Worldline Ends Q1 2023 with Over $1B in Revenue
Worldline (Euronext: WLN), a French payment services provider, closed the first three months of 2023 with a 9.2 percent yearly revenue jump to €1.07 billion. It generated €758 million from merchant services, an uptick of 12.6 percent, and another €228 million from financial services and €84 million from mobility & e-transactional services.
A Healthy Quarter for Worldline
“During the first quarter of the year, Worldline executed a solid start… driven by our commercial acquiring activities benefiting from the underlying cash-to-card trend coupled with a strong operational performance materializing in commercial dynamics and market share gains,” said Worldline’s CEO, Gilles Grapinet.
However, the total revenue decreased marginally from the previous quarter, as it generated about €1.19 billion in revenue in the fourth quarter of 2022.
The latest financials of the French payments company further confirmed an 8 percent to 10 percent organic revenue growth. It also reported an OMDA margin improvement of above 100 bps compared to 2022 pro forma, with a 46 percent to 48 percent OMDA conversion rate.
Worldline is now targeting organic revenue growth between 9 percent to 11 percent CAGR over the 2022 to 2024 period. It also aims towards an above 400 basis points improvement in OMDA margin, trending towards 30 percent of revenue by 2024. Further, it seeks to have a 50 percent OMDA conversion rate.
“Based on this strong start of the year, the Group confirms its 2023 objectives and reaffirms its 2024 ambition as well as its strategic project to establish itself as a premium global Paytech and the leading consolidator of the European payment industry,” Grapinet added.
Building a Major French Payments Firm
Meanwhile, the French payments giant will further expand its industry footprint as it enters a non-binding exclusive strategic partnership agreement with Crédit Agricole. The two companies aim to leverage their expertise to form a French payments giant; Worldline will be the payments technology provider, while Crédit Agricole will leverage its distribution networks.
Under the agreement, the two companies will start the partnership with a joint €80 million investment equally supported from 2023 to 2024.
“Continuing on the execution of its strategic roadmap, we entered into exclusive discussions with Crédit Agricole for a long-term strategic partnership combining our merchant services capabilities with the joint ambition to create a major player able to deliver premier services to all merchants operating in France,” said Grapinet.