The data: Western Union’s revenues reached $1.1 billion in Q4, declining 6% year over year (YoY) on a constant currency basis, per its earnings release.
Digging deeper: Russia’s war on Ukraine, declines in brick-and-mortar business, and costs associated with its branded digital marketing strategy contributed to Western Union’s revenue drop, CEO Devin McGranahan said on the firm’s earnings call.
Despite its losses, there was one bright spot for Western Union in Q4: strong growth in Latin America and the Caribbean (LACA). Transaction volume in LACA grew 8% YoY and revenues increased 13% YoY—making it the only region with positive volume and revenue growth in Q4.
Three factors contributed to Western Union’s success in the region, per McGranahan:
What’s next? Western Union will continue its Evolve 2025 strategy—stabilizing the firm’s core business units and transitioning its focus from transactions to customer relationships.
This article originally appeared in Insider Intelligence's Payments Innovation Briefing—a daily recap of top stories reshaping the payments industry. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.
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