Nayax Ltd (NASDAQ: NYAX) shares plummeted 6.65% in pre-market trading on Tuesday following the release of its first-quarter 2025 financial results. The company reported mixed performance, with earnings surpassing expectations but revenue falling short of estimates, disappointing investors.

According to the earnings report, Nayax posted quarterly earnings of $0.19 per share, significantly beating the analyst consensus estimate of $0.04 by 380%. This represents a substantial improvement from the loss of $0.15 per share reported in the same period last year. However, the company's quarterly sales of $81.11 million missed the analyst consensus estimate of $85.59 million by 5.23%, despite showing a 26.81% increase from $63.96 million in the year-ago quarter.

The market's negative reaction to Nayax's results highlights investors' concerns about the company's top-line growth. While Nayax provided guidance for the full year 2025, projecting revenue in the range of $410 million to $425 million, which aligns closely with the FactSet consensus estimate of $410.6 million, it wasn't enough to offset the disappointment from the Q1 revenue miss. The sharp decline in stock price suggests that investors are prioritizing revenue growth and may be worried about Nayax's ability to meet expectations in an increasingly competitive landscape, despite the impressive bottom-line performance.