Revenue of
Year to Date Organic Revenue growth of 24% (1)
Loss of
Adjusted EBITDA of
Reaffirms full year 2026 revenue and Adjusted EBITDA guidance
“We had a strong second quarter, with continued execution across the business. Revenue grew 28% to
(1) Organic Revenue, Adjusted EBITDA, Free Cash Flow, Adjusted OPEX and Adjusted Net Income are non-IFRS financial measures. Please refer to the footnote 3 in the table below and the additional tables at the end of this press release for a reconciliation of Organic Revenue, Adjusted EBITDA, Free Cash Flow, Adjusted OPEX and Adjusted Net Income to the most directly comparable IFRS measure for each. The Company does not provide a reconciliation of forward-looking Adjusted EBITDA and Adjusted Net Income to IFRS net income (loss) due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation, in particular, because special items such as finance expenses and issuance and acquisition costs used to calculate projected net income (loss) can vary dramatically based on actual events. Therefore, the Company is not able to forecast on an IFRS basis with reasonable certainty all deductions needed in order to provide an IFRS calculation of projected net income (loss) at this time. The amount of these deductions may be material and therefore could result in projected IFRS net income (loss) being materially different than projected Adjusted EBITDA and Adjusted Net Income (non-IFRS).
Second Quarter 2026 Financial Highlights
(All comparisons are relative to the second quarter and three-month period ended
| Revenue Summary | Q2 2026 ($M) | Q2 2025 ($M) | Growth (%) |
| Payment processing fees | 53.9 | 43.1 | 25.1% |
| SaaS revenue | 33.8 | 27.6 | 22.5% |
| Total recurring revenue(1) | 87.7 | 70.7 | 24.0% |
| POS devices revenue(2) | 34.9 | 24.9 | 40.2% |
| Total revenue(3) | 122.6 | 95.6 | 28.2% |
Margin Summary | Q2 2026 | Q2 2025 | Variance |
| Payment processing margin | 40.5% | 39.1% | +1.4% |
| SaaS margin | 76.4% | 74.2% | +2.2% |
| Total recurring margin | 54.3% | 52.8% | +1.5% |
| POS devices margin | 28.1% | 35.4% | -7.3% |
| Total margin | 46.9% | 48.3% | -1.4% |
(1) Recurring revenue comprised of SaaS subscription revenue and payment processing fees.
(2) POS devices’ revenue includes revenues derived from the sale of our hardware products and other revenue.
(3) Organic Revenue is a non-IFRS financial measure that we define as total revenue adjusted to exclude the revenue attributable to acquired businesses for a period of 12 months following their acquisition. Total revenue for Q2 2026 includes
- Revenue increased 28.2% to
$122.6 million from$95.6 million , driven by both new and existing customer expansion. - Organic Revenue (3) growth year to date was 24% and for the quarter 21.4%.
- Recurring revenue from SaaS and payment processing fees grew 24.0%, to
$87.7 million and represented 72% of total revenue. - POS devices revenue increased by 40.2% to
$34.9 million with strong demand for our products across all market segments. - Gross margin was 46.9%:
- Recurring margin improved to 54.3% from 52.8%, driven mainly by processing margin improvement to nearly 40.5% from 39.1% reflecting the ongoing benefits of renegotiated contracts with several bank acquirers and the Company’s improved smart-routing capabilities. SaaS margin improved as well to 76.4% from 74.2%. Both processing and SaaS margins reflect the Company’s growing scale
- Hardware margin was 28.1% compared to 35.4%. The primary factor for hardware margin this quarter was product mix, approximately 65% of our hardware revenue growth came from Lynkwell which has lower HW margin than our VPOS product family. In addition, higher freight and logistics costs created modest pressure on hardware margins during the quarter.
- Operating loss was
$6.7 million compared to operating income of$9.5 million in last year’s second quarter. This year’s second quarter included stock-based compensation expenses of$12.4 million compared to$2.5 million in the prior-year period. - Financial expenses, net, for the quarter, increased by
$4.3 million dollars as a result of Foreign exchange and interest expenses related to the two bonds offerings completed in 2025 on TASE, which raised a total of nearly1 billion shekels . - The Company reported a loss of
$10.1 million for the quarter, compared to net income of$11.7 million in the prior-year period. The primary driver in Q2 2026 was a significant increase in non-cash stock-based compensation expenses this quarter of$12.4 million dollars , as mentioned above. The prior year net income included a one-time gain of$5.6 million related to the share purchase of the remaining 51% ofNayax Capital (which was previously held as a joint venture). - Basic loss per share for the quarter ending
June 30, 2026 was$(0.269) per share. Basic and diluted earnings per share for the second quarter endingJune 30, 2025 , were$0.316 and$0.308 , respectively. - Adjusted net income was
$6.0 million compared to$11.0 million in the prior-year period, driven primarily by higher financial expenses. - Basic and diluted adjusted earnings per share for the quarter ending
June 30, 2026 were$0.161 and$0.144 , respectively, compared to$0.298 and$0.291 for the quarter endingJune 30, 2025 . - Weighted average number of basic and diluted shares for the second quarter of 2026 were 37,574,900 and 41,870,272, respectively compared to 36,913,470 and 37,786,355 for the second quarter of 2025.
- Adjusted OPEX of
$44.2 million dollars was 36.0% of revenue, consistent as a percentage of revenue both sequentially and compared to the prior-year period. Adjusted OPEX had an unfavorable impact of$2.3 million dollars in the quarter compared sequentially to Q1 2026, due to foreign currency volatility. - Adjusted EBITDA increased to
$14.1 million dollars , representing 12% of revenue compared to$12.6 million , representing a margin of 13% of total revenue, in last year’s second quarter. - Cash flow provided from operating activities for the first half of 2026 was
$2.3 million . - Free Cash Flow for the second quarter was negative
$13.1 million primarily reflecting several investments in long-term growth initiatives such as: Lynkwell’s more capital-intensive business, increased banking infrastructure investments, securing sourcing of key components and costs, and the timing of cash settlements from our processing activities. - As of
June 30, 2026 , the Company had$304 million in cash and cash equivalents and short-term deposits. Short-term and long-term debt balances was$349 million .
Second Quarter 2026 Operational Metric Highlights
| Key Performance Indicators | Q2 2026 | Q2 2025 | Growth (%) |
| Total?transaction?value ($m) | 2,056 | 1,593 | 29.1% |
| Number of processed transactions (millions) | 815 | 726 | 12.3% |
| Take rate?(payments)(4) | 2.62% | 2.70 % | -0.08% |
| Managed and connected devices (thousands) | 1,553 | 1,377 | 12.7% |
| Customers | 125,400 | 104,700 | 19.8% |
| ARPU ($)(5) | 251 | 223 | 12.6% |
(4) Payment service providers typically take a percentage of every transaction in exchange for facilitating the movement of funds from the buyer to the seller. Take rate % (payments) is calculated by dividing the Company’s processing revenue by the total dollar transaction value in the same quarter.
(5) Average revenue per unit (ARPU) is calculated using recurring revenue divided by the number of connected devices over a 12-month trailing period.
- Total transaction value grew by 29.1% to
$2.1 billion . - Number of processed transactions increased 12.3% to 815 million.
- Take rate was strong at 2.62%.
- Growth in the customer base continued at a healthy pace, adding more than 5,300 new customers in the second quarter of 2026, an increase of 19.8% reaching 125,400.
- ARPU increased to
$251 , representing a 12.6% increase driven by the continued conversion of existing machines from cash payments to cashless payments, and our expansion into verticals with higher transaction values, such as EV charging, amusement facilities, and car washes.
Stock Based Compensation Plan
In Q2 2026, the company initiated a senior leadership stock-based incentive plan, called the “Diamond Plan.” The total consideration for this plan is approximately
Recent Business Highlights
- Filed an application to establish
Nayax America Bank Inc. underConnecticut's InnovationBank Charter framework, a non-depository bank that once chartered would enableNayax to offer corporate cards, controlled-spend programs, and working-capital solutions directly through its platform, extendingNayax's owned payment and card-issuing infrastructure (already held across the EU,UK , and Israel) intoNorth America , its largest market. In parallel,Nayax launched Yellow Account, a new embedded banking product forU.S . customers that lets them receive settlement funds, hold balances, and use linked business debit cards ("Yellow Cards") directly within theNayax platform. Approval of the charter application is subject to regulatory review and is not guaranteed. - Expanded into
Panama , making Nayax’s cashless payment acceptance services available to local merchants through Grupo Sky. The launch extends Nayax’s Latin American footprint and supports card-present payments across unattended and self-service use cases, including vending, laundromats, EV charging, parking, and kiosks. - Expanded into
North Macedonia , making Nayax’s full suite of cashless payment services available to merchants across the country. The launch strengthens Nayax’s presence in the Balkan region, building on existing operations in markets such asCroatia , and supports the continued adoption of cashless payments across unattended and self-service environments. - Added a new AI layer to
Nayax's MoMa mobile app for vending and self-service operators, designed to help operators make better, more informed decisions and act faster from wherever they are. The new capabilities include an AI assistant that answers questions from an operator's own business data, data-driven planogram suggestions, and visual-recognition planogram setup. - Launched AI-powered Product Discovery for Retailers, natively integrated into the
Nayax platform. The solution enables merchants to grow revenue and deepen customer engagement through real-time data and intelligent recommendations, capturing shopper intent at the moment of discovery and converting it into revenue across online and in-store channels. - Launched the VPOS Media 4 Series in
Japan , comprising the VPOS Media 4 and VPOS Media 4 Mini, Android-based payment terminals purpose-built for Japan’s unattended commerce market across amusement, laundry, parking, and EV charging. - Appointed
EFT Solutions Limited as authorized distributor and support partner inHong Kong , expanding Nayax’s presence inAsia-Pacific through EFT Solutions’ established local sales channels and on-the-ground support. The partnership broadens access to Nayax’s cashless payment solutions across Hong Kong’s vending, self-service, amusement, EV charging, and automated retail sectors. - Completed the integration of VMtecnologia in
Brazil , unifying all Brazilian operations under the Nayax brand and strengthening the Company’s position inLatin America . In connection with the rebrand,Nayax launched VPOS Media in Brazil’s fast-growing EV charging market, enabling direct card and digital-wallet payments at charging stations without requiring a third-party app.
Subsequent Events
Amendment to deferred consideration and contingent Liability - Nayax Brazil Acquisition - On
2026 Financial Outlook
Adjusted EBITDA guidance for the year remains between
The Company is revising its guidance for free cash flow. We now expect free cash flow conversion from Adjusted EBITDA of approximately 5% to 10% for the year (in our earnings release for the first quarter ended
Mid-term Outlook
With respect to Nayax’s mid-term 2028 outlook, which was introduced shortly after its IPO in 2021, the Company continues to make measurable progress. The framework includes revenue of
It is noted that the financial outlook provided by
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About
| Public Relations Contact: Scott Gamm Strategy Voice Associates Scott@strategyvoiceassociates.com | Investor Relations Contact: Aaron Greenberg Chief Strategy Officer IR@nayax.com |
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. Many of the forward-looking statements contained in this press release can be identified by the use of forward-looking words such as “anticipate,” “believe,” “could,” “expect,” “should,” “plan,” “intend,” “estimate” and “potential,” among others. Forward-looking statements include, but are not limited to, statements regarding our intent, belief or current expectations, such as statements in this press release regarding our financial outlook, future business prospects and the impact of recent acquisitions or partnerships published by the Company. Forward-looking statements are based on our management’s beliefs and assumptions and on information currently available to our management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to: our expectations regarding general market conditions, including as a result of global economic trends; changes in consumer tastes and preferences; fluctuations in inflation, interest rate and exchange rates in the global economic environment; the availability of qualified personnel and the ability to retain such personnel; changes in commodity costs, labor, distribution and other operating costs; our ability to implement our growth strategy; changes in government regulation and tax matters; other factors that may affect our financial condition, liquidity and results of operations; general economic, political, demographic and business conditions in
Use of Non-IFRS Financial Information
In addition to various operational metrics and financial measures in accordance with accounting principles generally accepted under International Financial Reporting Standards, or IFRS, this press release contains financial metrics presented on a constant currency basis as well as Adjusted EBITDA and Free Cash Flow, each of which are non-IFRS financial measures, as a measure to evaluate our past results and future prospects.
Constant Currency
The Company cannot provide expected net income without unreasonable effort because certain items that impact net income are out of the Company's control and/or cannot be reasonably predicted at this time, of which unavailable information could have a significant impact on the Company’s IFRS financial results.
Organic Revenue
Organic Revenue is a non-IFRS financial measure that we define as total revenue adjusted to exclude the revenue attributable to acquired businesses for a period of 12 months following their acquisition. This measure helps provide insight on organic and acquisition-related growth and presents useful information about comparable revenue growth.
Adjusted EBITDA
Adjusted EBITDA is a non-IFRS financial measure that we define as loss for the period excluding finance expenses, tax expense (benefit), depreciation and amortization, share-based compensation costs, non-recurring issuance and acquisition costs and our share in losses of associates accounted for by the equity method.
We present Adjusted EBITDA in this press release because it is a measure that our management and board of directors utilize as a measure to evaluate our operating performance and for internal planning and forecasting purposes. Accordingly, we believe that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and board of directors.
We believe that Adjusted EBITDA, when taken collectively with financial measures prepared in accordance with IFRS, may be helpful to investors because it provides an additional tool for investors to use in evaluating our ongoing operating results and trends and in comparing our financial results with other companies because it provides consistency and comparability with past financial performance. However, our management does not consider this non-IFRS measure in isolation or as an alternative to financial measures determined in accordance with IFRS.
Adjusted EBITDA is presented for supplemental informational purposes only, has limitations as an analytical tool and should not be considered in isolation or as a substitute for financial information presented in accordance with IFRS. Adjusted EBITDA may be different from similarly titled measures used by other companies. The principal limitation of Adjusted EBITDA is that it excludes significant expenses that are required by IFRS to be recorded in our financial statements, as further detailed above. In addition, it is subject to inherent limitations as it reflects the exercise of judgment by management about which expenses are excluded or included in determining Adjusted EBITDA.
A reconciliation is provided at the end of this press release for Adjusted EBITDA to net profit or loss, the most directly comparable financial measure prepared in accordance with IFRS. Investors are encouraged to review net loss and the reconciliation to Adjusted EBITDA included below and to not rely on any single financial measure to evaluate our business.
Free Cash Flow
Free Cash Flow is a non-IFRS financial measure that we define as net cash provided from operating activities minus capitalized development costs and acquisition of property and equipment. A reconciliation is provided at the end of this press release for Free Cash Flow to Net cash provided from operating activities, the most directly comparable financial measure prepared in accordance with IFRS.
Adjusted OPEX
Adjusted OPEX is a non-IFRS financial measure that we define as total OPEX excluding stock based compensation, depreciation and amortization.
Adjusted Net Income
Adjusted Net Income is a non-IFRS financial measure that we define as the net income or loss for the period, plus share-based compensation costs, one time and non-recurring items cost such as restructuring and M&A costs, amortization of acquired intangibles and gains or losses on equity investments.
Other Financial Metrics - Dollar-based net retention rate
Measured as a percentage of Recurring Revenue from returning customers in a given period as compared to the Recurring Revenue from such customers in the prior period, which reflects the increase in revenue and the rate of losses from customer churn.
CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS As of (Unaudited) |
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||
| 2026 | 2025 | ||
| ASSETS | |||
| CURRENT ASSETS: | |||
| Cash and cash equivalents | 302,827 | 319,538 | |
| Restricted cash transferable to customers for processing activity | 129,913 | 91,965 | |
| Short-term bank deposits | 1,240 | 1,171 | |
| Receivables in respect of processing activity | 58,245 | 47,865 | |
| Trade receivable, net | 113,295 | 103,975 | |
| Inventory | 30,088 | 28,594 | |
| Other current assets | 47,076 | 27,056 | |
| Total current assets | 682,684 | 620,164 | |
| NON-CURRENT ASSETS: | |||
| Long-term bank deposits | 215 | 211 | |
| Other long-term assets | 8,805 | 8,596 | |
| Right-of-use assets, net | 8,295 | 8,911 | |
| Property and equipment, net | 23,173 | 20,362 | |
| 201,052 | 190,493 | ||
| Deferred income tax assets | 4,860 | 3,901 | |
| Total non-current assets | 246,400 | 232,474 | |
| TOTAL ASSETS | 929,084 | 852,638 | |
| The accompanying notes are an integral part of these financial statements. | |||
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||
| 2026 | 2025 | ||
| LIABILITIES AND EQUITY | |||
| CURRENT LIABILITIES: | |||
| Current maturities of long-term bank loans | 3,220 | 3,220 | |
| Current maturities of other long-term liabilities | 5,567 | 5,538 | |
| Current maturities of leases liabilities | 3,455 | 3,474 | |
| Payables in respect of processing activity | 232,717 | 180,795 | |
| Trade payables | 27,458 | 29,370 | |
| Other payables | 49,349 | 52,021 | |
| Total current liabilities | 321,766 | 274,418 | |
| NON-CURRENT LIABILITIES: | |||
| Long-term bank loans | 8,855 | 10,465 | |
| Other long-term liabilities | 3,626 | 9,329 | |
| Debentures | 337,053 | 314,064 | |
| Lease liabilities | 5,840 | 6,402 | |
| Deferred income taxes | 6,563 | 6,945 | |
| Total non-current liabilities | 361,937 | 347,205 | |
| TOTAL LIABILITIES | 683,703 | 621,623 | |
| EQUITY: | |||
| Shareholders Equity: | |||
| Share capital | 9 | 9 | |
| Additional paid in capital | 245,823 | 242,759 | |
| Capital reserves | 11,501 | 7,882 | |
| Accumulated deficit | (11,952) | (19,635) | |
| TOTAL EQUITY | 245,381 | 231,015 | |
| TOTAL LIABILITIES AND EQUITY | 929,084 | 852,638 | |
| The accompanying notes are an integral part of these financial statements. | |||
CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS (UNAUDITED) | |||||||||
| Six months ended | Three months ended | ||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||
| Note | (Excluding Profit per share data) | ||||||||
| Revenues | 4 | 229,446 | 176,699 | 122,590 | 95,589 | ||||
| Cost of revenues | 5 | (119,725) | (90,628) | (65,143) | (49,417) | ||||
| Gross Profit | 109,721 | 86,071 | 57,447 | 46,172 | |||||
| Research and development expenses | (18,610) | (14,884) | (10,614) | (7,732) | |||||
| Selling, general and administrative expenses | (85,256) | (58,759) | (48,936) | (31,218) | |||||
| Depreciation and amortization in respect of technology and capitalized development costs | (7,879) | (6,502) | (4,054) | (3,326) | |||||
| Other income (expenses) | (493) | 11,710 | (493) | 5,621 | |||||
| Share of losses of equity method investees | - | (226) | - | - | |||||
| Operating Income (loss) | (2,517) | 17,410 | (6,650) | 9,517 | |||||
| Financial Income | 7,395 | 7,935 | 4,440 | 6,099 | |||||
| Financial Expense | (12,600) | (5,958) | (6,239) | (3,631) | |||||
| Profit (loss) before taxes on income | (7,722) | 19,387 | (8,449) | 11,985 | |||||
| Tax expenses | (1,115) | (579) | (1,668) | (333) | |||||
| Profit (loss) for the period | (8,837) | 18,808 | (10,117) | 11,652 | |||||
| Earnings (Loss) per share attributed to shareholders of the Company: | |||||||||
| Basic earnings (loss) per share | (0.236) | 0.511 | (0.269) | 0.316 | |||||
| Diluted earnings (loss) per share | (0.236) | 0.498 | (0.269) | 0.308 | |||||
| The accompanying notes are an integral part of these financial statements. | |||||||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) | |||||||
| Six months ended | Three months ended | ||||||
| 2026 | 2025 | 2026 | 2025 | ||||
| Profit (loss) for the period | (8,837) | 18,808 | (10,117) | 11,652 | |||
| Other comprehensive income (loss) for the period: | |||||||
| Items that may be reclassified to profit or loss: | |||||||
| Gain (loss) from translation of financial statements of foreign operations | (404) | 529 | (1,506) | (157) | |||
| Gain on cash flow hedges | 4,023 | 2,033 | 5,561 | 3,104 | |||
| Total other comprehensive income (loss) for the period | 3,619 | 2,562 | 4,055 | 2,947 | |||
| Total comprehensive income for the period | (5,218) | 21,370 | (6,062) | 14,599 | |||
| The accompanying notes are an integral part of these financial statements. | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) | |||||||||||||
| Share capital | Additional paid in capital | Remeasurement of post-employment benefit obligations | Other capital reserves | Foreign currency translation reserve | Accumulated deficit | Total equity | |||||||
| Balance as of | 9 | 220,715 | 463 | 9,973 | (2,604) | (63,311) | 165,245 | ||||||
| Changes in the six months ended | |||||||||||||
| Profit for the period | - | - | - | - | - | 18,808 | 18,808 | ||||||
| Issuance of warrants, net | - | 5,706 | - | - | - | - | 5,706 | ||||||
| Issuance of options due acquisition | - | 1,222 | - | - | - | - | 1,222 | ||||||
| Other comprehensive income for the period | - | - | - | 2,033 | 529 | - | 2,562 | ||||||
| Employee options exercised and vesting of RSUs | * | 3,090 | - | - | - | - | 3,090 | ||||||
| Share-based payment | - | - | - | - | - | 4,854 | 4,854 | ||||||
| Balance as of | 9 | 230,733 | 463 | 12,006 | (2,075) | (39,649) | 201,487 | ||||||
| Balance as of | 9 | 242,759 | 516 | 10,391 | (3,025) | (19,635) | 231,015 | ||||||
| Changes in the six months ended | |||||||||||||
| Loss for the period | - | - | - | - | - | (8,837) | (8,837) | ||||||
| Other comprehensive income (loss) for the period | - | - | - | 4,023 | (404) | - | 3,619 | ||||||
| Employee options exercised and vesting of RSUs | * | 3,064 | - | - | - | - | 3,064 | ||||||
| Share-based payment | - | - | - | - | - | 16,520 | 16,520 | ||||||
| Balance as of | 9 | 245,823 | 516 | 14,414 | (3,429) | (11,952) | 245,381 | ||||||
| (*) Presents an amount less than | |||||||||||||
| The accompanying notes are an integral part of these financial statements. | |||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) | |||||||||||||
| Share capital | Additional paid in capital | Remeasurement of post-employment benefit obligations | Other capital reserves | Foreign currency translation reserve | Accumulated deficit | Total equity | |||||||
| Balance as of | 9 | 227,571 | 463 | 8,902 | (1,918) | (54,224) | 180,803 | ||||||
| Changes in the three months ended | |||||||||||||
| Profit for the period | - | - | - | - | - | 11,652 | 11,652 | ||||||
| Issuance of options due acquisition | - | 1,222 | - | - | - | - | 1,222 | ||||||
| Other comprehensive income for the period | - | - | - | 3,104 | (157) | - | 2,947 | ||||||
| Employee options exercised and vesting of RSUs | * | 1,940 | - | - | - | - | 1,940 | ||||||
| Share-based payment | - | - | - | - | - | 2,923 | 2,923 | ||||||
| Balance as of | 9 | 230,733 | 463 | 12,006 | (2,075) | (39,649) | 201,487 | ||||||
| Balance as of | 9 | 243,877 | 516 | 8,853 | (1,923) | (15,956) | 235,376 | ||||||
| Changes in the three months ended | |||||||||||||
| Loss for the period | - | - | - | - | - | (10,117) | (10,117) | ||||||
| Other comprehensive income (loss) for the period | - | - | - | 5,561 | (1,506) | - | 4,055 | ||||||
| Employee options exercised and vesting of RSUs | * | 1,946 | - | - | - | - | 1,946 | ||||||
| Share-based payment | - | - | - | - | - | 14,121 | 14,121 | ||||||
| Balance as of | 9 | 245,823 | 516 | 14,414 | (3,429) | (11,952) | 245,381 | ||||||
| (*) Presents an amount less than | |||||||||||||
| The accompanying notes are an integral part of these financial statements. | |||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | |||||||
| Six months ended | Three months ended | ||||||
| 2026 | 2025 | 2026 | 2025 | ||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | |||||||
| Net profit (loss) for the period | (8,837) | 18,808 | (10,117) | 11,652 | |||
| Adjustments required to reflect the cash flow from operating activities (see Appendix A) | 11,156 | (4,573) | 8,858 | 1,294 | |||
| Net cash provided by (used in) operating activities | 2,319 | 14,235 | (1,259) | 12,946 | |||
| CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||
| Capitalized development costs | (17,164) | (12,488) | (9,370) | (6,262) | |||
| Acquisition of property and equipment | (4,291) | (1,906) | (2,487) | (1,110) | |||
| Loans granted to related companies and others | 808 | (2,062) | 579 | (1,962) | |||
| Decrease (Increase) in bank deposits | - | 9,006 | - | (549) | |||
| Interest received | 5,649 | 2,873 | 2,833 | 1,576 | |||
| Investments in financial assets and other asset | (270) | (5,000) | - | (5,000) | |||
| Proceeds from sub-lessee | - | 22 | - | - | |||
| Payments for acquisitions of subsidiaries, net of cash acquired | - | (15,541) | - | (7,341) | |||
| Payment of deferred consideration and contingent consideration of subsidiary acquisition | (5,526) | (5,519) | (2,758) | (1,983) | |||
| Net cash used in investing activities | (20,794) | (30,615) | (11,203) | (22,631) | |||
| CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||
| Proceeds from issue of debentures and warrants, net | - | 132,941 | - | - | |||
| Interest paid | (10,170) | (1,598) | (395) | (400) | |||
| Changes in short-term bank credit and short term loan | - | (26,000) | - | (774) | |||
| Repayment of long-term bank loans | (1,610) | (7,079) | (805) | (805) | |||
| Repayment of other long-term liabilities | - | (1,000) | - | - | |||
| Employee options exercised | 3,156 | 2,680 | 1,812 | 1,484 | |||
| Principal lease payments | (1,924) | (1,433) | (1,000) | (729) | |||
| Net cash provided by (used in) financing activities | (10,548) | 98,511 | (388) | (1,224) | |||
| Increase (Decrease) in cash and cash equivalents | (29,023) | 82,131 | (12,850) | (10,909) | |||
| Balance of cash and cash equivalents at beginning of period | 319,538 | 83,130 | 304,745 | 176,763 | |||
| Gains (losses) from exchange differences on cash and cash equivalents | 11,437 | 6,889 | 12,026 | 6,605 | |||
| Gains (losses) from translation of cash and cash equivalents of foreign operation | 875 | 117 | (1,094) | (192) | |||
| Balance of cash and cash equivalents at end of period | 302,827 | 172,267 | 302,827 | 172,267 | |||
| The accompanying notes are an integral part of these financial statements. | |||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | |||||||
| Six months ended | Three months ended | ||||||
| 2026 | 2025 | 2026 | 2025 | ||||
| Appendix A – adjustments to reconcile net loss to net cash provided by operations: | |||||||
| Adjustments in respect of: | |||||||
| Depreciation and amortization | 14,749 | 11,735 | 7,572 | 6,014 | |||
| Post-employment benefit obligations, net | 28 | 35 | 19 | 24 | |||
| Deferred taxes | (1,523) | (1,072) | (299) | (381) | |||
| Finance expenses, net | 4,378 | 3,681 | 107 | 5,143 | |||
| Income from gaining control in subsidiary | - | (12,152) | - | (6,063) | |||
| Share of loss of equity method investee | - | 226 | - | - | |||
| Long-term deferred income | (963) | 105 | (217) | 144 | |||
| Expenses in respect of share-based compensation | 14,647 | 4,295 | 12,395 | 2,512 | |||
| Total adjustments | 31,316 | 6,853 | 19,577 | 7,393 | |||
| Changes in operating asset and liability items: | |||||||
| Increase in restricted cash transferable to customers for processing activity | (37,948) | (20,435) | (31,777) | (8,766) | |||
| Decrease (Increase) in receivables from processing activity | (10,380) | (35,347) | 14,875 | (15,895) | |||
| Increase in trade receivables | (9,355) | (4,295) | (12,687) | (5,693) | |||
| Increase in other current assets | (8,559) | (2,448) | (6,208) | (2,704) | |||
| Increase in inventory | (1,241) | (2,498) | (1,311) | (1,714) | |||
| Increase in payables in respect of processing activity | 51,922 | 57,212 | 15,967 | 25,689 | |||
| Increase (Decrease) in trade payables | (2,109) | (7,690) | 5,216 | (1,309) | |||
| Increase (Decrease) in other payables | (2,490) | 4,075 | 5,206 | 4,293 | |||
| Total changes in operating asset and liability items | (20,160) | (11,426) | (10,719) | (6,099) | |||
| Total adjustments required to reflect the cash flow from operating activities | 11,156 | (4,573) | 8,858 | 1,294 | |||
| Appendix B – Information regarding investing and financing activities not involving cash flows: | |||||||
| Purchase of property and equipment on credit | 197 | 154 | - | 39 | |||
| Recognition of right-of-use assets through lease liabilities | 1,221 | - | 1,093 | - | |||
| Share based payments costs attributed to development activities, capitalized as intangible assets | 1,873 | 559 | 1,726 | 411 | |||
| The accompanying notes are an integral part of these financial statements. | |||||||
IFRS to Non-IFRS Reconciliation
The following is a reconciliation of Net Income/(Loss) for the period, the most directly comparable IFRS financial measure, to Adjusted EBITDA for each of the periods indicated.
| Quarter ended ( | |||
| Net income/(loss) for the period | (10,117) | 11,652 | |
| Finance expense, net | 1,799 | (2,468) | |
| Income tax expense | 1,668 | 333 | |
| Depreciation and amortization | 7,572 | 6,014 | |
| EBITDA | 922 | 15,531 | |
| Share-based payment costs | 12,395 | 2,512 | |
| Employment benefit cost(1) | 319 | 188 | |
| Other (income) expenses(2) | 493 | (5,621) | |
| Adjusted EBITDA | 14,129 | 12,610 | |
(1) Primarily other compensation arrangements provided to the shareholders of VMT
(2) Other Income for Q2 2025 is primarily gain recognized from remeasurement an equity accounted investee, upon obtaining control of
The following is a reconciliation of Net Income/(Loss) for the period, the most directly comparable IFRS financial measure, to Adjusted Net Income for each of the periods indicated.
| Quarter ended ( | |||
| Net income/(loss) for the period | (10,117) | 11,652 | |
| Share-based payment costs | 12,395 | 2,512 | |
| Employment benefit cost(1) | 319 | 188 | |
| Other (income) expense(2) | 493 | (5,621) | |
| Amortization of acquired intangibles(3) | 2,949 | 2,277 | |
| Adjusted net income for the period | 6,039 | 11,008 | |
(1) Primarily other compensation arrangements provided to the shareholders of VMT
(2) Other Income for Q2 2025 is primarily gain recognized from remeasurement an equity accounted investee, upon obtaining control of
(3) Includes deferred tax income related to amortization of acquired intangibles
The following is a reconciliation of Operating Cash for the period, the most directly comparable IFRS financial measure, to Free Cash Flow for each of the periods indicated.
| Quarter ended ( | |||
| Operating Cash | (1,259) | 12,946 | |
| Capitalized development costs | (9,370) | (6,262) | |
| Acquisition of property and equipment | (2,487) | (1,110) | |
| Free Cash Flow | (13,116) | 5,574 | |
The following is a reconciliation of OPEX for the period, the most directly comparable IFRS financial measure, to Adjusted OPEX for each of the periods indicated.
| Quarter ended ( | |||
| OPEX | 63,604 | 42,276 | |
| Stock Based Compensation | (11,997) | (2,371) | |
| Depreciation & Amortization | (7,133) | (5,710) | |
| Employment Benefit Cost(1) | (319) | (188) | |
| Adjusted OPEX | 44,155 | 34,007 | |
(1) Primarily other compensation arrangements provided to the shareholders of VM
