Question · Q3 2025
Connor asked about the sustainability of Europe's 100%+ growth rate and any mix shifts within use cases in the region. He also inquired about the flexible credential adoption beyond Buy Now, Pay Later and its demand from other customers.
Answer
CEO and CFO Michael Milotich stated that Europe's 100%+ growth is likely unsustainable as the base grows but will remain materially faster than the overall company. He noted that international business (non-U.S.) is growing rapidly, now representing a high-teens percentage of TPV, up 5 percentage points year-over-year. European growth is fueled by neobanking, lending/BNPL, and expense management, all growing over 100% and of substantial size, with on-demand delivery being smaller. He expects a potential slowdown below 100% in the coming quarters, with re-acceleration possible in a year as Marqeta/TransactPay programs come online. Michael Milotich reiterated strong interest in the flexible credential beyond BNPL, particularly for future applications combining debit with revolving credit, potentially leading to a single card for 'pay now,' 'pay later,' or revolving. He also sees expansion opportunities for the current BNPL use case to other issuers embedding BNPL offerings.
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