Nayax (NYAX) KBW Fintech & Payments Conference 2024 summary

Company overview and market position

• Operates globally in the unattended payments space, serving over 40 verticals such as vending, laundromats, parking, and EV charging, with presence in 120 countries and 11 offices.

• Manages 1.23 million devices out of an estimated 45 million global unattended devices, highlighting significant growth potential.

• Faces one large competitor in the U.S., but the market is fragmented internationally, with many small players and low market penetration.

• Offers a full end-to-end solution with proprietary hardware, software, and payment infrastructure, enabling IoT capabilities and operational insights for customers.

• Supports 80 payment methods in 50 currencies, acting as a payment facilitator with a global acquiring network.

Growth strategy and financial targets

• Targets $1 billion in revenue by 2028, aiming for 30%-35% annual growth, 50% margin, and 30% adjusted EBITDA.

• Growth is primarily organic, supported by a strong recurring revenue base (72% of total), high net retention (130%), and low churn.

• M&A supplements growth, focusing on acquiring companies with synergistic technology or geographic reach, typically in the $20-$100 million range.

• Recent acquisitions, such as Retail Pro and VM Tecnologia, were integrated to leverage payment infrastructure and cross-sell opportunities.

• Expanding into attended retail and new verticals, leveraging technology upgrades and ecosystem building for merchants.

Go-to-market and technology platform

• Utilizes a multi-channel approach: direct sales, distributors, OEM resellers, and an e-shop for small businesses.

• Demonstrates strong customer growth, adding 5,000-6,000 customers per quarter, with 91,000 total customers.

• Acquisitions like Retail Pro enhance reach in attended markets and enable cross-selling across verticals.

• Operates on a single core tech stack, facilitating integration of new verticals and acquired companies.

• Centralizes payment and loyalty platforms to streamline operations and support global expansion.