**Western Union (NYSE: WU) reported second-quarter 2026 revenue of $1 billion, a 1% decline in adjusted revenue year-over-year. Adjusted earnings per share fell to $0.31 from $0.42 in the prior-year quarter. CEO Devin McGranahan attributed the downturn to lower profitability in Americas retail transfers and a shift towards lower-profit digital transactions. The company aims to implement significant changes following these unsatisfactory results.**
**Despite these challenges, consumer money transfer transactions rose 3% compared to last year, marking the highest growth since Q2 2024. However, this growth came from lower-margin channels, as cash payouts, which generally yield higher profits, are declining in favor of digital payouts. U.S. retail transactions remained under pressure, with mid-teen percentage declines, although declines in U.S.-to-Mexico transactions slightly improved.**
**Western Union’s Branded Digital business grew transaction volume by 25%, driven by partnerships in the Middle East. The company has launched a cost-reduction initiative aimed at saving $50 million by the end of 2026 and $200 million by the end of 2027. For the full year, Western Union anticipates adjusted revenue growth of 4% to 6%, projecting adjusted EPS between $1.25 and $1.35.**
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