Investing.com-- Western Union Co (NYSE:WU) reported fourth-quarter results that exceeded analyst expectations, driving shares up 2.5% in after-hours trading. The money transfer giant posted solid revenue growth and provided an optimistic outlook for 2025.
Western Union reported Q4 adjusted earnings per share of $0.40, missing analyst estimates of $0.43. However, revenue for the quarter came in at $1.1 billion, surpassing the consensus forecast of $1.03 billion. The company’s revenue increased 1% YoY on both a reported and adjusted basis, excluding Iraq.
The revenue growth was primarily driven by the Consumer Services segment, which saw a 56% increase in GAAP revenue, or 23% on an adjusted basis. Branded Digital revenue also showed strength, growing 7% on a reported basis and 8% on an adjusted basis.
"We concluded 2024 with a solid performance, marking our third consecutive quarter of positive adjusted revenue growth, excluding Iraq," said Devin McGranahan, President and CEO of Western Union.
Looking ahead, Western Union provided an upbeat outlook for fiscal year 2025. The company expects full-year EPS between $1.75 and $1.85, compared to the analyst consensus of $1.81. Revenue is projected to be in the range of $4.115 billion to $4.215 billion, in line with the consensus estimate of $4.18 billion.
The company’s Board of Directors approved a quarterly dividend of $0.235 per share for the first quarter of 2025, payable on March 31, 2025.