CAB Payments boss insists early results are “a good sign for the future”.
- CAB Payments launched its IPO in July
Fintech company CAB Payments has announced its first results as a listed UK company after launching its initial public offering (IPO) in July.
CAB Payments’ revenue rose 94 per cent to £78.1m in the six months to July, while profit before tax more than doubled year-on-year to £23.8m from £11.2m.
Bhairav Trivedi, the group’s chief executive, said the company’s first-half performance was “a good sign for the future”.
Responsible: Bhairav Trivedi is the Managing Director of CAB Payments
Shares in money transfer group CAB Payments rose sharply on Wednesday, rising 8.57 per cent, or 22.50p, to 285.00p this morning, after falling around 5 per cent in the last year.
Adjusted earnings before interest, tax, depreciation and amortization rose from £14.3 million to £39.9 million, it said, thanks to “pleasing sales growth across all four customer segments”.
The group experienced a normalization of activity in the quieter second quarter due to temporary headwinds, with these now easing, CAB added.
“Trading improved in the third quarter and is returning to more normal levels,” Trivedi said.
“CAB Payments made great progress in the first half of 2023, reflected in renewed record results and significant sales and profit growth.
“We are making great progress towards our strategic objectives, with a significant expansion of our global network, the acquisition of some important new customers and a continued transition to our digital channel, EMPower Payments Gateway.” This bodes very well for the future.”
Shares in British money transfer company CAB Payments fell on their first day of trading in London in July after an initial public offering was expected to boost British capital markets.
At the time, CAB Payments, backed by private equity firm Helios Investment Partners, said it had successfully placed shares at £3.35 through its IPO, raising proceeds of up to £335 million.
The IPO came amid doubts about London’s attractiveness as a capital markets center after a series of high-profile moves by domestic or locally listed companies to other stock exchanges.