Global Fintech Adyen (AMS: ADYEN), released its 2024 Annual Report, providing a detailed look at its business performance, overall strategic direction, and key achievements during the past financial year.
The report underscores Adyen’s continued growth and its role as a key player in the international payments ecosystem, driven by its commitment to becoming a customer-focused fintech platform.
In their note to stakeholders, Co-CEOs Pieter van der Does and Ingo Uytdehaage reflect on 2024 as a “defining chapter” in the Fintech company’s journey, highlighting steady progress towards its long-term vision.
Adyen’s financial performance in 2024 was solid, according to the firm, thus helping with reinforcing its position as in the payments industry.
The Fintech company reported a processed volume of €1,285.9 billion (approximately $1.35 trillion USD), a 33% year-over-year increase.
This growth was supported by a 27% rise excluding a single large-volume customer, showcasing broad-based momentum across its merchant base.
Net revenue reached €1,996.1 million ($2.1 billion USD), up 23% from 2023, aligning with Adyen’s guidance of low-to-high twenties percent growth through 2026.
The company’s EBITDA climbed to €992.3 million, a 34% increase, yielding a 50% margin for the year—up from 46% in 2023—demonstrating the operating leverage inherent in its single-platform model.
A standout driver of this growth was Adyen’s point-of-sale (POS) segment, with volumes soaring to €232.7 billion, a 46% year-over-year leap.
This surge reflects the success of initiatives like the launch of the SFO1 terminal, enhancing brand experiences in Unified Commerce, and steady Black Friday volumes.
The Platforms pillar, Adyen’s fastest-growing segment, also shone, fueled by its Embedded Financial Product (EFP) suite, which empowers businesses to unlock new revenue streams.
Regionally, EMEA led with 27% net revenue growth, while North America, a key focus market, posted 21% growth, and APAC and LatAm each saw 12% increases on a constant currency basis.
Strategically, Adyen revealed that it has doubled down on scalability and customer-centric innovation.
The company further noted that it maintained capital expenditure at 5% of net revenue, investing in office spaces and data centers while achieving an 87% free cash flow conversion ratio.
Its headcount growth slowed after an accelerated hiring phase, landing at 4,300 employees by year-end—a shift to optimize efficiency, according to the Fintech firm’s management.
Adyen also expanded its global footprint, securing acquiring licenses in India and Mexico, where it began working with like IKEA Mexico, positioning it to tap into high-growth markets.
The Co-CEOs emphasized that 2024’s achievements align with Adyen’s long-term goals and objectives, set out at its 2023 Investor Day, to grow net revenue in the low-to-high twenties percent range and lift EBITDA margins above 50% by 2026.
They shared:
“We’re [pleased] to have made strong progress in a year spent further executing against our long-term vision.”
They also credited Adyen’s single-platform approach for its ability to adapt and scale.
Despite macroeconomic uncertainties, the Fintech company’s diversified customer base—from Meta and Uber to H&M and eBay—underscored its resilience.
Adyen’s 2024 performance not only met but exceeded expectations, signifying its role as a vital partner for global businesses.