Dutch
payment technology giant Adyen NV reported stronger-than-expected third-quarter
results, with net revenue climbing 21% at constant currency, highlighting the
company’s successful recovery from last year’s challenges.

Adyen Posts 21% Revenue
Growth as Platform Business Leads Expansion

The
Amsterdam-based fintech firm (AMS: ADYEN) recorded net
revenue of €498.3 million in the third quarter, marking a 20% increase from
the previous year. Processing volumes surged to €320.6 billion,
representing a robust 32% year-over-year growth, as the company continued to
expand its market presence across various segments.

“The
third quarter of 2024 marked a period of strong growth and continued
innovation,” said Ethan Tandowsky, Adyen’s Chief Financial Officer. “Our
net revenue growth of 21% at constant currency was driven by our ability to
consistently execute on our land-and-expand strategy with our existing
customers, in-line with the building blocks that we outlined in 2023.”

The latest
results mark a significant turnaround
from August 2023, when Adyen’s shares plummeted nearly 40% in a single day
following disappointing first-half results. Overnight, the company’s valuation
dropped by $20 billion.

Since the
significant decline and subsequent low, the stock has rebounded over the past
year by more than 132%. However, Thursday’s session did not yield a positive
response to the latest trading update, with shares on the Amsterdam Stock
Exchange falling by 1.7%.

Platforms, Unified
Commerce and Digital

The
company’s platform business emerged as the standout performer, maintaining its
position as the fastest-growing segment. The platform segment’s growth reflects
the company’s ongoing expansion of its merchant base, with notable activities
in North America including its existing partnerships with Block’s Cash App and
Shopify.

In the
Unified Commerce segment, Adyen reported growth as it continued to expand
across different industry verticals. The digital segment also continued its
established growth pattern in a market that has evolved since the heightened
online shopping activity during the pandemic period.

“As we look
towards the end of the year and into 2025, we remain confident in the vast
opportunity ahead and in our ability to continue executing on our long-term
vision,” Tandowsky added, expressing confidence in the company’s future trajectory.

Adyen’s New CTO and PayPal
Partnerhisp

In August,
Adyen appointed Tom Adams as its new Chief Technology Officer. Adams steps in
as Alexander Matthey, Adyen’s outgoing CTO, concludes a decade of service
marked by significant technological contributions. Adyen’s Co-Founder and
Co-CEO, Pieter van der Does, conveyed strong confidence in Adams’ capability to
advance the company’s tech-driven strategy.

In
parallel, PayPal has entered into an expanded global partnership with Adyen.
Through this arrangement, Adyen will incorporate PayPal’s Fastlane solution
into its offerings for enterprise and marketplace customers in the United
States, with plans for global expansion.

Fastlane is
engineered to improve guest checkout by accelerating the transaction process,
ultimately aimed at boosting conversion rates by simplifying the customer
experience.