You are using an older browser version. Please use a supported version for the best MSN experience.

Pushpay nears $100m monthly revenue

NZ Newswire logoNZ Newswire 11/10/2016 Sophie Boot

Pushpay Holdings, the mobile payments app developer, says it exceeded its guidance for the second quarter of 2017 and is on target to reach its forecast $100 million of annualised committed monthly revenue by the end of next year.

The Auckland-domiciled, Redmond, US-headquartered company increased its total number of merchants to 5,286 in the quarter, up 151.5 per cent on the same period a year earlier, with net merchant growth of 795 in the three months ended Sept. 30, ahead of the 725 new merchants in the June quarter.

Its average revenue per merchant (ARPM) rose to US$534 ($NZ756) per month, 47.8 per cent higher than the Sept. 2015 quarter and a 5.4 per cent lift on the June quarter this year.

"Pushpay has made substantial progress during what is seasonally a slow quarter and remains on track to reach US$72 million ($NZ102 million) (NZ$100 million) in annualised committed monthly revenue (ACMR) and breakeven on a monthly cash flow basis prior to the end of calendar year 2017," chief executive and co-founder Chris Heaslip said.

Some 97 per cent of Pushpay's customers are located in North America, where it has had success in the faith sector and has been focussing on larger churches.

The company now services five of the top 10 and 30 of the top 100 largest churches in the US, and the largest church it services has over 39,000 weekly attendees on average.

It is also expanding its mobile payment app beyond the faith sector to helping people pay their utility bills such as water and insurance.

Pushpay processed over US$1 billion ($NZ1.4 billion) in annualised monthly payment transactions, around 1 per cent of the US$119 billion ($NZ169 billion) given to religious organisations in that country in 2016, and its goal is to process US$10 billion ($NZ14 billion) in annualised monthly payment transactions, it said.

The shares, which will be quoted on the ASX from Wednesday, last traded at $2.22, and have gained 28.6 per cent this year.

image beaconimage beaconimage beacon