Nexi Reaffirms 2026 Guidance After Core Earnings Dip and Share Drop
Nexi's Financial Performance and Market Response
Second-Quarter Earnings and Revenue Growth
July 29 (Reuters) - Italy's Nexi, Europe's biggest payments group by transactions, confirmed its 2026 guidance after second-quarter core earnings fell 1.9%, as its traditional business of partnering with banks to serve shop owners continued to contract.
Share Price Movement
Shares in Nexi fell 2% to €4 apiece by 0706 GMT. Nexi, which was listed in 2019 at €9 a share, has been battling with a depressed share price as innovation disrupts the payments sector in a challenge to the business model of incumbents.
Analyst Commentary and Future Outlook
"To reach its guidance, Nexi will need to grow revenue (in the second half) by more than 3% to €1.92 billion (consensus: €1.91 billion/+2.4%) versus a 1% increase in the first half," Jefferies analysts said in a note.
They added that Nexi's earnings before interest, taxes, depreciation and amortisation would need to stay flat in the latter half of the year.
EBITDA and Consensus Figures
Nexi's EBITDA fell to €473 million ($539 million) in the second quarter, against a company-provided consensus of €471 million.
($1 = 0.8772 euros)
(Reporting by Anna Uras and Valentina Za, editing by Milla Nissi-Prussak)