| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 147.11 | 19.8% |
| Total Income | 147.11 | 19.8% |
| Expenditure | 136.11 | 25.3% |
| PBT | 3.37 | 47.7% |
| Net Profit | 2.06 | 56.8% |
| OPM | 7.47% | 4.02pp |
| NPM | 1.40% | 2.49pp |
| EPS | 0.18 | 57.1% |
CPI Card Group Reports Q1 2026 Revenue Up 20% to $147 Million
05 May 2026 · 5 May, 4:32 pm
Summary
CPI Card Group Inc. reported a 20% increase in first quarter revenue, reaching $147.1 million, driven by the acquisition of Arroweye and increased sales of contactless cards. Net income decreased by 57% to $2.1 million due to integration costs related to Arroweye. Adjusted EBITDA increased by 9% to $23.2 million. The company reaffirmed its financial outlook for 2026, expecting high single-digit revenue growth and low-to-mid single-digit Adjusted EBITDA growth. CPI continues to advance its market and product expansion strategies, including closed loop prepaid payment solutions and digital offerings.
Key Highlights
- 1
CPI Card Group's first quarter revenue increased by 20% to $147.1 million compared to the prior year period.
- 2
The Secure Card Solutions segment revenue increased 35% to $109.9 million, driven by the addition of Arroweye and increased sales of contactless cards.
- 3
Prepaid Solutions segment revenue decreased 17% to $22.0 million, primarily due to comparisons with strong sales of higher-value packaging solutions in the prior year period.
- 4
Net income decreased 57% to $2.1 million, or $0.17 diluted earnings per share, impacted by $3 million of Arroweye integration costs.
- 5
Adjusted EBITDA increased 9% to $23.2 million in the first quarter of 2026.
- 6
The company affirmed its financial outlook for 2026, projecting high single-digit revenue growth and low-to-mid single-digit Adjusted EBITDA growth.
- 7
The Company generated strong Free Cash Flow in the first quarter and decreased its ABL revolver borrowings by $10 million.
Management Comments
John Lowe
"We delivered solid first quarter results and are on track to achieve our full year outlook." "We generated strong revenue growth in the quarter, led by contribution from Arroweye and increased sales of our other secure card solutions, while continuing to invest for long-term growth and diversification." "Recent strategic advances include expanding the base for our Software-as-a-Service-based instant issuance solution, delivering secure packaging solutions for the closed loop prepaid payment card market, and further building our integrations and customer pipeline to support push provisioning for mobile wallets and other digital solutions."
Informational and educational content only. Not investment advice.