GICS Sector : Technology
Nayax Ltd., a fintech company, operates system and payment platform worldwide.The company offers VPOS TOUCH that provides contactless and contact payment options; VPOS FUSION, a cashless payment card reader; ONYX, a contactless card reader and telemetry device; AMIT 3.0, a M2M vending telemetry solution; NOVA 156, a points of sale(POS)-handheld smart POS terminal; NOVA 125,a combined dual interface product with a printer and a barcode scanner; NOVA 55, an android-based that enables clearing payments using swipe, contactless, and contact payment methods, as well as accepting alternative payment methods, such as digital wallets and tap on pay; and NOVA 45 and NOVA 40, a handheld mini smart terminals for attended POS.It also provides electric vehicle charging stations; and Monyx Wallet, a digital wallet app installed on the consumer's mobile phone that enables cashless payments using only the mobile phone.
Nayax Ltd. reported a robust financial performance in Q3 2025, with revenue increasing 26% year-over-year to $104.3 million, driven by 25% organic growth. Recurring revenue grew 29% to $77 million, representing 74% of total revenue. The company's gross margin expanded to 49.3%, driven by higher recurring and hardware margins. Adjusted EBITDA was $18.2 million, representing 17.5% of revenue. The company's net income was $3.5 million, with earnings per share (EPS) coming in at $0.09, below analyst estimates of $0.21. The company's financial performance was characterized by strong growth in key performance indicators, including a 35% increase in total transaction value to $1.8 billion and a 21% expansion in the customer base to nearly 110,000 customers.
Publication Date: Nov -30
The company's operational performance was marked by significant growth in its installed base of managed and connected devices, which rose 17% to over 1.4 million devices. Processing revenue increased 33% to $48 million, and hardware revenue grew 18% to $27 million. Nayax Ltd.'s strong operational performance was driven by its growing base of connected devices, recurring revenue, and strong customer retention. The company reiterated its organic revenue growth guidance of at least 25% for 2025, driven by enterprise hardware sales in the fourth quarter.
Nayax Ltd. expects strong momentum in the fourth quarter, driven by its growing base of connected devices, recurring revenue, and strong customer retention. The company updated its revenue guidance to $400-405 million, representing 27-29% growth. Adjusted EBITDA margin is expected to be at least 15%, with $60-65 million in adjusted EBITDA and at least 50% free cash flow conversion. The company targets an annual revenue growth of approximately 35% by 2028, driven by organic growth and strategic M&A.
Analysts estimate next year's revenue growth at 23.7%. Nayax Ltd.'s current valuation metrics include a P/E Ratio of 70.87, P/S Ratio of 4.37, and EV/EBITDA of 24.21. The company's ROE is 12.74%, and ROIC is 7.01%. With a strong growth trajectory and improving profitability, the company's valuation multiples may be justified. However, investors should monitor the company's ability to meet its growth guidance and maintain its profitability.
Nayax Ltd. made progress on its technology initiatives, including the rollout of Bipos Media in Australia and partnerships with Autel and LinQual. The company also signed a letter of intent to acquire Integral Vending, its exclusive distribution partner in Mexico, and completed the purchase of the remaining shares of Tigapo, bringing full ownership of its arcade gaming business. These strategic initiatives are expected to drive growth and expand the company's presence in key markets.
Nayax Announces Acquisition of Lynkwell
Dec -04
Nayax: Q3 Reinforces The Bull Case
Nov -20
Nayax Ltd. (NYAX) Q3 2025 Earnings Call Transcript
Nov -19
Nayax (NYAX) Lags Q3 Earnings and Revenue Estimates
Nov -19
Nayax Reports Third Quarter 2025 Results
Nov -19
Nayax Announces Connect LATAM 2025 for Regional Customers
Nov -05
Nayax to Report 2025 Q3 Earnings on November 19, 2025
Oct -30
Nayax and ChargeSmart EV Strategically Partner to Deliver Advanced Omnichannel Payment Solutions for U.S. EV Drivers
Oct -08
Nayax Ltd.'s Point of Sales Devices growth of 8.37% is driven by increasing adoption in cashless payments, rising demand for vending machine and kiosk integrations, and expansion into new markets. Additionally, the company's focus on innovative solutions, such as mobile payments and loyalty programs, contributes to its growth momentum.
Nayax Ltd's 10.27% growth in Payment Processing Fee is driven by increasing adoption of cashless payments, expansion into new markets, and strategic partnerships. Additionally, the company's innovative solutions, such as mobile payments and loyalty programs, are attracting more merchants and consumers, leading to higher transaction volumes and revenue growth.
Nayax Ltd.'s Software as a Service (SaaS) growth of 12.47% is driven by increasing demand for cashless payment solutions, expansion into new markets, and strategic partnerships. The company's innovative vending technology and data analytics capabilities also contribute to its growth, as well as the rising adoption of IoT and cloud-based services in the retail and vending industries.
A comprehensive cashless payment system that enables consumers to make payments using various methods such as credit cards, mobile payments, and more.
A cloud-based platform that provides real-time monitoring, remote machine management, and data analytics for vending operators.
A mobile payment app that enables users to make cashless payments, earn rewards, and track their spending habits.
A set of APIs that enable developers to integrate Nayax's payment and management capabilities into their own applications.
A data analytics platform that provides insights into consumer behavior, sales trends, and machine performance.
Nayax Ltd. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the increasing popularity of cashless payment systems.
Nayax Ltd. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's products and services are tailored to meet the specific needs of its customers, making it difficult for them to switch to alternative suppliers.
Nayax Ltd. relies on a few key suppliers for its hardware and software components. While the company has some bargaining power due to its volume of purchases, the suppliers still have some leverage due to the specialized nature of the components.
The threat of new entrants is low due to the high barriers to entry in the cashless payment systems market. Nayax Ltd. has established a strong brand and has developed a complex technology platform, making it difficult for new entrants to replicate its offerings.
The cashless payment systems market is highly competitive, with several established players competing for market share. Nayax Ltd. faces intense competition from companies such as USA Technologies and Cantaloupe Systems.
| Value | |
|---|---|
| Debt Weight | 34.34% |
| Debt Cost | 3.95% |
| Equity Weight | 65.66% |
| Equity Cost | 2.10% |
| WACC | 2.74% |
| Leverage | 52.31% |
Value: 3.4
Growth: 6.1
Quality: 5.3
Yield: 0.0
Momentum: 6.5
Volatility: 5.7
1-Year Total Return ->
Value: 1.9
Growth: 8.1
Quality: 6.0
Yield: 2.5
Momentum: 4.0
Volatility: 3.3
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Value: 5.3
Growth: 7.1
Quality: 3.4
Yield: 0.6
Momentum: 7.0
Volatility: 2.0
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Value: 6.3
Growth: 8.1
Quality: 4.8
Yield: 1.9
Momentum: 0.5
Volatility: 2.3
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Value: 0.2
Growth: 8.1
Quality: 5.1
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Volatility: 2.3
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Value: 3.3
Growth: 3.6
Quality: 4.1
Yield: 0.0
Momentum: 4.0
Volatility: 2.0
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