Can Flywire's B2B Opportunity Accelerate Growth?

Flywire Corp.'s FLYW B2B business is becoming a key growth driver as enterprises look to modernize manual, fragmented invoice-to-cash workflows. Its software-enabled payment platform automates invoicing, collections and accounts receivable processes, enabling customers to improve efficiency while expanding payment volumes and software adoption over time.

The momentum was evident in the first quarter of 2026. Flywire reported revenues of $188.1 million, up 41% year over year, while Revenue Less Ancillary Services rose 43% to $184 million, or 37.2% on a constant-currency basis. Management attributed the strong performance to a better-than-expected education season, continued strength in Travel, and payment-processing ramp-up in Healthcare and B2B.

B2B growth is being fueled primarily by expanding existing customer relationships rather than new client wins. Increased payment-processing volumes from B2B invoice migration initiatives, along with the Cleveland Clinic implementation, contributed a mid-single-digit percentage-point tailwind to first-quarter revenue growth. Management expects a similar contribution in the second quarter before these ramp-up benefits moderate in the second half of 2026. It also raised its expected full-year 2026 revenue contribution from payment-processing ramp-up to 3-4 percentage points.

While these B2B ramp-ups carry a lower-margin profile, weighing on adjusted gross margin, they are meaningfully boosting revenue growth and payment volume. As Flywire expands software adoption across its B2B customer base and moves beyond the initial ramp-up period, the business is expected to deliver a stronger mix of software revenues alongside payment processing, supporting long-term growth and profitability.

How Are FLYW's Competitors Fairing?

BILL Holdings BILL is a listed competitor in AP/AR automation, SMB payments and financial workflows. In its March 2026 quarter, BILL served 493,800 businesses, processed $89 billion in TPV (+12% year over year) and handled 34 million transactions (+14% year over year), showing BILL's scale in B2B payments.

Corpay CPAY is another listed competitor in corporate payments, payables, cards and vendor-payment workflows. In first-quarter 2026, CPAY reported 25% year-over-year revenue growth, 11% organic revenue growth and 29% adjusted EPS growth, underscoring CPAY's commercial payment strength.

FLYW's Price Performance, Valuation & Estimates

Shares of FLYW have rallied 50.6% over the past three months, outperforming the broader industry and the S&P 500 Index.

Story Continues

Zacks Investment Research

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In terms of forward 12-month P/E, FLYW stock is trading at 15.82X, which is at a discount to the Zacks Internet Software industry's 27.31X.Zacks Investment Research

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Flywire's estimate revisions reflect a positive trend. The Zacks Consensus Estimate for full-year 2026 EPS has been significantly revised upward. It indicates a significant year-over-year increase.Zacks Investment Research

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Flywire currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

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