LONDON--(BUSINESS WIRE)--Prepaid Financial Services (PFS), an award-winning payments technology company has today released its annual results, for the year ended 31 December 2017. The payment technology specialist who offers a comprehensive range of e-money and payment products and services increased turnover to €50.4 million in 2017 (an increase in revenue for 10 consecutive years) with EBITDA rising to €6.2 million.
The continued commercial growth has led to another record-breaking year for the payments provider. PFS completed the migration of clients from two acquisitions in 2016 which brought over 55 new Local Authority clients while simultaneously adding multiple corporate clients to the portfolio.
In 2017 PFS had several significant award wins including the Deloitte Fast 500 EMEA for the 3rd consecutive year, Sunday Times Hiscox Tech Track 100 (5th consecutive year) and was a recipient of the Queen’s Award for Enterprise, International Trade 2017. In 2018 PFS added to its success by securing the European Business Awards, Digital Technology Award 2017/2018 along with appearing on the FT1000, Europe’s Fastest-Growing Companies 2018 for the 2nd year in a row.
The company processed over €1.6 billion and is on track to hit over €2.5 billion in 2018. PFS had put the wheels in motion to accelerate growth throughout 2017 by extending its licensing capabilities outside Europe and expects to see that paying off in the very near future. This combined with additional product offerings has enabled PFS to achieve greater scale efficiencies and the Directors expect to see EBITDA rise to over €12 million in 2018 with turnover increasing to around €65 million.
Noel Moran, CEO, and founder of Prepaid Financial Services commented: "2017 saw outstanding results for the company which underpins the hard work and efforts put in by all the staff across our four offices. However, while 2017 was a very good year, we expect 2018 and 2019 to continue to be record breaking. We are on track to achieve EBITDA of over €12 million in 2018. I believe we are one of the few, if not the only, Fintech companies in Europe that has managed to return profits for 10 consecutive years without taking in any institutional investment. We have grown organically, and our record speaks for itself. We do not have to focus on fundraising, we spend our time focusing on building the business and cutting costs that will in turn benefit our customers. We are now at a point where it makes sense to look at an IPO and take the company to greater heights.”
Lee Britton Commercial Director at Prepaid Financial Services added “We are very pleased with the continued growth and of course the increase in underlying profit in the business. Our belief is that it is key to always remain focused on the bottom line as much as the increase in the top line income. As a Fintech, we remain at heart a technology company, while our path has been slightly different than others in that we have been profitable every year since formation in 2008. With revenues pushing towards €65m per annum and EBITDA growing substantially PFS is focused on partnerships, acquisitions and innovation to drive us forward.”
Commenting on some speculation around the future of Prepaid Financial Services, Mr Moran said “As the majority shareholder in PFS it is only natural that I continually evaluate our strategic options including a potential listing of the business, trade sale, or indeed investing more in start-ups and other innovative financial technology companies, as evidenced by our innovation fund. I believe that PFS’s B2B2C business model is more sustainable and provides greater opportunities for potential investors and partners than a number of the consumer facing challenger banking and money transfer companies as we don’t incur the marketing burn in the same way. Instead we focus on a white label and partnership-led distribution model and provide the underlying technology that enables a number of the B2C companies to succeed. We are also not industry specific and as our clients move into the remittance and international payments market we are well positioned to leverage our technology platform and facilitate electronic transfers for our expanding customer base. This is just one area of significant growth and we expect to see our penetration into that market bear fruit from 2019 onwards. There are many established players in the market, but our agility and technology platform will enable us to make significant inroads.”
[Note to editor: Keefe, Bruyette & Woods are retained adviser to PFS.]
To learn more about PFS visit https://prepaidfinancialservices.com/en/