Repay Holdings Corporation.: Discontinuation of Coverage

研报英文原文证据摘录

Repay Holdings Corporation.: Discontinuation of Coverage

ise noted, all metrics are based on Morgan Stanley ModelWare

Recent initiatives could support improvement in the underlying business, while framework** = Based on consensus methodology

the KUBRA acquisition drives scale. Following a year of transition marked by the §e == MorganConsensusStanleydataResearchis providedestimatesby Refinitiv Estimates

company’s strategic review (March–May 2025), the departure of its CFO, and certain Quarterly EPS ($)

customer churn, we are encouraged by Repay’s commitment to necessary 2026e 2026e 2027e 2027e

Quarter 2025 Prior Current Prior Current

investments in sales and customer support, enhancing software integrations, hiring Q1 0.22 0.21 0.22 0.23 0.30

new group leaders, and advancing monetization initiatives (e.g., TotalPay migration Q2 0.20 0.21 0.28 0.24 0.18

Q3 0.21 0.21 0.20 0.24 0.28

etc.). We believe investors could turn more constructive if the company Q4 0.19 0.22 0.20 0.24 0.25

demonstrates that these initiatives are supporting top line growth and/or margin e = Morgan Stanley Research estimates

expansion and driving consistent new customer wins. The recently closed KUBRA

acquisition meaningfully increases scale for Repay, as it's expected to contribute ~

$150M to FY26 revenue for the remaining 7 months, albeit at lower margins (Kubra

FY25 EBITDA margins were ~21% vs. RPAY at ~42%). Management believes the >

$130B in combined annual payment volume across diverse growth markets,

including expansion into government and utilities verticals, should support long-

term growth, with these underlying verticals growing approximately ~MSD–HSD.

We believe KUBRA’s non-discretionary end-market exposure should help offset