Worldline lowered its annual targets on Thursday, citing declining domestic consumption trends in Europe and the uncertainty of a rapid recovery.

The payment specialist is grappling with declining consumer spending due to the economic slowdown in Europe, while increased regulatory scrutiny has forced it to review its business risk policies.

"The Group has observed a deteriorating macroeconomic environment characterized by a slowdown in its MSV (merchant sales volume, editor's note) growth in Europe", commented the company in a statement.

Worldline now expects organic sales growth of around 2% to around 3%, adjusted EBITDA of around €1.13 billion to around €1.17 billion, and free cash flow of around €230 million.

The company had previously forecast organic sales growth of at least 3%, adjusted EBITDA of at least 1.17 billion euros, and free cash flow of at least 230 million euros.

The Group said it expected to achieve operating cost savings of around 220 million euros by 2025 on an annual basis, representing a 10% increase on its initial target.

However, the company maintained its medium-term outlook, believing that its strategic initiatives should materialize as early as 2025.

Worldline sales came to 1.19 billion euros, up 1.7% in the second quarter, in line with analysts' expectations. (Written by Camille Raynaud, edited by Kate Entringer)