- Shares in EML Payments (EML) jump more than 30 per cent despite news that its Irish subsidiary has copped a nil per cent growth cap for the next 12 months
- The growth cap, enforced by the Central Bank of Ireland, will not affect EML’s revenue guidance for FY23 of between $235 million and $245 million
- EML says it’s committed to working with the Central Bank of Ireland to address its concerns and complete the remediation program
- In May 2021, the central bank raised “significant” concerns about EML’s subsidiary relating to anti-money laundering (AML) and counter-terrorism financing (CTF)
- EML shares are up 34.5 per cent, trading at 56.5 cents at 2:35 pm AEDT
EML Payments (EML) shares jumped over 30 per cent on Friday despite the company announcing its Irish subsidiary, PFS Card Services Ireland (PCSIL), had copped a nil growth cap for the next 12 months by the Central Bank of Ireland.
The cap was imposed on March 20, 2023, and will end on March 31, 2024.
EML has confirmed this cap would not affect its guidance for FY23 of between $235 million and $245 million and underlying earnings before interest, tax, depreciation and amortisation (EBITDA) guidance of $26 million and $34 million.
The Central Bank of Ireland raised “significant” concerns with PCSIL in May 2021 relating to anti-money laundering (AML) and counter-terrorism financing (CTF).
EML said it was committed to working with the Central Bank of Ireland to address its concerns and complete a remediation program.
EML Payments provides services to a diverse range of customers, including major banks in Europe, government, retail brands, and financial services companies.
EML shares were up 34.5 per cent and trading at 56.5 cents at 2:35 pm AEDT.