Payoneer Reports 55 Pct Jump In Payments Volume For 2020

Payoneer announced its fourth-quarter and 2020 financial highlights, marking an increase in volume between the fourth quarters of 2019 and 2020 and the two years overall.

The global payments platform, whose clients range from small and medium-sized businesses (SMBs) to Airbnb and Amazon, said payments volume increased by 55 percent to $13.9 billion, compared to $9 billion in 2019. For the full year, payments volume increased by 53 percent to $44.4 billion, up from $29 billion in 2019.

SMBs have been making the shift toward digital for a decade, but the last year has rocketed this innovation forward, Iain McNicoll, Payoneer’s vice president for SMBs in the Americas, told PYMNTS recently.

“The stat that we’ve seen around a lot … recently is that the percentage of retail transactions that are being done online has grown as much during the pandemic as it had in the prior 10 years,” he said. “So clearly, the trend is growing — and SMBs are all understanding it’s time to grow with it.”

The platform saw an 11 percent increase in revenue during the same period. Payoneer recorded revenue of $94.7 million, up from $85.3 million the previous year. For the full year, revenues rose 9 percent, from $317.8 million in 2019 to $345.6 million last year.

Fourth-quarter transaction profit jumped 20 percent from $58.8 million in 2019 to $70.8 million in 2020’s fourth quarter. For the full year, transaction profit increased 11 percent, $248.6 million compared to $223 million in 2019.

“2020 was another strong year for Payoneer as we witnessed the continued digitalization of global commerce and the unique value that the Payoneer platform plays in enabling small and large businesses to accelerate their growth,” CEO Scott Galit said in a news release.

The company, which was founded in Israel 15 years ago and operates in more than 200 nations and territories, aims to reach $64 billion in payments volume in 2021, as well as hit $443 million in revenue and transaction profits of $311 million.

The earnings announcement comes as Payoneer prepares to become a public company via a merger with FTAC Olympus Acquisition Corp, a deal with values Payoneer at $3.3 billion.

Payoneer expects the merger to be completed in the second quarter of this year.