Paysign (NASDAQ:PAYS) Issues Quarterly Earnings Results

Key Points

• Paysign reported third-quarter EPS of $0.11, beating the $0.09 consensus, and revenue of $30.8 million, above estimates. Revenue grew 43% year over year, while net income more than doubled to $6.7 million.
• The company forecast 2026 revenue of $114 million–$117 million and projected net income of $23 million–$24 million and Adjusted EBITDA of $38.5 million–$40 million.
• A plasma customer is moving 113 centers to another provider, which Paysign expects to reduce fourth-quarter revenue by about $1.5 million and gross profit by $700,000; management expects new centers to help offset the loss over the coming quarters.

Paysign (NASDAQ:PAYS - Get Free Report) issued its quarterly earnings results on Monday. The company reported $0.11 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.09 by $0.02, FiscalAI reports. The firm had revenue of $30.80 million for the quarter, compared to analyst estimates of $29.02 million. Paysign had a return on equity of 30.13% and a net margin of 15.67%.

Here are the key takeaways from Paysign's conference call:

• Paysign reported record third-quarter revenue of $30.8 million, up 43%, with net income rising more than 200% to $6.7 million. Patient affordability revenue more than doubled, and gross margin expanded 840 basis points to 64.7% as the higher-margin business grew.
• The company expects 2026 revenue of $114 million–$117 million and raised its outlook for profitability, forecasting gross margin of 63.5%–64.5%, net income of $23 million–$24 million, and Adjusted EBITDA of $38.5 million–$40 million. It expects to end the year with 190–195 active affordability programs.
• A plasma customer is moving 113 centers to another provider by year-end, reducing fourth-quarter revenue by an estimated $1.5 million and gross profit by $700,000. Paysign expects to end 2026 with 445–450 centers, down from 562 at quarter-end, though management expects new centers to offset the loss over the next few quarters.
• Apherion’s donor management system remains under regulatory review, with no approval timeline provided. Management said interest is strong in the U.S. and Europe and expects a faster commercial ramp once the product is cleared.

Paysign Stock Performance

Paysign stock traded down $2.18 during mid-day trading on Monday, reaching $12.51. The stock had a trading volume of 2,641,194 shares, compared to its average volume of 740,079. The firm has a market capitalization of $706.31 million, a PE ratio of 48.12 and a beta of 0.92. Paysign has a fifty-two week low of $3.08 and a fifty-two week high of $16.15. The stock's 50-day simple moving average is $13.87 and its 200-day simple moving average is $8.60.

Wall Street Analysts Forecast Growth

PAYS has been the subject of several research analyst reports. Barrington Research set a $15.00 price objective on shares of Paysign in a research note on Tuesday, August 11th. Wall Street Zen lowered shares of Paysign from a "strong-buy" rating to a "buy" rating in a research note on Sunday, August 16th. Lake Street Capital raised their price target on shares of Paysign from $13.00 to $15.00 and gave the stock a "buy" rating in a report on Tuesday, September 15th. DA Davidson lifted their price target on shares of Paysign from $12.00 to $15.00 and gave the company a "buy" rating in a research note on Wednesday, September 30th. Finally, Weiss Ratings upgraded shares of Paysign from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, October 8th. Three analysts have rated the stock with a Buy rating. According to data from MarketBeat.com, Paysign currently has a consensus rating of "Buy" and an average price target of $15.00.

Insider Transactions at Paysign

In related news, CEO Mark Newcomer sold 50,000 shares of the stock in a transaction on Friday, October 9th. The stock was sold at an average price of $15.34, for a total value of $767,000.00. Following the transaction, the chief executive officer directly owned 9,113,002 shares in the company, valued at $139,793,450.68. This trade represents a 0.55% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Jeffery Baker sold 35,000 shares of Paysign stock in a transaction on Wednesday, August 12th. The shares were sold at an average price of $12.62, for a total transaction of $441,700.00. Following the completion of the sale, the chief financial officer directly owned 542,171 shares of the company's stock, valued at approximately $6,842,198.02. The trade was a 6.06% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 294,904 shares of company stock valued at $3,844,124 over the last ninety days. Company insiders own 24.50% of the company's stock.

About Paysign

Paysign, Inc NASDAQ: PAYS is a financial technology company that provides payment and prepaid card solutions for businesses and organizations. Its platform supports the issuance, distribution and management of branded prepaid cards and other electronic payment products, helping clients deliver funds to consumers and program participants.

The company serves several specialized markets, including plasma collection centers, pharmaceutical manufacturers and other healthcare-related organizations.

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