Nayax Ltd reported second quarter 2026 revenue of $122.6 million, representing a 28% increase from $95.6 million in the same period last year. The global commerce payments platform delivered organic revenue growth of 24% year-to-date, underpinned by expanding transaction volumes and a growing installed base that surpassed 1.55 million devices. Despite reporting a GAAP net loss of $10.1 million due to significant non-cash stock-based compensation expenses, the company generated adjusted EBITDA of $14.1 million and reaffirmed its full-year 2026 revenue and adjusted EBITDA guidance.

The results reflect strong execution across Nayax’s core business segments, with recurring revenue from SaaS subscriptions and payment processing fees rising 24% to $87.7 million. This segment now constitutes 72% of total revenue, highlighting the company’s shift toward high-margin, predictable income streams. Gross margin for total revenue stood at 46.9%, down slightly from 48.3% in the prior-year period, primarily due to product mix shifts in hardware sales where lower-margin EV charging equipment from Lynkwell accounted for approximately 65% of hardware revenue growth.

Financial Performance Breakdown

Recurring margin improved to 54.3% from 52.8%, driven by renegotiated contracts with bank acquirers and enhanced smart-routing capabilities. Payment processing margins rose to 40.5% from 39.1%, while SaaS margins increased to 76.4% from 74.2%. Conversely, hardware margins declined to 28.1% from 35.4%, reflecting the integration of Lynkwell’s capital-intensive business model and higher freight costs.

Operational Metrics

Transaction activity continued to accelerate, with total transaction value growing 29.1% to $2.1 billion. The number of processed transactions increased 12.3% to 815 million, while the customer base expanded by 19.8% to 125,400 merchants. Average revenue per unit (ARPU) rose 12.6% to $251, fueled by the conversion of cash-based machines to cashless systems and expansion into high-value verticals such as electric vehicle charging and amusement facilities.

What the Numbers Show

The divergence between GAAP net income and adjusted profitability metrics warrants close attention. The reported net loss of $10.1 million contrasts sharply with adjusted net income of $6.0 million, primarily due to $12.4 million in stock-based compensation expenses linked to new long-term incentive plans for senior leadership. While these non-cash charges pressure headline earnings, they signal management’s commitment to aligning executive interests with shareholder value over the long term. Additionally, free cash flow turned negative at $(13.1) million, reflecting accelerated investments in financial services infrastructure and EV charging market share, rather than operational deterioration.

Strategic Developments and Outlook

Nayax filed an application to establish Nayax America Bank Inc. under Connecticut’s Innovation Bank Charter framework, aiming to launch embedded banking products including corporate cards and working-capital solutions in North America. The company also expanded into Panama and North Macedonia, strengthening its presence in Latin America and the Balkans. For full-year 2026, Nayax maintains revenue guidance of $510 million to $520 million and adjusted EBITDA guidance of $85 million to $90 million, though it revised free cash flow conversion expectations downward to 5-10% from 40%, citing timing of cash flows related to strategic investments.

Nayax Ltd., a global commerce enablement and payments platform, will release its earnings for the second quarter of 2026 on Monday, August 10, 2026, before U.S. markets open. The announcement will provide insights into the company's financial performance and operational progress during the period.

Conference Call Details

Nayax will hold two conference calls to discuss the results, one in English and one in Hebrew. The English call is scheduled for 8:30 a.m. Eastern Time, while the Hebrew call will follow at 9:30 a.m. Eastern Time. Key executives, including CEO and Chairman Yair Nechmad, CFO Sagit Manor, and Chief Strategy Officer Aaron Greenberg, will lead the discussions.

Access Information

Participants are encouraged to pre-register for the English call to receive a unique PIN for immediate access. Dial-in numbers and a webcast link are also available for those who cannot pre-register. The Hebrew call can be accessed via a separate Microsoft Teams link.

Replay Availability

A replay of the conference calls will be accessible until August 24, 2026. Participants can dial the replay numbers or visit the Nayax Investor Relations website to access the archive.

Nayax operates as a payment facilitator with a focus on unattended retail, offering solutions for cashless payments, management, and loyalty tools. As of March 31, 2026, the company had approximately 1,200 employees and connections to over 80 merchant acquirers.