Pluxee and Edenred shares surged after both companies delivered strong quarterly results and reassuring outlooks. Pluxee reported a 9% organic revenue rise to €308 million in its first quarter, driven by Employee Benefits and Latin American growth. Edenred reiterated its 2025 guidance for over 10% like-for-like EBITDA growth, citing solid underlying trends.

The rally comes despite an analyst warning about a looming regulatory headwind in Brazil. A presidential decree caps card processor fees and shortens settlement periods in the nation's massive meal voucher market, which processes around 170 billion reais annually. Pluxee and Edenred control about 85% of this market, facing significant margin pressure.

Both firms have adjusted their financial forecasts to account for the Brazilian changes. Pluxee now expects stable FY26 revenue and modest EBITDA margin expansion, while Edenred anticipates an 8% to 12% organic EBITDA decline in 2026. Kepler Cheuvreux analysts cut target prices but maintained Buy ratings, viewing the Brazilian impact as a temporary setback for Edenred and a conservative worst-case scenario for Pluxee.