Remitly Global enters consulting agreement with outgoing EVP

In a recent 8-K filing with the Securities and Exchange Commission, Remitly Global, Inc., a business services company with a market capitalization of $4.28 billion, disclosed a new consulting agreement with its outgoing Executive Vice President (EVP) of Customer and Culture, Rene Yoakum.

According to InvestingPro data, the company maintains a strong financial position with a current ratio of 2.66, indicating robust liquidity. This agreement follows the previous announcement of Ms. Yoakum's retirement set for December 31, 2024.

Under the terms of the consulting agreement, which commences on January 1, 2025, Ms. Yoakum will provide consulting services to the company until December 31, 2026, unless terminated earlier by either party. During this period, she will continue to receive benefits, including the vesting of 31,250 stock options and 262,991 restricted stock units. The agreement also provides for the acceleration and full vesting of her unvested equity awards in the event of her death.

This comes as Remitly demonstrates strong revenue growth of 35.18% over the last twelve months, with analysts expecting profitability in the coming year.

Additionally, Remitly Global has agreed to cover Ms. Yoakum's healthcare costs, paying for her monthly COBRA coverage for 18 months. Following this period, the company will continue to pay a monthly amount of $4,000 towards her health insurance premiums for the remainder of the consulting term.

The consulting agreement includes a release of claims by Ms. Yoakum against Remitly Global and contains confidentiality provisions to safeguard the company's sensitive information.

Remitly Global, headquartered in Seattle, Washington, is incorporated in Delaware and is listed on the Nasdaq Stock Market under the ticker symbol RELY. The company operates within the business services sector and is subject to the regulations of the 1934 Securities Exchange Act.

The stock is currently trading near its 52-week high of $22.67, reflecting strong market confidence. InvestingPro subscribers have access to 10 additional key insights and a comprehensive Pro Research Report, offering detailed analysis of the company's financial health and growth prospects.

In other recent news, Remitly Global Inc. reported substantial growth in its third-quarter earnings. Revenue for the quarter increased by 39% to $336.5 million, and adjusted EBITDA reached $46.7 million, indicating a nearly 14% margin. The company also reported a 35% increase in active customers to 7.3 million and a 42% rise in send volume to $14.5 billion.

Following these results, Remitly raised its full-year revenue and adjusted EBITDA outlook for 2024. Meanwhile, KeyBanc Capital Markets upgraded Remitly's price target to $21 from $20 while maintaining an Overweight rating on the stock. The upgrade comes in response to the company's strong financial performance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.