Fintech business SmartPay Holdings [ASX:SMP] — known for referring different payment services or plans to its customers with options like EFTPOS — has revealed how its operations and financials progressed across FY2023.
SMP was trading for $1.49 at the time of writing, with shares rising more than 2% in early morning trade.
In the past 12 months, the fintech has leapt a significant 150% in share trading:
Source: TradingView
SmartPay’s 2023 full-year results are positive
Earlier on Monday morning, the board of SmartPay Holdings released the highlights and financial summary of trade for the fintech’s (financial technology business) full year. It declared that it had hit revenue of $77.8 million, a 62% increase on fiscal 2022’s $48.1 million.
The group’s Australian business was noted to have accumulated $60.5 million in transactional revenue, which was 94% more than what was made in Australia the year before (which was previously $31.2 million).
On a monthly basis, this acquiring revenue in Australia grew to $6.2 million each month.
Based on this higher revenue in the year, the group also reported it had hit earnings before tax and equivalents of $18.4 million — another significant increase this time of 81% — with last year having only churned $10.2 million in EBITDA.
Profit after tax had reached $8.5 million, compared with the prior year’s net profit after tax of $2.2 million.
The Australian transacting terminal fleet grew to 15,708 — up from 9,684 for the prior year — and the group found there to be a growing increase in its acquiring margin throughout the year, contributing to a net cash increase of $2 million.
The Australian business was the main contributor to the continued growth, especially as Australia now represents 81% of total revenue — up from 69% in FY2022.
SmartPay said it continued its investment in technology throughout the year, which remained a strong point of focus as it looks to continue the ongoing development of its next-generation customer interface systems and digitisation of terminal management.
The group commented:
‘FY23 has been a significant year for SmartPay, reflected in both the continued and accelerated performance of the business in Australia and the commitment of our organisation to the next phase of the business in New Zealand.
‘We are delivering strong business fundamentals — growth, profitability, operating cashflows and free cashflows and we remain committed to these fundamentals.’
The fintech said that it plans to enter FY2024 with more talent, and with intentions to continue its rapid growth into Australian opportunities. It also spoke of strength in business fundamentals and a pathway to becoming a world-class trans-Tasman payment business.
Tangible goals and expectations for the group’s year ahead were not provided in today’s preliminary or full-year audited reports, yet the overall sentiment was positive.
Source: SMP
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Regards,
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For Money Morning
