- MoneyGram International has announced its latest quarter results, which saw digital transactions going up by a third compared to last year.
- Cross-border payments also went up, though revenue from money transfer services was at US$300m, which represented a decrease when assessed on a reported basis.
- “Our ability to serve customers directly at scale is enabling the company to navigate continued global volatility, and we’re excited to report that digital transactions now account for over 40% of our money transfer business,” the company said in a statement.
MoneyGram International, a leading provider of online money transfer services, has announced its Q1 results.
The company confirmed in a press release that its digital revenues had skyrocketed to an all-time-high point.
It is believed that revenues through that vertical reached US$83m, which reflects 40% of money transfer transactions. This was by the end of Q1 2022.
Overall, digital transactions went up by a third compared to the last year.
Cross-border payments carried out online, meanwhile, went up by just over one-fifth on a year-on-year basis.
In total, revenue from money transfer services was close to US$300m, which represented a decrease when assessed on a reported basis.
Overall, money transfer transactions for the firm went up by 4% on a year-on-year basis.
Alex Holmes, MoneyGram’s chair and chief executive officer, said that the “record” revenue and high levels of customer retention meant that the results were up.
“Record high digital revenue, strong customer retention rates and overall international growth drove strong first quarter results,” he explained.
He added that helping customers “at scale” allowed the firm to manage volatility around the world.
“Our ability to serve customers directly at scale is enabling the company to navigate continued global volatility, and we're excited to report that digital transactions now account for over 40% of our money transfer business,” he explained.
In a statement, the company spoke at length about the recent purchase of shares by Madison Dearborn Partners and that the deal was expected to be wrapped up by the end of the calendar year.
“As recently announced, MoneyGram entered into a definitive agreement under which funds affiliated with Madison Dearborn Partners will acquire all outstanding shares of MoneyGram for $11.00 per share in an all-cash transaction valued at approximately $1.8 billion,” it said.
“The transaction is expected to close in the fourth quarter of 2022, subject to customary closing conditions, including approval by MoneyGram shareholders and receipt of regulatory approvals, including required approvals in various jurisdictions related to money transmitter licenses.”
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