New analysis shows the state of remittances in 2023

The remittance industry finished FY 2023 on a strong note despite macroeconomic headwinds, with Western Union continuing to lead remittance revenue despite growth contraction.
FXC Intelligence analysed the earnings calls of key publicly traded consumer money transfers and remittances players to determine how the industry is growing and the key trends in the space.
For all the companies, there was an increased focus on digital remittances and many companies took the opportunity to set out longer term approaches to delivering growth, including embracing AI.

Graphic showing digital discussing becoming more prevalent in earnings calls

The remittance industry finished FY 2023 on a strong note despite macroeconomic headwinds, according to a new report published today by FXC Intelligence.

The report analysed the earnings calls of key publicly traded consumer money transfers and remittances players to determine how the industry is growing and the key trends in the space.

For FY 2023, Western Union continues to lead on revenue by some distance, although the gap between it and the next player – Euronet’s Money Transfers segment – has narrowed notably from 2021, and Western Union was the only company to see a contraction in revenue growth in Q4 23.

Digital remittances gained notable momentum throughout 2023, with all companies discussing digital during Q4 2023 earnings calls. Wise and Remitly lead the pack on digital money transfer revenues, growing by 25.6% and 38.2% YoY, outpacing Western Union.

Lucy Ingham, Editor-in-Chief and Head of Content at FXC Intelligence, said:

“We pay close attention to the themes that companies discuss during earnings calls and the increased level of discussion on strategic plays and longer-term approaches to delivering growth speaks to a longer-term focus in response to the more constrained economic reality now upon us.

“This means that companies in the space are looking to build approaches to help them develop within this environment, leading to increased mentions of ‘new opportunities’ during earnings calls.

“Interestingly, this quarter saw the first signs of a potentially longer term embrace of artificial intelligence, with Western Union and Remitly increasing mentions of the technology during their earnings call. We will be closely tracking whether AI will truly present opportunities for the remittance space over the course of 2024.”

To read the full report, click here.