Western Union shares dropped 2.5% after the money transfer company reported fourth-quarter revenue of $1.0 billion, missing analyst estimates of $1.04 billion. While the company beat earnings expectations with adjusted EPS of $0.45 versus the $0.43 consensus, the revenue shortfall raised concerns among investors.

Revenue declined 5% year-over-year on both reported and adjusted bases, primarily due to a slowdown in the Americas retail business. This weakness offset growth in Consumer Services and Branded Digital operations, which showed promise with 26% and 6% adjusted revenue growth respectively. The company's Consumer Services segment expansion included the acquisition of Eurochange Limited.

For fiscal 2026, Western Union issued adjusted EPS guidance of $1.75 to $1.85, slightly above the analyst consensus of $1.79. The company projects 6% to 9% revenue growth for the full year, contingent on closing its pending acquisition of International Money Express in the second quarter. Despite the challenging operating environment, CEO Devin McGranahan highlighted progress in strengthening Consumer Services offerings and accelerating the digital transition.