What happens to stocks if AI loses momentum?
Investing.com -- Adyen NV (AS:ADYEN) shares plunged 17% on Thursday after the Dutch payment processor reported slowing revenue growth and lowered its full-year outlook, citing impacts from U.S. tariffs on customer spending patterns.
The financial technology company posted net revenue of €1,093.5 million for the first half of 2025, up 20% YoY (21% on a constant currency basis), falling short of analyst expectations of 21% growth.
While Adyen’s EBITDA increased 28% YoY to €543.7 million with a 50% margin that was in line with estimates, investors focused on the company’s reduced guidance.
Adyen now expects full-year 2025 net revenue growth to be in line with first-half performance at around 21%, approximately 2 percentage points lower than previous market expectations.
The company’s processed volume grew just 5% YoY to €649.0 billion, though it reached 23% when excluding a single large volume customer.
"We entered the year with a clear focus: deepening relationships with existing customers and bringing new enterprise and platform businesses onto our platform," said Ethan Tandowsky, CFO.
"In the first half, our disciplined execution drove continued traction across regions and verticals, even as some customers faced a more challenging operating environment."
The company’s issuing volume exceeded €2.0 billion, with its customer count nearly doubling compared to the same period last year.
Adyen also maintained strong cash generation with a free cash flow conversion ratio of 87% and capital expenditures at 4% of net revenue.
Jefferies noted that although Adyen’s second-quarter results missed expectations, the roughly 200-basis-point guidance cut for 2025 net revenue growth reflected shifting market dynamics around U.S. tariff policy, including de minimis rules, which are weighing on underlying market volumes.
The broker added that Adyen’s continued operating performance, with soft KPIs in UC and strong results in Platforms, supports viewing the stock as a buying opportunity.
Despite the short-term challenges, Adyen continues to expand its platform capabilities and customer relationships with major clients including Meta, Uber, H&M, eBay, and Microsoft.
The company plans to host an Investor Day in Amsterdam on November 11, 2025, where it will likely address its strategy to navigate the current market headwinds.