Today, we’re thrilled to sit down with an expert in the FinTech space who has deep insights into modern financial infrastructure and card-issuing platforms. With a keen understanding of the evolving landscape of embedded finance and payment processing, our guest is here to unpack the impressive performance and strategic direction of a leading player in the industry. We’ll dive into topics like record-breaking transaction volumes, profitability surges, the power of embedded finance, and ambitious moves into international markets and new sectors. Let’s get started with a conversation that promises to shed light on the future of financial technology.
Can you give us a snapshot of the standout financial results from the third quarter of 2025 for a leading card-issuing platform, particularly around transaction volume?
Absolutely. In Q3 2025, we saw a remarkable total processing volume of $98 billion, which reflects a 33% increase compared to the same period last year. This figure highlights the strong momentum in the business and shows how deeply embedded the platform is in high-growth payment flows across various sectors. It’s a testament to the scalability of the model and the expanding customer base.
What do you believe are the key factors behind this significant year-over-year growth in processing volume?
Several elements are at play here. First, there’s been a diversification of the customer base, moving beyond traditional FinTechs into areas like expense management and business loyalty programs. Additionally, the rise in digital transactions globally continues to fuel volume, especially as more businesses adopt customizable payment solutions. Finally, strong partnerships and the ability to cater to fast-growing sectors have really driven this impressive 33% jump.
Turning to profitability, how did this platform achieve such a dramatic increase in adjusted EBITDA, reaching $30 million with a 236% growth?
That’s a standout number for sure. The leap to $30 million in adjusted EBITDA comes from a mix of operational efficiencies and strategic focus on higher-margin services. By optimizing costs and refining their product mix—balancing high-volume processing with deeper program management services—they’ve managed to boost profitability significantly. It’s a clear sign of maturing beyond just chasing scale to building sustainable financial health.
Can you elaborate on how embedded finance is shaping up as a major growth driver for companies in this space?
Embedded finance is transformative because it allows non-financial businesses to integrate payment and financial services directly into their offerings, creating new revenue streams and enhancing customer loyalty. For card-issuing platforms, it’s a chance to be more than just a backend provider; they become strategic partners in helping brands offer seamless financial experiences. With the sector projected to grow at a 40% compound rate through 2027, it’s a massive opportunity to tap into diverse industries hungry for innovation.
How does focusing on embedded finance help a FinTech company differentiate itself in a crowded market?
It’s all about adding value beyond basic card issuing. By offering tailored solutions like digital wallets or credit programs integrated into a brand’s ecosystem, a company can stand out as a partner that drives both innovation and retention for its clients. This approach shifts the conversation from transactional fees to long-term strategic collaboration, setting them apart from competitors who might still focus solely on processing volume.
There’s been notable expansion into small- and mid-sized business loyalty programs. Can you explain the significance of this move?
Targeting SMB loyalty programs is a smart play because these businesses are often underserved by traditional financial providers. By powering credit programs for this sector, a FinTech platform can help SMBs build stronger customer relationships through tailored rewards or payment solutions. It aligns with broader goals of diversifying revenue and tapping into verticals with high growth potential, while also addressing a real pain point for smaller businesses looking to compete with larger players.
Shifting gears, how does the strategy to enter B2B and enterprise markets differ from working with traditional FinTech or gig economy clients?
Working with B2B and enterprise clients is a different beast. These larger organizations often have complex needs around compliance, scalability, and integration with existing systems, compared to the more agile, volume-driven demands of gig economy or smaller FinTech clients. It requires a deeper level of customization and a focus on long-term partnerships rather than quick-turnaround solutions. The payoff, though, is access to bigger contracts and more stable revenue streams.
Can you tell us about the impact of recent acquisitions on international growth, particularly in supporting expansion into Europe?
A key acquisition like TransactPay has been a game-changer for international ambitions. It’s enabled seamless program management capabilities across Europe, allowing U.S.-based customers to expand their operations overseas with ease. For instance, we’ve seen success with North American expense management firms entering the European market, which shows how such a strategic move can widen a company’s reach and strengthen its global footprint.
Looking ahead, what’s your forecast for the role of embedded finance in reshaping the broader financial services landscape over the next few years?
I believe embedded finance will fundamentally change how we interact with financial services. Over the next few years, I expect to see an explosion of non-financial brands—think retailers, tech platforms, even healthcare providers—offering integrated payment and lending solutions as a core part of their customer experience. This will blur the lines between traditional banking and everyday business, creating a more seamless, personalized financial ecosystem. Companies that can enable this shift with flexible, scalable technology will be at the forefront of the industry.