Flywire Expands In Travel Payments With Sertifi Deal While Education Headwinds Prompt Strategic Shif…

JP Morgan analyst Tien-tsin Huang maintained a Neutral rating on Flywire Corp FLYW with a price target of $16, down from $21.

Adjusted revenue of $113 million compared with JP Morgan and Street estimates of $119 million and guidance of $118 million-$124 million, representing 17% FXN growth (versus JP Morgan and Street estimates of 23%), primarily due to headwinds in the Education business, driven by changes to student visa policies in Canada (~$3 million), and adverse FX changes (~$3 million).

Adjusted EBITDA of $17 million came in line with JP Morgan and Street estimates of $16 million and $17 million and guidance of $15 million-$19 million despite the revenue miss. This was supported by efficiencies that drove down operating expenditures and helped adj gross margin of 67% versus JP Morgan and Street estimates of 65% and 64%, beyond favorable FX dynamics that also supported adjusted gross margin.

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