due to the Cash App contract renewal, but showed growth in total processing volume and improvements in adjusted EBITDA.

Marqeta reported a 33% year-over-year increase in total processing volume (TPV) to $62 billion for Q4 2023. Net revenue for the quarter was $119 million, a 42% decrease year-over-year, primarily due to the Cash App contract renewal. The company reported a GAAP net loss of $40 million and Adjusted EBITDA income of $3 million for the quarter.

  • Total Processing Volume (TPV) increased by 33% year-over-year to $62 billion.
  • Net revenue decreased by 42% year-over-year to $119 million, impacted by the Cash App contract renewal.
  • Gross profit decreased by 4% year-over-year to $83 million.
  • Net loss increased by 53% year-over-year to $40 million, driven by expenses related to the Power Finance acquisition.

Headline financials

Total Revenue

$119M

Previous: $204M-41.7%
EPS (adj)

-$0.08

Previous: -$0.05-60.0%
Total Processing Volume

$62B

Previous: $47B+31.9%
Adjusted EBITDA

$3.29M

No prior period
Adjusted EBITDA Margin

3.0%

No prior period
Capital Expenditures

-$2.44M

No prior period
Net Income

-$40M

Previous: -$26M-53.8%
Operating Income

-$56.3M

Previous: -$54.3M-3.7%
Gross Profit

$83M

Previous: $87M-4.6%

Revenue & EPS history

Marqeta · Revenue · Quarterly

$119M

Q4 2023-41.7%vs Q4 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

Marqeta is focused on platform enhancement with new credit card program management capabilities, renewing processing volume to longer-term deals, and delivering on operating efficiency. The company sees continued growth in Fintech and opportunities in embedded finance.

Tailwinds

  • Enhanced platform with new credit card program management capabilities.
  • Renewed the large majority of processing volume to longer term deals.
  • Delivered on operating efficiency.
  • Continued growth in Fintech.
  • Exciting opportunities in embedded finance.

Headwinds

  • Uncertainties related to global economies.
  • Risk of not attracting, retaining, diversifying, and expanding customer base.
  • Risk of consumers and customers not perceiving the benefits of Marqeta’s products.
  • Risk of changes in the regulatory landscape.
  • Risk of financial services and banking sector instability.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2023

Historical avgQ4 2023

-0.9%

Avg return

Earnings day

-1.4%

Avg return

5 days after

-0.5%

Avg return

30 days after

53%

10 / 19 earnings

Positive

+22.6%

Q3 2023

Best reaction

-41.5%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%-7.3%-10.7%
Q4 2025-7.9%-6.5%-4.1%
Q3 2025+8.7%+12.5%+4.0%
Q1 2025+9.5%+18.1%+33.7%
Q4 2024+21.1%+17.7%+19.4%
Q3 2024-41.5%-36.1%-33.8%
Q2 2024+9.4%+4.9%+0.4%
Q1 2024+1.7%-4.0%-7.1%
Q4 2023-8.3%-13.2%-16.3%
Q3 2023+22.6%+13.3%+19.1%
Q2 2023+10.6%+13.2%+28.5%
Q1 2023-5.2%-0.2%+7.6%
Q4 2022-20.9%-12.8%-26.9%
Q3 2022+5.1%+5.6%-2.6%
Q2 2022-19.7%-17.4%-24.4%
Q1 2022+12.1%+23.9%+36.4%
Q4 2021+5.0%-12.4%+10.8%
Q3 2021-10.4%-7.7%-33.1%
Q2 2021-8.6%-17.6%-10.8%
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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