Business Recorder
KARACHI: Payoneer, the Nasdaq-listed global financial technology company facilitating cross-border payments and digital commerce, reported strong financial results for the first quarter of 2026, posting growth in revenues, transaction volumes and profitability, as demand for international payment solutions among small businesses, enterprises and digital entrepreneurs continued to expand worldwide. The company reported revenue of USD262 million for the quarter ended March 31, 2026, reflecting a 6 percent year-on-year increase, supported by growth across its small and medium-sized business (SMB) and enterprise segments. Excluding interest income, revenue grew at a faster pace of 11 percent year-on-year, as lower global interest rates weighed on interest-related earnings. Payoneer also processed nearly USD23 billion in total transaction volume during the quarter, up 16percent compared to the same period last year, highlighting increasing reliance on its global payment infrastructure amid the continued expansion of digital trade and cross-border commerce. The company’s business-to-business (B2B) segment remained one of the strongest contributors to growth, with transaction volume surging 44 percent year-on-year to USD3.9 billion during the quarter. Volume generated by SMBs selling through online marketplaces reached USD11.6 billion, while checkout-related payment volume rose sharply by 53percent to $264 million. Enterprise payout services also maintained strong momentum, with payment volumes approaching USD7 billion in the first quarter, up 28 percent from a year earlier, reflecting rising demand from businesses seeking efficient international payment and payroll solutions. Financially, the company reported operating income of USD30 million and net income of USD20 million during the quarter, underscoring continued profitability and operational discipline despite a challenging global interest rate environment. Customer confidence in the platform remained strong, with customer funds held by Payoneer rising 15 percent year-on-year to approximately USD7.6 billion as of March 31, 2026. Regionally, Payoneer recorded broad-based growth across key markets. Revenue from Europe, the Middle East and Africa increased 10 percent year-on-year to USD65 million, while Asia-Pacific revenue rose 14 percent to $58 million. North American revenue also expanded by 10 percent to USD26 million during the quarter. Reflecting confidence in the company’s business momentum and future outlook, Payoneer revised upward its financial guidance for 2026 earlier this month, signalling expectations of continued expansion in global transaction activity and customer adoption. Commenting on the results, Chief Executive Officer of Payoneer, John Caplan, said the company delivered acceleration across key performance indicators during the first quarter. “In Q1 we delivered acceleration across major KPIs: revenue growth excluding interest accelerated to 11 percent, B2B volume growth more than doubled to 44 percent, and we delivered another quarter of significant core profitability expansion,” he said. Caplan added that the company’s long-term investments in payments infrastructure, network capabilities and innovation continued to strengthen its competitive position in the global B2B payments market. He said Payoneer was benefiting from increasing digitization of global commerce and was focused on building a structurally stronger and more valuable business through scale and deeper customer relationships. The company’s latest performance is particularly relevant for Pakistan’s expanding digital economy, where freelancers, exporters, software firms and digitally enabled SMEs increasingly rely on international payment platforms to access global markets. Pakistan remains among the world’s leading freelance economies, with growing dependence on seamless multi-currency payment systems and cross-border financial services. Industry analysts noted that rising transaction volumes and broader adoption of platforms such as Payoneer reflect growing integration of emerging markets, including Pakistan, into the global digital economy, particularly in sectors such as freelancing, IT exports, e-commerce and professional services. Copyright Business Recorder, 2026
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