Key Highlights
- Shares of Wise climbed 8% following FY26 results that exceeded margin expectations
- Pre-tax income reached $660.4 million with a 26.4% margin—surpassing the company’s 20–25% target range
- Total net revenue increased 19% annually to $2.50 billion
- The payments firm unveiled a $500 million share repurchase initiative for FY27
- Customer base expanded 21% to 19 million users; cross-border transaction volume surged 31% to $243.5 billion
Shares of Wise (WSE) surged approximately 8% during Friday trading after the digital payments platform delivered full-year financial results that exceeded profitability forecasts and unveiled a substantial $500 million share buyback program.
Wise Group plc Class A Ordinary Shares, WSE
The company’s shares reached approximately 894p on the London Stock Exchange during morning trading, representing a 64-point increase.
For the fiscal year ending March 31, 2026, Wise delivered net revenue totaling $2.50 billion, representing a 19% year-over-year increase. Pre-tax income reached $660.4 million, translating to a profit margin of 26.4%.
This profitability metric exceeded the company’s established medium-term guidance range of 20–25%, capturing significant investor interest.
BofA equity analysts, who maintain a buy rating on the stock with a $16.40 price objective, noted that pre-tax profit exceeded their internal projection by 6.6% and consensus estimates by 1.3%.
The research team identified a $70 million one-time U.S. GAAP adjustment related to foreign exchange impacts on certain government bonds as the primary factor affecting operating income, which totaled $590.7 million.
The platform’s active user base expanded 21% to reach 19 million customers. Cross-border payment volume increased 31% to $243.5 billion, while the cross-border take rate remained at 0.52%, reflecting a six-basis-point decline year-over-year.
Card transaction volumes grew 37% to $43.6 billion. Customer account balances increased 40% to $39.0 billion—indicating that users increasingly view the platform as a primary financial account rather than solely a transfer mechanism.
Transaction-based revenue totaled $1.89 billion. Net interest income contributed $609.2 million to overall net revenue after distributing $196.9 million in interest payments to account holders.
CEO Kristo Käärmann emphasized that 75% of all payments processed during Q4 were completed within 20 seconds on a global basis—a performance metric central to the company’s competitive positioning.
Share Repurchase Program and Capital Allocation
The company announced plans to deploy more than $500 million toward share buybacks throughout FY27. Approximately 40% of this allocation will fund the ongoing Employee Share Trust program designed to neutralize dilution from equity-based compensation.
During FY26, the firm separately authorized $470 million to repurchase 35.9 million shares.
BofA analysts revised their FY27 diluted earnings per share forecast upward by 5.7% to 54.34 cents, attributing the adjustment to improved gross margin performance and the impact of the buyback program.
Forward-Looking Guidance for FY27
Looking ahead, Wise projected net revenue growth near the midpoint of its 15–20% medium-term target range on a constant currency basis.
This forecast assumes no significant changes to interest distributions to customers and stable central bank interest rate environments.
The company expects its pre-tax income margin to land near the upper end of the 20–25% range for the upcoming fiscal year.
Wise finalized its transition to a Nasdaq primary listing on May 8, while maintaining a secondary listing on the London Stock Exchange.
During FY26, the payments provider established new direct payment infrastructure connections in Brazil and Japan and secured regulatory license approvals in South Africa, the United Arab Emirates, and Thailand.
New partnerships through the Wise Platform initiative added during the fiscal year include UniCredit, Raiffeisen Bank, and MBSB Bank, with Capitec joining the platform in April 2026.
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