PayPoint reports ‘positive’ results

PayPoint One terminal

PayPoint Group has reported “positive” first-half results for the six months ended 30 September 2021.

The group’s net revenue from continuing operations increased by 21% to £56.1m in the six-month period, as it recovered from the impacts of the pandemic.

Paypoint Group’s pre-tax profit from continuing operations, excluding exceptional items of £21.9m, increased by 30.0%.

The period saw the group invest £6.7m in Snappy Group to help it take advantage of the rapid growth in consumer demand for local home delivery.

In addition, the company also started the rollout of its ‘Counter Cash’ solution, providing “vital access” to cash in communities across the UK.

PayPoint has also secured more client wins for its digital payments solutions and i-movo has launched a major new service with the Department for Work and Pensions replacing the Post Office Card Account.

The group’s UK retail network increased to 28,135 sites from 28,067 last year, with 69% in independent retailer partners and 31% in multiple retail groups.

In addition, its service fee net revenue increased by 15% to £8.2m, with increases in sites from PayPoint One.

Nick Wiles, Chief Executive of PayPoint, said: “The group has continued to perform well in the first half of the year, with further progress made on the numerous growth opportunities across our expanded business. We have delivered this positive performance against the backdrop of continued uncertainty in our energy markets and its impact on our clients, as well as responding in a number of areas of the business to the impact of changing consumer behaviours as Covid-19 restrictions have eased.”

He added: “Across our expanded universe of over 60,000 SME and retailer partner locations, we continue to be well-placed to support our partners in response to the wider trends that have accelerated through the pandemic, including the continued shift from cash to digital payments, the growing demand for online shopping fulfilment and the increase in shopping local. Overall, the board’s expectations for the full year remain unchanged.”