Remitly Global (RELY) Q2 2026 earnings summary

Executive summary

• Achieved record Q2 2026 revenue of $495.2 million, up 20% year-over-year, with net income of $205.9 million, including a $140.6 million discrete tax benefit from the U.S. valuation allowance release.

• Adjusted EBITDA rose 79% year-over-year to $114.7 million, with a 23% margin, reflecting operational leverage and AI-driven cost efficiencies.

• Quarterly active customers grew 20% year-over-year to 10.2 million, with send volume up 27% to $23.5 billion.

• Continued expansion beyond remittances, including the launch of the Remitly Global Card and stablecoin wallet, and product launches in new markets.

• AI-driven productivity gains enabled cost discipline, margin improvement, and reinvestment in growth.

Financial highlights

• Q2 2026 revenue reached $495.2 million, up 20% year-over-year and $11 million above guidance midpoint.

• Adjusted EBITDA was $114.7 million (23% margin), up from $64.0 million in Q2 2025 and $28 million above guidance midpoint.

• Net income was $205.9 million, including a $140.6 million tax valuation allowance release.

• Free cash flow for Q2 2026 was $130.1 million, nearly tripling year-over-year, with a margin of 26.3%.

• Transaction margin improved to 67% (up 235 bps year-over-year), with transaction expenses as a percentage of revenue decreasing to 33%.

Outlook and guidance

• Q3 2026 revenue expected at $505–$507 million (20–21% growth); Adjusted EBITDA projected at $92–$94 million (18–19% margin).

• Full-year 2026 revenue guidance raised to $1.978–$1.988 billion, up 21–22% year-over-year; Adjusted EBITDA expected at $410–$415 million (21% margin).

• Transaction margins for Q3 expected to be slightly higher year-over-year; full-year margins to remain in line with 2025.

• Management expects continued growth in active customers and send volume, supported by product and geographic expansion and ongoing investments in technology and marketing.

• No material impact anticipated from recent regulatory changes, including the One Big Beautiful Bill Act remittance tax.