The PUSHPAY FPO NZX (ASX: PPH) share price is falling on a bad day for tech stocks across global markets after the software-as-a-service business released its results for the full year ending March 31 2017 this afternoon.
Below is a summary of the results, with comparisons to the prior corresponding year. All figures in U.S. dollars.
- Annualised committed monthly revenue (ACMR) over the year of $50.5 million, up 158%
- Average revenue per customer of $625, up 44.1%
- Total customers 6,737, up 79%
- Total "lifetime value of customer base" $568 million, up 169%
- Average transaction value over the year $197, up 7.7%
- Cash on hand of $13.4 million
This is another impressive year of growth for a company that was named by Deloitte as the 10th fastest-growing tech business across the Asia Pacific region in 2016.
The company is a mobile payments app developer that helps the app's user donate part of their everyday payments to retailers or billers of periodic services to charities. As such it is particularly popular with faith-based digitally savvy communities in the U.S., with 36 of the top 100 churches in the U.S. signed up as Pushpay believers.
The company has also recently entered into a relationship with U.S. accounting software giant Intuit (the operator of Quickbooks) to help solidify its competitive position and build an eco-system inspired network effect.
Although the company has been growing like gangbusters the stock is down 24% over the past year as it is yet to hit the Holy Grail of turning a profit, with forecasts for it to reach cash flow breakeven in time for Christmas at the end of calendar year 2017.
It also expects to achieve $72 million in ACMR by then and is certainly an exciting fintech business worthy of a place on investors' watch lists, alongside the likes of Class Ltd (ASX: CL1) or language services rocket Appen Ltd (ASX: APX).
