PayPoint unveils increase in revenue as transactions rise

24th Jul 2013 13:07

PayPoint posted a six per cent year-on-year rise in transactions to 180m in the three months to end of June.Revenues were up 3.0% to £51m on a pro-rata basis for the 91-day period but 3.0% lower than in last year's longer reporting period of 97 days.PayPoint's net revenues came to £27m, up 13% on a pro-rata basis against £25m last year as a result of growth in bill and general, retail services and PayByPhone, partially offset by a decline in top-ups.UK and Irish bill and general transactions increased 5.0% on a pro-rata basis while retail services transactions, which include ATMs, debit and credit cards, parcels and mobile phone SIM cards, rose 15% on last year. Top-ups continue to decline in line with the prepaid mobile sector. In Romania, profitable growth continues with almost 7.5m bill payments in the period, a 31% jump on last year. The group maintained a strong balance sheet with net cash at £40.8m at the end of the June, compared to £39.6m at the end of March. A final dividend of £13.7m and a special dividend of £10.1m are due for payment on July 25th.Dominic Taylor, PayPoint's Chief Executive, said: "Overall trading for the period to June 30th was in line with market expectations, taking seasonality of trading into account. Our retail businesses are continuing to generate satisfactory growth this year. There are early but encouraging signs that bringing the e&m businesses under common management will unlock better growth opportunities, which should lead to improved returns on our invested capital in these businesses."Shares climbed 1.65% to 1,107p at 13:27 on Wednesday.RD