At end December, the company had 668 employees around the world and a banking license for Europe. For 2017, the company reported net revenues up 38 percent to EUR 218 million, with an adjusted EBITDA of EUR 99 million and adjusted EBITDA margin of 45.5 percent. Processed payment volumes lifted in the year to EUR 108 billion from 66 billion, up 63 percent.
For the first quarter of this year, processed volumes rose to EUR 33.2 billion from 23.4 billion year-on-year, with net revenues advancing to EUR 74.4 million from 44.5 million, and the adjusted EBITDA and EBITDA margin going to EUR 34.1 million and 453.8 percent, from 19.6 million and 44.0 percent. The net profit almost doubled to EUR 24.1 million from 14.1 million, with the free cash flow going higher to EUR 32.0 million from 18.5 million.
Looking foward, the company sees significant potential for upside through deeper relationships with its existing merchant base, the acquisition of new enterprise merchants across different verticals and geographies and through the capitalisation of these merchants' changing business models. The company wants to increase its footprint and focus on mid-market merchants, a sector it says is well-positioned to grow.
Specifically, Adyen is aiming to continue growing net revenues and achieve a CAGR of mid-twenties to lower thirties in the medium terms. For this year, the company expects net revenues up at least 40 percent. For the long term, it wants to improve its annual EBITDA margin to above 55 percent. It will maintain capex at up to 5 percent of net revenue. There will be no dividend in the foreseeable future, with the money invested instead in company growth.
The IPO of Adyen will be the largest in the Netherlands since ABN Amro returned to the stock market in 2015. Morgan Stanley and JP Morgan will act as joint coordinators and bookrunners, with ABN Amro, BofA Merrill Lynch and Citigroup also as joint bookrunners.
