Priority Technology (PRTH) investor relations material

Executive summary

• FY 2025 revenue grew 8% year-over-year to $953.0 million, with adjusted gross profit up 14% to $374.7 million and adjusted EBITDA up 10% to $225.2 million; adjusted EPS rose 102% to $1.03.

• Q4 2025 revenue increased 9% year-over-year to $247.1 million, adjusted gross profit rose 19% to $100.2 million, and adjusted EBITDA climbed 16% to $60.1 million.

• Customer accounts on the commerce platform reached 1.8 million, with annual transaction volume at $150 billion.

• High-value Payables and Treasury Solutions segments contributed 62% of adjusted gross profit, supporting margin expansion.

• Acquisitions, including Dealer Merchant Services and DMS, expanded vertical reach and contributed to growth.

Financial highlights

• Q4 2025 revenue was $247.1 million (+8.8% YoY); full year 2025 revenue was $953.0 million (+8.3% YoY).

• Q4 adjusted gross profit: $100.2 million (+19.4% YoY); margin: 40.6% (+360 bps); full year margin: 39.3% (+200 bps).

• Adjusted EBITDA for FY 2025 was $225.2 million (+10.2% YoY); Q4 adjusted EBITDA was $60.1 million (+16.2% YoY).

• Free cash flow for Q4 was $28 million, with a run rate of $112 million annually ($1.34 per diluted share).

• Net leverage at year-end was 4.2x (3.9x pro forma for acquisitions); unrestricted cash was $77.2 million.

Outlook and guidance

• FY 2026 revenue guidance is $1.01–$1.04 billion (6–9% growth), with adjusted EBITDA of $230–$245 million.

• Adjusted gross profit expected at $405–$425 million, with gross margin expansion of 75–100 basis points.

• Merchant Solutions revenue growth forecast at 6–8% (3–4% organic); Payables organic growth at 8–10%; Treasury Solutions to see low double-digit growth.

• Guidance assumes a stable macro environment and incorporates expected interest rate declines.

• Margin offsets expected from lower interest rates and increased operating expenses for platform and team investments.