CPI Card Group Posts Strong Q4 2025 Results on Arroweye Acquisition and Contactless Card Growth
Event summary
- CPI Card Group reported a 22% revenue increase in Q4 2025, driven by the Arroweye acquisition and contactless card sales.
- Full-year 2025 revenue grew 13% to $543.5 million, with Adjusted EBITDA up 5% to $96.5 million.
- The company completed a new secure card production facility in Indiana and entered the closed loop prepaid market.
- CPI acquired Arroweye for $46 million in May 2025, which contributed $43 million in revenue and $6 million in Adjusted EBITDA post-acquisition.
The big picture
CPI Card Group is solidifying its position in the U.S. payments ecosystem through strategic acquisitions and investments in digital solutions. The company's focus on contactless cards, instant issuance, and prepaid solutions aligns with broader industry trends toward digital transformation and consumer demand for flexible payment options.
What we're watching
- Integration Success
- Whether CPI can fully realize the expected synergies from the Arroweye acquisition by mid-2026.
- Market Penetration
- The pace at which CPI's Integrated Paytech segment grows, targeting over 15% revenue growth in 2026.
- Regulatory Impact
- How tariff expenses and other regulatory factors will affect the company's profitability moving forward.
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