Latest news with #GlobalBlue
Yahoo
a day ago
- Business
- Yahoo
Global Blue Reports FY24/25 Financial Results in Line With Guidance
Full-year Group revenue rose 20% YoY, reaching €508 million and reflecting robust growth Record-breaking Adjusted EBITDA(1) of €202m, delivering a 36% YoY increase, in line with the financial guidance communicated in September 2023 and reiterated in 2024 Adjusted EBITDA margin rose to 39.8%, up 4.6pts YoY, reflecting a 63% drop-through(2) Shift4's acquisition of Global Blue expected to close during the third quarter of calendar year 2025. SIGNY, Switzerland, June 04, 2025--(BUSINESS WIRE)--Global Blue Group Holding AG (NYSE:GB and today announces its financial results for the fourth quarter and twelve-month period ended March 31, 2025. Global Blue's CEO, Jacques Stern, commented: "We are pleased to report a strong yearly performance with 20% revenue growth, in line with Sales-in-Store growth. Once again, we have significantly outperformed the luxury market thanks to our unique exposure to high net worth and affluent shoppers". "This robust growth, combined with our high operating leverage, led to a 36% increase in Adjusted EBITDA and a 4.6pt increase in margin, resulting in Adjusted EBITDA rising to €202 million, marking the first time in 45 years that Global Blue has achieved this milestone". "On February 18, 2025, we reached a strategic turning point in our journey with the announcement of Global Blue's acquisition by Shift4. The transaction, valued at approximately $2.5 billion, is progressing as planned and is expected to close during the third quarter of calendar year 2025". EXECUTIVE SUMMARY Strong financial performanceIn Q4 FY24/25, the Group achieved 20% year-over-year revenue growth to €127 million, and 43% year-over-year Adjusted EBITDA growth to €49 million. For FY24/25, this resulted in a 20% year-over-year increase in revenue to €508 million and a 36% year-over-year increase in Adjusted EBITDA to €202 million, with an Adjusted EBITDA margin of 39.8% and drop-through of 63%. Furthermore, continued strong cash conversion significantly reduced the net leverage ratio(3) to 2.4x at the end of March 2025, from 3.4x at the end of March 2024, successfully achieving the Group's long-term target of <2.5x early. Shift4 acquisition of Global BlueOn February 16, 2025, Global Blue and Shift4 entered into a definitive agreement under which Shift4 will acquire 100% of Global Blue shares. Under the terms of the definitive agreement, Shift4 has agreed to acquire Global Blue for $7.50 per common share in cash, representing a 15% premium to Global Blue's closing share price as of February 14, 2025, through a tender offer and a subsequent statutory merger. Shift4 has agreed to acquire Global Blue's Series A Preferred shares at $10.00 per preferred share and Series B Preferred shares at $11.81 per preferred share. Upon completion of the transaction, Global Blue's common and preferred stock will no longer be listed on any public stock exchange. Global Blue warrant holders will be able to exercise their warrants prior to their maturity in August 2025. The acquisition has been unanimously approved by the boards of directors of Shift4 and Global Blue, and the board of directors of Global Blue has unanimously resolved that it will recommend to the Global Blue shareholders to accept the tender offer. The transaction is expected to close during the third quarter of calendar year 2025, subject to regulatory approvals, other customary closing conditions, and a minimum tender of 90% of Global Blue's issued and outstanding common shares and preferred shares on a combined basis, for which over 90% of such shares have been tendered. FINANCIAL PERFORMANCE Q4 FY24/25 Financial Performance €M Q4 FY22/23 Q4 FY23/24 Q4 FY24/25 Q4 FY24/25 vs. Q4 FY23/24 Revenue Tax Free Shopping Solutions Payments Post-Purchase Solutions 62.4 17.7 6.7 76.6 21.7 6.9 93.7 24.4 8.7 Revenue 86.8 105.2 126.8 20% Variable costs (22.0) (26.9) (29.1) Contribution(4) 64.8 78.3 97.7 25% Fixed costs (43.5) (44.4) (49.2) Adjusted EBITDA Adjusted EBITDA Margin (%) 21.3 24.5% 33.9 32.3% 48.5 38.2% 43% +5.9pts Adjusted Depreciation & Amortization (9.7) (11.8) (13.6) Net Finance Costs (9.0) (13.8) (11.7) Adjusted Profit before Tax 2.5 8.4 23.2 176% Adjusted Income Tax Expense (3.1) (5.5) (7.3) Non-Controlling Interests (0.4) (1.3) (1.9) Adjusted Net Income Group Share (1.0) 1.6 14.1 769% RevenueThe Group delivered revenue of €126.8 million, a 20% year-over-year increase, driven by a solid performance across all business lines. Tax Free Shopping Solutions delivered revenue growth of 22% year-over-year, reaching €93.7 million, benefiting from strong progression of Sales-in-Store(5). Continental Europe reached €77.8 million, a 24% year-over-year increase, while Asia Pacific reached €16.0 million, a 15% year-over-year increase. Payments delivered revenue of €24.4 million, a 12% year-over-year increase, outperforming nearly flat Sales-in-Store performance, predominantly driven by pricing increases. Post-Purchase Solutions delivered revenue growth of 25% year-over-year, reaching €8.7 million, driven by a strong performance in the ZigZag business. ContributionGiven the strong focus on variable cost optimization, the Group delivered a contribution of €97.7 million, a 25% year-over-year increase, and maintained a high level of contribution margin with Tax Free Shopping Solutions at 88%, FX Solutions at 94%, and Post-Purchase Solutions at 50%. Adjusted EBITDAStrong revenue growth together with Global Blue's high operating leverage profile resulted in an Adjusted EBITDA of €48.5 million, a 43% year-over-year increase. Adjusted EBITDA margin expanded by 5.9pts to 38.2%, with a 68% drop-through. FY24/25 Financial Performance €M FY22/23 FY23/24 FY24/25 FY24/25 vs. FY23/24 Revenue Tax Free Shopping Solutions Payments Post-Purchase Solutions 228.8 61.8 20.9 311.7 83.0 27.5 384.5 93.2 30.2 Revenue 311.5 422.3 507.9 20% Variable costs (78.8) (100.4) (112.3) Contribution 232.7 321.9 395.6 23% Fixed costs (154.8) (173.3) (193.2) Adjusted EBITDA Adjusted EBITDA Margin(%) 78.0 25.0% 148.7 35.2% 202.4 39.8% 36% +4.6pts Adjusted Depreciation & Amortization (36.7) (39.4) (50.0) Net Finance Costs (36.6) (50.3) (55.2) Adjusted Profit before Tax 4.7 59.0 97.2 65% Adjusted Income Tax Expense (10.6) (25.1) (33.0) Non-Controlling Interests (2.1) (7.0) (9.3) Adjusted Net Income Group Share (8.1) 26.9 54.9 104% RevenueThe Group delivered revenue of €507.9 million, a 20% year-over-year increase, driven by a particularly strong performance in Tax Free Shopping Solutions. Tax Free Shopping Solutions delivered revenue of €384.5 million, a 23% year-over-year increase, benefiting from strong progression in Sales-in-Store. Revenue in Continental Europe reached €321.3 million, a 21% year-over-year increase, while revenue in Asia Pacific reached €63.2 million, a 35% year-over-year increase. Payments delivered revenue of €93.2 million, a 12% year-over-year increase, ahead of the 4% growth in Sales-in-Store, driven by the increased margin on treasury gains and pricing evolution. Revenue in FX Solutions reached €43.4 million, a 6% year-over-year increase, while revenue in Acquiring reached €48.1 million, a 18% year-over-year increase, and revenue in the Hospitality Gateway business reached €1.7million, a 30% year-over-year increase. Post-Purchase Solutions delivered revenue of €30.2 million, a 10% year-over-year increase. ContributionGiven the strong focus on variable cost optimization, the Group delivered a contribution of €395.6 million, a 23% year-over-year increase, and maintained a high level of contribution margin with Tax Free Shopping Solutions at 86%, FX Solutions at 94% and Post-Purchase Solutions at 56%. Adjusted EBITDAThe Group delivered Adjusted EBITDA of €202.4 million in FY24/25, a 36% year-over-year increase, reflecting strong revenue growth and the high operating leverage profile of the business. Adjusted EBITDA margin improved by 4.6pts to 39.8%, with a 63% drop-through. Consequently, there has been a continued improvement in the LTM Adjusted EBITDA to €202 million, up from €188 million in the previous quarter. Adjusted Profit before TaxThe Group delivered Adjusted Profit Before Tax of €97.2 million in FY24/25, a 65% year-over-year increase. The strong growth reflects the increase in Adjusted EBITDA, partially offset by a €10.6 million increase in depreciation and amortization, largely attributed to increased capital expenditure in improving the technology base over the last two years, and a €4.9 million increase in net finance costs due to higher interest expenses during the period. Cash Flow, Balance Sheet, and Net DebtAdjusted EBITDA less capital expenditure increased by €42.2 million year-over-year to €151.5 million. This increase, combined with the normalization in Working Capital, and considering lease payments, interest and income tax, contributed to an increase in Free Cash Flow(6) of €34.9 million to €57.3 million vs. €22.4 million in the same period last year. As at March 31, 2025, Group Net Debt(7) decreased to €487.7 million, consisting of Gross Financial Debt of €611.5 million and Cash & Cash Equivalents of €123.8 million, resulting in a net leverage ratio of 2.4x, a significant improvement from 3.4x at March 31, 2024, and successfully achieving the Group long-term target of <2.5x early. 1The table below provides a reconciliation between Profit and Adjusted EBITDA. For the three months ended March 31 For the twelve months ended March 31 €M 2025 2024 2025 2024 Profit for the period 14.7 (5.7) 93.6 20.9 Profit margin (%) 11.6% (5.4)% 18.4% 5.0% Income Tax Expense 6.6 5.1 41.8 26.6 Net Finance Costs 11.7 14.1 (0.7) 50.3 Exceptional Items* 0.8 7.5 13.3 7.0 Depreciation & Amortization 14.7 12.9 54.4 43.8 Adjusted EBITDA 48.5 33.9 202.4 148.7 Adjusted EBITDA Margin (%) 38.2% 32.3% 39.8% 35.2% *Exceptional Items consist of items which Global Blue does not consider indicative of its ongoing operating and financial performance, not directly related to ordinary business operations and which are not included in the assessment of management performance.2Drop-through refers to the portion of Revenue growth that drops through to the Adjusted EBITDA line.3Net Leverage refers to Net Debt divided by the last 12 months Adjusted EBITDA.4Contribution refers to revenue less variable costs.5Sales-in-Store refers to the Issued Sales-In-Store (Spend), like-for-like (at constant merchant scope and exchange rates). 6The table below provides a reconciliation of Free Cash Flow. €M FY24/25 FY23/24 Net increase / (decrease) in cash and cash equivalents 36.3 (153.1) Net payments / (proceeds) from loans and borrowings, and related costs 4.2 204.7 Net payments / (proceeds) from issuance of share capital, and related costs 1.5 (44.0) Dividends Net acquisitions of assets 2.8 (1.0) 3.2 (3.8) Net foreign exchange difference (2.9) (0.3) Acquisition of treasury shares 3.4 - Payment of hedge instrument 3.0 - Payments of NCI put options 2.4 Other movements 7.6 15.6 Free Cash Flow 57.3 22.4 7The table below provide a reconciliation of net debt. €M FY24/25 FY23/24 IFRS Net Debt 444.5 525.0 Lease liabilities - repayable within one year (12.1) (8.8) Lease liabilities - repayable after one year (23.4) (14.8) Capitalized financing cost 23.6 23.8 Gain from debt modification 55.9 - Borrowings – repayable within one year (0.8) (0.9) Net Debt 487.7 524.3 WEBCAST INFORMATIONAn audio recording of commentary on the results, along with supplemental financial information, can be accessed via the Investor Relations section of the company's website at Global Blue Group Holding AG - Investor Relations. ANNUAL REPORTGlobal Blue's Annual Report on Form 20-F can be accessed by visiting either the SEC's website at or the Company's website at Global Blue Group Holding AG - Investor Relations. In addition, the Company's shareholders may receive a hard copy of the Form 20-F, which includes the Company's audited financial statements, free of charge by requesting a copy from the Company contact below. NON-IFRS FINANCIAL MEASURESThis press release contains certain Non-IFRS Financial Measures. These non-IFRS measures may not be indicative of Global Blue's historical operating results nor are such measures meant to be predictive of Global Blue's future results. Not all companies calculate non-IFRS measures in the same manner or on a consistent basis. As a result, these measures and ratios may not be comparable to measures used by other companies under the same or similar names. Accordingly, undue reliance should not be placed on the non-IFRS measures presented in this press release. FORWARD-LOOKING STATEMENTSThis press release contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding Global Blue or its management's expectations, hopes, beliefs, intentions, or strategies regarding the future. The words "anticipate," "believe", "continue", "could", "estimate", "expect", "intends", "may", "might", "plan", "possible", "potential", "predict", "project", "should", "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements are based on Global Blue's current expectations and beliefs concerning future developments and their potential effects on Global Blue. There can be no assurance that the future developments affecting Global Blue will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond Global Blue's control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These include commercial expectations and other external factors, including the potential closing of the proposed acquisition of Global Blue and considerations related to such transaction, political, legal, fiscal, market and economic conditions and factors affecting travel and traveller shopping, including the global COVID-19 pandemic and applicable legislation, regulations and rules (including, but not limited to, accounting policies and accounting treatments), movements in foreign exchange rates, inflation and other factors described under "Risk Factors" in Global Blue's Annual Report on Form 20-F for the fiscal year ended March 31, 2024 filed with the Securities and Exchange Commission (the "SEC"), and in other reports we file from time to time with the SEC, all of which are difficult to predict and are beyond Global Blue's control. Except as required by law, Global Blue is not undertaking any obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. ABOUT GLOBAL BLUEGlobal Blue is the business partner for the shopping journey, providing technology and services to enhance the experience and drive performance. With over 40 years of expertise, today we connect thousands of retailers, acquirers, and hotels with nearly 80 million consumers across more than 53 countries, in three industries: Tax Free Shopping, Payments and Post-Purchase solutions. With over 2,000 employees, Global Blue generated €32.9bn Sales-in-Store and €507.9M revenue in FY 2024/25. Global Blue is listed on the New York Stock Exchange. For more information, please visit Source: Global Blue View source version on Contacts FOR FURTHER INFORMATION Virginie Alem, Chief Marketing Officer, valem@ Roxane Dufour, Group CFO, rdufour@ Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Wire
a day ago
- Business
- Business Wire
Global Blue Reports FY24/25 Financial Results in Line With Guidance
SIGNY, Switzerland--(BUSINESS WIRE)--Global Blue Group Holding AG (NYSE:GB and today announces its financial results for the fourth quarter and twelve-month period ended March 31, 2025. Global Blue's CEO, Jacques Stern, commented: 'We are pleased to report a strong yearly performance with 20% revenue growth, in line with Sales-in-Store growth. Once again, we have significantly outperformed the luxury market thanks to our unique exposure to high net worth and affluent shoppers'. 'This robust growth, combined with our high operating leverage, led to a 36% increase in Adjusted EBITDA and a 4.6pt increase in margin, resulting in Adjusted EBITDA rising to €202 million, marking the first time in 45 years that Global Blue has achieved this milestone'. 'On February 18, 2025, we reached a strategic turning point in our journey with the announcement of Global Blue's acquisition by Shift4. The transaction, valued at approximately $2.5 billion, is progressing as planned and is expected to close during the third quarter of calendar year 2025'. EXECUTIVE SUMMARY Strong financial performance In Q4 FY24/25, the Group achieved 20% year-over-year revenue growth to €127 million, and 43% year-over-year Adjusted EBITDA growth to €49 million. For FY24/25, this resulted in a 20% year-over-year increase in revenue to €508 million and a 36% year-over-year increase in Adjusted EBITDA to €202 million, with an Adjusted EBITDA margin of 39.8% and drop-through of 63%. Furthermore, continued strong cash conversion significantly reduced the net leverage ratio (3) to 2.4x at the end of March 2025, from 3.4x at the end of March 2024, successfully achieving the Group's long-term target of <2.5x early. Shift4 acquisition of Global Blue On February 16, 2025, Global Blue and Shift4 entered into a definitive agreement under which Shift4 will acquire 100% of Global Blue shares. Under the terms of the definitive agreement, Shift4 has agreed to acquire Global Blue for $7.50 per common share in cash, representing a 15% premium to Global Blue's closing share price as of February 14, 2025, through a tender offer and a subsequent statutory merger. Shift4 has agreed to acquire Global Blue's Series A Preferred shares at $10.00 per preferred share and Series B Preferred shares at $11.81 per preferred share. Upon completion of the transaction, Global Blue's common and preferred stock will no longer be listed on any public stock exchange. Global Blue warrant holders will be able to exercise their warrants prior to their maturity in August 2025. The acquisition has been unanimously approved by the boards of directors of Shift4 and Global Blue, and the board of directors of Global Blue has unanimously resolved that it will recommend to the Global Blue shareholders to accept the tender offer. The transaction is expected to close during the third quarter of calendar year 2025, subject to regulatory approvals, other customary closing conditions, and a minimum tender of 90% of Global Blue's issued and outstanding common shares and preferred shares on a combined basis, for which over 90% of such shares have been tendered. Q4 FY24/25 Financial Performance Revenue The Group delivered revenue of €126.8 million, a 20% year-over-year increase, driven by a solid performance across all business lines. Tax Free Shopping Solutions delivered revenue growth of 22% year-over-year, reaching €93.7 million, benefiting from strong progression of Sales-in-Store (5). Continental Europe reached €77.8 million, a 24% year-over-year increase, while Asia Pacific reached €16.0 million, a 15% year-over-year increase. Payments delivered revenue of €24.4 million, a 12% year-over-year increase, outperforming nearly flat Sales-in-Store performance, predominantly driven by pricing increases. Post-Purchase Solutions delivered revenue growth of 25% year-over-year, reaching €8.7 million, driven by a strong performance in the ZigZag business. Contribution Given the strong focus on variable cost optimization, the Group delivered a contribution of €97.7 million, a 25% year-over-year increase, and maintained a high level of contribution margin with Tax Free Shopping Solutions at 88%, FX Solutions at 94%, and Post-Purchase Solutions at 50%. Adjusted EBITDA Strong revenue growth together with Global Blue's high operating leverage profile resulted in an Adjusted EBITDA of €48.5 million, a 43% year-over-year increase. Adjusted EBITDA margin expanded by 5.9pts to 38.2%, with a 68% drop-through. Revenue The Group delivered revenue of €507.9 million, a 20% year-over-year increase, driven by a particularly strong performance in Tax Free Shopping Solutions. Tax Free Shopping Solutions delivered revenue of €384.5 million, a 23% year-over-year increase, benefiting from strong progression in Sales-in-Store. Revenue in Continental Europe reached €321.3 million, a 21% year-over-year increase, while revenue in Asia Pacific reached €63.2 million, a 35% year-over-year increase. Payments delivered revenue of €93.2 million, a 12% year-over-year increase, ahead of the 4% growth in Sales-in-Store, driven by the increased margin on treasury gains and pricing evolution. Revenue in FX Solutions reached €43.4 million, a 6% year-over-year increase, while revenue in Acquiring reached €48.1 million, a 18% year-over-year increase, and revenue in the Hospitality Gateway business reached €1.7million, a 30% year-over-year increase. Post-Purchase Solutions delivered revenue of €30.2 million, a 10% year-over-year increase. Contribution Given the strong focus on variable cost optimization, the Group delivered a contribution of €395.6 million, a 23% year-over-year increase, and maintained a high level of contribution margin with Tax Free Shopping Solutions at 86%, FX Solutions at 94% and Post-Purchase Solutions at 56%. Adjusted EBITDA The Group delivered Adjusted EBITDA of €202.4 million in FY24/25, a 36% year-over-year increase, reflecting strong revenue growth and the high operating leverage profile of the business. Adjusted EBITDA margin improved by 4.6pts to 39.8%, with a 63% drop-through. Consequently, there has been a continued improvement in the LTM Adjusted EBITDA to €202 million, up from €188 million in the previous quarter. Adjusted Profit before Tax The Group delivered Adjusted Profit Before Tax of €97.2 million in FY24/25, a 65% year-over-year increase. The strong growth reflects the increase in Adjusted EBITDA, partially offset by a €10.6 million increase in depreciation and amortization, largely attributed to increased capital expenditure in improving the technology base over the last two years, and a €4.9 million increase in net finance costs due to higher interest expenses during the period. Cash Flow, Balance Sheet, and Net Debt Adjusted EBITDA less capital expenditure increased by €42.2 million year-over-year to €151.5 million. This increase, combined with the normalization in Working Capital, and considering lease payments, interest and income tax, contributed to an increase in Free Cash Flow (6) of €34.9 million to €57.3 million vs. €22.4 million in the same period last year. As at March 31, 2025, Group Net Debt (7) decreased to €487.7 million, consisting of Gross Financial Debt of €611.5 million and Cash & Cash Equivalents of €123.8 million, resulting in a net leverage ratio of 2.4x, a significant improvement from 3.4x at March 31, 2024, and successfully achieving the Group long-term target of <2.5x early. 1 The table below provides a reconciliation between Profit and Adjusted EBITDA. *Exceptional Items consist of items which Global Blue does not consider indicative of its ongoing operating and financial performance, not directly related to ordinary business operations and which are not included in the assessment of management performance. 2 Drop-through refers to the portion of Revenue growth that drops through to the Adjusted EBITDA line. 3 Net Leverage refers to Net Debt divided by the last 12 months Adjusted EBITDA. 4 Contribution refers to revenue less variable costs. 5 Sales-in-Store refers to the Issued Sales-In-Store (Spend), like-for-like (at constant merchant scope and exchange rates). 6 The table below provides a reconciliation of Free Cash Flow. 7 The table below provide a reconciliation of net debt. WEBCAST INFORMATION An audio recording of commentary on the results, along with supplemental financial information, can be accessed via the Investor Relations section of the company's website at Global Blue Group Holding AG - Investor Relations. ANNUAL REPORT Global Blue's Annual Report on Form 20-F can be accessed by visiting either the SEC's website at or the Company's website at Global Blue Group Holding AG - Investor Relations. In addition, the Company's shareholders may receive a hard copy of the Form 20-F, which includes the Company's audited financial statements, free of charge by requesting a copy from the Company contact below. NON-IFRS FINANCIAL MEASURES This press release contains certain Non-IFRS Financial Measures. These non-IFRS measures may not be indicative of Global Blue's historical operating results nor are such measures meant to be predictive of Global Blue's future results. Not all companies calculate non-IFRS measures in the same manner or on a consistent basis. As a result, these measures and ratios may not be comparable to measures used by other companies under the same or similar names. Accordingly, undue reliance should not be placed on the non-IFRS measures presented in this press release. FORWARD-LOOKING STATEMENTS This press release contains certain 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding Global Blue or its management's expectations, hopes, beliefs, intentions, or strategies regarding the future. The words 'anticipate,' 'believe', 'continue', 'could', 'estimate', 'expect', 'intends', 'may', 'might', 'plan', 'possible', 'potential', 'predict', 'project', 'should', 'would' and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements are based on Global Blue's current expectations and beliefs concerning future developments and their potential effects on Global Blue. There can be no assurance that the future developments affecting Global Blue will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond Global Blue's control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These include commercial expectations and other external factors, including the potential closing of the proposed acquisition of Global Blue and considerations related to such transaction, political, legal, fiscal, market and economic conditions and factors affecting travel and traveller shopping, including the global COVID-19 pandemic and applicable legislation, regulations and rules (including, but not limited to, accounting policies and accounting treatments), movements in foreign exchange rates, inflation and other factors described under 'Risk Factors' in Global Blue's Annual Report on Form 20-F for the fiscal year ended March 31, 2024 filed with the Securities and Exchange Commission (the 'SEC'), and in other reports we file from time to time with the SEC, all of which are difficult to predict and are beyond Global Blue's control. Except as required by law, Global Blue is not undertaking any obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. ABOUT GLOBAL BLUE Global Blue is the business partner for the shopping journey, providing technology and services to enhance the experience and drive performance. With over 40 years of expertise, today we connect thousands of retailers, acquirers, and hotels with nearly 80 million consumers across more than 53 countries, in three industries: Tax Free Shopping, Payments and Post-Purchase solutions. With over 2,000 employees, Global Blue generated €32.9bn Sales-in-Store and €507.9M revenue in FY 2024/25. Global Blue is listed on the New York Stock Exchange. Source: Global Blue
CNBC
2 days ago
- Business
- CNBC
How tourists alerted this fund manager to sell Moncler before its stock plunge
In February, while luxury brand Moncler was still basking in the glow of a stellar 20% share price surge from January, fund manager Giles Parkinson made a contrarian move: he sold out. His decision, driven by subtle signals in tourist spending data, ultimately proved to be the right one. By the end of March, Moncler's shares had plummeted over 14%, and its subsequent first-quarter results in April confirmed a growth slowdown. MONC-IT YTD line "We sold out of Montcler," said Parkinson, head of equity at asset manager Trinity Bridge. "The reason, the proximate cause for that, in isolation, was a more cautious assessment of the future growth of the luxury industry than we had before." Parkinson's caution wasn't borne out of analyst reports, hushed industry whispers, or traditional financial modeling, but from what he called a "good short-term guide to luxury industry writ large": the spending patterns of international tourists. Tourism spending data as a proxy Parkinson, who manages about £5 billion ($6.7 billion) in assets across several funds, said his decision to close his Moncler position partly stemmed from data provided by Global Blue, a firm which helps tourists and retailers with tax refunds. Typically, tourists can claim a refund on the sales tax or value added tax component of their total bill, which is often significantly large when making high-end luxury goods purchases. "More than 50% of luxury goods purchases are made by people travelling," said Luca Solca, head of luxury goods equities research at Bernstein. "This was the situation pre Covid-19, and we are now back to it." Global Blue's data for Europe, which is a significant destination for luxury goods shoppers, indicated a year-on-year growth of +9% for February, a 10-percentage-point deceleration from the 19% recorded in January. "We found, on a month-to-month basis, that's quite a good proxy for almost the trading health of the overall luxury industry," Parkinson said. "There wasn't anything notable affecting the comparative period or calendar effects or travel disruption," Parkinson noted. This clean signal, free from obvious distorting factors, amplified its significance. Even Japan, another destination for luxury goods shoppers from China, "also showed a deceleration in February," albeit with some Chinese New Year timing nuances. The numbers, though, were unambiguous for Parkinson, telling a story which he expected the companies in the luxury goods sector to echo in a few weeks. The data-driven conclusion the Trinity Bridge fund manager had arrived at was also contrary to the market sentiment at the time, which was expecting a long rebound in the luxury sector after a trough at the end of 2024. "Our assessment was that investors were looking for acceleration. [Fourth quarter] 2024 being the bottom for luxury was maybe going to be mis-founded," Parkinson added. The divergence between his data-led view and market hopes was key to his decision to divest Moncler. Global Blue's weak February European shopper data released on March 5 did indeed work as a catalyst. Moncler's stock, which had traded buoyantly, reversed and gradually ended March with a painful 14.4% decline. Moncler confirms the trend Moncler's first quarter 2025 report on April 16, while not disastrous, painted a clear picture of a company navigating choppier waters. The group's global sales rose by 1% to 829 million euros ($936.4 million). Crucially, the flagship brand Moncler saw sales rise only 2% and its crucial Europe, Middle East, and Africa region fell by 1%. The softening trend in tourist spending lingered. Global Blue's March 2025 data, released on April 9th, showed European tax-free sales growth decelerating further to +7% year-on-year. Parkinson is also not alone in using alternative and publicly available data to make trading decisions, and its impact may not be limited to the luxury sector stocks. Deutsche Bank and RBC Capital Markets analysts have also cited the use of tax-free shopping data in their assessments. "While this is not a direct read on cross-border transactions, we view it as a strong proxy for certain key European and Asian markets," said Daniel Perlin, analyst at RBC who rates fintech companies such as Visa , Mastercard , PayPal and Shift4 . Bernstein's Solca said that while Global Blue is the "absolute leader" in the tax-free shopping data, he cautioned that investors should use it as only one factor in making investment decisions. "They are one piece of a bigger mosaic, I would think," Solca added.
Yahoo
20-05-2025
- Business
- Yahoo
Shift4 partners with UATP on travel payments
Integrated payments company Shift4 has teamed up with UATP to integrate the latter's patented technology into its payment infrastructure, with a focus on the global travel market. UATP operates a global network that facilitates payment types for businesses, including issuers, merchants, and corporate account holders. The integration is expected to provide enhanced tools and help merchants in travel industry with payment systems. UATP's capabilities include connecting companies to alternative forms of payment (AFPs) and offering data tools, DataStream and DataMine, which deliver account details to issuers and corporate account holders. UATP Merchant Solutions vice president Teresa Rivera said: 'We are thrilled to help enhance Shift4's acquiring solutions for the travel industry. UATP's technology has been developed to solve complex challenges in new and different ways, and we believe that Shift4 will be able to deliver exceptional value to its customers.' Shift4 global travel VP Jeremy Dyball stated: 'Our agreement with UATP will allow us to expand our capabilities in the travel industry while delivering a world-class solution to merchants. With UATP's innovative and state of the art technology, we're excited to increase the performance, reliability, and adaptability of our services to ensure we meet the evolving needs of our customers.' Earlier in February, Shift4 revealed plans to acquire Global Blue, a Swiss payments and technology firm, for $7.50 per common share in cash. The acquisition is expected to merge Global Blue's merchant solutions with Shift4's global payments platform. "Shift4 partners with UATP on travel payments " was originally created and published by Electronic Payments International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
13-05-2025
- Business
- Yahoo
Shift4 Payments, Inc. (FOUR): A Bull Case Theory
We came across a bullish thesis on Shift4 Payments, Inc. (FOUR) on Substack by Next 100 Baggers. In this article, we will summarize the bulls' thesis on FOUR. Shift4 Payments, Inc. (FOUR)'s share was trading at $83.26 as of May 7th. FOUR's trailing and forward P/E were 28.51 and 14.51 respectively according to Yahoo Finance. A businesswoman using a digital tablet, making a payment using the company's payment processing technology. Shift4 (FOUR) is quietly emerging as a fintech powerhouse, demonstrating exceptional operational execution despite headline distractions. The company just posted a strong first quarter, with payment volumes surging 35% year-over-year to $45 billion and revenue excluding network fees rising 40% to $369 million. EBITDA came in at $169 million, up 38%, with impressive 46% margins. Free cash flow was solid at $70.5 million, reflecting a healthy 42% conversion. The stock reacted positively, jumping 12% after earnings—a notable rebound following a period of underperformance driven by macro concerns such as tariffs, recession fears, and uncertainty surrounding founder Jared Isaacman's transition out of the CEO role. Isaacman, while stepping down as CEO to potentially take on a NASA mission, is far from exiting the company. He will remain Chairman and retain a 25% stake in the company's Class A shares. More significantly, he is converting his super-voting Class B and C shares into Class A, thereby relinquishing control and aligning his voting power with other shareholders. This move enhances corporate governance and eliminates a longstanding overhang for institutional investors. Taylor Lauber, who was already overseeing operations, will step in as CEO, ensuring strategic continuity. The core execution team remains intact, and the operating strategy continues unabated. Shift4's business model is clearly gaining momentum. The company acquires vertical software companies with established merchant bases and integrates them with its own payment solutions, driving synergies through bundling and cross-selling. This strategy is delivering tangible results. Revel now has over 7,000 locations live on Shift4's payments stack. Givex's loyalty and gift card technology is now embedded into SkyTab, Shift4's POS solution, and has already produced about 100 cross-sells. Eigen gateway customers are also transitioning to full-stack Shift4 payments. These efforts have already delivered $20 million in EBITDA synergies in Q1 alone, illustrating the power of its tightly integrated M&A flywheel. Internationally, Shift4's global expansion is rapidly scaling. Just two years ago, it operated on a single continent. Now it's active across six. In Europe, more than 1,000 restaurants are going live every month. In Latin America, the company is onboarding new enterprise customers, supported by acquisitions like Vectron and Givex that bring local distribution and software capabilities. The recently announced Global Blue deal adds a significant growth lever, unlocking access to over $500 billion in luxury retail flow and positioning Shift4 to benefit from tax-free shopping and dynamic currency conversion. That transaction alone is expected to generate $80 million in revenue synergies by 2027. Importantly, strategic partners like Ant Financial and Tencent will remain on the cap table following the deal's expected close in Q3, signaling continued global alignment. On the capital allocation front, Shift4 remains disciplined. The company repurchased $63 million in stock in Q1, demonstrating confidence in its valuation. Debt related to acquisitions is manageable, covered by a combination of growing EBITDA and free cash flow, and the company maintains a robust cash position of $1.1 billion. This financial flexibility supports continued M&A and shareholder returns without overextending the balance sheet. Compared to peers, Shift4 remains underappreciated. Toast has turned profitable but operates on razor-thin margins. Adyen offers premium infrastructure but trades at a full valuation. Shift4 sits comfortably in between—profitable, scaling quickly, and still mispriced by the market. The company has raised its full-year guidance, now projecting $1.66–1.73 billion in revenue excluding network fees and $840–865 million in adjusted EBITDA, while maintaining a volume outlook of $200–220 billion. With operating leverage becoming more visible, a clean leadership transition, successful global expansion, and M&A synergies translating into real margin growth, Shift4 presents a compelling opportunity. Its fundamentals are outpacing sentiment, offering investors an attractive entry point before the market fully prices in its growth trajectory. Shift4 Payments, Inc. (FOUR) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 38 hedge fund portfolios held FOUR at the end of the fourth quarter which was 27 in the previous quarter. While we acknowledge the risk and potential of FOUR as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than FOUR but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
