- Earlypay (EPY) upgrades its FY22 guidance from over $13 million to over $14 million following record half of trading
- The company reports unaudited H1 FY22 guidance of approximately $7.5 million, which is an increase of over 110 per cent on the prior corresponding period
- Earlypay is expected to provide additional information upon release of the H1 FY22 results on February 24
- Shares rose 11.6 per cent on the market today to 48 cents
Earlypay (EPY) has upgraded its FY22 net profit after tax plus amortization (NPATA) guidance from over $13 million to over $14 million.
The upgrade follows better than budgeted H1 results and a stronger than expected month of trading in January.
The company has reported unaudited H1 FY22 NPATA of approximately $7.5 million, which is an increase of over 110 per cent on the prior corresponding period (pcp), well ahead of budget.
It is expected to materially increase the 1H FY22 dividend compared to pcp, with EPY’s dividend payout ratio remaining at 60 per cent of NPATA across the full year.
January is typically impacted by holiday seasonality but performed ahead of expectations due to robust trading volumes from small-to-medium-sized enterprise clients and the continued high utilisation rate of invoice finance facilities.
Equipment finance business has also seen a substantial improvement in new originations in recent months and has returned to growth.
Earlypay CEO Daniel Riley said the company is delighted by the results.
“The stronger than expected earnings have been driven by record TTV, lower cost of debt and increased utilisation of proprietary technology to facilitate operating leverage for the business,” he said.
Total Transaction Volume (TTV) for H1 FY22 has increased to $1.2 billion, which is up 35 per cent on pcp.
Earlypay is expected to provide additional information upon release of the H1 FY22 results on February 24.
Shares rose 11.6 per cent on the market today to 48 cents.