Novatti’s sales revenue grows 98% for the quarter
ASX-listed fintech Novatti has seen sales revenue in the September quarter grow to $10.5 million, up 98% year on year.
Novatti’s end of quarter cash balance hit $14.5 million with a further $12.8m expected shortly.
These figures highlight Novatti’s continued long-run growth trend and strong balance sheet.
Novatti’s shift from development to monetisation is now fully underway, with strong growth across its acquiring, issuing and cross border businesses in particular. As an example, Novatti’s acquiring business is now servicing more than 800 merchants.
Novatti Managing Director Peter Cook stated, “This shift is also bringing two further, notable benefits. Firstly, we are able to shift our focus to delivering positive cashflow, with cash use down another 10% on the previous quarter. Secondly, we can now leverage our ecosystem to commercialise new products and services quickly and efficiently. This is highlighted by the development of our Australian dollar backed stablecoin, AUDD, which will launch on 1 November.
“Within the payments sector more broadly, the value of fintech-led solutions is clearly getting noticed. For example, we recently saw Westpac confirm its interest in acquiring Tyro while ANZ also considered acquiring the accounting platform MYOB. This sort of interest highlights the significant value in Novatti having its own acquiring business in market and the rationale for our strategic stake and strong partnership with Reckon Limited.
“Novatti continues to maintain a strong balance sheet, ending the September quarter with $14.5m in cash and with a further $12.8m expected in November through a special dividend from Reckon.
“These funds enable Novatti to continue to execute its growth strategy at the same time that big players are clearly waking up to the huge potential in digital payments forward, Cook ended.