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- Payroll and human capital management business PayGroup (PYG) increases its revenue to $12.8 million during the last half-year period
- In the six months to September 30, PYG says its revenue increased by 83 per cent while earnings before interest, taxes, depreciation and amortisation (EBITDA) hit $1.5 million
- The ASX-lister ended the half-year with a $228,099 profit after signing $9.6 million in new contracts
- PYG expects to bring in annual recurring revenue of at least $37 million and statutory revenue of around $26 million at the end of FY22
- Company shares are down 2.27 per cent at 43 cents per share
Payroll and human capital management business PayGroup (PYG) increased its revenue to $12.8 million during the half-year period to the end of September.
The ASX-lister explained the statutory revenue figure represented an 83 per cent increase of FY21’s half-year result.
The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) hit $1.5 million at the end of September, though this excludes acquisition costs and other on-off expenses.
PYG signed a number of new contracts over the half-year period, with $9.6 million in new contracts signed by September 30 — a 78 per cent increase on last year’s total.
The company noted there was a growing sales contribution from its Global Partner Program, which accounted for 20 per cent of the half-year’s sales.
All up, PayGroup ended the period with a $228,099 profit, which is down on 1H FY21’s profit of $444,003.
The finance stock also confirmed its FY22 guidance of $37 million in annual recurring revenue and $26 million in statutory revenue.
Commenting on the results, PayGroup Founder and Managing Director Mark Samlal said he was pleased with the company’s growth.
“We are extremely proud of our 1H FY22 financial and operational performance,” he said.
“Our strong operational performance and continued investment in our platform
underpins our ability to scale the payroll business, expand margins and execute on key monetisation opportunities going forward.
“We have made significant progress to date and are excited by the organic opportunities in FY22 and beyond.
“This is reflected in the growth of our current pipeline, which is six times larger than 12 months ago.
“We are highly confident that we have the right foundations in place and remain focused on delivering on key organic opportunities to drive sustainable long-term growth.”
PayGroup shares were trading down 2.27 per cent at 43 cents each at the close of market on Monday, November 29.
