H2 2019
Shareholder Letter
Profitable growth at scale
Well-diversified volume growth across regions and merchant base
Strong EBITDA margin of 56% amid investments in growth
Spotting exciting new opportunities for future expansion
Gaining momentum in unified commerce
Tangible success in QSR space with McDonald's and Subway wins
Ongoing market-wide shift of shopper expectations
POS volume comprised 13% of total volume
Innovation on the single platform
Our focus remains on incremental product innovation to solve merchants' pain points
Adyen Issuing powers a range of use cases for merchants
Speed of innovation allows us to be at the forefront of industry trends
Growing the team
Higher absorption rate due to improved onboarding process allowed us to ramp up hiring
Global expansion including new offices in Tokyo and Mumbai
Maintaining the Adyen culture at scale
Enterprise
Enterprise volume continues to be our largest growth driver. Solving problems for these merchants is what we do best. Within the enterprise segment, the growing share of platform business models is especially noteworthy.
Enterprise volume in EUR billions. Under the previous definition of mid-market (processing up to €12 million annually on our platform), H2 2019 enterprise volume would have been €132.3 billion.
Unified commerce
We are gaining momentum in this space on the back of shifting shopper behavior. Merchants are increasingly adopting a unified commerce approach to adapt to this new environment.
POS volume evolution, including share of total processed volume on the platform (%) in EUR billions
Mid-market
We continue to invest in the mid-market segment for the long term. We have redefined mid-market merchants as those processing up to €25 million annually on our platform. In H2 2019, 3,867 merchants met this definition.
Mid-market volume in EUR billions. Under the previous definition of mid-market (processing up to €12 million annually on our platform), H2 2019 mid-market volume would have been €2.7 billion.
Interim Condensed Consolidated Financial Statements
Unsponsored ADRs: As of October 10, 2008, the US Securities and Exchange Commission (SEC) published revisions to Exchange Act Rule 12g3-2(b) which permits depository institutions to establish unsponsored ADR programs without the participation of a non-US issuer. Adyen NV does not consent to the establishment of any unsponsored ADR program, and further does not authorize, endorse, support or encourage the creation of any such unsponsored ADR program in respect of its securities. Adyen NV will not actively, directly or indirectly participate in the creation of any unsponsored ADR program. Adyen NV specifically disclaims any liability whatsoever arising out of or in connection with any unsponsored ADR program. Adyen NV does not represent to any depository institution or any other person, nor should any depository institution or any person rely on a belief that the website of Adyen NV includes all published information in English or that Adyen NV otherwise satisfies the exemption criteria set forth in Exchange Act Rule 12g3-2(b).