PayPoint PLC have declared an increased interim dividend of 17.0 pence per share (September 2020: 15.6 pence) payable in equal instalments of 8.5 pence per share on 30 December 2021 (to shareholders on the register on 3 December 2021) and 7 March 2022 (to shareholders on the register on 4 February 2022). This is an increase of 2.4% compared to the final dividend declared on 27 May 2021 of 16.6 pence per share, and an increase of 9.0% compared to the same period last year (September 2020: 15.6 pence).
Other financial highlights include:
- Net revenue from continuing operations of £56.1 million (H1 FY21: £46.4 million from continuing operations) increased by £9.7 million (20.9%), driven by a proactive recovery from the prior year impacts of Covid-19, a positive contribution from Handepay/Merchant Rentals and supported by the acquisitions of i-movo and RSM 2000
- Profit before tax from continuing operations excluding exceptional items of £21.9 million (H1 FY21: £16.8 million) increased by £5.1 million (30.0%)
- Disposal of Romanian business completed on 8 April 2021, delivering a profit before tax from the discontinued operation of £30.0 million with final cash proceeds net of disposal costs of £47.6 million
- Acquisition of RSM 2000 completed on 12 April 2021 for an initial cash consideration of £5.9 million, with £1.0 million deferred, enhancing their digital payments capability, adding innovative mobile payment products and enabling further reach into new and existing sectors, including charities, housing, not-for-profit organisations, events and SMEs in the UK
- Investment in Snappy Group made on 7 July 2021 for cash consideration of £6.7 million, positioning them to take advantage of the rapid growth in consumer demand for local home delivery seen over the past 18 months
- Total costs from continuing operations (which excludes exceptional items) of £34.2 million (H1 FY21: £29.6 million from continuing operations) increased by £4.6 million (15.5%) mainly due to the £7.1m additional cost base in relation to the newly acquired businesses partially offset by £1.5m reductions in operational costs and £1.0 million of one off acquisition costs in FY21
- Net corporate debt of £36.5 million (H1 FY21: £6.1 million) reflects corporate cash balances of £7.2 million less borrowings of £43.7 million. Net corporate debt reduced by £31.7 million since the end of the prior year as the proceeds received on sale of the Romanian business were used to repay the majority of the revolving credit facility
