Q3 2025 Adyen NV Earnings Call

Speaker #2: Good afternoon , everyone , and thanks for joining . Audience Q3 2025 Business Update . Call . My name is Maggie O'Donnell and I'm part of the Investor Relations team .

Maggie O’Donnell: Good afternoon, everyone, and thanks for joining Adyen's Q3 2025 business update call. My name is Maggie O’Donnell, and I'm part of the Investor Relations team, and I'm happy to be joined today by Ethan Tandowsky, our Chief Financial Officer. In today's call, we'll discuss Adyen's financial and business updates from the quarter, followed by a Q&A segment. As this session will be slightly shorter than our half-yearly earnings presentation, we ask you to keep your questions to one per person so that we can respond to as many of you as possible. When submitting your questions, please use the raise hand functionality on the bottom of your screen. With that, let's get started. Ethan, what were your key takeaways from this quarter?

Speaker #2: And I'm happy to be joined today by Ethan , our CFO . In today's call , we'll discuss audience , financial and business updates from the quarter , followed by a Q&A segment .

Speaker #2: As this session will be slightly shorter than our half yearly earnings presentation , we ask you to keep your questions to one per person so that we can respond to as many of you as possible when submitting your questions , please use the raise hand functionality on the bottom of your screen .

Speaker #2: With that , let's get started . Ethan . What were your key takeaways from this quarter ? Sure .

Speaker #3: Thanks , Maggie . In the third quarter , we delivered strong revenue growth of 23% year over year on a constant currency basis .

Ethan Tandowsky: Sure. Thanks, Maggie. In the third quarter, we delivered strong revenue growth of 23% year over year on a constant currency basis. We're continuing to see diversified growth across pillars as we expand share wallet with our existing base. This quarter was especially characterized by consistent growth across regions and was also supported by the timing of settlements during the quarter as compared to last year. This quarter, our team grew by 86 FTEs, primarily in commercial roles in North America and in tech roles across our tech hubs. Overall, it was a strong quarter in line with our expectations.

Speaker #3: We're continuing to see diversified growth across pillars as we expand share of wallet with our existing base . This quarter was especially characterised by consistent growth across regions and was also supported by the timing of settlements during the quarter as compared to last year .

Speaker #3: This quarter , our team grew by 86 FTEs , primarily in commercial roles in North America and in tech roles across our tech hubs .

Speaker #3: Overall , it was a strong quarter in line with our expectations .

Speaker #2: Great . Thanks , Ethan . Can you also just give us an update on the performance across pillars ?

Maggie O’Donnell: Great. Thanks, Ethan. Can you also just give us an update on the performance across pillars?

Speaker #3: Yes . Happy to . I'll start with digital . Digital net revenue was up 10% year over year , driven by continued momentum in the content and subscriptions and delivery and mobility verticals .

Ethan Tandowsky: Yes, happy to. I'll start with digital. Digital net revenue was up 10% year over year, driven by continued momentum in the content and subscriptions and delivery and mobility verticals. We continue to see a headwind from APAC headquartered merchants focused on online retail, but noted a slight improvement throughout the quarter. As we turn to Unified Commerce, we see that net revenue for the pillar was up 32% year over year. This is driven by strength across retail and successful execution of our strategy to expand share of wallet across channels. Finally, platforms. Net revenue was up 50% year over year, reflecting continued momentum in the SaaS segment. As we've mentioned before, our relationship with platforms typically starts with embedding payments, and we now have 31 of our platforms processing over €1 billion annually with us.

Speaker #3: We continue to see a headwind from APAC headquartered merchants focused on online retail . But noted a slight improvement throughout the quarter as we turn to unified commerce , we see that net revenue for the pillar was up 32% year over year .

Speaker #3: This is driven by strength across retail and successful execution of our strategy to expand share of wallet across channels . And finally , platforms net revenue was up 50% year over year , reflecting continued momentum in the SaaS segment .

Speaker #3: As we've mentioned before , our relationship with platforms typically starts with embedding payments , and we now have 31 of our platforms processing over €1 billion annually with us amongst our platforms .

Ethan Tandowsky: Amongst our platforms, the number of underlying business customers reached 212,000, up from 126,000 this time last year. This growing number of business customers we see as an important indicator of our momentum towards the next phase of our growth. In short, Q3 was a quarter of solid broad-based growth across each of the three pillars.

Speaker #3: The number of underlying business customers reached 212,000 , up from 126,000 this time last year . This growing number of business customers we see as an important indicator of our momentum towards the next phase of our growth .

Speaker #3: In short , Q3 was a quarter of solid , broad based growth across each of the three pillars .

Speaker #2: Great thanks for the summary . Now let's talk about the outlook for the rest of this year . Is there anything in particular you'd want to highlight ?

Maggie O’Donnell: Great. Thanks for the summary. Now let's talk about the outlook for the rest of this year. Is there anything in particular you'd want to highlight?

Speaker #3: Yeah . So similarly to what we shared in August , we continue to expect full year net revenue growth to be similar to H1 on a constant currency basis .

Ethan Tandowsky: Yeah. Similarly to what we shared in August, we continue to expect full-year net revenue growth to be similar to H1 on a constant currency basis. Furthermore, we also continue to expect EBITDA margin expansion for the year. As we get closer to the end of the period covered by our financial objectives, we're also refining our net revenue expectations. We expect annual net revenue growth to be between the low 20% and mid-20% in 2026.

Speaker #3: Furthermore , we also continue to expect EBITDA margin expansion for the year as we get closer to the end of the period covered by our financial objectives .

Speaker #3: We also refining our net revenue expectations . We expect annual net revenue growth to be between the low 20s and mid 20s in 2026 .

Speaker #2: Great. Thanks. Before we go to Q&A, I'm sure most investors are wondering what we're planning to share at the Investor Day on November 11th.

Maggie O’Donnell: Great. Thanks. Before we go to Q&A, I'm sure most investors are wondering what we're planning to share at the Investor Day on November 11. Can you give a sense of the agenda for the day and what they can expect?

Speaker #2: Can you give a sense of the agenda for the day and what they can expect?

Speaker #3: Yeah , of course . First off , I'd say we're very much looking forward to hosting you all at our upcoming Investor Day , which will take place here in Amsterdam on November 11th .

Ethan Tandowsky: Yeah, of course. First off, I'd say we're very much looking forward to hosting you all at our upcoming Investor Day, which will take place here in Amsterdam on November 11th. Typically, we host these days every couple of years to talk about our long-term strategy and how we plan to execute it to capture the market opportunity in front of us. You can expect us to talk about our core strengths and how we leverage them to set us apart in our space. Ultimately, how we see our long-term opportunity. This includes how we think about our tech infrastructure, innovation, and topics such as agentic commerce. Of course, we'll also connect that back to our business model by giving a sense of how we view the opportunity ahead. We're looking forward to a great event, and I'm personally really excited to see you all.

Speaker #3: Typically, we host these days every couple of years to talk about our long-term strategy and how we plan to execute it to capture the market opportunity in front of us.

Speaker #3: You can expect us to talk about our core strengths and how we leverage them to set us apart in our space . Ultimately , how we see our long term opportunity this includes how we think about our tech infrastructure , innovation and topics such as agentic , commerce .

Speaker #3: Of course , we'll also connect that back to our business model by giving a sense of how we view the opportunity ahead . We're looking forward to a great event and I'm personally really excited to see you all .

Speaker #2: Great . Thank you Ethan , for those interested in attending the Investor Day in person formal registration has closed , but we do have a few spots left , so please reach out to Isaac and me at .

Maggie O’Donnell: Great. Thank you, Ethan. For those interested in attending the Investor Day in person, formal registration has closed, but we do have a few spots left. Please reach out to Isaac and me at ir@adyen.com if you're interested in attending. We also will be live streaming the full event on our website at investors.adyen.com. We'll now transition to the Q&A segment of today's call. We'll get to as many questions as we can with the time remaining. Following the call, the Investor Relations team will, of course, be available to respond to any outstanding questions. All right. Let's take a look at the questions we've received so far. Our first question comes from Fred Boulin at Bank of America. Fred, please go ahead and unmute yourself and ask your question.

Speaker #2: IR at dot com if you're interested in attending . We also will be live streaming the full event on our website at Investors .

Speaker #2: Com we'll now transition to the Q&A segment of today's call . We'll get to as many questions as we can with the time remaining .

Speaker #2: Following the call , the IR team will of course be available to respond to any outstanding questions . All right . Let's take a look at the questions we've received so far .

Speaker #2: Our first question comes from Fred Bolan at Bank of America . Fred , please go ahead and unmute yourself and ask your question .

Speaker #4: Hey , Ethan . Hey , Maggie . I hope you can hear me . Well , yep .

[Analyst]: Hey, Ethan. Hey, Maggie. I hope you can hear me well.

Speaker #2: We can hear you . Great .

Maggie O’Donnell: Yep, we can hear you great.

Speaker #4: Thanks . If you can discuss , maybe any specific factors that have driven the underlying revenue acceleration we've seen in Q3 versus Q2 ?

[Analyst]: Thanks. If you can discuss maybe any specific factors that have driven the underlying revenue acceleration we've seen in Q3 versus Q2, anything in particular you want to call out for the rest of the year beyond the kind of unwind of the settlement days? Maybe as a follow-up on that, looking at 2026 and the new guide that you've provided, should we assume a base case is now for a bit of an acceleration if I look at the midpoint of the guide, or it's a bit early to talk about that?

Speaker #4: Anything in particular ? Are you want to call out for the rest of the year beyond the kind of unwind of the settlement days ?

Speaker #4: And then , you know , maybe as a follow up on that , looking at 2026 and the new guide that you've provided , you know , should we assume a base case is now for a bit of an acceleration ?

Speaker #4: If I look at the midpoint of the guide, or it's a bit early to talk about that.

Speaker #3: Yeah , sure . So first , if I talk through our growth in Q3 , I think what is strong here is that our growth was really driven across quite a diversified set of customers .

Ethan Tandowsky: Yeah, sure. First, if I talk through our growth in Q3, I think what is strong here is that our growth was really driven across quite a diversified set of customers. Right? You see strength in each of the three pillars this quarter. We've also seen quite consistent growth across the regions. I think we're seeing strength in being able to expand our relationship with our existing customers across a really well-diversified set of our customer base. The other thing, of course, that you touched on is that we had some benefit from settlement days in this quarter. That was about 1% support to our growth in the third quarter, and we expect to have a similar-sized headwind in Q4 given the timing of settlement days next quarter.

Speaker #3: Right? You see strength in each of the three pillars this quarter. What we've also seen is quite consistent growth across the regions.

Speaker #3: And so I think we're seeing strength in being able to expand our relationship with our existing customers across a really well-diversified set of our customer base .

Speaker #3: The other thing , of course , that you touched on is that we had some benefit from settlement days in this quarter that was about 1% supports to our growth in in the third quarter , and we expect to have a similar sized headwind in Q4 , given the timing of settlement days next quarter .

Speaker #3: In terms of our guidance for next year , we set that guidance back in November 2023 , and we've been quite open in sharing how we look and get insights into our revenues .

Ethan Tandowsky: In terms of our guidance for next year, we set that guidance back in November 2023, and we've been quite open in sharing how we look and get insights into our revenues. That's around a 6 to 12-month type of view that we get around our revenue growth. That's because we're in constant conversations with our customers, and that's typically how they think about their own planning, their own roadmaps, their own priorities. As we start to get more and more visibility into what next year looks like, we wanted to refine our view and share that information with you all. We don't still have complete and total visibility on those expectations, so we're still working through that over the coming months. As we get more and more visibility, we'll give that view, but we're confident that we can deliver within the range that we've shared today.

Speaker #3: And that's around a 6 to 12 month type of view that we get around our revenue growth . That's because we're in constant conversations with our customers , and that's typically how they think about their own planning , their own roadmaps , their own priorities .

Speaker #3: And as we start to get more and more visibility into what next year looks like , we wanted to refine our view and share that information with you all .

Speaker #3: We don't still have complete in total visibility on these expectations , so we're still working through that over the coming months . And you know , as we get more and more visibility , we'll give that view .

Speaker #3: But we're confident that we can deliver within the range that we've shared today .

Speaker #2: Great . Thanks for your question , Fred . The next question comes from Hans Leitner from Jefferies . Hans , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Fred. The next question comes from Hannes Leitner from Jefferies. Hannes, please go ahead and unmute yourself and ask your question.

Speaker #5: Yes , thanks . I have also a question on you mentioned that digital saw some attrition towards unified commerce pillar . Maybe you can elaborate on that .

[Analyst]: Yes, thanks. I have also a question on you mentioned that digital saw some attrition towards the Unified Commerce pillar. Maybe you can elaborate on that. Within Unified Commerce, you talked about luxury segments outgrowing the group performance in H1. Maybe you can talk about that trend, how that continued, and how long you think that will continue to grow.

Speaker #5: And then within unified commerce , you talked about luxury segment outgrowing the group performance in H1 . Maybe you can talk about that trend , how that's continued and how long you think that will continue to grow .

Speaker #3: Yeah , sure . So I would much more call it expansion than attrition . I think our strategy is , is about how do we grow land our customers and then expand with them .

Ethan Tandowsky: Yeah, sure. I would much more call it expansion than attrition. I think our strategy is about how do we grow, land our customers, and then expand with them. That can be across regions. That can be across sales channels, like in this case. That can even be around expanding to more brands. It really depends on the business. In this case, this is about adding an in-person payment sales channel to existing e-commerce businesses. That's a move that we see basically quarter after quarter as it is part of our strategy and part of how we can help our customers to solve for complexity. We called it out this quarter because we saw a more visible move in our digital volumes to Unified Commerce. This is just playing out our strategy as we always have.

Speaker #3: That can be across regions , that can be across sales channels , like in this case , that can even be a a around expanding to more brands really depends on the business .

Speaker #3: In this case , this is about adding a in-person payment sales channel to existing e-commerce businesses . And that's a move that is that we see basically quarter after quarter as it is part of our strategy and part of how we can help our customers to solve for complexity .

Speaker #3: We called it out this quarter because we saw a more visible move in our digital volumes to unified commerce. But this is just playing out our strategy as we've always had.

Speaker #3: On your second question around unified commerce and how luxury is growing , I gave that example back in August because I wanted to share that the growth of our the growth of our existing customer base is split between growth in share of wallet and their own growth .

Ethan Tandowsky: On your second question around Unified Commerce and how luxury is growing, I gave that example back in August because I wanted to share that the growth of our existing customer base is split between growth in share of wallet and their own growth. At that time, luxury was quite publicly not seeing strong market volume growth, but it was still for us an industry or vertical that was growing faster on our platform than the overall platform was growing, and that was due to share of wallet gains. We continue to see strength in that vertical, but it wasn't to explain all of our growth in Unified Commerce. What we've seen over past years is that we've actually really diversified across many more verticals. We call out entertainment. We call out hospitality. While we are seeing strength in retail, we're also seeing our customer base get much more diversified.

Speaker #3: And at that time , luxury was quite publicly not seeing strong market volume growth . But it was still , for us in industry or vertical that was growing faster on our platform than the overall platform was growing .

Speaker #3: And that was due to share of wallet gains . So we continue to see strength in that vertical . But it wasn't to explain all of our growth in unified commerce .

Speaker #3: I think what we've seen over past years is that we've actually really diversified across many more verticals . We call out entertainment , we call out hospitality .

Speaker #3: So while we are seeing strength in retail , we're also seeing our customer base get much more diversified . And I think that's the the story of how we're growing so far this year .

Ethan Tandowsky: I think that's the story of how we're growing so far this year.

Speaker #2: Great . Thanks for your question , Hans . The next question comes from Justin Forsyth at UBS . Justin , please go ahead and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Hannes. The next question comes from Justin Forsythe at UBS. Justin, please go ahead and ask your question.

Speaker #6: Thank you very much , Ethan and Maggie , just one question here . So I wanted to come back on the largest cohort comments for 2025 .

[Analyst]: Thank you very much, Ethan and Maggie. Just one question here. I wanted to come back on the largest cohort comments for 2025, new merchant cohort that is, that you made at the 1H. Maybe you can just confirm whether that's still in play based on the last three months' progression and also talk a little bit about where you're having success. I know you just mentioned and why. I assume, again, within that comment as well, you wouldn't be counting then any existing partners like LVMH or Shopify or Toast within that, so therefore aren't part of the 2025 cohort. Could we potentially be, given how strong this cohort is performing, at a high single-digit contribution versus the building block suggested contribution of mid-single digits?

Speaker #6: New merchant cohort that is that you made at the one H . Maybe you can just confirm whether that's still in play based on the last three months progression and also talk a little bit about where you're having success .

Speaker #6: I know you just mentioned NY , I assume , again , within that comment as well . You wouldn't be counting then any existing partners like LVMH or Shopify or Toast within that .

Speaker #6: So therefore aren't part of the 2025 cohort . And could we potentially be given how strong this cohort is performing at a high single digit contribution versus the building blocks suggested contribution of mid-single digits ?

Speaker #6: And is there anything that's providing incremental opportunity , say , like the Worldpay global payments pending merger or any other broader macro shifts in the payments universe ?

[Analyst]: Is there anything that's providing incremental opportunity, say, like the Worldline Global Payments pending merger or any other broader macro shifts in the payments universe?

Speaker #3: Thanks , Justin . So indeed , the comment that we shared is if you looked at the 2025 cohort and compared it to the 2024 cohort that this cohort was growing faster than the overall platform was growing , we continue to see that through the through the third quarter .

Ethan Tandowsky: Thanks, Justin. Indeed, the comment that we shared is if you looked at the 2025 cohort and compared it to the 2024 cohort, this cohort was growing faster than the overall platform was growing. We continue to see that through the third quarter. These are indeed all new customers. These are customers who we are working with for the first time that are included there. Otherwise, it would indeed be expansion with our existing base. In terms of how it's shifted, I think maybe the only thing that I would call out is that if you look over the past couple of years, we've seen our pipeline move more to platforms than it was previously. A bigger proportion of the pipeline is now coming from platforms than in previous years. Other than that, it's the same things that are differentiating ourselves that have been differentiating ourselves over the past years.

Speaker #3: These are indeed all new customers . So these are customers who we are working with for the first time that are included there .

Speaker #3: Otherwise , it would indeed be expansion with our existing base in terms of how it's shifted . I think maybe the only thing that I would call out is that if you look over the past couple of years , we've seen our pipeline move more to platforms than it was previously .

Speaker #3: So a bigger proportion of the of the pipeline is now coming from platforms than than in previous years , other than that , it's the same things that are differentiating ourselves that have been differentiating ourselves over the past years .

Speaker #3: It's how do we drive the best payments performance right ? Uplift is a big part of that . That story , a combination of auth rates and fraud and authentication and payments costs .

Ethan Tandowsky: It's how do we drive the best payments performance, right? Uplift is a big part of that story, a combination of auth rates, and fraud, and authentication, and payments costs. It's the platforms play. It's connecting sales channels across online and in-store. It is very much iterations on top of the differentiation that we've been driving over past years. That's the story of what we're seeing today. I think your question around what to expect for the building blocks going forward, I think it very much should have a similar impact in the next year. I think still mid-single digits is the right way to think about it. Of course, we see pretty consistent ramping from year one to year two. If this is a faster growing cohort, it should have some larger impact in 2026.

Speaker #3: It's again the platforms play. It's connecting sales channels across online and in-store, so it's very much iterations on top of the differentiation that we've been driving over the past years.

Speaker #3: And that's the that's the story of what we're seeing today . I think your question around what to expect for the building blocks going forward .

Speaker #3: I think it very much has should have a similar impact in the next year . I think still mid-single digits . Is is the right way to think about it .

Speaker #3: But, of course, we see pretty consistent ramping from year one to year two. So, if this is a faster growing cohort, it should have some larger impact in 2026.

Speaker #3: But the biggest part of our growth next year will come from our existing base . Still .

Ethan Tandowsky: The biggest part of our growth next year will come from our existing base still.

Speaker #2: Thanks for your question , Justin . The next question comes from Mohammed Moala from Goldman Sachs . Moe , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Thanks for your question, Justin. The next question comes from Mohammed Moawalli from Goldman Sachs. Mo, please go ahead and unmute yourself and ask your question. Sorry, that's my mistake. The next question comes from Adam Wood at Morgan Stanley. Adam, please go ahead and unmute yourself and ask your question.

Speaker #2: Sorry , that's my mistake . The next question comes from Adam Wood and Morgan Stanley . Adam , please go ahead and unmute yourself and ask your question .

Speaker #7: Hi , Maggie , thanks very much . Taking the question , maybe first of all , just to come back on the 2026 outlook .

[Analyst]: Hi, Ethan. Hi, Maggie. Thanks very much for taking the question. Maybe first of all, just to come back on the 2026 outlook, I guess if we look at the run rate today, you've got some exceptional headwinds in the business, the large merchants, the Chinese merchants, and eBay. I think you'd probably be a good few points ahead of what you've reported if we were to X those out. Is that a big part of why you'd still see mid-20% as a realistic outcome for next year? Are there any other things you'd highlight to give us comfort that that's still a realistic scenario? Maybe just secondly, as we look at the guide or the implied guidance for the fourth quarter, it does imply some decel. Obviously, the settlement headwind is part of that.

Speaker #7: I guess if we look at the run rate today , you've got some exceptional headwinds in the business . The large merchant , the Chinese merchants in eBay , and I think you'd probably be a good few points ahead of what you've reported .

Speaker #7: If we were to ex those out , is that a big part of why you'd still see mid 20s as a realistic outcome for next year ?

Speaker #7: And are there any other things you'd highlight to give us comfort that that's still a realistic scenario . And then maybe , just secondly , as we look at the guide or the implied guidance for the fourth quarter , it does imply some decel .

Speaker #7: Obviously, the settlement headwind is part of that. Is there a desire to flag that there'll be deceleration in the fourth quarter, or is it just the feeling that your guidance is specific enough already and there's no kind of clear signaling implied in that?

[Analyst]: Is there a desire to flag that there'll be deceleration in the fourth quarter, or is it just the feeling that your guidance is specific enough already and there's no kind of clear signaling implied in that? Thank you.

Speaker #7: Thank you .

Speaker #3: So yeah, thinking about 2026, first and foremost, I think it is easy to isolate and pick out one customer or another when we've shared this guidance.

Ethan Tandowsky: Thinking about 2026 first and foremost, I think it is easy to isolate and pick out one customer or another. When we've shared this guidance, it's been a reflection of the broad customer base that we have. When we take our current information about how we expect to grow with all of our customers across the platform, across all of our pillars, across all of our regions, again, a much more diversified base as we go year by year. This guidance range is the reflection of how we expect to grow with the width of them. Of course, you can pick out and isolate specific topics, but for us, it's really about the overall growth of our customer base on the platform.

Speaker #3: It's been a reflection of the broad customer base that we have . Right . So when we take our current information about how we expect to grow with all of our customers across the platform , across all of our pillars , across all of our regions , again , a much more diversified base as we go year by year .

Speaker #3: This guidance range is the reflection of how we expect to grow with the width of them . And so of course , you can pick out and isolate specific topics .

Speaker #3: But for us , it's really about the overall growth of our customer base . On the platform . And when we're in discussions with them and when we're trying to understand the opportunity size that we have going into next year , the visibility that we start to get puts us in the range that we shared today in terms of what we're sharing for Q4 .

Ethan Tandowsky: When we're in discussions with them and when we're trying to understand the opportunity size that we have going into next year, the visibility that we start to get puts us in the range that we shared today. In terms of what we're sharing for Q4, I think the main thing that we are sharing, which is different between Q3 and Q4, is the impact of settlement days. That was a 1% support to our growth this quarter, and we think that's a 1% or so headwind to our growth next quarter. We wanted to be sure that that was understood. On an annual basis, this has very little impact, but given where we are quarter by quarter, we wanted to share that. That's ultimately what we're sharing for our guidance through the rest of the year.

Speaker #3: I think the main thing that we are sharing , which is different between Q3 and Q4 , is the impact of settlement days .

Speaker #3: Again , that was a 1% support to our growth . This quarter , and we think that's a 1% or so headwind to our growth next quarter .

Speaker #3: We wanted to be sure that that was understood on an annual basis . This has very little impact . But given where we are , a quarter by quarter , we wanted to share that .

Speaker #3: And that's ultimately what we're sharing for our guidance through the rest of the year .

Speaker #2: Great . Thanks for your question , Adam . The next question comes from Adam Frisch at Evercore . Adam , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Adam. The next question comes from Adam Frisch at Evercore. Adam, please go ahead and unmute yourself and ask your question.

Speaker #8: Thanks , guys , and congrats on the continued execution . I wanted to ask specifically about there are aspects to your growth algorithm that are specific to Audion .

[Analyst]: Thanks, guys, and congrats on the continued execution. I wanted to ask specifically about there are aspects to your growth algorithm that are specific to Adyen, obviously the growth with your existing base and so forth. I also wanted to ask you to specifically call out anything you're seeing in markets in Europe being particularly weaker, stronger, any view on the consumer. There's been a lot of mixed data points around there, and the fact that you guys are growing so well, maybe you have a different view. If you could just separate the Adyen specific stuff from what you're seeing in the overall market, it would be very helpful. Thank you.

Speaker #8: Obviously , the growth with your existing base and so forth , but I also wanted to ask you to specifically call out anything you're seeing in markets in Europe .

Speaker #8: Being particularly weaker or stronger . Any view on the consumer ? There's been a lot of mixed data points around there . And the fact that you guys are growing so well , maybe you have a different view .

Speaker #8: So if you could just separate the audience specific stuff from what you're seeing in the overall market would be very helpful . Thank you .

Speaker #3: Yeah . Thanks , Adam . I think the the challenge is that . They are mixed in our in our view of growth .

Ethan Tandowsky: Yeah, thanks, Adam. I think the challenge is that they are mixed in our view of growth, right? Our growth with our existing customers is that combination of how fast they are growing with how fast we are gaining a proportion of their share, what we call share of wallet. We haven't flagged anything specific that we've been seeing related to changes in behavior here. I don't really have additional insights to share.

Speaker #3: Right ? So our growth with our existing customers is that combination of how fast they are growing with how fast we are gaining proportion of their share , what we call share of wallet .

Speaker #3: We haven't flagged anything specific that we've been seeing related to changes in behavior here . So I don't really have additional insights to share .

Speaker #2: Thanks for your question , Adam . The next question comes from Jason Kupferberg from Wells Fargo . Jason , can you please go ahead and unmute yourself and ask your question ?

Maggie O’Donnell: Thanks for your question, Adam. The next question comes from Jason Kupferberg from Wells Fargo. Jason, can you please go ahead and unmute yourself and ask your question?

Speaker #2: Yes . Hi .

Speaker #9: Thanks for taking the question. I just wanted to circle back on one of the prior questions about Q4. Make sure we have the numbers right here.

[Analyst]: Yes, hi. Thanks for taking the question. I just wanted to circle back on one of the prior questions about Q4, make sure we have the numbers right here. We did 23% in Q3, would have been 22% without the settlement tailwind. I think the implied growth for Q4, if the second half is going to be the same as the first half, is 19%, which would be 20% if you add back the benefit of settlement. It does seem, if our numbers are right, like there's a little bit of a modest slowdown embedded in there. I don't know if this is more just rounding, but I just want to make sure we're synced up properly for Q4. Are you putting some cushion in there for macro or tariffs or any other items? Thank you.

Speaker #9: So we did 23% in Q3 , would have been 22 without the settlement tailwind . And then I think the implied growth for Q4 , if the second half is going to be the same as the first half , is 19% , which would be 20 if you add back the benefit of settlement .

Speaker #9: So it does seem if our numbers are right , like there's a little bit of a modest slowdown embedded in there . So I don't know if this is more just , you know , rounding .

Speaker #9: But I just want to make sure we're synced up properly for Q4. Are you putting some cushion in there for macro, tariffs, or any other items?

Speaker #9: Thank you .

Speaker #3: Yeah . So I think what we've what we've tried to share is a view on the year . Right . And of course we're getting now closer to the end of the year .

Ethan Tandowsky: Yeah, so I think what we've tried to share is a view on the year, right? Of course, we're getting now closer to the end of the year, so that time frame gets shorter and shorter, but we've never been trying to guide to every specific quarter. It is our expectation that Q4 will not be at the same growth rate as Q3, given that settlement day impact. Q4 was also a very strong quarter for us last year, so the comparables are strong that we're comparing ourselves to. We still think that we're in a strong position to grow, but these are the factors ultimately in play, which lead us to continue with the expectation we shared back in August, which is that our growth for the full year should be broadly in line with the H1 constant currency growth.

Speaker #3: So that time frame gets shorter and shorter . But we've never been trying to guide to every specific quarter . It is our expectation that Q4 will not be at the same growth rate as Q3 , given that settlement day impact , Q4 was also a very strong quarter for us last year .

Speaker #3: So the comparables are strong that that we are that we're comparing ourselves to . We still think that we're in a strong position to grow , but these are the factors ultimately in play which lead us to continue with the expectation we shared back in August , which is that our growth for the full year should be broadly in line with the H1 constant currency growth .

Speaker #2: Great . Thanks for your question , Jason . The next question comes from Darrin Peller at Wolfe . Darrin , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Jason. The next question comes from Darren Peller at Wolfe. Darren, please go ahead and unmute yourself and ask your question.

Speaker #10: Hey , guys . Thanks . Just two part question . One is first on Agentic . I know , I know , we'll get a lot more of the Investor Day , which we're looking forward to , but maybe any quick preview on some of the initial ideas or plans or partnerships you see already and what your opinion is in terms of momentum on it in the next , let's call it 2 to 3 quarters from Adyen's perspective .

[Analyst]: Hey, guys, thanks. Just two-part question. One is first on agentic. I know we'll get a lot more at the Investor Day, which we're looking forward to, but maybe any quick preview on some of the initial ideas or plans or partnerships you see already and what your opinion is in terms of momentum on it in the next, let's call it, two to three quarters from Adyen's perspective. The second part would be around hiring. We keep seeing, we continue to see the healthy pace of hiring. Ethan, is this the run rate that we should expect sort of normalized for the company going forward in terms of, you know, call it the annualized rate we're seeing this quarter? How do you want us to think about that? Thanks again.

Speaker #10: And then the second part would be around hiring . I just , you know , we keep seeing we continue to see the healthy pace of hiring even .

Speaker #10: Is this the run rate that we should expect sort of normalize for the company going forward in terms of , you know , call it the annualized rate .

Speaker #10: We're seeing this quarter. How do you want us to think about that? Thanks again.

Speaker #3: Yeah , sure . I think first , on e-commerce , we're we're really excited about the potential to help customers meet their own customers where they want to , where they want to engage in commerce .

Ethan Tandowsky: Yeah, sure. I think first on agentic commerce, we're really excited about the potential to help customers meet their own customers where they want to engage in commerce. This is certainly an area that we think over time will develop and be an important piece for our customer base. At the moment, what we're doing is we're working with other industry leaders. Think about a Google or an OpenAI or Visa or MasterCard working together to make sure that we develop standards which will truly work for merchants that will support them in their growth and their relationship with their own customer base. We're absolutely engaged and actively working together with others in this space to make sure that we deliver a really unique and differentiated solution for our customer base.

Speaker #3: And this is certainly an area that we think over time will develop and be an important piece for our customer base. At the moment, what we're doing is we're working with other industry leaders.

Speaker #3: Think about a Google or an OpenAI or Visa or Mastercard working together to make sure that we develop standards , which will truly work for merchants , that will support them in their growth and their relationship with their own customer base .

Speaker #3: So we're absolutely engaged and actively working together with others in this space to make sure that we deliver a really unique and differentiated solution for our customer base.

Speaker #3: Again , here , a lot of the challenges that we're really already strong at , things like authentication , things like managing fraud , things like multiple payment methods , those are things that we are that our core strengths of ours and that we think we can apply in this , in this realm as well .

Ethan Tandowsky: Again, here, a lot of the challenges that we're really already strong at, things like authentication, things like managing fraud, things like multiple payment methods, those are things that we are, that are core strengths of ours and that we think we can apply in this realm as well. Of course, you mentioned it. We will share more at our Investor Day, but I think that's how I'd summarize our position today. In terms of hiring, yeah, we did 86 net new FTEs this quarter. I think the last two quarters we did about 110 each. That type of level is something that we would expect to continue. I have no reason to think that we need to scale that significantly up or significantly down over the next coming while. As of now, that's our plan. If that would change, I would, of course, let you know.

Speaker #3: Of course , you mentioned it . We will share more at our Investor Day , but I think that's how I'd I'd summarize our position today in terms of hiring .

Speaker #3: Yeah, we added 86 net new FTEs this quarter. I think in the last two quarters, we added about 110 each. That type of level is something that we would expect to continue.

Speaker #3: I have no reason to think that we need to scale that significantly up or significantly down over the next coming while so as of now , that's our plan .

Speaker #3: And if that would change , I would I would of course let you know . But that's our expectation going forward .

Ethan Tandowsky: That's our expectation going forward.

Speaker #2: Great . Thanks for your question , Darren . The next question comes from Harshita Rawat at Bernstein Harshita . Please go ahead and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Darren. The next question comes from Harshita Rawat at Bernstein. Harshita, please go ahead and ask your question.

Speaker #11: Hi . Good afternoon . I want to ask about uplift , and I appreciate you're going to discuss it in more detail at the Investor Day .

[Analyst]: Hi, good afternoon. I want to ask about Uplift, and I appreciate you're going to discuss it in more detail at the Investor Day. You've enabled it for all of your customers. What's the uptake been? I know you talked a little bit about it last quarter, the conversion boost you're seeing. Also, how should we think about wallet share gains as it relates to Uplift, especially as we look into next year? Thank you.

Speaker #11: So you've enabled it for all of your customers. What's the uptake been? I know you talked a little bit about it last quarter.

Speaker #11: The conversion boost you're seeing . And also how should we think about wallet share gains as it relates to uplift , especially as we look into next year ?

Speaker #11: Thank you .

Speaker #3: Yeah . So uplift is a really important way that we package our differentiation to our customers . It continues to be that . So the same updates we gave in H1 hold true through Q3 .

Ethan Tandowsky: Yeah, Uplift is a really important way that we package our differentiation to our customers. It continues to be that. The same updates we gave in H1 hold true through Q3. For instance, when we look at our new customers that we onboard, we still see around two-thirds of them or so using Protect from day one, so our fraud tooling. Ultimately, this combination of solving for authorization, of solving for lowering payments costs, of solving for better authentication flows, and reduction of fraud, those can be applied no matter the priorities of customers. Right? If they want to focus fully on how do they drive revenue uplift, or if they want to manage payments costs more carefully, those are optimizations that they can control and tweaks that they can make. Uplift really helps them quantify the impacts and make it easier for them to ultimately take up these products.

Speaker #3: For instance , when we look at our new customers that we onboard , we still see around two thirds of them or so using protect from day one .

Speaker #3: So our fraud tooling . But ultimately this combination of solving for authorization , of solving , for lowering payments costs , solving for better authentication flows , and reduction of fraud , those can be applied no matter the priorities of customers , right .

Speaker #3: If they want to focus fully on how do they drive revenue uplift or if they want to manage payments costs more carefully ? Those are optimizations that they can control and tweaks that they can make .

Speaker #3: And uplift really helps it make helps them quantify the impacts and make it easier for them to ultimately take up these products . And so it's a really important part of our of our commercial conversations and how we help bring more share of wallet to the platform .

Ethan Tandowsky: It's a really important part of our commercial conversations and how we help bring more share of wallet to the platform. It continues to progress well in Q3, similar to what we shared in H1.

Speaker #3: It continues to progress . Well , in Q3 , similar to what we shared in H1 .

Speaker #2: Thanks for your question , Harshita . The next question comes from Alex Ferrari at Exane BNP Paribas . Alex , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Thanks for your question, Harshita. The next question comes from Alex Foray at Exane BNP Paribas. Alex, please go ahead and unmute yourself and ask your question. Alex, can you hear us?

Speaker #2: Alex , can you hear us ?

Speaker #12: Hey, can you hear me now?

[Analyst]: Hey, can you hear me now?

Speaker #2: Yes , we can .

Maggie O’Donnell: Yes, we can.

Speaker #12: Good afternoon . Thanks . Thanks for letting me on a couple of questions . Maybe as we go into the CMD . Just wanted to look back to what you guided to in November 2023 and thought of this acceleration in the high 20s .

[Analyst]: Very good afternoon. Thanks for letting me on. A couple of questions, maybe. As we go into the CMD, I just wanted to look back to what you guided to in November 2023 and thought of this acceleration in the high 20% you're expecting for 2026, and you're now guiding more to, I don't know, low to mid-20%. I know you called out some tariff impact, obviously, but you also helped us size that impact. It doesn't quite take us to high 20%. What do you think didn't go according to plan to get to high 20% in 2026 eventually? That'd be my first question. Second question is going back to the agentic commerce discussion. I heard what you say in part of engaging with other industry leaders in OpenAI and Google and so on.

Speaker #12: You're expecting for 2026 , and you're now guiding more to , I don't know , low to low to mid 20s . So I know you called out some tariff impacts , obviously , but you also helped us size that impact .

Speaker #12: So it doesn't quite take us to the high 20s. So what do you think didn't go according to plan to get to the high 20s in 2026 eventually?

Speaker #12: So that'd be my first question . Second question is going back to the Atlantic Commerce discussion . I heard what you say in sort of engaging with other industry leaders in opera , and Google and so on .

Speaker #12: When you look at all the different protocols and frameworks that have been issued so far this year , and you think of the work it requires on the inside to integrate with some of those , does it sound like a significant work that , you know , a matter of weeks , a matter of months , matter of quarters ?

[Analyst]: When you look at all the different protocols and frameworks that have been issued so far this year, and you think of the work it requires on Adyen's side to integrate with some of those, does it sound like significant work? Is it a matter of weeks, a matter of months, a matter of quarters? How should we think about it? Thank you so much.

Speaker #12: How should we think of that? Thank you so much.

Speaker #3: Yeah , sure . So I think if you think back to November 2023 , as you mentioned , right , we were giving AA3 year view .

Ethan Tandowsky: Yeah, sure. I think if you think back to November 2023, as you mentioned, we were giving a three-year view. We wanted to share a wider range at that time, given that we were giving a longer time frame. We were talking about that three-year view, and a lot of things happened over multiple years to understand what your growth looks like in any given year. Even the priorities of your own customers, what is in play in one year may look different than what's in play in the next year, and that's just based on their roadmaps, their own prioritization. We're always looking to help our customers where they have the pain points, where they are focused, and that can look different in any given year. I wouldn't necessarily frame it in the sense of like, hey, what went wrong or what went differently.

Speaker #3: Now we wanted to share a wider range at that time , given that we were giving a longer time frame . Right . So we were talking about that three year view and a lot of things happened over , over multiple years to understand what your growth looks like in any given year , right .

Speaker #3: Even the priorities of your own customers . What is in play in one year may look different than what's in play in the next year , and that's just based on their roadmaps , their own prioritization .

Speaker #3: We're always looking to help our customers where they have the pain points , where they are focused , and that can look different in any given year .

Speaker #3: So I wouldn't necessarily frame it in the sense of like , hey , what what went wrong ? Or what went differently . Mostly frame it in .

Ethan Tandowsky: Mostly frame it in we get closer towards this 2026 year, towards the end of this kind of guidance time frame, and that gives us more visibility, and that more visibility is what we are trying to share here by refining the financial objective. To your second question on agentic commerce, it is not real significant work for us to implement it, and I think that's the benefit of building everything on our single platform and taking that end-to-end ownership. We have so many of the building blocks which are going to be required in this new agentic world, and that positions us really well to be able to move quickly. I think in large part, we have a lot of the building blocks which will be at play here.

Speaker #3: We get closer towards this 2026 year . Towards the end of this kind of guidance , time frame , and that gives us more visibility and that more visibility is what we are trying to share here .

Speaker #3: By refining the financial objective . To your second question on Agentic commerce , it is not real significant work for us to implement .

Speaker #3: And I think that's the benefit of building everything on our single platform and taking that end to end ownership . We have so many of the building blocks which are going to be required in this , in this new Agentic world .

Speaker #3: And that positions us really well to be able to move quickly . So I think in large part , we have a lot of the building blocks which will be at play here .

Speaker #3: It's much more about figuring out the solution , which truly will help merchants and allow them to give , have the right experience and to consumers to have the right experience .

Ethan Tandowsky: It's much more about figuring out the solution which truly will help merchants and allow them to have the right experience and the consumers to have the right experience. Of course, there's going to be some work that goes into it, but that's not the biggest piece. I think we largely have the building blocks in play, which is a great position to be in.

Speaker #3: Of course , there's going to be some work that goes into it , but that's not the biggest piece . I think we .

Speaker #3: Largely have the building blocks in play , which is a great position to be in . .

Speaker #2: Great . Thanks for your questions , Alex . The next question comes from Pavan Daswani from Citi . Pavan , please go ahead and ask your question .

Maggie O’Donnell: Great. Thanks for your questions, Alex. The next question comes from Pavan Daswani from Citi. Pavan, please go ahead and ask your question.

Speaker #13: Hello ? Can you hear me ?

[Analyst]: Hello. Can you hear me?

Speaker #2: Yep . We can hear you .

Maggie O’Donnell: Yep, we can hear you.

Speaker #13: Perfect . Thanks . Thanks , Maggie . So my question would be on the de minimis tariff impact and the previously guided two percentage point drag in H2 .

[Analyst]: Perfect. Thanks, Ethan. Thanks, Maggie. My question would be on the de minimis tariff impact and the previously guided 2% point drag in H2. Could you maybe give us an update of how did that trend in Q3 for the online APAC headquartered merchants? Was there any incremental disruption in late August with the de minimis expansion?

Speaker #13: Could you maybe give us an update on how that trend in Q3 for the online APAC-headquartered merchants? And was there any incremental disruption in late August with the de minimis expansion?

Speaker #3: Yeah , for the subset of customers that we talked about in the first half , we saw slight improvement during the quarter . Also , keep in mind that in the first half , this was largely an impact that we saw at the end of that first half .

Ethan Tandowsky: For the subset of customers that we talked about in the first half, we saw slight improvement during the quarter. Also, keep in mind that in the first half, this was largely an impact that we saw at the end of that first half. We did see some slight improvement throughout the quarter, but nothing that really meaningfully changed our results. That's worth commenting on. In terms of other impacted merchants also beyond it, we haven't seen material or meaningful movements related to this throughout the course of the third quarter.

Speaker #3: So we did see some slight improvement throughout the quarter , but nothing that really meaningfully changed our results . That's worth commenting on in terms of other impacted merchants .

Speaker #3: Also beyond it , we haven't seen material or meaningful movements related to this throughout the course of the third quarter .

Speaker #2: Great . Thanks for your question , Pavan . The next question comes from Sven Merk at Barclays . Sven , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Great. Thanks for your question, Pavan. The next question comes from Sven Mert at Barclays. Sven, please go ahead and unmute yourself and ask your question.

Speaker #14: Perfect . Good afternoon . Thank you for taking my question . Can you give us maybe a bit more detail on the point of sales volumes , growth ?

[Analyst]: Perfect. Good afternoon. Thank you for taking my question. Can you give us maybe a bit more detail on the point of sale volume scroll? It's loaded sequentially in both Unified Commerce and platforms. Can you just comment what is the driver here, especially as you called out that there's been an increased migration from digital to Unified Commerce? Thank you.

Speaker #14: It slowed sequentially in both unified commerce and platforms . Can you just comment ? What is the driver here , especially as you called out that there has been an increased migration from digital to unified commerce ?

Speaker #14: Thank you .

Speaker #3: Yeah , there's nothing specific that I would that I would call out related to this . I think in any given period . Right .

Ethan Tandowsky: Yeah, there's nothing specific that I would call out related to this. I think in any given period, it is a short-term period. You do see different volumes moving between pillars, but also between the sales channel, also between regions. I wouldn't focus too much on a single quarter results. I think in general, what we've seen is strong growth across each of our pillars, across each of our regions. It is quite a diversified mix, which is driving the growth that we see in the third quarter. For me, that's the strength of the position that we're in.

Speaker #3: It is a short term period . You do see different volumes moving between pillars , but also between the sales channel , also between regions .

Speaker #3: So I wouldn't focus too much on a on a single quarter results . I think in general , what we've seen is strong growth across each of our pillars , across each of our regions .

Speaker #3: It is quite a diversified , diversified mix which is driving the growth that we see in the third quarter . And for me , that's the the strength of the position that we're in .

Speaker #2: Thanks for your questions , Sven . The next question comes from Sandeep Deshpande from JP Morgan . Sandeep , please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Thanks for your question, Sven. The next question comes from Sandeep Deshpande from JPMorgan. Sandeep, please go ahead and unmute yourself and ask your question.

Speaker #15: Yeah . Hi . Thanks . I have two quick questions on your revenue line . I mean , you've got some new initiatives like issuing as well as lending , etc.

[Analyst]: Yeah, hi. Thanks. I have two quick questions on your revenue line. I mean, you've got some new initiatives like issuing as well as lending, et cetera. Where are we at this point? Has anything changed in the third quarter in terms of progress on these pillars, these next-generation pillars that you are working on? Secondly, looking into 2026, I mean, in the past, Adyen would announce some big new customers, and they would have a significant impact on your sales growth in future years. With your TPV now so much bigger than it was in the past, are there any customers that are targeted and can make a big difference to Adyen in 2026 or beyond? Are we now at the point that most of your growth, more and more of your growth, is going to come from existing footprint gains and existing customers?

Speaker #15: . Where are we at this point ? Has anything changed in the third quarter in terms of , you know , progress on these pillars , these next generation pillars that you are working on and then secondly , looking into 26 , I mean , in the past , Adyen would announce some big new customers and they would have a significant impact on your sales growth in in future years with your , you know , TPV now .

Speaker #15: So , so much bigger than it was in the past . Are there any customers that are targeted and can make a big difference to Adrian in 26 or beyond , or are we now at the point that most of your growth , more and more of your growth is going to come from existing footprint gains and the existing customers ?

Speaker #15: Clearly this is something that you will probably talk at the Capital Markets Day . But but is that where we are going towards as such .

[Analyst]: Clearly, this is something that you will probably talk at the capital markets day. Is that where we are going towards as such?

Speaker #3: Yeah . So let's start with embedded financial products . Of course . It's a it's a topic we will cover in more detail at Investor Day .

Ethan Tandowsky: Yeah, let's start with embedded financial products. Of course, it's a topic we will cover in more detail at Investor Day. In relation to Q3, I think we still see strong traction in issuing. That's one that we talked about also in H1. In general, the way to think about embedded financial products is that it's a really important piece of the products we deliver, especially to our platform customers. It's a big reason why we're able to grow the platforms pillar in the way that we have been at that 50% or so level that we saw in Q3 as well. In terms of if there are still big customers to win, which ultimately will drive our growth, I think there's a couple of points I'd make. One is, I've said it a few times on the call, we are getting more and more diversified.

Speaker #3: But in relation to Q3 , I think we still see strong traction in issuing . That's one that we talked about . Also in H1 .

Speaker #3: And I think in general , the way to think about ESP is that it's a really important piece of the products we deliver , especially to our platform customers .

Speaker #3: And it's a big reason why we're able to grow the platforms pillar in the way that we have been , at that 50% or so level that we saw in Q3 as well .

Speaker #3: In terms of if there are still big customers to win , which ultimately will drive our growth . I think there's a couple of points I'd make .

Speaker #3: One is I've said it a few times on the call , but we are getting more and more , more diversified . So there are more and more customers on the platform , which are helping to drive our growth .

Ethan Tandowsky: There are more and more customers on the platform which are helping to drive our growth. I don't look at it necessarily on an individual customer by individual customer basis. If you compare it or take a look at the 2025 cohort we're seeing on the new sales side, so completely new businesses to the Adyen platform, we're seeing that scale up quite nicely. There still is a lot of potential for us to add new business to new customers to our platform. We're very much focused on still driving that because while it has little impacts in any given year you add them, it does drive your growth over future years. It's very much also a signal to our positioning in the market, the strength of the differentiation we have. It's something we spend a lot of time on and that we see strength in today.

Speaker #3: I don't look at it necessarily on an individual customer by individual customer basis . If you again compare it or take a look at the 2025 cohort we're seeing on the new sales side .

Speaker #3: So again , completely new businesses to the platform . We're seeing that scale up quite nicely . So there still is a lot of potential for us to add new business to the to new customers , to our platform .

Speaker #3: And we're very much focused on still driving that because while it has little impact in any given year , you add them . It does drive your growth over future years .

Speaker #3: And it's very much also a signal to our positioning in the market . The strength of the differentiation . We have . And so it's a of course , something we spend a lot of time on and that we see strength in today .

Speaker #2: Great . Thanks for your question . The next question comes from Sanjay Sakhrani from KBW . Sanjay , please go ahead and ask your question .

Maggie O’Donnell: Great. Thanks for your question. The next question comes from Sanjay Sakrahani from KBW. Sanjay, please go ahead and ask your question.

Speaker #16: Thank you . I wanted to ask the 2026 question a little bit differently . I guess when we think about that range that you guys have provided , how have you built that range up ?

[Analyst]: Thank you. I wanted to ask the 2026 question a little bit differently. I guess when we think about that range that you guys have provided, how have you built that range up? When we think about some of the variables that could land you within that range, bottom or lower, what are they? As discussed earlier, you've had some puts and takes over the guidance period that you provided before. Thanks, Ethan.

Speaker #16: And then when we think about some of the variables that could lend you within that range , bottom or lower , like what are they ?

Speaker #16: Because you know , as discussed earlier , you know , you've had some puts and takes over the the guidance period that you provided before .

Speaker #16: Thanks , Ethan .

Speaker #3: Yeah . So the biggest driver of our growth for 2026 is going to be the existing customer base . And the the two biggest factors are how fast they grow and how much share of wallet we gain in that year .

Ethan Tandowsky: Yeah, the biggest driver of our growth for 2026 is going to be the existing customer base. The two biggest factors are how fast they grow and how much share of wallet we gain in that year. Now we're starting to get some better insight into the specific opportunities that we see with our customer base for 2026 as they go through their own planning process, their own prioritization exercise, and they talk through what types of opportunities they'll be focused on. We also start to get better insights into how they think about their own growth for next year as well. Ultimately, those are going to be the two biggest factors that will drive our growth.

Speaker #3: Now we're starting to get some better insight into the specific opportunities that we see with our customer base for 2026 as they go through their own planning process , their own prioritization exercise , and they talk through what types of opportunities they'll be focused on .

Speaker #3: We also start to get better insights into how they think about their own growth for next year , as well . But ultimately , those are going to be the two biggest factors that will drive our growth .

Speaker #3: And while we're not at the point that we have full visibility with them because we're still going through that exercise , we did feel like it was helpful to refine again , the the range at which we see 2026 playing out .

Ethan Tandowsky: While we're not at the point that we have full visibility with them because we're still going through that exercise, we did feel like it was helpful to refine again the range at which we see 2026 playing out. I think if you look at that range, you see that we'll be in a position to gain significant market share also through the course of next year. We're well positioned to be able to gain much more share of wallet with our customer base. I think that ultimately is the strength of the differentiation that we have and that we're bringing to market.

Speaker #3: And I think if you look at that range, you see that we'll be in a position to gain significant market share also through the course of next year.

Speaker #3: We're well positioned to be able to gain much more share of wallet with our customer base . And I think that ultimately is the the strength of the differentiation that we have and that we're bringing to market .

Speaker #2: Great . Thanks for your question . The next question comes from Brian Bergin at TD Cowen . Brian , please go ahead and ask your question .

Maggie O’Donnell: Great. Thanks for your question. The next question comes from Brian Bergen at TD Cowen. Brian, please go ahead and ask your question.

Speaker #17: Hey guys . Yeah . Thank you . A bit of a follow up there on wallet share . So just can you share their views on your wallet share penetration across certain client cohorts that you've talked about in the past .

[Analyst]: Thank you. A bit of a follow-up there on wallet share. Can you share updated views on your wallet share penetration across certain client cohorts that you've talked about in the past, the runway for further penetration in that wallet share? Does macro volatility enable situations where you can actually pursue and win greater wallet share in certain types of clients?

Speaker #17: The runway for further penetration in that wallet share and does macro volatility enable situations where you could actually pursue and win greater wallet share in certain types of clients ?

Speaker #3: Yeah . So of course this is part of what we addressed at the Investor Day a couple of years ago . Thinking about where we are per pillar by wallet share .

Ethan Tandowsky: Of course, this is part of what we addressed at the Investor Day a couple of years ago, thinking about where we are per pillar by wallet share. I think the reality is that we're still very much in the same position, that we still have most of the wallet share still to win with our existing base. Now that's not true for every customer. There are customers we do 100% or the vast majority of payments for them. If you look at our platform overall, especially because we've been continuously adding new customers to the platform over past years, we're still in the position where the majority of volumes within our customer base is to win. That's what we're very much focused on.

Speaker #3: I think the reality is that we're still very much in the same position that we still have most of the wallet share still to win with our existing base .

Speaker #3: Now, that's not true for every customer. There are customers for whom we do 100% or the vast majority of payments.

Speaker #3: But if you look at our platform overall , especially because we've been continuously adding new customers to the platform over past years , we're still in the position where the majority of volumes within our customer base is to win , and that's what we're very much focused on .

Speaker #2: Thanks for your question . The next question comes from Fahad Kunwar at Redburn . Please go ahead and unmute yourself and ask your question .

Maggie O’Donnell: Thanks for your question. The next question comes from Fahed Khanwar at Redburn. Fahed, please go ahead and unmute yourself and ask your question.

Speaker #18: Cheers , Maggie . Hi , Ethan , just a quick question on digital specifically , I thought the acceleration or the inflection in digital is quite interesting .

[Analyst]: Maggie, hi. Ethan, just a quick question on digital specifically. I thought the acceleration or the inflection in digital was quite interesting. We've had a couple of quarters where you've disclosed net revenues where it's been decelerating. I appreciate there's been some noise, but it does feel like we had kind of that 7% core number last quarter, probably 9, 10% ex de minimis in Leap Year and FXRA. We've probably jumped up to kind of 12, 13% now. Could I understand, and that 12, 13% is with volume boom digital to Unified Commerce, so really, really strong performance. Could I just understand what's been happening in digital? Like why has it inflected as much as it has? Going forward, can we expect further acceleration in digital revenues?

Speaker #18: We've had a couple of quarters where you've disclosed net revenues , whereas been decelerating . I appreciate there's been some noise , but it does feel like , you know , we had kind of that 7% number last quarter , probably 910 de minimis in leap year .

Speaker #18: And Effexor . We're probably jumped up to kind of 1213 . Now could I understand . And that 1213 is with volume moving from digital to unified commerce .

Speaker #18: So really really strong performance could understand what's been happening in digital . Like why has it inflected as much as it has and going forward , can we expect further acceleration in digital revenues ?

Speaker #18: Because I can . My understanding is unified commerce and platforms is probably all the juice is coming from . But any color on that would be great .

[Analyst]: My understanding is Unified Commerce and platforms is probably where all the juice is coming from, but any color on that would be great. Thank you.

Speaker #18: Thank you .

Speaker #3: Yeah, I would just say that we remain really, really focused on winning in digital. It's the biggest part of our volumes.

Ethan Tandowsky: Yeah, I would just say that we remain really, really focused on winning in digital. It's the biggest part of our volumes. It's the biggest part of our customer base. A lot of the products that we've been rolling out have a huge impact on digital customers. Right? Think about the Uplift suite, this combination of authorization and payments costs and fraud that's really, really prevalent in the digital pillar. I think our global capabilities, our abilities to work with the largest enterprise and really optimize for their payments needs is the thing that's been really important to differentiating ourselves. Now that's always been the case, but rolling out products like Uplift helps us ensure that we continue to stay differentiated, that we can continue to help our customer base. That's ultimately where you see us continuing to gain share.

Speaker #3: It's the biggest part of our customer base. A lot of the products that we've been rolling out have a huge impact on digital customers, right.

Speaker #3: Think about the Uplift suite. This combination of authorization and payments costs and fraud is really, really prevalent in the digital pillar.

Speaker #3: And I think our global capabilities are abilities to work with the largest enterprise and really optimize for their payments needs is the thing that's been really important to differentiating ourselves .

Speaker #3: Now , that's always been the case . But rolling out products like uplift help us ensure that we continue to stay differentiated , that we can continue to help our customer base .

Speaker #3: And that's ultimately where you see us continuing to gain share .

Speaker #2: Thanks for your question . The last question . Oh , I guess that is the last question . Thank you guys so much for joining us today .

Maggie O’Donnell: Thanks for your question. That is the last question. Thank you guys so much for joining us today. We appreciate you taking the time. For any further questions, please don't hesitate to reach out to the Investor Relations team. Have a great day.

Speaker #2: We appreciate you taking the time for any further questions. Please don't hesitate to reach out to the IR team. Have a great day.

[Analyst]: Thanks, everyone.