Paypoint plc

PayPoint plc: Trading update for the three months ended 30 June 2019

PayPoint plc: Trading update for the three months ended 30 June 2019

PayPoint plc
Trading update for the three months ended 30 June 20191
24 July 2019

GOOD FINANCIAL AND OPERATIONAL PROGRESS

Patrick Headon, PayPoint’s CEO, commented:
“PayPoint has delivered a good financial and operating performance during the quarter, with group revenue increasing 3.6% to £28.7 million. PayPoint One is now operating in over 13,9202 convenience retailers and we remain on track to meet our year-end target of 15,800 sites. Our parcels business is benefitting from our new partners, which were secured last year, with parcel volumes now having returned to growth. Bill payments in the UK and Romania delivered a robust performance with 12 new clients contracted and we saw continued strong growth in our MultiPay platform and eMoney services where transactions grew 38.5% and 16.3% respectively. We continue to believe these initiatives are key to driving future growth and profits. Consequently, the Board remains confident that there will be a progression in profit before tax and exceptional items for the year ending 31 March 2020.”

Performancefor the first quarter ending 30 June 2019
Net revenue increased by £1.0 million from £27.7 million to £28.7 million driven by an increase in service fees, through the ongoing roll out of PayPoint One and a robust performance in bill payments in the UK and Romania.

Progress during the period against our strategic priorities is set out below:

            

       
           UK

           Romania

            
Organisation and service delivery

Balance sheet as at 30 June 2019
The Group had net cash of £36.1 million (31 March 2019: £37.5 million) including the balance held in respect of short term client settlement obligations which totalled £31.6 million (31 March 2019: £34.0 million).

Dividends
The final ordinary dividend of 23.6 pence per share will be paid in equal instalments of 11.8 pence per share on 29 July 2019 and 30 September 2019. The additional dividend of 18.4 pence per share will be paid in equal instalments of 9.2 pence per share and paid to shareholders on the same dates as the ordinary dividend. 

Enquiries
PayPoint plc                                                                            Finsbury (Tel: 0207 251 3801)
Patrick Headon, CEO (Tel: 01707 600 317)                                 Rollo Head
Rachel Kentleton, Finance Director (Tel: 07843 074 906)            Andy Parnis     

ABOUT PAYPOINT

In thousands of retail locations, at home and on the move, we make life more convenient for everyone.

For retailers, we offer innovative and time-saving technology that empowers convenience retailers in the UK and Romania to achieve higher footfall and increased spend so they can grow their businesses profitably. Our innovative retail services platform, PayPoint One, is now live in over 13,900 stores in the UK and offers everything a modern convenience store needs, from parcels and contactless card payments to EPoS and bill payment services. Our technology helps retailers to serve customers quickly, improve business efficiency and stay connected to their stores from anywhere.

We help millions of people to control their household finances, make essential payments and access in-store services, like parcel collections and drop-offs. Our UK network of 28,400 stores is bigger than all banks, supermarkets and Post Offices together, putting us at the heart of communities nationwide.

For clients of all sizes we provide cutting-edge payments technologies without the need for capital investment. Our seamlessly integrated multichannel payments solution, MultiPay, is a one-stop shop for customer payments. PayPoint helps over 500 consumer service providers to save time and money while making it easier for their customers to pay – via any channel and on any device.




1 PayPoint’s auditors have not been requested to review the performance.

2 As at 22 July 2019.
3 Underlying net revenue excludes the impact of £0.2 million from the reduced Yodel parcel fees.

4 There was no change in net revenue when reported in constant currency.


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