Accounting policy \u2013 Consolidation The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which Adyen acquires control and they are deconsolidated from the date that control ceases. Upon consolidation, all inter-company transactions, balances and unrealized gains or losses on transactions between group companies are eliminated. | ||
Accounting policy \u2013 Consolidation The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which Adyen acquires control and they are deconsolidated from the date that control ceases. Upon consolidation, all inter-company transactions, balances and unrealized gains or losses on transactions between group companies are eliminated. | ||
Accounting policy \u2013 Revenue from contracts with customers Adyen has the following sources of revenue from contracts with customers: (I) Settlement fees: Fees paid by merchants, usually as a percentage of the transaction value, where Adyen offers acquiring services. These fees are recognized as revenue when a payment transaction has been completed by means of settlement with a merchant. Settlement fees include interchange and payment network fees and other costs incurred from financial institutions. Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs plus a mark-up for its acquiring services, as contractually agreed between each merchant and Adyen. (II) Processing fees: Fixed fee per transaction paid by merchants for the use of Adyen\u2019s platform and recognized as revenue when a transaction is initiated via the Adyen payment platform. (III) Sale of goods: Adyen satisfies the performance obligation to deliver the ownership of the POS terminals and related accessories upon transfer of control of the terminal to the merchant. Adyen considers this performance obligation to be distinct from its payment services. As a result, the revenues for the sale of POS terminals and related accessories are recognized at that point in time. (IV) Other services: Includes foreign exchange service fees, third party commission and issuing services which are deemed other services - recognized at a point in time. Services transferred over time relate to the amortization of deferred revenue for services provided as part of the merchant contracts (note 2.3 and note 2.4 ) and terminal services fees as part of the unified commerce offering. | ||
Material Judgement \u2013 Principal versus agent for revenue out of settlement fees Adyen contracts with third parties (financial institutions and network scheme providers) that provide services to enable Adyen\u2019s payment processing and acquiring services to merchants, for which interchange and payment network fees are charged to Adyen (\"pass-through settlement fees\"). Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs (including interchange and payment network fees charged to merchants in a pass-through arrangement), plus a mark-up which is disclosed as \"Settlement fees\". Adyen applies its judgment in determining whether it has control of the full payment service inputs before the service is transferred to its merchants, and, in consequence, whether it is acting as agent or principal in relation to the settlement fees charged to merchants. Where Adyen is principal, it will present its acquiring mark-up and interchange and payment network fees passed on to merchants on a gross (principal) basis within revenue. Where Adyen is agent, it will present its acquiring mark-up on a gross (principal) basis, while the pass-through settlement fees will be presented within revenue on a net basis (i.e. not recognized gross in revenue and costs incurred from financial institutions). Adyen\u2019s terms and conditions applicable to merchant agreements clarify that Adyen does not provide a significant service of integrating the services from third parties into one combined output for the merchant, nor does it control the inputs from third parties before services are provided to the merchant. As such, Adyen acts as agent for the pass-through settlement fees. | ||
TYPES OF GOODS OR SERVICES | 2025 | 2024 |
Settlement fees | 1,581,729 | 1,311,705 |
Processing fees | 597,567 | 547,268 |
Sales of goods | 107,564 | 94,934 |
Other services | 360,037 | 271,694 |
Non-interest revenue | 2,646,897 | 2,225,601 |
Costs incurred from financial institutions | (192,983) | (148,167) |
Costs of goods sold | (102,296) | (89,659) |
Net non-interest revenue | 2,351,618 | 1,987,775 |
Accounting policy \u2013 Revenue recognized at a point in time and over time All processing and settlement fees, together with the sales of goods are recognized as revenue when the services are rendered or the ownership of the goods is transferred (\u2018goods and services transferred at a point in time\u2019). In addition to the aforementioned revenue streams, Adyen provides terminal replacement services included in \u2018other services\u2019, for which revenue is recognized over a period of time. Adyen recognizes revenue for these services on a straight-line basis over the contract term. | ||
Accounting policy \u2013 Segment Reporting An operating segment is a component of an entity that engages in business activities from which it earns revenues and incurs expenses. The operating results of each segment are regularly reviewed by the entity\u2019s Chief Operating Decision Maker (\u201cCODM\u201d) in order to make decisions about resources to be allocated to the segment and assess its performance. Discrete financial information is available for each of these segments. Adyen has identified the Management Board as the CODM who is responsible for the assessment of the allocation of resources and performance of the operating segments identified. Based on Adyen\u2019s business and operating model, Adyen has identified a single operating and reporting segment. The Management Board monitors net revenue as a performance indicator. As a result, Adyen considers net revenue to provide insight to its users to evaluate the nature and financial effects of the business activities in which it engages and the economic environments in which it operates. Net revenue is a non-IFRS measure\u00a0 \u2013\u00a0 refer to note 2.2 for further explanation on the non-IFRS measures reported by Adyen. | ||
NET REVENUE - GEOGRAPHICAL BREAKDOWN | 2025 | 2024 |
Europe, the Middle East, and Africa (EMEA) | 1,360,670 | 1,146,985 |
North America | 633,283 | 535,963 |
Asia-Pacific | 236,460 | 206,715 |
Latin America | 133,778 | 106,411 |
Total net revenue | 2,364,191 | 1,996,074 |
NET REVENUE - COMMERCIAL PILLAR BREAKDOWN (IN EUR '000) | 2025 | 2024 |
Digital | 1,334,919 | 1,229,547 |
Unified Commerce | 765,436 | 590,474 |
Platforms | 263,836 | 176,053 |
Total net revenue | 2,364,191 | 1,996,074 |
ELEMENT | ACCOUNTING TREATMENT | NOTE REFERENCE | ||
Contract assets | Contract assets are initially recognized at cost on the balance sheet, and subsequently amortized against revenue (settlement fees) in profit or loss on a pro rata basis in line with the fulfilment of the expected payment services performance obligation. The contract assets are separated into a monetary and non-monetary component and are assessed for impairment annually with reference to the remaining (net) benefits from the long-term merchant contract. | 2.4.Contract assets | ||
The USD \"monetary item\" is translated at each balance sheet date at the EUR/USD spot rate and is assessed for impairment under the expected credit loss model. Exchange movements on the \"monetary item\" is recognized in profit or loss (other financial results). The monetary component has been fully repaid and amortized in 2022. | ||||
Settled by: | ||||
1. Cash advance | Cash consideration is treated as part of incremental costs of obtaining the merchant contract ('contract assets'). | 2.4.Contract assets |
2. Warrants | Derivative liabilities relating to the warrants are recognized initially at fair value and are subsequently stated on the balance sheet at fair value, with movements recognized in profit or loss (other financial results). The warrants vest in four tranches, each linked to a milestone of processed payments volume. Each milestone is deemed achieved at the moment that the processed merchant volume exceeds the milestone amount in a single calendar year following the issue date (January 31, 2018). Only two warrant tranches may vest in a single calendar year, and upon vesting, each entitles the warrant holder to acquire 1.25% of Adyen's issue-date diluted share volume at any time prior to the warrant expiration date. | 2.4.Contract assets 8. Capital management 11. Financial instruments 23. Share information | ||
After the IPO (on June 13, 2018), the derivative liabilities relating to tranches 1 and 2 were reclassified as a warrant reserve in equity in the amount of EUR 68.2 million. During 2024, the second tranche milestone was met, vested, and the related warrant was subsequently exercised by eBay. A total of 403,724 shares were issued to eBay at \u20ac240 per share. The gross equity balance relating to tranche 2 and related deferred tax were transferred from \u2018warrant reserve\u2019 to \u2018share premium\u2019 and \u2018retained earnings\u2019, respectively. The dilutive effect of the exercised warrant in 2024 (tranche 2) was reflected in the shares outstanding at 2024 year-end. There were no further tranche milestones met during 2025, and the warrant reserve in equity was reclassified to retained earnings. |
Accounting policy \u2013 Contract assets Recognition and measurement If an incurred fee or commission is not paid in connection with any distinct goods or services, it should be considered as a reduction of the total transaction price of a contract with a customer. As a result, this incurred fee or commission should be deducted from revenue when revenue is recognized for providing the services to the customer. The unamortized portion of these considerations are recognized as contract assets in the balance sheet.\u00a0 Amortization and Impairment The contract assets are assessed for impairment annually with reference to the remaining (net) benefits from the merchant contract. An impairment loss is recognized if the carrying amount of the contract assets are higher than the estimated remaining benefits in the merchant contract, net of directly attributable costs to fulfil the remaining payment service obligations. The contract assets are amortized and booked to revenue (settlement fees) on a pro rata basis in line with the fulfilment of the expected payment services performance obligation. | ||
Accounting policy \u2013 Inventories Inventories are measured at the lower of cost or net realizable value. The cost of inventories is based on the first-in, first-out method (FIFO) and includes expenditure incurred in acquiring the inventories and other costs incurred in bringing them to their existing location and condition. Net realizable value is defined by Adyen as the estimated re-sell price in the ordinary course of business. The carrying amount of inventories is recognized as an expense when the inventories are sold or written off, unless they form part of the cost of another asset. | ||
Accounting policy \u2013 Employee benefits Employee benefits are all forms of consideration given by Adyen in exchange for services rendered by employees or for the termination of employment, except when they are related to share-based payments (refer to note 4.3 \u2018Share-based payments\u2019). | ||
Accounting policy \u2013 Equity-settled options Adyen has an option plan for directors and employees. Exercisable options provide participants the opportunity to obtain Depositary Receipts at an exercise price. The exercise price of the granted options is equal to the market price of the shares at grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen, options will vest over a period of four years. The vesting period starts on the grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen N.V., 25% of the options will vest on the first anniversary of the grant date. The remaining 75% of the options will then vest monthly, in equal proportions at the end of each month, over the following 36 months.\u00a0 Options can be exercised at any time from the vesting date until the 8th anniversary of the grant date. Adyen has no legal or constructive obligation to repurchase or settle the options in cash. | ||
Accounting policy \u2013 Cash-settled share-based payment plan Adyen established a cash-settled share-based payment plan (phantom shares) for newly hired directors and employees as well as for certain current employees until May 2023. The phantom shares are granted at the underlying market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the phantom shares will vest over a period of four years from the grant date. 25% of the phantom shares will vest on each anniversary of the grant date, until all are vested after four years. Adyen recognizes a cost over the vesting period and a corresponding liability based on the market price of Adyen\u2019s shares. The liability is measured at fair value through profit or loss using the market price of Adyen\u2019s shares at balance sheet date with remeasurements on each reporting date. Changes in the fair value are recognized as \u201cshare-based compensation expense\u201d. The expense reflecting the recognition of the grant date fair value and changes in fair value of the phantom share plan is presented in wages and salaries in the statement of comprehensive income. | ||
Accounting policy \u2013 Operating expenses Operating expenses are recognized in the period when they occur. | ||
Accounting policy \u2013 Current income tax expense Current income tax expense is the expected tax payable on the taxable income for the year (related to items presented in the Statement of Comprehensive Income), using tax rates enacted or substantively enacted, at the end of the reporting period, and any adjustment to tax payable in respect of previous years. | ||
Accounting policy \u2013 Deferred income taxes Deferred income taxes arise, in general, as a result of temporary differences between tax and commercial accounting treatment. Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled. The applied rates are based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date. In some tax jurisdictions, Adyen is granted a tax deduction (i.e. an amount that is deductible in determining taxable profit) that relates to remuneration settled by options over Adyen\u2019s shares or Restricted Stock Units. The amount of that tax deduction may differ from the related cumulative remuneration expense, and may arise in a later accounting period. In the event where tax deductions exceed the remuneration expense, Adyen recognizes a deferred tax position with the impact presented directly in equity. Deferred tax assets are recognized by Adyen to the extent that it is probable that future taxable profits will be available against which they can be utilized. | ||
Accounting estimate \u2013 Deferred tax assets linked to windfall benefits Windfall benefits arise when the tax deduction for share-based compensation exceeds the cumulative remuneration expense recognized for accounting purposes. Deferred tax assets include tax losses carried forward relating to options exercised in the United States at a Federal and State level (December 31, 2025: EUR 56,174 ; December 31, 2024: EUR 80,364) and windfall benefits relating to options granted and vested, however not yet exercised (December 31, 2025: EUR 1,581; December 31, 2024: 2,662). An amount of EUR 14,507 of the tax losses carried forward was utilised during the period and recognised in the share premium reserve (2024: EUR 16,840). During 2025, Adyen has reassessed the recoverability of deferred tax assets on windfall benefits linked to the share-based compensation plan in the United States. Adyen continues to recognize deferred tax assets that will be realized against future profits on a going concern basis. The United States Federal Tax windfall benefit continues to be recognized as these carry forward losses on a Federal level have no expiration date. The State net operating losses continues to be recognized as these carry forward losses are expected to be utilized against future taxable income before its expiration date. This windfall benefit has been recognized assuming all options granted to date will be exercised within the 8th anniversary of the grant date (grant date + 7 years). | ||
Accounting policy \u2013 Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of equity instruments are shown in equity as a deduction, net of tax, from the proceeds. | ||
Accounting policy \u2013 Cash and cash equivalents Adyen\u2019s cash and cash equivalents are measured at amortized cost and are included in current assets due to their short-term nature. Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Due to the short duration of the cash and cash equivalents (less than 3 months), the fair value approximates the carrying\u00a0amount. The consolidated statement of cash flows is prepared using the indirect method and provides details of the source of the cash and cash equivalents that became available during the year, as well as their application during the year.\u00a0 Adyen presents interest paid/received and dividends received as operating cash flows. The exchange gain/(loss) includes the net impact of the foreign exchange difference on Cash and cash equivalents and Payables to merchants and other financial institutions. | ||
Accounting policy \u2013 Financial instruments Classification Financial assets Adyen classifies its financial assets in the following measurement categories, those to be measured: \u25aa subsequently at fair value through profit or loss (\u2018FVPL\u2019), and \u25aa at amortized cost. The classification depends on Adyen\u2019s business model for managing the financial assets and the contractual terms of the cash flows. | ||
Financial liabilities Adyen initially classifies financial instruments as a liability or equity instrument based on the terms of the contractual arrangement, and subsequently reassesses the accounting treatment based on changes in circumstances. The derivative liabilities are classified as financial liabilities measured at fair value through profit or loss. | ||
Recognition and measurement Initial Recognition At initial recognition, Adyen measures its financial instruments at its fair value plus/minus, in the case of a financial instrument not at FVPL, transaction costs that are directly attributable to the acquisition of the instrument.Transaction costs of financial instruments carried at FVPL are recognised in profit or loss. Subsequent Measurement Financial assets at amortized cost Subsequent measurement of debt instruments depends on Adyen\u2019s business model for managing the asset and the cash flow characteristics of the asset. Financial assets held within a business model whose objective is to hold the assets in order to collect contractual cash flows, where those cash flows represent solely payments of principal and interest, are measured at amortised cost. Financial assets at fair value through profit or loss Financial assets that do not meet the criteria for amortized cost or fair value through other comprehensive income (\u2018FVOCI\u2019) are measured at FVPL. Any gain or loss is recognized in profit or loss and presented net within other financial results for the period in which it arises. | ||
Financial liabilities Adyen\u2019s financial liabilities are measured at amortized cost except for derivative liabilities, which are classified as financial liabilities measured at fair value through profit or loss. |
Impairment Adyen assesses on a forward-looking basis the expected credit losses associated with its debt instruments carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. For trade receivables and contract assets, the group applies the simplified approach, which requires expected lifetime losses to be recognized from initial recognition of the assets. Instruments in scope on the balance sheet of Adyen include: cash and cash equivalents, receivables from merchants and financial institutions, trade receivables, other receivables and contract asset classified as a monetary item. The expected credit loss model is designed to measure the pattern of improvement or deterioration in the credit quality of the debt instruments. The measurement basis consists of two categories: \u25aa Category 1: Expected credit losses (12 months) \u25aa Category 2: Lifetime expected credit losses The Adyen Treasury policy only allows exposures to financial institutions with sound credit quality rating and limits the exposure to a maximum amount. As a result, Adyen applies the low credit risk simplification; hence all assets are considered to be in stage 1 and a 12-month expected credit loss is applied. Lifetime expected credit losses are applied for trade and other receivables. For these instruments operational simplifications can be applied; hence it eliminates the need to calculate a 12-month expected credit losses or to measure increases in credit risk for the instrument. The loss allowance for trade receivables are measured at initial recognition, and throughout the total duration, equal to lifetime expected credit losses. As the average duration of the instruments in scope for impairment calculation is below 10 days, no forward- looking elements are included in the expected credit loss assessment. In the event of no reasonable expectation of recovering the financial asset, the Adyen Credit Committee decides on whether a write-off should take place for the entirety or portion of the outstanding amount. | ||
Fair value measurement For financial instruments measured at fair value, Adyen categorizes the fair value measurement in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. Adyen categorizes fair valuation inputs on the following basis: \u25aa Level 1: The fair value of financial instruments traded in active markets is based on quoted market prices at the end of the reporting period. \u25aa Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. \u25aa Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. | ||
Accounting policy \u2013 Intangible assets The intangible assets include internally generated software with finite useful lives, which are stated at cost less accumulated amortization and impairment. These assets are capitalized and subsequently amortized on a straight-line basis in the statement of comprehensive income over the period with an estimated useful life of 5 years. Intangible assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and impairment. Repairs and maintenance costs are charged to the statement of comprehensive income during the period in which they are incurred. The major categories of plant and equipment (namely hardware and software equipment\u00a0 and leasehold improvements) are assessed to have a useful life of 5 years. Plant and equipment are depreciated on a straight-line basis and are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Trade and other receivables Trade receivables are amounts due from merchants for payment services performed. If collection is expected in less than one year they are classified as current assets. Trade and other receivables are classified at amortized cost, initially recognized at fair value and subsequently measured at amortized cost less impairments for expected credit losses. The average duration of the receivables varies depending on their nature (Trade and other receivables: less than 3 months; receivables from financial institutions: 1-2 days; receivables from merchants: 30 days).\u00a0 Due to the short duration of all the receivables (overall average of less than 3 months) the fair value approximates the carrying value. | ||
Accounting policy \u2013 Trade and other payables and payables to merchants and financial institutions Payables are obligations initially recognized at fair value and subsequently measured at amortized cost to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Payables are classified as current liabilities if payment is due within one year or less. Due to the very short duration of the payables (average less than 3 months) the fair value approximates the carrying value.\u00a0 The payables to merchants and financial institutions relate to interchange, scheme fees payable and merchant related funds held with Adyen (Accounts), which do not constitute borrowings. | ||
Accounting policy \u2013 Leases Adyen assesses if a lease exists or a contract contains a lease at the contract inception date, concluding whether an asset is identifiable and Adyen has control to direct its use and all related economic benefits. A right-of-use asset and a lease liability are recognized at the lease commencement date, which can differ from contract inception date. The lease liability is initially measured by bringing to present value all future lease payments, discounted by an incremental borrowing rate, in case no interest rate is available for the contract. At initial recognition, the right-of-use-asset amounts to the initial lease liability. Right-of-use-assets are depreciated on a straight-line basis over the lease term and tested for impairment whenever events or changes in circumstances indicates that the carrying amount may not be recoverable. Interest on lease liability is recognized as an expense in the statement of comprehensive income. Short-term (less than 12 months) and small value lease contracts are expensed in the statement of comprehensive income on a straight-line basis over the lease term. | ||
Accounting policy \u2013 Earnings per share Adyen presents basic and diluted earnings per share (EPS) data for its ordinary shares. The calculation of EPS is determined as follows: \u25aa 1)\u00a0 Basic EPS: dividing the net income attributable to owners of Adyen N.V. by the weighted average number of ordinary shares outstanding during the period. As at December 31, 2025, the tranches 1 and 2 of the warrant are vested and exercised, and reflected in the calculation of ordinary shares. \u25aa 2)\u00a0 Diluted EPS:\u00a0 adjusting the basic EPS for the effects of all dilutive potential ordinary shares, which in the case of Adyen relates to share options and RSUs granted to employees (refer to note 4.3). | ||
ACCOUNTING POLICIES | MATERIAL ACCOUNTING ESTIMATES OR JUDGMENTS | ||||
What it is | Accounting policies considered relevant for understanding the financial statements, or required to be disclosed by law or IFRS | These accounting policies involve a higher degree of judgement or complexity. The estimates applied are more likely to have a material impact when revised or refined. |
ACCOUNTING POLICIES | MATERIAL ACCOUNTING ESTIMATES OR JUDGMENTS | ||||
Where | Provided per note to the financial statements. The notes are organized into the following sections: | ||||
Key disclosures: provide a breakdown of individual line items in the financial statements that users of the financial statements consider most relevant; | 2 . Revenue and segment reporting 3. Inventories 4. Employee benefit expense (including share-based payments) 5. Other operating expenses 6. Other financial results 7. Income taxes | 2 . Revenue - Principal versus agent for revenue out of settlement fees | |||
Capital, investment and financial risk management: key information relating to Adyen\u2019s capital management, explanations regarding financial instruments and financial risk management; | 8 . Capital management 9. CRR/CRD IV Regulatory Capital 10. Cash and cash equivalents 11. Financial instruments 12. Financial risk management | ||||
Other: information on items required to be disclosed to be compliant with EU-IFRS and other legal requirements. | Notes 13 \u2013 42 |
NET REVENUE | 2025 | 2024 |
Net non-interest revenue | 2,351,618 | 1,987,775 |
Net interest income | 12,573 | 8,299 |
Net revenue | 2,364,191 | 1,996,074 |
Accounting policy \u2013 Revenue from contracts with customers Adyen has the following sources of revenue from contracts with customers: (I) Settlement fees: Fees paid by merchants, usually as a percentage of the transaction value, where Adyen offers acquiring services. These fees are recognized as revenue when a payment transaction has been completed by means of settlement with a merchant. Settlement fees include interchange and payment network fees and other costs incurred from financial institutions. Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs plus a mark-up for its acquiring services, as contractually agreed between each merchant and Adyen. (II) Processing fees: Fixed fee per transaction paid by merchants for the use of Adyen\u2019s platform and recognized as revenue when a transaction is initiated via the Adyen payment platform. (III) Sale of goods: Adyen satisfies the performance obligation to deliver the ownership of the POS terminals and related accessories upon transfer of control of the terminal to the merchant. Adyen considers this performance obligation to be distinct from its payment services. As a result, the revenues for the sale of POS terminals and related accessories are recognized at that point in time. (IV) Other services: Includes foreign exchange service fees, third party commission and issuing services which are deemed other services - recognized at a point in time. Services transferred over time relate to the amortization of deferred revenue for services provided as part of the merchant contracts (note 2.3 and note 2.4 ) and terminal services fees as part of the unified commerce offering. | ||
Material Judgement \u2013 Principal versus agent for revenue out of settlement fees Adyen contracts with third parties (financial institutions and network scheme providers) that provide services to enable Adyen\u2019s payment processing and acquiring services to merchants, for which interchange and payment network fees are charged to Adyen (\"pass-through settlement fees\"). Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs (including interchange and payment network fees charged to merchants in a pass-through arrangement), plus a mark-up which is disclosed as \"Settlement fees\". Adyen applies its judgment in determining whether it has control of the full payment service inputs before the service is transferred to its merchants, and, in consequence, whether it is acting as agent or principal in relation to the settlement fees charged to merchants. Where Adyen is principal, it will present its acquiring mark-up and interchange and payment network fees passed on to merchants on a gross (principal) basis within revenue. Where Adyen is agent, it will present its acquiring mark-up on a gross (principal) basis, while the pass-through settlement fees will be presented within revenue on a net basis (i.e. not recognized gross in revenue and costs incurred from financial institutions). Adyen\u2019s terms and conditions applicable to merchant agreements clarify that Adyen does not provide a significant service of integrating the services from third parties into one combined output for the merchant, nor does it control the inputs from third parties before services are provided to the merchant. As such, Adyen acts as agent for the pass-through settlement fees. | ||
TYPES OF GOODS OR SERVICES | 2025 | 2024 |
Settlement fees | 1,581,729 | 1,311,705 |
Processing fees | 597,567 | 547,268 |
Sales of goods | 107,564 | 94,934 |
Other services | 360,037 | 271,694 |
Non-interest revenue | 2,646,897 | 2,225,601 |
Costs incurred from financial institutions | (192,983) | (148,167) |
Costs of goods sold | (102,296) | (89,659) |
Net non-interest revenue | 2,351,618 | 1,987,775 |
Accounting policy \u2013 Revenue recognized at a point in time and over time All processing and settlement fees, together with the sales of goods are recognized as revenue when the services are rendered or the ownership of the goods is transferred (\u2018goods and services transferred at a point in time\u2019). In addition to the aforementioned revenue streams, Adyen provides terminal replacement services included in \u2018other services\u2019, for which revenue is recognized over a period of time. Adyen recognizes revenue for these services on a straight-line basis over the contract term. | ||
TIMING OF REVENUE RECOGNITION | 2025 | 2024 |
Goods and services transferred at a point in time | 2,623,927 | 2,207,731 |
Services transferred over time | 22,970 | 17,870 |
Total revenue from contracts with customers | 2,646,897 | 2,225,601 |
Accounting policy \u2013 Net interest income Adyen presents net interest income as part of net revenue, as it is earned through the Company's revenue generating activities, and includes financial instruments measured using the effective interest method. Interest income and expenses on financial instruments are recognised in the income statement on an accrual basis using the effective interest rate method. The effective interest rate calculation method includes estimated future cash flows determined by all of the contractual terms of the asset or liability, such as interest, amortisation of any discount or premium or other differences, including transaction costs and qualifying fees and commissions, over the expected lives of the assets and liabilities. The effective interest rate is the rate that exactly discounts estimated future cash flows to the net carrying amount of the asset. As a result, this method requires Adyen to estimate future cash flows, in some cases based on its experience with client behaviour, considering all contractual terms of the financial instrument, as well as the expected lives of the assets and liabilities. | ||
NET REVENUE | 2025 | 2024 |
Net non-interest revenue | 2,351,618 | 1,987,775 |
Net interest income | 12,573 | 8,299 |
Net revenue | 2,364,191 | 1,996,074 |
Accounting policy \u2013 Revenue from contracts with customers Adyen has the following sources of revenue from contracts with customers: (I) Settlement fees: Fees paid by merchants, usually as a percentage of the transaction value, where Adyen offers acquiring services. These fees are recognized as revenue when a payment transaction has been completed by means of settlement with a merchant. Settlement fees include interchange and payment network fees and other costs incurred from financial institutions. Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs plus a mark-up for its acquiring services, as contractually agreed between each merchant and Adyen. (II) Processing fees: Fixed fee per transaction paid by merchants for the use of Adyen\u2019s platform and recognized as revenue when a transaction is initiated via the Adyen payment platform. (III) Sale of goods: Adyen satisfies the performance obligation to deliver the ownership of the POS terminals and related accessories upon transfer of control of the terminal to the merchant. Adyen considers this performance obligation to be distinct from its payment services. As a result, the revenues for the sale of POS terminals and related accessories are recognized at that point in time. (IV) Other services: Includes foreign exchange service fees, third party commission and issuing services which are deemed other services - recognized at a point in time. Services transferred over time relate to the amortization of deferred revenue for services provided as part of the merchant contracts (note 2.3 and note 2.4 ) and terminal services fees as part of the unified commerce offering. | ||
Material Judgement \u2013 Principal versus agent for revenue out of settlement fees Adyen contracts with third parties (financial institutions and network scheme providers) that provide services to enable Adyen\u2019s payment processing and acquiring services to merchants, for which interchange and payment network fees are charged to Adyen (\"pass-through settlement fees\"). Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs (including interchange and payment network fees charged to merchants in a pass-through arrangement), plus a mark-up which is disclosed as \"Settlement fees\". Adyen applies its judgment in determining whether it has control of the full payment service inputs before the service is transferred to its merchants, and, in consequence, whether it is acting as agent or principal in relation to the settlement fees charged to merchants. Where Adyen is principal, it will present its acquiring mark-up and interchange and payment network fees passed on to merchants on a gross (principal) basis within revenue. Where Adyen is agent, it will present its acquiring mark-up on a gross (principal) basis, while the pass-through settlement fees will be presented within revenue on a net basis (i.e. not recognized gross in revenue and costs incurred from financial institutions). Adyen\u2019s terms and conditions applicable to merchant agreements clarify that Adyen does not provide a significant service of integrating the services from third parties into one combined output for the merchant, nor does it control the inputs from third parties before services are provided to the merchant. As such, Adyen acts as agent for the pass-through settlement fees. | ||
TYPES OF GOODS OR SERVICES | 2025 | 2024 |
Settlement fees | 1,581,729 | 1,311,705 |
Processing fees | 597,567 | 547,268 |
Sales of goods | 107,564 | 94,934 |
Other services | 360,037 | 271,694 |
Non-interest revenue | 2,646,897 | 2,225,601 |
Costs incurred from financial institutions | (192,983) | (148,167) |
Costs of goods sold | (102,296) | (89,659) |
Net non-interest revenue | 2,351,618 | 1,987,775 |
Accounting policy \u2013 Revenue recognized at a point in time and over time All processing and settlement fees, together with the sales of goods are recognized as revenue when the services are rendered or the ownership of the goods is transferred (\u2018goods and services transferred at a point in time\u2019). In addition to the aforementioned revenue streams, Adyen provides terminal replacement services included in \u2018other services\u2019, for which revenue is recognized over a period of time. Adyen recognizes revenue for these services on a straight-line basis over the contract term. | ||
TIMING OF REVENUE RECOGNITION | 2025 | 2024 |
Goods and services transferred at a point in time | 2,623,927 | 2,207,731 |
Services transferred over time | 22,970 | 17,870 |
Total revenue from contracts with customers | 2,646,897 | 2,225,601 |
Accounting policy \u2013 Net interest income Adyen presents net interest income as part of net revenue, as it is earned through the Company's revenue generating activities, and includes financial instruments measured using the effective interest method. Interest income and expenses on financial instruments are recognised in the income statement on an accrual basis using the effective interest rate method. The effective interest rate calculation method includes estimated future cash flows determined by all of the contractual terms of the asset or liability, such as interest, amortisation of any discount or premium or other differences, including transaction costs and qualifying fees and commissions, over the expected lives of the assets and liabilities. The effective interest rate is the rate that exactly discounts estimated future cash flows to the net carrying amount of the asset. As a result, this method requires Adyen to estimate future cash flows, in some cases based on its experience with client behaviour, considering all contractual terms of the financial instrument, as well as the expected lives of the assets and liabilities. | ||
Accounting policy \u2013 Revenue from contracts with customers Adyen has the following sources of revenue from contracts with customers: (I) Settlement fees: Fees paid by merchants, usually as a percentage of the transaction value, where Adyen offers acquiring services. These fees are recognized as revenue when a payment transaction has been completed by means of settlement with a merchant. Settlement fees include interchange and payment network fees and other costs incurred from financial institutions. Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs plus a mark-up for its acquiring services, as contractually agreed between each merchant and Adyen. (II) Processing fees: Fixed fee per transaction paid by merchants for the use of Adyen\u2019s platform and recognized as revenue when a transaction is initiated via the Adyen payment platform. (III) Sale of goods: Adyen satisfies the performance obligation to deliver the ownership of the POS terminals and related accessories upon transfer of control of the terminal to the merchant. Adyen considers this performance obligation to be distinct from its payment services. As a result, the revenues for the sale of POS terminals and related accessories are recognized at that point in time. (IV) Other services: Includes foreign exchange service fees, third party commission and issuing services which are deemed other services - recognized at a point in time. Services transferred over time relate to the amortization of deferred revenue for services provided as part of the merchant contracts (note 2.3 and note 2.4 ) and terminal services fees as part of the unified commerce offering. | ||
Material Judgement \u2013 Principal versus agent for revenue out of settlement fees Adyen contracts with third parties (financial institutions and network scheme providers) that provide services to enable Adyen\u2019s payment processing and acquiring services to merchants, for which interchange and payment network fees are charged to Adyen (\"pass-through settlement fees\"). Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs (including interchange and payment network fees charged to merchants in a pass-through arrangement), plus a mark-up which is disclosed as \"Settlement fees\". Adyen applies its judgment in determining whether it has control of the full payment service inputs before the service is transferred to its merchants, and, in consequence, whether it is acting as agent or principal in relation to the settlement fees charged to merchants. Where Adyen is principal, it will present its acquiring mark-up and interchange and payment network fees passed on to merchants on a gross (principal) basis within revenue. Where Adyen is agent, it will present its acquiring mark-up on a gross (principal) basis, while the pass-through settlement fees will be presented within revenue on a net basis (i.e. not recognized gross in revenue and costs incurred from financial institutions). Adyen\u2019s terms and conditions applicable to merchant agreements clarify that Adyen does not provide a significant service of integrating the services from third parties into one combined output for the merchant, nor does it control the inputs from third parties before services are provided to the merchant. As such, Adyen acts as agent for the pass-through settlement fees. | ||
Accounting policy \u2013 Revenue from contracts with customers Adyen has the following sources of revenue from contracts with customers: (I) Settlement fees: Fees paid by merchants, usually as a percentage of the transaction value, where Adyen offers acquiring services. These fees are recognized as revenue when a payment transaction has been completed by means of settlement with a merchant. Settlement fees include interchange and payment network fees and other costs incurred from financial institutions. Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs plus a mark-up for its acquiring services, as contractually agreed between each merchant and Adyen. (II) Processing fees: Fixed fee per transaction paid by merchants for the use of Adyen\u2019s platform and recognized as revenue when a transaction is initiated via the Adyen payment platform. (III) Sale of goods: Adyen satisfies the performance obligation to deliver the ownership of the POS terminals and related accessories upon transfer of control of the terminal to the merchant. Adyen considers this performance obligation to be distinct from its payment services. As a result, the revenues for the sale of POS terminals and related accessories are recognized at that point in time. (IV) Other services: Includes foreign exchange service fees, third party commission and issuing services which are deemed other services - recognized at a point in time. Services transferred over time relate to the amortization of deferred revenue for services provided as part of the merchant contracts (note 2.3 and note 2.4 ) and terminal services fees as part of the unified commerce offering. | ||
Material Judgement \u2013 Principal versus agent for revenue out of settlement fees Adyen contracts with third parties (financial institutions and network scheme providers) that provide services to enable Adyen\u2019s payment processing and acquiring services to merchants, for which interchange and payment network fees are charged to Adyen (\"pass-through settlement fees\"). Adyen adopts a transparent pricing model and charges fees to merchants based on its own incurred costs (including interchange and payment network fees charged to merchants in a pass-through arrangement), plus a mark-up which is disclosed as \"Settlement fees\". Adyen applies its judgment in determining whether it has control of the full payment service inputs before the service is transferred to its merchants, and, in consequence, whether it is acting as agent or principal in relation to the settlement fees charged to merchants. Where Adyen is principal, it will present its acquiring mark-up and interchange and payment network fees passed on to merchants on a gross (principal) basis within revenue. Where Adyen is agent, it will present its acquiring mark-up on a gross (principal) basis, while the pass-through settlement fees will be presented within revenue on a net basis (i.e. not recognized gross in revenue and costs incurred from financial institutions). Adyen\u2019s terms and conditions applicable to merchant agreements clarify that Adyen does not provide a significant service of integrating the services from third parties into one combined output for the merchant, nor does it control the inputs from third parties before services are provided to the merchant. As such, Adyen acts as agent for the pass-through settlement fees. | ||
Accounting policy \u2013 Segment Reporting An operating segment is a component of an entity that engages in business activities from which it earns revenues and incurs expenses. The operating results of each segment are regularly reviewed by the entity\u2019s Chief Operating Decision Maker (\u201cCODM\u201d) in order to make decisions about resources to be allocated to the segment and assess its performance. Discrete financial information is available for each of these segments. Adyen has identified the Management Board as the CODM who is responsible for the assessment of the allocation of resources and performance of the operating segments identified. Based on Adyen\u2019s business and operating model, Adyen has identified a single operating and reporting segment. The Management Board monitors net revenue as a performance indicator. As a result, Adyen considers net revenue to provide insight to its users to evaluate the nature and financial effects of the business activities in which it engages and the economic environments in which it operates. Net revenue is a non-IFRS measure\u00a0 \u2013\u00a0 refer to note 2.2 for further explanation on the non-IFRS measures reported by Adyen. | ||
NON-INTEREST REVENUE - GEOGRAPHICAL BREAKDOWN | 2025 | 2024 |
Europe, the Middle East, and Africa (EMEA)* | 1,518,766 | 1,276,883 |
North America | 710,910 | 599,253 |
Asia-Pacific | 265,742 | 230,216 |
Latin America | 151,479 | 119,249 |
Total revenue from contracts with customers | 2,646,897 | 2,225,601 |
NON-CURRENT ASSETS - GEOGRAPHICAL BREAKDOWN | 2025 | 2024 |
Netherlands | 241,083 | 271,111 |
Rest of the World | 238,446 | 151,487 |
Non-current assets | 479,529 | 422,598 |
Accounting policy \u2013 Segment Reporting An operating segment is a component of an entity that engages in business activities from which it earns revenues and incurs expenses. The operating results of each segment are regularly reviewed by the entity\u2019s Chief Operating Decision Maker (\u201cCODM\u201d) in order to make decisions about resources to be allocated to the segment and assess its performance. Discrete financial information is available for each of these segments. Adyen has identified the Management Board as the CODM who is responsible for the assessment of the allocation of resources and performance of the operating segments identified. Based on Adyen\u2019s business and operating model, Adyen has identified a single operating and reporting segment. The Management Board monitors net revenue as a performance indicator. As a result, Adyen considers net revenue to provide insight to its users to evaluate the nature and financial effects of the business activities in which it engages and the economic environments in which it operates. Net revenue is a non-IFRS measure\u00a0 \u2013\u00a0 refer to note 2.2 for further explanation on the non-IFRS measures reported by Adyen. | ||
Accounting policy \u2013 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and impairment. Repairs and maintenance costs are charged to the statement of comprehensive income during the period in which they are incurred. The major categories of plant and equipment (namely hardware and software equipment\u00a0 and leasehold improvements) are assessed to have a useful life of 5 years. Plant and equipment are depreciated on a straight-line basis and are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Financial instruments Classification Financial assets Adyen classifies its financial assets in the following measurement categories, those to be measured: \u25aa subsequently at fair value through profit or loss (\u2018FVPL\u2019), and \u25aa at amortized cost. The classification depends on Adyen\u2019s business model for managing the financial assets and the contractual terms of the cash flows. | ||
Financial liabilities Adyen initially classifies financial instruments as a liability or equity instrument based on the terms of the contractual arrangement, and subsequently reassesses the accounting treatment based on changes in circumstances. The derivative liabilities are classified as financial liabilities measured at fair value through profit or loss. | ||
Recognition and measurement Initial Recognition At initial recognition, Adyen measures its financial instruments at its fair value plus/minus, in the case of a financial instrument not at FVPL, transaction costs that are directly attributable to the acquisition of the instrument.Transaction costs of financial instruments carried at FVPL are recognised in profit or loss. Subsequent Measurement Financial assets at amortized cost Subsequent measurement of debt instruments depends on Adyen\u2019s business model for managing the asset and the cash flow characteristics of the asset. Financial assets held within a business model whose objective is to hold the assets in order to collect contractual cash flows, where those cash flows represent solely payments of principal and interest, are measured at amortised cost. Financial assets at fair value through profit or loss Financial assets that do not meet the criteria for amortized cost or fair value through other comprehensive income (\u2018FVOCI\u2019) are measured at FVPL. Any gain or loss is recognized in profit or loss and presented net within other financial results for the period in which it arises. | ||
Financial liabilities Adyen\u2019s financial liabilities are measured at amortized cost except for derivative liabilities, which are classified as financial liabilities measured at fair value through profit or loss. |
Impairment Adyen assesses on a forward-looking basis the expected credit losses associated with its debt instruments carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. For trade receivables and contract assets, the group applies the simplified approach, which requires expected lifetime losses to be recognized from initial recognition of the assets. Instruments in scope on the balance sheet of Adyen include: cash and cash equivalents, receivables from merchants and financial institutions, trade receivables, other receivables and contract asset classified as a monetary item. The expected credit loss model is designed to measure the pattern of improvement or deterioration in the credit quality of the debt instruments. The measurement basis consists of two categories: \u25aa Category 1: Expected credit losses (12 months) \u25aa Category 2: Lifetime expected credit losses The Adyen Treasury policy only allows exposures to financial institutions with sound credit quality rating and limits the exposure to a maximum amount. As a result, Adyen applies the low credit risk simplification; hence all assets are considered to be in stage 1 and a 12-month expected credit loss is applied. Lifetime expected credit losses are applied for trade and other receivables. For these instruments operational simplifications can be applied; hence it eliminates the need to calculate a 12-month expected credit losses or to measure increases in credit risk for the instrument. The loss allowance for trade receivables are measured at initial recognition, and throughout the total duration, equal to lifetime expected credit losses. As the average duration of the instruments in scope for impairment calculation is below 10 days, no forward- looking elements are included in the expected credit loss assessment. In the event of no reasonable expectation of recovering the financial asset, the Adyen Credit Committee decides on whether a write-off should take place for the entirety or portion of the outstanding amount. | ||
Fair value measurement For financial instruments measured at fair value, Adyen categorizes the fair value measurement in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. Adyen categorizes fair valuation inputs on the following basis: \u25aa Level 1: The fair value of financial instruments traded in active markets is based on quoted market prices at the end of the reporting period. \u25aa Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. \u25aa Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. | ||
FINANCIAL INSTRUMENTS | NOTE | MEASUREMENT POLICY | 2025 | 2024 |
Financial assets: | ||||
Other financial assets at FVPL | FVPL \u2013 level 2 | 3,865 | 9,486 | |
Receivables from merchants and financial institutions | 15 | Amortized cost | 561,683 | 658,854 |
Trade and other receivables | 15 | Amortized cost | 217,007 | 132,062 |
Other financial assets at amortized cost | Amortized cost | 30,128 | 23,912 | |
Cash and cash equivalents | 10 | Amortized cost | 10,797,401 | 9,965,030 |
Total | 11,610,084 | 10,789,344 | ||
Financial liabilities: | ||||
Lease liability | 17 | Amortized cost | 252,366 | 228,256 |
Payable to merchants and financial institutions | 16 | Amortized cost | 6,371,815 | 6,684,721 |
Trade and other payables | 16 | Amortized cost | 285,208 | 254,138 |
Total | 6,909,389 | 7,167,115 |
Accounting policy \u2013 Contract assets Recognition and measurement If an incurred fee or commission is not paid in connection with any distinct goods or services, it should be considered as a reduction of the total transaction price of a contract with a customer. As a result, this incurred fee or commission should be deducted from revenue when revenue is recognized for providing the services to the customer. The unamortized portion of these considerations are recognized as contract assets in the balance sheet.\u00a0 Amortization and Impairment The contract assets are assessed for impairment annually with reference to the remaining (net) benefits from the merchant contract. An impairment loss is recognized if the carrying amount of the contract assets are higher than the estimated remaining benefits in the merchant contract, net of directly attributable costs to fulfil the remaining payment service obligations. The contract assets are amortized and booked to revenue (settlement fees) on a pro rata basis in line with the fulfilment of the expected payment services performance obligation. | ||
CONTRACT ASSETS | NON-MONETARY COMPONENT* | OTHER CONTRACT ASSETS | TOTAL CONTRACT ASSETS |
Balance - 1 January, 2024 | 19,729 | 4,466 | 24,195 |
Movements: | |||
Additions | 2,720 | 2,720 | |
Amortization for the year | (18,039) | (3,048) | (21,087) |
Exchange differences | 131 | 131 | |
Balance - December 31, 2024 | 1,690 | 4,269 | 5,959 |
Movements: | |||
Additions | 2,677 | 2,677 | |
Amortization for the year | (1,690) | (3,791) | (5,481) |
Exchange differences (note 6) | (106) | (106) | |
Balance - December 31, 2025 | \u2014 | 3,049 | 3,049 |
Accounting policy \u2013 Inventories Inventories are measured at the lower of cost or net realizable value. The cost of inventories is based on the first-in, first-out method (FIFO) and includes expenditure incurred in acquiring the inventories and other costs incurred in bringing them to their existing location and condition. Net realizable value is defined by Adyen as the estimated re-sell price in the ordinary course of business. The carrying amount of inventories is recognized as an expense when the inventories are sold or written off, unless they form part of the cost of another asset. | ||
INVENTORIES | 2025 | 2024 |
Balance - January 1 | 99,848 | 104,502 |
Purchases during the year (products for resale) | 81,450 | 78,654 |
Costs of goods sold | (102,296) | (89,659) |
Transfer to contract assets (note 2.4) | \u2014 | (1,111) |
Expense recognized in (\u2018Other operating expenses\u2019) / \u2018Other income\u2019 | (2,043) | 7,462 |
Balance - December 31 | 76,959 | 99,848 |
Accounting policy \u2013 Inventories Inventories are measured at the lower of cost or net realizable value. The cost of inventories is based on the first-in, first-out method (FIFO) and includes expenditure incurred in acquiring the inventories and other costs incurred in bringing them to their existing location and condition. Net realizable value is defined by Adyen as the estimated re-sell price in the ordinary course of business. The carrying amount of inventories is recognized as an expense when the inventories are sold or written off, unless they form part of the cost of another asset. | ||
FTE PER OFFICE | 2025 | 2024 |
Amsterdam | 2,393 | 2,268 |
Chicago | 309 | 228 |
San Francisco | 296 | 294 |
New York | 242 | 207 |
Madrid | 193 | 166 |
Singapore | 189 | 165 |
S\u00e3o Paulo | 176 | 175 |
London | 149 | 135 |
Paris | 105 | 100 |
Berlin | 105 | 99 |
Other | 614 | 508 |
Total | 4,771 | 4,345 |
Accounting policy \u2013 Employee benefits Employee benefits are all forms of consideration given by Adyen in exchange for services rendered by employees or for the termination of employment, except when they are related to share-based payments (refer to note 4.3 \u2018Share-based payments\u2019). | ||
EMPLOYEE BENEFITS | 2025 | 2024 |
Salaries and wages | 608,121 | 569,530 |
Share-based compensation (note 4.3) | 43,457 | 37,368 |
Total wages and salaries | 651,577 | 606,898 |
Social securities | 87,729 | 77,141 |
Pension costs - defined contribution plans | 16,881 | 17,130 |
Total social securities and pension costs | 104,610 | 94,271 |
Accounting policy \u2013 Post-employment benefit obligations Post-employment benefits are employee benefits (other than termination benefits and short-term employee benefits) that are payable after the completion of employment. The Adyen Group companies operate various pension schemes. The entitlement of the employees under the company\u2019s pension plans are all classified as defined contribution plans. For defined contribution plans, the Group pays contributions to publicly or privately administered pension insurance plans on a mandatory, contractual or voluntary basis. The Group has no further payment obligations once the contributions have been paid. The contributions are recognized as an employee benefit expense in the period in which the Group benefits from the services provided by its employees. | ||
SHARE-BASED COMPENSATION | 2025 | 2024 |
Equity-settled | 42,371 | 34,786 |
Cash-settled | 1,086 | 2,582 |
Total share-based compensation | 43,457 | 37,368 |
Accounting policy \u2013 Equity-settled options Adyen has an option plan for directors and employees. Exercisable options provide participants the opportunity to obtain Depositary Receipts at an exercise price. The exercise price of the granted options is equal to the market price of the shares at grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen, options will vest over a period of four years. The vesting period starts on the grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen N.V., 25% of the options will vest on the first anniversary of the grant date. The remaining 75% of the options will then vest monthly, in equal proportions at the end of each month, over the following 36 months.\u00a0 Options can be exercised at any time from the vesting date until the 8th anniversary of the grant date. Adyen has no legal or constructive obligation to repurchase or settle the options in cash. | ||
Accounting policy \u2013 Cash-settled share-based payment plan Adyen established a cash-settled share-based payment plan (phantom shares) for newly hired directors and employees as well as for certain current employees until May 2023. The phantom shares are granted at the underlying market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the phantom shares will vest over a period of four years from the grant date. 25% of the phantom shares will vest on each anniversary of the grant date, until all are vested after four years. Adyen recognizes a cost over the vesting period and a corresponding liability based on the market price of Adyen\u2019s shares. The liability is measured at fair value through profit or loss using the market price of Adyen\u2019s shares at balance sheet date with remeasurements on each reporting date. Changes in the fair value are recognized as \u201cshare-based compensation expense\u201d. The expense reflecting the recognition of the grant date fair value and changes in fair value of the phantom share plan is presented in wages and salaries in the statement of comprehensive income. | ||
Accounting policy \u2013 Equity-settled Restricted Stock Unit (\u201cRSU\u201d) Awards Plan Adyen has established a Restricted Stock Unit (\u201cRSU\u201d) equity-settled share-based payment plan for newly hired directors and employees as well as for certain current employees. The RSUs are granted at the market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the RSUs will vest on the anniversary of the grant date over the applicable vesting period.\u00a0 Adyen recognizes an expense over the vesting period and a corresponding increase in equity. The measurement of the RSUs is based on the market price of Adyen\u2019s shares at grant date, and subsequent adjustments to the number of RSUs expected to vest are made at each reporting date. The expense reflecting the grant date fair value, recognition of service and adjustments to the expected number of instruments to vest, is presented as \u2018share-based compensation expense\u2019 under wages and salaries in the statement of comprehensive income. | ||
2025 | 2024 | |||
RSUS OUTSTANDING | NUMBER OF RSUS (THOUSANDS) | WEIGHTED-AVERAGE GRANT-DATE FAIR VALUE (IN EUR) | NUMBER OF RSUS (THOUSANDS) | WEIGHTED-AVERAGE GRANT-DATE FAIR VALUE (IN EUR) |
Balance - January 1 | 84 | 1,270 | 81 | 1,277 |
Granted | 56 | 1,487 | 39 | 1,304 |
Vested | (26) | 1,349 | (24) | 1,293 |
Forfeited | (13) | 1,254 | (12) | 1,352 |
Balance - December 31 | 100 | 1,387 | 84 | 1,270 |
Accounting policy \u2013 Fixed Salary shares plan Adyen established the Fixed Salary shares plan which replaces and supersedes the Depositary receipts awards plan. The plan grants the possibility to purchase Adyen N.V. ordinary shares at fair market value to directors and to employees as part of their remuneration. In accordance with IAS 19 - Employee Benefits, Adyen recognizes an expense over the service period and a corresponding liability at fair value. This liability is subsequently settled through the issuance of Adyen N.V. ordinary shares. | ||
2025 | 2024 | |
Salaries and short-term employee benefits | 5,144 | 4,551 |
Share-based payments | 2,614 | 1,243 |
Post-employment benefits | 382 | 310 |
Extraordinary items | 1,082 | 250 |
Total | 9,222 | 6,354 |
2025 | 2024 | |
Salaries and short-term employee benefits | 662 | 606 |
Total | 662 | 606 |
FTE PER OFFICE | 2025 | 2024 |
Amsterdam | 2,393 | 2,268 |
Chicago | 309 | 228 |
San Francisco | 296 | 294 |
New York | 242 | 207 |
Madrid | 193 | 166 |
Singapore | 189 | 165 |
S\u00e3o Paulo | 176 | 175 |
London | 149 | 135 |
Paris | 105 | 100 |
Berlin | 105 | 99 |
Other | 614 | 508 |
Total | 4,771 | 4,345 |
Accounting policy \u2013 Employee benefits Employee benefits are all forms of consideration given by Adyen in exchange for services rendered by employees or for the termination of employment, except when they are related to share-based payments (refer to note 4.3 \u2018Share-based payments\u2019). | ||
Accounting policy \u2013 Post-employment benefit obligations Post-employment benefits are employee benefits (other than termination benefits and short-term employee benefits) that are payable after the completion of employment. The Adyen Group companies operate various pension schemes. The entitlement of the employees under the company\u2019s pension plans are all classified as defined contribution plans. For defined contribution plans, the Group pays contributions to publicly or privately administered pension insurance plans on a mandatory, contractual or voluntary basis. The Group has no further payment obligations once the contributions have been paid. The contributions are recognized as an employee benefit expense in the period in which the Group benefits from the services provided by its employees. | ||
SHARE-BASED COMPENSATION | 2025 | 2024 |
Equity-settled | 42,371 | 34,786 |
Cash-settled | 1,086 | 2,582 |
Total share-based compensation | 43,457 | 37,368 |
Accounting policy \u2013 Equity-settled options Adyen has an option plan for directors and employees. Exercisable options provide participants the opportunity to obtain Depositary Receipts at an exercise price. The exercise price of the granted options is equal to the market price of the shares at grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen, options will vest over a period of four years. The vesting period starts on the grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen N.V., 25% of the options will vest on the first anniversary of the grant date. The remaining 75% of the options will then vest monthly, in equal proportions at the end of each month, over the following 36 months.\u00a0 Options can be exercised at any time from the vesting date until the 8th anniversary of the grant date. Adyen has no legal or constructive obligation to repurchase or settle the options in cash. | ||
Accounting policy \u2013 Cash-settled share-based payment plan Adyen established a cash-settled share-based payment plan (phantom shares) for newly hired directors and employees as well as for certain current employees until May 2023. The phantom shares are granted at the underlying market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the phantom shares will vest over a period of four years from the grant date. 25% of the phantom shares will vest on each anniversary of the grant date, until all are vested after four years. Adyen recognizes a cost over the vesting period and a corresponding liability based on the market price of Adyen\u2019s shares. The liability is measured at fair value through profit or loss using the market price of Adyen\u2019s shares at balance sheet date with remeasurements on each reporting date. Changes in the fair value are recognized as \u201cshare-based compensation expense\u201d. The expense reflecting the recognition of the grant date fair value and changes in fair value of the phantom share plan is presented in wages and salaries in the statement of comprehensive income. | ||
Accounting policy \u2013 Equity-settled Restricted Stock Unit (\u201cRSU\u201d) Awards Plan Adyen has established a Restricted Stock Unit (\u201cRSU\u201d) equity-settled share-based payment plan for newly hired directors and employees as well as for certain current employees. The RSUs are granted at the market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the RSUs will vest on the anniversary of the grant date over the applicable vesting period.\u00a0 Adyen recognizes an expense over the vesting period and a corresponding increase in equity. The measurement of the RSUs is based on the market price of Adyen\u2019s shares at grant date, and subsequent adjustments to the number of RSUs expected to vest are made at each reporting date. The expense reflecting the grant date fair value, recognition of service and adjustments to the expected number of instruments to vest, is presented as \u2018share-based compensation expense\u2019 under wages and salaries in the statement of comprehensive income. | ||
2025 | 2024 | |||
RSUS OUTSTANDING | NUMBER OF RSUS (THOUSANDS) | WEIGHTED-AVERAGE GRANT-DATE FAIR VALUE (IN EUR) | NUMBER OF RSUS (THOUSANDS) | WEIGHTED-AVERAGE GRANT-DATE FAIR VALUE (IN EUR) |
Balance - January 1 | 84 | 1,270 | 81 | 1,277 |
Granted | 56 | 1,487 | 39 | 1,304 |
Vested | (26) | 1,349 | (24) | 1,293 |
Forfeited | (13) | 1,254 | (12) | 1,352 |
Balance - December 31 | 100 | 1,387 | 84 | 1,270 |
Accounting policy \u2013 Fixed Salary shares plan Adyen established the Fixed Salary shares plan which replaces and supersedes the Depositary receipts awards plan. The plan grants the possibility to purchase Adyen N.V. ordinary shares at fair market value to directors and to employees as part of their remuneration. In accordance with IAS 19 - Employee Benefits, Adyen recognizes an expense over the service period and a corresponding liability at fair value. This liability is subsequently settled through the issuance of Adyen N.V. ordinary shares. | ||
Accounting policy \u2013 Equity-settled options Adyen has an option plan for directors and employees. Exercisable options provide participants the opportunity to obtain Depositary Receipts at an exercise price. The exercise price of the granted options is equal to the market price of the shares at grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen, options will vest over a period of four years. The vesting period starts on the grant date. Subject to the employees\u2019 and directors\u2019 continued employment with Adyen N.V., 25% of the options will vest on the first anniversary of the grant date. The remaining 75% of the options will then vest monthly, in equal proportions at the end of each month, over the following 36 months.\u00a0 Options can be exercised at any time from the vesting date until the 8th anniversary of the grant date. Adyen has no legal or constructive obligation to repurchase or settle the options in cash. | ||
Accounting policy \u2013 Cash-settled share-based payment plan Adyen established a cash-settled share-based payment plan (phantom shares) for newly hired directors and employees as well as for certain current employees until May 2023. The phantom shares are granted at the underlying market price of Adyen shares at grant date. Subject to the employees\u2019 continued employment with Adyen N.V., the phantom shares will vest over a period of four years from the grant date. 25% of the phantom shares will vest on each anniversary of the grant date, until all are vested after four years. Adyen recognizes a cost over the vesting period and a corresponding liability based on the market price of Adyen\u2019s shares. The liability is measured at fair value through profit or loss using the market price of Adyen\u2019s shares at balance sheet date with remeasurements on each reporting date. Changes in the fair value are recognized as \u201cshare-based compensation expense\u201d. The expense reflecting the recognition of the grant date fair value and changes in fair value of the phantom share plan is presented in wages and salaries in the statement of comprehensive income. | ||
Accounting policy \u2013 Operating expenses Operating expenses are recognized in the period when they occur. | ||
OTHER OPERATING EXPENSES | 2025 | 2024 |
Travel and other staff expenses | 70,118 | 61,724 |
Sales and marketing costs | 65,478 | 58,226 |
IT costs | 55,840 | 48,386 |
Advisory costs | 35,431 | 29,349 |
1% for the UN SDGs | 23,641 | 19,961 |
Housing costs | 22,718 | 23,539 |
Contractor costs | 19,131 | 11,161 |
Office costs | 8,590 | 9,846 |
Miscellaneous operating expenses | 62,369 | 47,439 |
Total other operating expenses | 363,316 | 309,631 |
OTHER FINANCIAL RESULTS | 2025 | 2024 |
Exchange gains/(losses) (note 6.1) | 22,714 | (5,820) |
Fair value re-measurement of financial instruments: | ||
Derivative liabilities | \u2014 | (199) |
Other financial assets at FVPL (note 6.2) | 1,346 | 3,066 |
Total other financial results | 24,060 | (2,953) |
FINANCIAL INSTRUMENTS | NOTE | MEASUREMENT POLICY | 2025 | 2024 |
Financial assets: | ||||
Other financial assets at FVPL | FVPL \u2013 level 2 | 3,865 | 9,486 | |
Receivables from merchants and financial institutions | 15 | Amortized cost | 561,683 | 658,854 |
Trade and other receivables | 15 | Amortized cost | 217,007 | 132,062 |
Other financial assets at amortized cost | Amortized cost | 30,128 | 23,912 | |
Cash and cash equivalents | 10 | Amortized cost | 10,797,401 | 9,965,030 |
Total | 11,610,084 | 10,789,344 | ||
Financial liabilities: | ||||
Lease liability | 17 | Amortized cost | 252,366 | 228,256 |
Payable to merchants and financial institutions | 16 | Amortized cost | 6,371,815 | 6,684,721 |
Trade and other payables | 16 | Amortized cost | 285,208 | 254,138 |
Total | 6,909,389 | 7,167,115 |
Accounting policy \u2013 Current income tax expense Current income tax expense is the expected tax payable on the taxable income for the year (related to items presented in the Statement of Comprehensive Income), using tax rates enacted or substantively enacted, at the end of the reporting period, and any adjustment to tax payable in respect of previous years. | ||
EFFECTIVE TAX CALCULATION | 2025 | 2024 |
Income before income taxes | 1,393,983 | 1,226,730 |
Statutory tax rate in the Netherlands (%) | 25.8% | 25.8% |
Income taxes based on statutory tax rate in the Netherlands | 359,648 | 316,496 |
Tax effects of: | ||
Innovation box | (40,459) | (32,594) |
Tax rate differences on foreign operations | (2,254) | 1,670 |
Other adjustments (such as prior period and non-deductible amounts) | 14,522 | 15,995 |
Effective tax amount | 331,457 | 301,567 |
INCOME TAXES | 2025 | 2024 |
Current income tax expense | 335,910 | 297,547 |
Deferred income tax (income) / expense | (4,453) | 4,020 |
Total income taxes | 331,457 | 301,567 |
CURRENT INCOME TAX RECEIVABLES/(PAYABLES) | 2025 | 2024 |
Current income tax receivables | 6,625 | 8,433 |
Current income tax payables | (61,238) | (23,903) |
Accounting policy \u2013 Deferred income taxes Deferred income taxes arise, in general, as a result of temporary differences between tax and commercial accounting treatment. Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled. The applied rates are based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date. In some tax jurisdictions, Adyen is granted a tax deduction (i.e. an amount that is deductible in determining taxable profit) that relates to remuneration settled by options over Adyen\u2019s shares or Restricted Stock Units. The amount of that tax deduction may differ from the related cumulative remuneration expense, and may arise in a later accounting period. In the event where tax deductions exceed the remuneration expense, Adyen recognizes a deferred tax position with the impact presented directly in equity. Deferred tax assets are recognized by Adyen to the extent that it is probable that future taxable profits will be available against which they can be utilized. | ||
BALANCE JANUARY 1, 2024 | RECOGNIZED IN PROFIT OR LOSS | RECOGNIZED IN EQUITY | EFFECTS OF FOREIGN EXCHANGE | Balance December 31, 2024 | |
Deferred tax assets: | |||||
Derivative liabilities | 361 | (361) | \u2014 | ||
Windfall tax benefit | 2,519 | 103 | 40 | 2,662 | |
Tax losses carried forward | 88,466 | (4,549) | (7,233) | 6,567 | 83,251 |
Temporary differences | 21,333 | (4,764) | 2,574 | 19,143 | |
Total deferred tax assets | 112,679 | (9,674) | (4,556) | 6,607 | 105,056 |
Deferred tax liabilities: | |||||
Contract assets | (5,090) | 4,654 | (436) | ||
Temporary differences | (1,365) | 1,000 | (365) | ||
Total deferred tax liabilities | (6,455) | 5,654 | \u2014 | \u2014 | (801) |
Net deferred tax assets | 106,224 | (4,020) | (4,556) | 6,607 | 104,255 |
BALANCE JANUARY 1, 2025 | RECOGNIZED IN PROFIT OR LOSS | RECOGNIZED IN EQUITY | EFFECTS OF FOREIGN EXCHANGE | Balance December 31, 2025 | |
Deferred tax assets: | |||||
Windfall tax benefit | 2,662 | (151) | (930) | 1,581 | |
Tax losses carried forward | 83,251 | (2,243) | (13,387) | (11,212) | 56,409 |
Temporary differences | 19,143 | 6,519 | 25,662 | ||
Total deferred tax assets | 105,056 | 4,276 | (13,538) | (12,142) | 83,652 |
Deferred tax liabilities: | |||||
Contract assets | (436) | 436 | \u2014 | ||
Temporary differences | (365) | (259) | (624) | ||
Total deferred tax liabilities | (801) | 177 | \u2014 | \u2014 | (624) |
Net deferred tax assets | 104,255 | 4,453 | (13,538) | (12,142) | 83,028 |
Accounting estimate \u2013 Deferred tax assets linked to windfall benefits Windfall benefits arise when the tax deduction for share-based compensation exceeds the cumulative remuneration expense recognized for accounting purposes. Deferred tax assets include tax losses carried forward relating to options exercised in the United States at a Federal and State level (December 31, 2025: EUR 56,174 ; December 31, 2024: EUR 80,364) and windfall benefits relating to options granted and vested, however not yet exercised (December 31, 2025: EUR 1,581; December 31, 2024: 2,662). An amount of EUR 14,507 of the tax losses carried forward was utilised during the period and recognised in the share premium reserve (2024: EUR 16,840). During 2025, Adyen has reassessed the recoverability of deferred tax assets on windfall benefits linked to the share-based compensation plan in the United States. Adyen continues to recognize deferred tax assets that will be realized against future profits on a going concern basis. The United States Federal Tax windfall benefit continues to be recognized as these carry forward losses on a Federal level have no expiration date. The State net operating losses continues to be recognized as these carry forward losses are expected to be utilized against future taxable income before its expiration date. This windfall benefit has been recognized assuming all options granted to date will be exercised within the 8th anniversary of the grant date (grant date + 7 years). | ||
TAXES RECEIVED/ (PAID) ON CASH BASIS | ||||||||||||||
COUNTRY* | MAIN ACTIVITY | FTE | (GROSS) REVENUE | OPERATING EXPENSE | PROFIT (LOSS) BEFORE INCOME TAX | INCOME TAX ACCRUED (CURRENT YEAR) | ACCUMULATED EARNINGS | INCOME TAX EXPENSE | INCOME TAXES PAID | INDIRECT TAXES | PAYROLL TAXES | WITHHOLDING TAXES | GRANTS / INCENTIVES | TOTAL TAX PAID OR WITHHELD |
China | Sales office | 58 | 21,963 | (14,408) | 7,413 | (1,980) | 19,535 | (1,980) | (2,233) | (1,073) | (4,384) | \u2014 | \u2014 | (7,690) |
Australia | Sales and support office | 58 | 136,899 | (17,932) | 10,919 | (3,993) | 20,487 | (3,823) | (4,941) | (28,079) | (2,875) | \u2014 | \u2014 | (35,895) |
Canada | Sales office | 37 | 31,417 | (9,785) | 4,097 | (1,351) | 10,323 | (1,391) | (1,576) | (2,272) | (1,804) | \u2014 | \u2014 | (5,652) |
Brazil | Sales and support office | 226 | 124,474 | (49,181) | 26,065 | (6,360) | 49,110 | (8,772) | 4,730 | (39,285) | (9,236) | (5,071) | \u2014 | (48,862) |
France | Sales office | 105 | 33,897 | (27,422) | 6,422 | (1,531) | 15,224 | (1,386) | (2,456) | (71,229) | (8,944) | \u2014 | \u2014 | (82,629) |
Hong Kong | Sales office | 10 | 73,636 | (1,916) | 6,769 | (1,100) | 5,126 | (1,100) | (210) | \u2014 | \u2014 | \u2014 | \u2014 | (210) |
India | Sales and support office | 88 | 18,786 | (14,340) | 3,180 | (1,069) | 4,607 | (864) | (763) | (107) | (1,363) | (426) | \u2014 | (2,659) |
Japan | Sales and support office | 49 | 66,286 | (17,606) | 2,626 | (739) | 3,516 | (739) | (392) | (24,562) | (1,534) | (8) | \u2014 | (26,496) |
Malaysia | Sales office | 5 | 7,699 | (914) | 858 | (207) | 759 | (207) | (73) | \u2014 | (65) | \u2014 | \u2014 | (138) |
Mexico | Sales office | 33 | 41,560 | (8,396) | 4,668 | (770) | 8,613 | (770) | (4,412) | (2,808) | (1,394) | (1,451) | \u2014 | (10,065) |
Germany | Sales and support office | 123 | 40,889 | (32,381) | 7,681 | (3,164) | 23,699 | (1,381) | (3,222) | \u2014 | (9,399) | \u2014 | \u2014 | (12,621) |
Poland | Sales office | 22 | 3,901 | (2,900) | 1,001 | (190) | 2,786 | (190) | (237) | \u2014 | (912) | \u2014 | \u2014 | (1,149) |
Belgium | Sales office | 15 | 5,266 | (3,999) | 1,267 | (317) | 3,258 | (317) | (425) | \u2014 | (2,054) | \u2014 | \u2014 | (2,479) |
Czechia | Sales office | 7 | 1,180 | (928) | 252 | (53) | 199 | (53) | \u2014 | \u2014 | (86) | \u2014 | (86) | |
Italy | Sales office | 32 | 9,261 | (7,454) | 1,777 | (422) | 4,205 | (423) | (773) | (11) | (2,280) | \u2014 | \u2014 | (3,064) |
Spain | Sales and support office | 193 | 31,707 | (26,643) | 4,899 | (1,181) | 10,908 | (932) | (1,316) | (4,810) | (8,296) | \u2014 | \u2014 | (14,422) |
New Zealand | Sales office | 1 | 7,202 | (465) | 1,072 | (310) | 550 | (299) | (199) | (5,534) | (114) | \u2014 | \u2014 | (5,847) |
Sweden | Sales office | 92 | 25,504 | (18,434) | 6,998 | (1,590) | 17,524 | (1,596) | (3,700) | (3,737) | (7,565) | \u2014 | \u2014 | (15,002) |
Singapore | Sales and support office | 189 | 120,019 | (34,147) | 11,761 | (2,272) | 41,061 | (2,218) | (2,627) | (26,645) | (2,997) | \u2014 | \u2014 | (32,269) |
United Kingdom | Sales office | 164 | 517,328 | (41,403) | 25,251 | (3,652) | 35,619 | (4,233) | (3,037) | (22,877) | (14,848) | \u2014 | \u2014 | (40,762) |
United States | Sales and support office | 847 | 1,484,746 | (310,430) | 149,129 | (23,130) | 370,675 | (22,550) | (4,642) | (3,299) | (73,298) | \u2014 | \u2014 | (81,239) |
United Arab Emirates | Support office | 31 | 20,610 | (7,210) | 2,315 | (200) | 1,260 | (200) | \u2014 | (4,138) | \u2014 | \u2014 | \u2014 | (4,138) |
The Netherlands | Head office - Payment service provider | 2,386 | 1,442,522 | (605,995) | 1,212,128 | (277,028) | 4,249,589 | (276,033) | (231,824) | (141,439) | (138,336) | \u2014 | 769 | (510,830) |
Total | 4,771 | 4,266,752 | (1,254,289) | 1,498,548 | (332,609) | 4,898,633 | (331,456) | (264,328) | (381,905) | (291,784) | (6,956) | 769 | (944,204) |
TTC ITEM | GENERAL FINDINGS | EXCEPTIONS | |
(Gross) Revenue | Consistent with the basis of preparation outlined above, the (Gross) Revenue in this table is reported on a stand-alone entity basis in accordance with EU CbCR standards. This definition diverges from IFRS by including intercompany revenue (which is eliminated in consolidation) and encompassing specific other income items, such as interest and other gains. Consequently, the aggregated revenue in this table will not directly reconcile to our consolidated IFRS revenue. | Not applicable. | |
Operating Expenses | While not a formal requirement under EU CbCR standards, we have reported Operating Expenses on a consolidated IFRS basis to reflect our operational footprint in the countries where we have a taxable presence. The majority of Operating Expenses are incurred in the Netherlands and the United States, given the key entrepreneurial functions performed, risks managed, and assets owned there. | Not applicable. | |
Profit (Loss) Before Income Tax | Similar to (Gross) Revenue, Profit (loss) Before Income Tax\u00a0 is reported on a standalone basis and is aggregated by jurisdiction. Consequently, it does not directly reconcile to our consolidated IFRS profit. This is primarily because the aggregated figures include results from subsidiaries that are eliminated in consolidation. Despite this standalone aggregation, the data accurately reflects the substance of our centralized operating model. Under OECD transfer pricing principles, multinational groups should recognise profit in jurisdictions based on the functions performed, assets used, and risks assumed. Adyen operates a centralized model. This results in the majority of Adyen\u2019s profit before tax being attributable to the Netherlands and the United States, where key functions are performed and strategic risks are managed. Adyen\u2019s core intellectual property (including the financial technology platform) is owned by Adyen N.V. | Not applicable. |
TTC ITEM | GENERAL FINDINGS | EXCEPTIONS | |
Income Tax Accrued (Current Year) and Income Tax Expense | The Income Tax Expense for countries other than the Netherlands generally aligns with the statutory corporate income tax rate multiplied by the income before tax. Typically the Income Tax Expense is a bit higher than the statutory rate, due to many countries limiting deductibility of certain costs - such as meals, entertainment and stock based compensation. Difference between Income Tax Accrued (Current Year) and Income Tax Expense are generally due to timing differences resulting in deferred taxes or prior year adjustments. | Three main factors influence the effective tax rates (ETR) inferred from this table. First, Adyen N.V. benefits from the Innovation Box, partially offset by non-deductible expenses such as stock-based compensation. Second, the inferred Dutch ETR is technically distorted downwards because the aggregated 'Profit Before Tax' includes tax-exempt income from subsidiaries. Under the participation exemption, this income inflates the profit base without increasing the tax expense. Third, regarding the United States and United Kingdom, certain revenue streams recorded in these branches are taxable only in the Netherlands under our OECD-aligned profit-attribution framework. Consequently, tax on these revenue items is accrued in the Netherlands rather than locally. This lowers the observed ETR in the United States and United Kingdom while increasing the Dutch ETR, though it has no material impact on the consolidated Group ETR as the marginal rates are similar. For a reconciliation of the Group's ETR, please refer to Note 7.1. | |
Income Taxes Paid | Generally, Income Taxes Paid aligns with income Tax Expense. Divergences arise from deferred taxes, tax effects on items recognized directly in equity, and timing differences between preliminary assessments and final realized profits. Notably, corporate income tax payable in the Netherlands is partially settled through withholding tax credits from other jurisdictions, reducing the cash tax obligation. | Not applicable. | |
FTE | The majority of our FTEs are located in the Netherlands and the United States, consistent with where key entrepreneurial functions are performed, risks are managed, and assets are owned. This distribution underscores the operational substance behind our profit allocation. | Not applicable. | |
Payroll Taxes | We generally withhold Payroll Taxes in countries where we have employees. | Exceptions are Hong Kong and United Arab Emirates, where there are no Payroll Taxes and no national (social) security contributions. | |
Grants / Incentives | We do not pursue tax incentives as a primary driver of our business decisions. Our use of Grants and Incentives is limited to established statutory programs that support our core research and development (R&D) and local investment activities. | The only incentive applied is a Dutch R&D tax credit scheme \u201cWet Bevordering Speur- en Ontwikkelingswerk\u201d (WBSO). The Dutch 'Innovation Box' benefit is excluded from this column because it functions as a reduction of the corporate income tax base, not a direct grant. Its impact is therefore embedded in the lower Income Tax Accrued (Current Year), the Income Tax Expense\u00a0 and Income Taxes Paid figures. For the specific financial impact of the Innovation Box, refer to the ETR reconciliation in Note 7.1. | |
Accounting policy \u2013 Current income tax expense Current income tax expense is the expected tax payable on the taxable income for the year (related to items presented in the Statement of Comprehensive Income), using tax rates enacted or substantively enacted, at the end of the reporting period, and any adjustment to tax payable in respect of previous years. | ||
CURRENT INCOME TAX RECEIVABLES/(PAYABLES) | 2025 | 2024 |
Current income tax receivables | 6,625 | 8,433 |
Current income tax payables | (61,238) | (23,903) |
Accounting policy \u2013 Deferred income taxes Deferred income taxes arise, in general, as a result of temporary differences between tax and commercial accounting treatment. Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled. The applied rates are based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date. In some tax jurisdictions, Adyen is granted a tax deduction (i.e. an amount that is deductible in determining taxable profit) that relates to remuneration settled by options over Adyen\u2019s shares or Restricted Stock Units. The amount of that tax deduction may differ from the related cumulative remuneration expense, and may arise in a later accounting period. In the event where tax deductions exceed the remuneration expense, Adyen recognizes a deferred tax position with the impact presented directly in equity. Deferred tax assets are recognized by Adyen to the extent that it is probable that future taxable profits will be available against which they can be utilized. | ||
BALANCE JANUARY 1, 2024 | RECOGNIZED IN PROFIT OR LOSS | RECOGNIZED IN EQUITY | EFFECTS OF FOREIGN EXCHANGE | Balance December 31, 2024 | |
Deferred tax assets: | |||||
Derivative liabilities | 361 | (361) | \u2014 | ||
Windfall tax benefit | 2,519 | 103 | 40 | 2,662 | |
Tax losses carried forward | 88,466 | (4,549) | (7,233) | 6,567 | 83,251 |
Temporary differences | 21,333 | (4,764) | 2,574 | 19,143 | |
Total deferred tax assets | 112,679 | (9,674) | (4,556) | 6,607 | 105,056 |
Deferred tax liabilities: | |||||
Contract assets | (5,090) | 4,654 | (436) | ||
Temporary differences | (1,365) | 1,000 | (365) | ||
Total deferred tax liabilities | (6,455) | 5,654 | \u2014 | \u2014 | (801) |
Net deferred tax assets | 106,224 | (4,020) | (4,556) | 6,607 | 104,255 |
BALANCE JANUARY 1, 2025 | RECOGNIZED IN PROFIT OR LOSS | RECOGNIZED IN EQUITY | EFFECTS OF FOREIGN EXCHANGE | Balance December 31, 2025 | |
Deferred tax assets: | |||||
Windfall tax benefit | 2,662 | (151) | (930) | 1,581 | |
Tax losses carried forward | 83,251 | (2,243) | (13,387) | (11,212) | 56,409 |
Temporary differences | 19,143 | 6,519 | 25,662 | ||
Total deferred tax assets | 105,056 | 4,276 | (13,538) | (12,142) | 83,652 |
Deferred tax liabilities: | |||||
Contract assets | (436) | 436 | \u2014 | ||
Temporary differences | (365) | (259) | (624) | ||
Total deferred tax liabilities | (801) | 177 | \u2014 | \u2014 | (624) |
Net deferred tax assets | 104,255 | 4,453 | (13,538) | (12,142) | 83,028 |
Accounting estimate \u2013 Deferred tax assets linked to windfall benefits Windfall benefits arise when the tax deduction for share-based compensation exceeds the cumulative remuneration expense recognized for accounting purposes. Deferred tax assets include tax losses carried forward relating to options exercised in the United States at a Federal and State level (December 31, 2025: EUR 56,174 ; December 31, 2024: EUR 80,364) and windfall benefits relating to options granted and vested, however not yet exercised (December 31, 2025: EUR 1,581; December 31, 2024: 2,662). An amount of EUR 14,507 of the tax losses carried forward was utilised during the period and recognised in the share premium reserve (2024: EUR 16,840). During 2025, Adyen has reassessed the recoverability of deferred tax assets on windfall benefits linked to the share-based compensation plan in the United States. Adyen continues to recognize deferred tax assets that will be realized against future profits on a going concern basis. The United States Federal Tax windfall benefit continues to be recognized as these carry forward losses on a Federal level have no expiration date. The State net operating losses continues to be recognized as these carry forward losses are expected to be utilized against future taxable income before its expiration date. This windfall benefit has been recognized assuming all options granted to date will be exercised within the 8th anniversary of the grant date (grant date + 7 years). | ||
Accounting policy \u2013 Deferred income taxes Deferred income taxes arise, in general, as a result of temporary differences between tax and commercial accounting treatment. Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled. The applied rates are based on tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date. In some tax jurisdictions, Adyen is granted a tax deduction (i.e. an amount that is deductible in determining taxable profit) that relates to remuneration settled by options over Adyen\u2019s shares or Restricted Stock Units. The amount of that tax deduction may differ from the related cumulative remuneration expense, and may arise in a later accounting period. In the event where tax deductions exceed the remuneration expense, Adyen recognizes a deferred tax position with the impact presented directly in equity. Deferred tax assets are recognized by Adyen to the extent that it is probable that future taxable profits will be available against which they can be utilized. | ||
Accounting policy \u2013 Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of equity instruments are shown in equity as a deduction, net of tax, from the proceeds. | ||
Accounting policy \u2013 Cash and cash equivalents Adyen\u2019s cash and cash equivalents are measured at amortized cost and are included in current assets due to their short-term nature. Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Due to the short duration of the cash and cash equivalents (less than 3 months), the fair value approximates the carrying\u00a0amount. The consolidated statement of cash flows is prepared using the indirect method and provides details of the source of the cash and cash equivalents that became available during the year, as well as their application during the year.\u00a0 Adyen presents interest paid/received and dividends received as operating cash flows. The exchange gain/(loss) includes the net impact of the foreign exchange difference on Cash and cash equivalents and Payables to merchants and other financial institutions. | ||
CASH AND CASH EQUIVALENTS | 2025 | 2024 |
Cash held at central banks | 7,772,324 | 7,049,816 |
Cash and cash equivalents held at banks, other than central banks | 3,025,077 | 2,915,214 |
Total | 10,797,401 | 9,965,030 |
Accounting policy \u2013 Cash and cash equivalents Adyen\u2019s cash and cash equivalents are measured at amortized cost and are included in current assets due to their short-term nature. Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Due to the short duration of the cash and cash equivalents (less than 3 months), the fair value approximates the carrying\u00a0amount. The consolidated statement of cash flows is prepared using the indirect method and provides details of the source of the cash and cash equivalents that became available during the year, as well as their application during the year.\u00a0 Adyen presents interest paid/received and dividends received as operating cash flows. The exchange gain/(loss) includes the net impact of the foreign exchange difference on Cash and cash equivalents and Payables to merchants and other financial institutions. | ||
CASH AND CASH EQUIVALENTS | 2025 | 2024 |
Cash held at central banks | 7,772,324 | 7,049,816 |
Cash and cash equivalents held at banks, other than central banks | 3,025,077 | 2,915,214 |
Total | 10,797,401 | 9,965,030 |
Accounting policy \u2013 Financial instruments Classification Financial assets Adyen classifies its financial assets in the following measurement categories, those to be measured: \u25aa subsequently at fair value through profit or loss (\u2018FVPL\u2019), and \u25aa at amortized cost. The classification depends on Adyen\u2019s business model for managing the financial assets and the contractual terms of the cash flows. | ||
Financial liabilities Adyen initially classifies financial instruments as a liability or equity instrument based on the terms of the contractual arrangement, and subsequently reassesses the accounting treatment based on changes in circumstances. The derivative liabilities are classified as financial liabilities measured at fair value through profit or loss. | ||
Recognition and measurement Initial Recognition At initial recognition, Adyen measures its financial instruments at its fair value plus/minus, in the case of a financial instrument not at FVPL, transaction costs that are directly attributable to the acquisition of the instrument.Transaction costs of financial instruments carried at FVPL are recognised in profit or loss. Subsequent Measurement Financial assets at amortized cost Subsequent measurement of debt instruments depends on Adyen\u2019s business model for managing the asset and the cash flow characteristics of the asset. Financial assets held within a business model whose objective is to hold the assets in order to collect contractual cash flows, where those cash flows represent solely payments of principal and interest, are measured at amortised cost. Financial assets at fair value through profit or loss Financial assets that do not meet the criteria for amortized cost or fair value through other comprehensive income (\u2018FVOCI\u2019) are measured at FVPL. Any gain or loss is recognized in profit or loss and presented net within other financial results for the period in which it arises. | ||
Financial liabilities Adyen\u2019s financial liabilities are measured at amortized cost except for derivative liabilities, which are classified as financial liabilities measured at fair value through profit or loss. |
Impairment Adyen assesses on a forward-looking basis the expected credit losses associated with its debt instruments carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. For trade receivables and contract assets, the group applies the simplified approach, which requires expected lifetime losses to be recognized from initial recognition of the assets. Instruments in scope on the balance sheet of Adyen include: cash and cash equivalents, receivables from merchants and financial institutions, trade receivables, other receivables and contract asset classified as a monetary item. The expected credit loss model is designed to measure the pattern of improvement or deterioration in the credit quality of the debt instruments. The measurement basis consists of two categories: \u25aa Category 1: Expected credit losses (12 months) \u25aa Category 2: Lifetime expected credit losses The Adyen Treasury policy only allows exposures to financial institutions with sound credit quality rating and limits the exposure to a maximum amount. As a result, Adyen applies the low credit risk simplification; hence all assets are considered to be in stage 1 and a 12-month expected credit loss is applied. Lifetime expected credit losses are applied for trade and other receivables. For these instruments operational simplifications can be applied; hence it eliminates the need to calculate a 12-month expected credit losses or to measure increases in credit risk for the instrument. The loss allowance for trade receivables are measured at initial recognition, and throughout the total duration, equal to lifetime expected credit losses. As the average duration of the instruments in scope for impairment calculation is below 10 days, no forward- looking elements are included in the expected credit loss assessment. In the event of no reasonable expectation of recovering the financial asset, the Adyen Credit Committee decides on whether a write-off should take place for the entirety or portion of the outstanding amount. | ||
Fair value measurement For financial instruments measured at fair value, Adyen categorizes the fair value measurement in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. Adyen categorizes fair valuation inputs on the following basis: \u25aa Level 1: The fair value of financial instruments traded in active markets is based on quoted market prices at the end of the reporting period. \u25aa Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. \u25aa Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. | ||
Accounting policy \u2013 Financial instruments Classification Financial assets Adyen classifies its financial assets in the following measurement categories, those to be measured: \u25aa subsequently at fair value through profit or loss (\u2018FVPL\u2019), and \u25aa at amortized cost. The classification depends on Adyen\u2019s business model for managing the financial assets and the contractual terms of the cash flows. | ||
Financial liabilities Adyen initially classifies financial instruments as a liability or equity instrument based on the terms of the contractual arrangement, and subsequently reassesses the accounting treatment based on changes in circumstances. The derivative liabilities are classified as financial liabilities measured at fair value through profit or loss. | ||
Recognition and measurement Initial Recognition At initial recognition, Adyen measures its financial instruments at its fair value plus/minus, in the case of a financial instrument not at FVPL, transaction costs that are directly attributable to the acquisition of the instrument.Transaction costs of financial instruments carried at FVPL are recognised in profit or loss. Subsequent Measurement Financial assets at amortized cost Subsequent measurement of debt instruments depends on Adyen\u2019s business model for managing the asset and the cash flow characteristics of the asset. Financial assets held within a business model whose objective is to hold the assets in order to collect contractual cash flows, where those cash flows represent solely payments of principal and interest, are measured at amortised cost. Financial assets at fair value through profit or loss Financial assets that do not meet the criteria for amortized cost or fair value through other comprehensive income (\u2018FVOCI\u2019) are measured at FVPL. Any gain or loss is recognized in profit or loss and presented net within other financial results for the period in which it arises. | ||
Financial liabilities Adyen\u2019s financial liabilities are measured at amortized cost except for derivative liabilities, which are classified as financial liabilities measured at fair value through profit or loss. |
Impairment Adyen assesses on a forward-looking basis the expected credit losses associated with its debt instruments carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. For trade receivables and contract assets, the group applies the simplified approach, which requires expected lifetime losses to be recognized from initial recognition of the assets. Instruments in scope on the balance sheet of Adyen include: cash and cash equivalents, receivables from merchants and financial institutions, trade receivables, other receivables and contract asset classified as a monetary item. The expected credit loss model is designed to measure the pattern of improvement or deterioration in the credit quality of the debt instruments. The measurement basis consists of two categories: \u25aa Category 1: Expected credit losses (12 months) \u25aa Category 2: Lifetime expected credit losses The Adyen Treasury policy only allows exposures to financial institutions with sound credit quality rating and limits the exposure to a maximum amount. As a result, Adyen applies the low credit risk simplification; hence all assets are considered to be in stage 1 and a 12-month expected credit loss is applied. Lifetime expected credit losses are applied for trade and other receivables. For these instruments operational simplifications can be applied; hence it eliminates the need to calculate a 12-month expected credit losses or to measure increases in credit risk for the instrument. The loss allowance for trade receivables are measured at initial recognition, and throughout the total duration, equal to lifetime expected credit losses. As the average duration of the instruments in scope for impairment calculation is below 10 days, no forward- looking elements are included in the expected credit loss assessment. In the event of no reasonable expectation of recovering the financial asset, the Adyen Credit Committee decides on whether a write-off should take place for the entirety or portion of the outstanding amount. | ||
Fair value measurement For financial instruments measured at fair value, Adyen categorizes the fair value measurement in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement. Adyen categorizes fair valuation inputs on the following basis: \u25aa Level 1: The fair value of financial instruments traded in active markets is based on quoted market prices at the end of the reporting period. \u25aa Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2. \u25aa Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. | ||
FINANCIAL INSTRUMENTS | NOTE | MEASUREMENT POLICY | 2025 | 2024 |
Financial assets: | ||||
Other financial assets at FVPL | FVPL \u2013 level 2 | 3,865 | 9,486 | |
Receivables from merchants and financial institutions | 15 | Amortized cost | 561,683 | 658,854 |
Trade and other receivables | 15 | Amortized cost | 217,007 | 132,062 |
Other financial assets at amortized cost | Amortized cost | 30,128 | 23,912 | |
Cash and cash equivalents | 10 | Amortized cost | 10,797,401 | 9,965,030 |
Total | 11,610,084 | 10,789,344 | ||
Financial liabilities: | ||||
Lease liability | 17 | Amortized cost | 252,366 | 228,256 |
Payable to merchants and financial institutions | 16 | Amortized cost | 6,371,815 | 6,684,721 |
Trade and other payables | 16 | Amortized cost | 285,208 | 254,138 |
Total | 6,909,389 | 7,167,115 |
FINANCIAL INSTRUMENTS | NOTE | MEASUREMENT POLICY | 2025 | 2024 |
Financial assets: | ||||
Other financial assets at FVPL | FVPL \u2013 level 2 | 3,865 | 9,486 | |
Receivables from merchants and financial institutions | 15 | Amortized cost | 561,683 | 658,854 |
Trade and other receivables | 15 | Amortized cost | 217,007 | 132,062 |
Other financial assets at amortized cost | Amortized cost | 30,128 | 23,912 | |
Cash and cash equivalents | 10 | Amortized cost | 10,797,401 | 9,965,030 |
Total | 11,610,084 | 10,789,344 | ||
Financial liabilities: | ||||
Lease liability | 17 | Amortized cost | 252,366 | 228,256 |
Payable to merchants and financial institutions | 16 | Amortized cost | 6,371,815 | 6,684,721 |
Trade and other payables | 16 | Amortized cost | 285,208 | 254,138 |
Total | 6,909,389 | 7,167,115 |
SOURCE OF RISK AND RISK DESCRIPTION | RISK MITIGATION | REMAINING RISK | ||||
Liquidity risk | Minimal | |||||
Liquidity risk is the risk that Adyen is not able to meet its short- to medium-term payment and collateral obligations. | As a result of its business model, the majority of Adyen\u2019s liquidity needs are short-term in nature. In the default set-up Adyen follows a \u2018pass-through\u2019 approach, whereby Adyen pays out the merchants after receiving the funds from the payment method. As a result, the extent of unexpected liquidity outflows is limited and liquidity risk at Adyen only arises through deviations from the described default set-up, e.g. through accelerated pay-out schedules. Adyen\u2019s balance sheet is characterized by a very short maturity of the majority of assets and liabilities. Longer- dated positions are typically immaterial, such as lease liabilities (refer to Note 17). To mitigate the low residual liquidity risk, Adyen holds sufficient cash balances in different currencies driven by a variety of liquidity sources. Adyen monitors and manages both its Liquidity Coverage Ratio (LCR) and a survival period metric to mitigate the residual risk. As of December 31, 2025 Adyen\u2019s LCR stands at 1,717% (2024: 1,845%). The survival period is determined by dividing the sum of cash and cash equivalents, receivables from and payables to merchants and financial institutions, by the total operating expenses for the period. The survival period is set at a minimum of six months. Adyen's survival period as of December 31, 2025 is 48 months (2024: 43 months). Given the maturity of the assets and liabilities on-balance, the magnitude and quality of the liquidity buffer and the longitude of the survival period, Adyen considers the remaining liquidity risk to be low. | Adyen\u2019s balance sheet is by nature short- term and the vast majority of cash is received prior to payout to merchants. The remaining liquidity risk continues to be low and well within risk appetite limits as evidenced by a high LCR and long survival period. | ||||
Market risks | Minimal | |||||
Foreign exchange risk | ||||||
Foreign exchange (FX) risk is the risk of losses that Adyen may incur due to foreign currency fluctuations compared to the functional currency of the euro. | Adyen\u2019s FX risk predominantly arises from commercial activity related to non-like-for-like currency transactions in payments processing as well as structural balance sheet positions such as foreign currency denominated cash balances or deferred tax positions. Adyen actively manages the foreign exchange risk position from commercial activity through hedging on a day-to-day basis resulting in limited remaining risk. Due to local payment rail\u2019s liquidity requirements and corresponding cash holdings, GBP has become the most significant net FX\u00a0 exposure on the balance sheet throughout 2025. The following table highlights the net open FX exposure on the balance sheet to GBP and the sensitivity on profit or loss resulting from a 10% shock (positive or negative) GBP against EUR. | |||||
Currency | Net open exposure | 10% shock | ||||
31/12/2024 | ||||||
GBP | EUR 258 million | EUR 25.8 million | ||||
31/12/2025 | ||||||
GBP | EUR 319 million | EUR 31.9 million |
SOURCE OF RISK AND RISK DESCRIPTION | RISK MITIGATION | REMAINING RISK | ||||
The majority of merchant funds has a natural match in currencies between receivables and payables or a very short duration. Given the active risk mitigation, the remaining foreign exchange risk is low. | ||||||
Interest rate risk | ||||||
Interest rate risk is defined as the risk that changes in interest rates lead to an adverse impact on Adyen\u2019s income or economic value of equity. | Adyen\u2019s business model is primarily fee-based while interest income does not constitute a key revenue component of the client-facing product offering. Despite the fee-based business model, Adyen\u2019s balance sheet has various characteristics that are relevant from an interest rate risk perspective. 1) Adyen\u2019s assets mainly consist of interest-bearing cash; 2) Adyen is fully equity financed; 3) Adyen\u2019s balance sheet has a distinct short-term nature. As a result of this profile:\u00a0 \u2022 Changes in interest rates directly translate into the price of assets but not into the price of liabilities. This impacts primarily net finance income, and to a lesser extent, interest income (as part of net revenues). Accordingly, the portfolio is sensitive to downward interest rate movements. The total\u00a0 income sensitivity for material currencies (EUR, USD, GBP, BRL and\u00a0 AUD) to a plausible parallel interest rate move up and down (+/-50bps for EUR, USD, GBP and AUD and +/-100bps for BRL) amounts to about EUR +/-47 million, respectively. Adyen calculates this sensitivity on a constant balance sheet assumption and a 1Y projection horizon. The contribution of client-facing commercial products (e.g. Adyen Capital or Terminal Finance) to this sensitivity is only 0.19% (or EUR 90k) and, thus, immaterial. \u2022 There is only limited value sensitivity to interest rate movements due to the fact that both assets and liabilities are on average very short-dated. The total economic value sensitivity for material currencies to the same plausible parallel interest rate move up and down, amounts to EUR +/-3.2 million, respectively. The economic value sensitivity is calculated on a run-off balance sheet assumption. The contribution of client-facing commercial products is EUR +/- 84k and, thus, immaterial.\u00a0 For the specific volatility analysis performed on the interest rate risk exposure on cash and cash equivalent balances only as per year-end, please refer to note 10. Throughout 2025, the interest earned on the cash position was positive. | Adyen accepts the interest rate risk stemming from its cash position as part of doing business. The cash position is innate to Adyen\u2019s business model as it is held in relation to merchant payables and as a liquidity buffer. | ||||
Valuation risk | ||||||
The risk of an adverse impact on the fair value of on- and off-balance fair valued financial instruments from changes in the market price of relevant valuation input factors. | Adyen\u2019s exposure to valuation risk is marginal and currently limited to equity price risk. Valuation risk predominantly stems from Adyen\u2019s remaining immaterial holdings of class C preference shares in Visa Inc. that result from a cooperative arrangement with Visa (for details on Visa shares, refer to note 11 \u2018Financial Instruments\u2019). Adyen carried out a sensitivity analysis on the Visa Inc. preferred shares. A 5% increase (decrease) in the underlying Visa Inc. and Adyen share price would result in the following increase (decrease) in the balance sheet item and income before income taxes, all other circumstances considered equal: | Given the current low materiality, Adyen has a low risk appetite towards valuation risk.The residual risk is within Adyen's risk appetite. | ||||
Balance sheet item | Carrying amount | 5% underlying share price movement | ||||
31/12/2024 | ||||||
Visa Inc. preferred shares | EUR 9 million | EUR 1.0 million | ||||
31/12/2025 | ||||||
Visa Inc. preferred shares | EUR 4 million | EUR 0.2 million | ||||
SOURCE OF RISK AND RISK DESCRIPTION | RISK MITIGATION | REMAINING RISK | ||||
Credit risks | Minimal | |||||
Credit default risk | ||||||
Credit default risk relates to the risk that a counterparty of Adyen will fail to meet its financial obligations when these are due or thereafter in accordance with agreed terms - causing a loss to Adyen. | Adyen is exposed to credit default risk primarily through cash and cash equivalents held at partner banks, receivables from card schemes and other financial institutions, pre-financing of upcoming settled payments to merchants, loans and advances extended to merchants as well as trade receivables.\u00a0 Cash and cash equivalents: As per December 31, 2025 EUR 7,772,324 (2024: EUR 7,049,816) represents cash held at central banks, representing 72% (2024: 71%) of the cash and cash equivalents balance. For the non-central bank cash exposures 8 out of top 10 exposures are held at credit institutions with a credit rating of A or higher. Receivables from financial institutions: Receivables from financial institutions include balances due from schemes and other financial institutions regarding transactions processed which will be settled within a short-term, as well as bank accounts which are controlled by Adyen but do not meet the definition of cash and cash equivalents and are therefore classified as receivables from financial institutions. As at December 31, 2025 EUR 234,078 (2024: EUR 241,021) represent receivables from financial institutions.\u00a0 The cash and cash-equivalents held at financial institutions represent the biggest component of credit risk at Adyen. The relationship with partner banks are managed by a dedicated team. Adyen carefully chooses its financial counterparties and continuously monitors their credit quality and changes thereof in the form of rating downgrades. As a quantitative translation of its credit risk appetite, Adyen places a floor on the credit rating for commercial banks. Adyen applies the same floor for card networks. Receivables from merchants: As part of the accelerated Sales Day Payout product, Adyen settles a full sales day of transactions to merchants before the funds from financial institutions are fully received. The receivable is effectively secured through the authorization and capture of a transaction, leading to a commitment to pay by the card schemes. As a result of the nature of the payment transactions the duration of the accelerated Sales Day Payout balances is very short (average duration between 2-3 days). Adyen assesses, on a forward-looking basis, the expected credit losses. The impact of credit losses on receivables from merchants is expected to be insignificant. Balances of merchant-facing Capital loans and cash advances remain insignificant. Other financial assets: The remaining financial asset credit risk exposure (such as trade and other receivables and Brazil government bonds ) is considered to be limited. Adyen manages its credit risk through robust underwriting, ongoing monitoring, and timely collection efforts to manage potential defaults effectively. During 2025, Adyen did not incur material losses related to non-performance of its counterparties. | The remaining credit default risk is low as is Adyen\u2019s risk appetite. Adyen\u2019s residual risk on credit default risk remains within risk appetite. | ||||
Concentration risk | ||||||
The risk of financial losses to Adyen resulting from an over-concentration of exposure to a single counterparty or group of connected counterparties. | Concentration risk at Adyen originates primarily at banking partners in locations where there are no own direct acquiring licenses. The credit risk exposure per financial institution is capped at 25% of Adyen\u2019s eligible capital, provided that the financial institution has a credit rating in the A categories of Moody\u2019s/S&P\u2019s or, if not available, its equivalent from other rating agencies. Adyen has conservatively translated this amount into internal limits by credit quality of the counterparty. Neither limit was breached during the year ended December 31, 2025.\u00a0 The residual credit risk is mitigated by the short-term maturity of these balances of less than 7 days.\u00a0 Adyen actively manages this concentration risk by distributing its cash over bank accounts at multiple banks.\u00a0 In regions where Adyen holds a banking license excess cash can be held at accounts with central banks. | Adyen\u2019s risk appetite for credit concentration risk is moderate. The residual risk after risk mitigation is considered low so that current credit concentration risk remains within risk appetite. |
Accounting policy \u2013 Intangible assets The intangible assets include internally generated software with finite useful lives, which are stated at cost less accumulated amortization and impairment. These assets are capitalized and subsequently amortized on a straight-line basis in the statement of comprehensive income over the period with an estimated useful life of 5 years. Intangible assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
INTANGIBLE ASSETS | 2025 | 2024 |
Internally generated software | ||
Cost | 30,196 | 27,167 |
Accumulated amortization | (21,696) | (18,410) |
Balance - January 1 | 8,500 | 8,757 |
Additions | 2,132 | 3,029 |
Amortization for the year | (3,131) | (3,286) |
Balance - December 31 | 7,501 | 8,500 |
Cost | 32,328 | 30,196 |
Accumulated amortization | (24,827) | (21,696) |
Balance - December 31 | 7,501 | 8,500 |
Accounting policy \u2013 Intangible assets The intangible assets include internally generated software with finite useful lives, which are stated at cost less accumulated amortization and impairment. These assets are capitalized and subsequently amortized on a straight-line basis in the statement of comprehensive income over the period with an estimated useful life of 5 years. Intangible assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and impairment. Repairs and maintenance costs are charged to the statement of comprehensive income during the period in which they are incurred. The major categories of plant and equipment (namely hardware and software equipment\u00a0 and leasehold improvements) are assessed to have a useful life of 5 years. Plant and equipment are depreciated on a straight-line basis and are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
PLANT AND EQUIPMENT | COMPUTER HARDWARE AND SOFTWARE | LEASEHOLD IMPROVEMENTS | OTHER | TOTAL |
2024 | ||||
Cost | 216,513 | 36,064 | 12,745 | 265,322 |
Accumulated depreciation | (80,714) | (16,209) | (3,263) | (100,186) |
Balance - January 1 | 135,799 | 19,855 | 9,482 | 165,136 |
Additions | 67,198 | 18,706 | 12,316 | 98,220 |
Disposals | \u2014 | \u2014 | \u2014 | \u2014 |
Depreciation for the year | (45,895) | (7,248) | (1,958) | (55,101) |
Other changes (e.g. exchange differences) | 1,001 | (106) | (1,209) | (314) |
Balance - December 31 | 158,103 | 31,207 | 18,631 | 207,941 |
2025 | ||||
Cost | 284,712 | 54,664 | 23,852 | 363,228 |
Accumulated depreciation | (126,609) | (23,457) | (5,221) | (155,287) |
Balance - January 1 | 158,103 | 31,207 | 18,631 | 207,941 |
Additions | 104,929 | 8,316 | 10,416 | 123,661 |
Disposals | (560) | \u2014 | \u2014 | (560) |
Depreciation for the year | (62,763) | (9,615) | (3,606) | (75,984) |
Other changes (e.g. exchange differences) | (2,329) | (1,133) | (285) | (3,747) |
Balance - December 31 | 197,380 | 28,775 | 25,156 | 251,311 |
Cost | 383,530 | 61,121 | 33,963 | 478,614 |
Accumulated depreciation | (186,150) | (32,346) | (8,807) | (227,303) |
Balance - December 31 | 197,380 | 28,775 | 25,156 | 251,311 |
Accounting policy \u2013 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and impairment. Repairs and maintenance costs are charged to the statement of comprehensive income during the period in which they are incurred. The major categories of plant and equipment (namely hardware and software equipment\u00a0 and leasehold improvements) are assessed to have a useful life of 5 years. Plant and equipment are depreciated on a straight-line basis and are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Plant and equipment Plant and equipment are stated at cost less accumulated depreciation and impairment. Repairs and maintenance costs are charged to the statement of comprehensive income during the period in which they are incurred. The major categories of plant and equipment (namely hardware and software equipment\u00a0 and leasehold improvements) are assessed to have a useful life of 5 years. Plant and equipment are depreciated on a straight-line basis and are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The useful life is assessed on an annual basis. | ||
Accounting policy \u2013 Trade and other receivables Trade receivables are amounts due from merchants for payment services performed. If collection is expected in less than one year they are classified as current assets. Trade and other receivables are classified at amortized cost, initially recognized at fair value and subsequently measured at amortized cost less impairments for expected credit losses. The average duration of the receivables varies depending on their nature (Trade and other receivables: less than 3 months; receivables from financial institutions: 1-2 days; receivables from merchants: 30 days).\u00a0 Due to the short duration of all the receivables (overall average of less than 3 months) the fair value approximates the carrying value. | ||
TRADE AND OTHER RECEIVABLES | 2025 | 2024 |
Trade and other receivables | 236,617 | 146,003 |
Less: Allowance for expected credit losses | (19,610) | (13,941) |
Balance - Trade and other receivables - Net | 217,007 | 132,062 |
Receivables from merchants and financial institutions | 561,683 | 658,854 |
Total | 778,690 | 790,916 |
RECEIVABLES FROM MERCHANTS AND FINANCIAL INSTITUTIONS | 2025 | 2024 |
Receivables from financial institutions | 234,078 | 241,021 |
Receivables from merchants | 327,605 | 417,833 |
Balance - December 31 | 561,683 | 658,854 |
Accounting policy \u2013 Trade and other receivables Trade receivables are amounts due from merchants for payment services performed. If collection is expected in less than one year they are classified as current assets. Trade and other receivables are classified at amortized cost, initially recognized at fair value and subsequently measured at amortized cost less impairments for expected credit losses. The average duration of the receivables varies depending on their nature (Trade and other receivables: less than 3 months; receivables from financial institutions: 1-2 days; receivables from merchants: 30 days).\u00a0 Due to the short duration of all the receivables (overall average of less than 3 months) the fair value approximates the carrying value. | ||
Accounting policy \u2013 Trade and other payables and payables to merchants and financial institutions Payables are obligations initially recognized at fair value and subsequently measured at amortized cost to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Payables are classified as current liabilities if payment is due within one year or less. Due to the very short duration of the payables (average less than 3 months) the fair value approximates the carrying value.\u00a0 The payables to merchants and financial institutions relate to interchange, scheme fees payable and merchant related funds held with Adyen (Accounts), which do not constitute borrowings. | ||
TRADE AND OTHER PAYABLES | 2025 | 2024 |
Trade payables | 36,174 | 35,213 |
Taxes and social security | 103,750 | 89,994 |
Accrued employee benefits | 50,704 | 54,383 |
Accrued liabilities and other debts | 92,960 | 73,191 |
Cash-settled share-based payment plan - current portion | 1,620 | 1,357 |
Trade and other payables | 285,208 | 254,138 |
Payables to merchants and financial institutions | 6,371,815 | 6,684,721 |
Total | 6,657,023 | 6,938,859 |
Accounting policy \u2013 Trade and other payables and payables to merchants and financial institutions Payables are obligations initially recognized at fair value and subsequently measured at amortized cost to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Payables are classified as current liabilities if payment is due within one year or less. Due to the very short duration of the payables (average less than 3 months) the fair value approximates the carrying value.\u00a0 The payables to merchants and financial institutions relate to interchange, scheme fees payable and merchant related funds held with Adyen (Accounts), which do not constitute borrowings. | ||
TRADE AND OTHER PAYABLES | 2025 | 2024 |
Trade payables | 36,174 | 35,213 |
Taxes and social security | 103,750 | 89,994 |
Accrued employee benefits | 50,704 | 54,383 |
Accrued liabilities and other debts | 92,960 | 73,191 |
Cash-settled share-based payment plan - current portion | 1,620 | 1,357 |
Trade and other payables | 285,208 | 254,138 |
Payables to merchants and financial institutions | 6,371,815 | 6,684,721 |
Total | 6,657,023 | 6,938,859 |
Accounting policy \u2013 Leases Adyen assesses if a lease exists or a contract contains a lease at the contract inception date, concluding whether an asset is identifiable and Adyen has control to direct its use and all related economic benefits. A right-of-use asset and a lease liability are recognized at the lease commencement date, which can differ from contract inception date. The lease liability is initially measured by bringing to present value all future lease payments, discounted by an incremental borrowing rate, in case no interest rate is available for the contract. At initial recognition, the right-of-use-asset amounts to the initial lease liability. Right-of-use-assets are depreciated on a straight-line basis over the lease term and tested for impairment whenever events or changes in circumstances indicates that the carrying amount may not be recoverable. Interest on lease liability is recognized as an expense in the statement of comprehensive income. Short-term (less than 12 months) and small value lease contracts are expensed in the statement of comprehensive income on a straight-line basis over the lease term. | ||
RIGHT-OF-USE ASSETS | 2025 | 2024 |
Offices and data centers | ||
Cost | 344,913 | 299,080 |
Accumulated depreciation | (144,715) | (99,417) |
Balance - January 1 | 200,198 | 199,663 |
Additions | 79,425 | 45,638 |
Depreciation for the period | (56,733) | (46,076) |
Other movements (e.g. exchange differences) | (5,222) | 973 |
Balance - December 31 | 217,668 | 200,198 |
Recognized right-of-use asset | 409,193 | 344,913 |
Accumulated depreciation | (191,525) | (144,715) |
Balance - December 31 | 217,668 | 200,198 |
LEASE LIABILITY | 2025 | 2024 |
Balance - January 1 | 228,256 | 223,063 |
Additions | 79,425 | 45,638 |
Lease installments | (55,439) | (47,344) |
Interest expense | 7,819 | 5,936 |
Other movements (e.g. exchange differences) | (7,695) | 963 |
Balance - December 31 | 252,366 | 228,256 |
Current portion | 69,097 | 54,935 |
Non-current portion | 183,269 | 173,321 |
MINIMUM FUTURE LEASE PAYMENTS | 2025 | 2024 |
Within 1 year | 62,714 | 49,615 |
Between 1 and 2 years | 58,614 | 47,133 |
Between 2 and 3 years | 43,442 | 40,278 |
Between 3 and 4 years | 33,845 | 26,401 |
Between 4 and 5 years | 21,681 | 19,580 |
Later than 5 years | 57,004 | 59,938 |
Total | 277,300 | 242,945 |
Accounting policy \u2013 Leases Adyen assesses if a lease exists or a contract contains a lease at the contract inception date, concluding whether an asset is identifiable and Adyen has control to direct its use and all related economic benefits. A right-of-use asset and a lease liability are recognized at the lease commencement date, which can differ from contract inception date. The lease liability is initially measured by bringing to present value all future lease payments, discounted by an incremental borrowing rate, in case no interest rate is available for the contract. At initial recognition, the right-of-use-asset amounts to the initial lease liability. Right-of-use-assets are depreciated on a straight-line basis over the lease term and tested for impairment whenever events or changes in circumstances indicates that the carrying amount may not be recoverable. Interest on lease liability is recognized as an expense in the statement of comprehensive income. Short-term (less than 12 months) and small value lease contracts are expensed in the statement of comprehensive income on a straight-line basis over the lease term. | ||
Accounting policy - Contingent assets, liabilities and other commitments Contingent liabilities consist of possible obligations, whose existence will be confirmed by uncertain future events, and present obligations where the transfer of economic resources is uncertain or cannot be reliably measured. Adyen discloses contingent liabilities if the likelihood of an outflow of economic resources is not probable or if the likelihood of an outflow of economic resources is more likely than not, but the amount cannot be reliably measured. Contingent assets are possible assets\u00a0 whose existence will be confirmed by uncertain future events.\u00a0 Adyen discloses contingent assets where an inflow of economic benefits is probable. | ||
RELATED PARTY ASSETS/ (LIABILITIES) | 2025 | 2024 |
Supervisory Board | (23) | (28) |
Employees (STAK) | 4 | \u2014 |
2025 | 2024 | |||||
PWC ACCOUNTANTS N.V. | OTHER PWC FIRMS* | TOTAL | PWC ACCOUNTANTS N.V. | OTHER PWC FIRMS* | TOTAL | |
Audit of financial statements | 2,180 | 932 | 3,112 | 1,386 | 727 | 2,113 |
Other audit services | 464 | \u2014 | 464 | 403 | \u2014 | 403 |
Assurance on sustainability reporting | 360 | 360 | 340 | 340 | ||
Other non-audit services | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Tax services | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 | \u2014 |
Total | 3,004 | 932 | 3,936 | 2,129 | 727 | 2,856 |
2025 | 2024 | |
Financial Statements - audit services required by law or regulatory requirement | ||
Audit of financial statements | 2,328 | 2,113 |
Other audit services | 464 | 403 |
Other audit services-\u00a0 audit services required by law or regulatory requirement | ||
Audit of the regulatory returns to be submitted to the Dutch Central Bank | 66 | 51 |
Assurance engagement DGS report | 50 | 41 |
Other audit services not required by law or regulatory requirement | ||
Assurance engagement ISAE 3402 report | 188 | 178 |
Assurance engagement SOC 2 report | 160 | 133 |
Assurance on sustainability reporting | ||
Assurance engagement CSRD reporting | 360 | 340 |
Other non-audit services | \u2014 | \u2014 |
Total for the year | 3,152 | 2,856 |
2025 | 2024 | |
Salaries and short-term employee benefits | 5,144 | 4,551 |
Share-based payments | 2,614 | 1,243 |
Post-employment benefits | 382 | 310 |
Extraordinary items | 1,082 | 250 |
Total | 9,222 | 6,354 |
2025 | 2024 | |
Salaries and short-term employee benefits | 662 | 606 |
Total | 662 | 606 |
Accounting policy \u2013 Earnings per share Adyen presents basic and diluted earnings per share (EPS) data for its ordinary shares. The calculation of EPS is determined as follows: \u25aa 1)\u00a0 Basic EPS: dividing the net income attributable to owners of Adyen N.V. by the weighted average number of ordinary shares outstanding during the period. As at December 31, 2025, the tranches 1 and 2 of the warrant are vested and exercised, and reflected in the calculation of ordinary shares. \u25aa 2)\u00a0 Diluted EPS:\u00a0 adjusting the basic EPS for the effects of all dilutive potential ordinary shares, which in the case of Adyen relates to share options and RSUs granted to employees (refer to note 4.3). | ||
SHARE INFORMATION | 2025 | 2024 |
Net income attributable to owners of Adyen N.V. (in EUR '000) | 1,062,526 | 925,163 |
Weighted average number of ordinary shares for the period | 31,511,461 | 31,160,219 |
Dilutive effect of share plans | 99,345 | 103,764 |
Weighted average number of ordinary shares for diluted net profit for the period | 31,610,806 | 31,263,983 |
Net profit per share \u2013 basic | 33.72 | 29.69 |
Net profit per share \u2013 diluted | 33.61 | 29.59 |
Accounting policy \u2013 Earnings per share Adyen presents basic and diluted earnings per share (EPS) data for its ordinary shares. The calculation of EPS is determined as follows: \u25aa 1)\u00a0 Basic EPS: dividing the net income attributable to owners of Adyen N.V. by the weighted average number of ordinary shares outstanding during the period. As at December 31, 2025, the tranches 1 and 2 of the warrant are vested and exercised, and reflected in the calculation of ordinary shares. \u25aa 2)\u00a0 Diluted EPS:\u00a0 adjusting the basic EPS for the effects of all dilutive potential ordinary shares, which in the case of Adyen relates to share options and RSUs granted to employees (refer to note 4.3). | ||