Marqeta's second-quarter results reveal a remarkable 32% increase in total processing volumes (TPVs), reaching $71 billion. CEO Simon Khalaf highlighted a growing trend of consumers seeking alternatives to traditional banking, which is reflected in the company's expanding use cases beyond financial services. Notably, 10 of Marqeta's top 20 customers experienced over 50% growth in volume year-over-year, driven by sectors such as expense management, small to medium-sized business working capital, and buy now, pay later (BNPL) options. Despite a 6% year-over-year decline in gross profits, attributed to new pricing strategies for Cash App, the company remains optimistic about future growth. CFO Mike Milotich noted that TPV growth in non-Block areas outpaced that of Block, with expectations for continued growth exceeding 30% in the latter half of 2024. Marqeta's partnerships with Affirm and VisaFlex are expected to bolster its position in the market, enhancing its flexible payment solutions for consumers and merchants alike.
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