Remitly Global Inc

Remitly Global, Inc. (NASDAQ: RELY) is a digital financial services provider for immigrants and their families in over 170 countries around the world. The Company helps customers send money internationally by leveraging digital channels and supporting cross-border transmissions across the globe. The Company’s technology platform is purpose-built to localized consumer experiences, enables a robust network of partner integrations, and uses data to optimize business performance. 

Recent Business and Financial Updates

• Strong Customer Growth and Operational Performance in Q4 2024: Remitly Global, Inc. (NASDAQ: RELY) reported exceptional results for the fourth quarter of 2024, showcasing significant growth in customer engagement and operational metrics. Active customers rose by 32% year-over-year to 7.8 million, up from 5.9 million in Q4 2023, reflecting the Company’s ability to attract and retain users through its trusted digital financial services platform. Send volume also surged by 39% to USD 15.4 billion from USD 11.1 billion in the prior year, underscoring Remitly’s strong market demand and effective scaling of its cross-border remittance services, which continue to resonate with customers seeking simplicity, convenience, and reliability.
• Revenue and Profitability Gains in Q4 2024: The Company achieved a 33% year-over-year revenue increase in Q4 2024, reaching USD 351.9 million compared to USD 264.8 million in Q4 2023, driven by robust customer growth and higher transaction volumes. Net loss for the quarter significantly narrowed to USD 5.7 million from USD 35.0 million in Q4 2023, indicating improved cost management and operational efficiency. Additionally, Adjusted EBITDA soared by 434% to USD 43.7 million from USD 8.2 million, highlighting Remitly’s ability to enhance profitability while scaling operations, a testament to its strategic focus on delivering value through its product offerings.
• Full-Year 2024 Performance Overview: For the full year 2024, Remitly sustained its growth momentum, with send volume increasing by 38% to USD 54.6 billion from USD 39.5 billion in 2023, reflecting consistent demand for its services across global markets. Revenue for the year grew by 34% to USD 1,264.0 million, up from USD 944.3 million in 2023, driven by expanded customer reach and transaction activity. The Company reduced its net loss to USD 37.0 million from USD 117.8 million in 2023, while Adjusted EBITDA tripled to USD 134.8 million from USD 44.5 million, demonstrating a 203% year-over-year increase and underscoring Remitly’s progress toward sustainable profitability.
• Leadership Perspective on 2024 Achievements: Matt Oppenheimer, co-founder and Chief Executive Officer of Remitly, emphasized the Company’s exceptional performance in 2024, noting that the fourth quarter and full-year results exceeded expectations due to strong product resonance and customer loyalty. He highlighted that Remitly’s focus on delivering a seamless, convenient, and trustworthy product experience has fueled durable growth and improving profitability, positioning the Company well for future opportunities. Looking ahead, Oppenheimer expressed optimism about 2025, anticipating continued innovation and growth that will further advance Remitly’s vision of transforming cross-border financial services.
• Financial Outlook for 2025: For fiscal year 2025, Remitly projects total revenue to range between USD 1.565 billion and USD 1.580 billion, reflecting a year-over-year growth rate of 24% to 25%, indicative of sustained market demand and operational scalability. The Company expects to achieve a positive GAAP net income for the year, with Adjusted EBITDA forecasted to be between USD 180 million and USD 200 million, signaling continued profitability improvements. For Q1 2025, Remitly anticipates revenue of USD 345 million to USD 348 million, a 28% to 29% increase year-over-year, though it expects a GAAP net loss, with Adjusted EBITDA projected at USD 36 million to USD 40 million, reflecting seasonal variations and ongoing investments.
• Strategic Positioning and Future Growth Opportunities: Remitly’s 2024 performance positions it as a leader in the digital remittance space, with a 32% increase in active customers and a 39% rise in send volume in Q4, alongside significant profitability gains, setting a strong foundation for 2025. The Company’s outlook for continued revenue growth and positive net income in 2025, coupled with its focus on innovation, suggests a strategic roadmap aimed at capturing further market share in the global remittance market, leveraging its customer-centric approach to drive long-term value creation for stakeholders.

Technical Observation (on the daily chart):

The Relative Strength Index (RSI) over a 14-day period stands at a value of 27.82, inside oversold levels, with expectations of a consolidation or an upward reversal if the support levels of USD 17.00-USD 18.00 hold. Additionally, the stock's current positioning is between both 50-Day SMA and 200-Day SMA, which can act as a short to medium term resistance and support levels respectively.

As per the above-mentioned price action, recent key business and financial updates, momentum in the stock over the last month, and technical indicators analysis, a ‘Watch’ rating has been given to Remitly Global, Inc. (NASDAQ: RELY) at the closing price of USD 19.75, as of March 12, 2025. 

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest taking into consideration the risk-reward scenario. 

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.

Related Risk: This report may be looked at from a high-risk perspective and a recommendation is provided for a short duration. This report is solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc. 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance level is March 12, 2025. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level that the stock is expected to reach as per the relative valuation method and or technical analysis taking into consideration both short-term and long-term scenarios.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the New York Stock Exchange (NYSE), NASDAQ Capital Markets (NASDAQ), and or REFINITIV. Typically, all sources (NYSE, NASDAQ, or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.