Paysafe Limited

Greetings. Welcome to the PaySafe second quarter 2026 earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. Please note this conference is being recorded. I will now turn the conference over to Kirsten Nielsen, head of investor relations. Thank you, Kirsten. You may begin.

Thank you and welcome to Paysafe's earnings conference call for the second quarter of 2026. Joining me today are Bruce Lowthers, Chief Executive Officer, and John Crawford, Chief Financial Officer. Before we begin, a reminder that this call will contain forward-looking statements and should be considered in conjunction with cautionary statements contained in our earnings release and the company's most recent SEC reports. These statements reflect management's current assumptions and expectations and are subject to factors that may cause actual results to differ materially from those forward-looking statements. You should not place undue reliance on these statements. Forward-looking statements during this call speak only as of the date of this call and we undertake no obligation to update them. Thank you and good morning, everyone. If you're following the webcast, let's start on slide three. The second quarter and first half of twenty twenty six.

Mark, an important inflection point for Paysafe. We delivered strong first half revenue growth of 7% while adjusted EBITDA was essentially flat year over year, even as we deliberately increased marketing and IT investment to support the next phase of growth. Just as important, we have now resolved the major inherited matters that have weighed on the company for some time. This summer, we resolve the final legacy overhang from the SPAC through a settlement in principle with the FARZAD litigation. which involved legal claims brought by pre-SPAC shareholders. John will take you through the financial implications, but this resolution addresses a significant restructuring expense tied to our indemnification obligations related to this case. We also successfully refinanced a significant portion of our debt. We believe the trajectory of our net leverage ratio is the most important near-term driver of equity value. and we remain focused on reducing leverage as a meaningful value creation opportunity over the next 24 months. Together, these actions put us in a much stronger position to focus on what matters most from here, consistent execution, sustainable growth, and disciplined deleveraging. In our view, the SPAC area is now behind us. We have returned the company to consistent growth, completed the portfolio rationalization, and made major rebuilds across talent, technology, sales, and product delivery. This is evident through our product vitality index, which is tracking towards 20% for 2026 compared to less than 2% just three years ago. Finally, I want to welcome Naj Atkinson, our new Chief People Officer. Naj brings nearly 30 years of global HR experience, including leadership roles at Hasbro and Dell. She joins Paysafe at an important time as we continue to strengthen our culture, develop future leaders, and build on our recognition as one of the 2026 Top 100 Inspiring Workplaces in North America. Turning to slide four, I'll share a few additional highlights on our recent progress. We had another strong quarter with three-month actives at $7.8 million, reflecting five quarters of growth, and we continue to see double-digit user growth in Latin America. While it's still early, the initial results of our incremental marketing spend across priority countries in Europe have shown double-digit growth in consumer acquisitions. Thank you for watching. and strengthen our acquisition engine. These investments are delivering results today while creating a stronger foundation to drive long term customer value. Our Paysafe Wallet solution also continues to gain traction in Europe, where we are now live in 19 countries. The recent launch in Poland demonstrates how we can build on the strong consumer trust and adoption of Paysafe Card, while extending that relationship into broader wallet experience. By bringing everyday money movement into a single, familiar platform, Paysafe Wallet increases consumer engagement and expands our opportunity to deepen customer relationships over time. Finally, as a forward-looking highlight, we're pleased to preview our new partnership with Envision Racing, one of Formula E's most successful and innovative teams. This investment reflects our strategy of building brand awareness, reaching new audiences, and fueling long-term customer growth across our priority markets. Formula E is one of the fastest-growing global motorsport platforms, with an audience of over 550 million. They attract highly engaged digital native fan base at the intersection of sport, gaming and digital commerce, closely aligning with Paysafe's target audience and existing customer base. Through fan engagement, gaming, rewards and digital commerce experiences, we see an opportunity to introduce millions of consumers to our brands, strengthen customer acquisition and deepen engagement across our portfolio. More broadly, the partnership demonstrates how we are bringing our marketing and product strategies closer together to create differentiated customer experiences and support sustainable growth. With that, I will turn it over to John to discuss the financial results and outlook.