ThinkSmart achieves increased NPAT guidance, delivers strong UK growth & declares 3.5 cents per share fully franked dividend.
Key Financial Achievements for the twelve months ended 30 June 2015
- $3.5m NPAT for period in line with updated market guidance issued on 5th June 2015 and up 23% on previous 12 months*
- 53% growth in EPS to 2.73 cents from 1.78 cents for the previous 12 months* from continuing activities
- UK delivered $7.6m Net Profit before Tax with 33% growth in volumes and 14% growth in assets under management and active customers.
- Strong balance sheet with total cash reserves as at 30 June 2015 of $16.8m
- Declares fully franked Dividend of 3.5 cents per share.
- 2016 FY Guidance anticipating continued strong double digit year on year percentage growth in Group Operating NPAT**
ThinkSmart Limited (ASX: TSM), a financial technology company and leader in digital, paperless, retail point of sale finance, today announced full-year earnings in line with updated market guidance, delivering increased earnings per share for the twelve months to 30 June 2015 of 2.73 cents, up 1.76 cents on 6 months to 30 June 2014 and up 53% on the previous 12 months* (from continuing operations).
Based on the 2014/2015 full year performance, on-going strong cash position and franking account balance, the Board has decided to increase its dividend to 3.5c per share fully franked. This will result in the Group’s current franking account balance being significantly reduced such that future dividends may be un-franked or only partially franked.
“There have been significant achievements in the last 12 months reflected in our financial performance,” ThinkSmart Executive Chairman Ned Montarello said.
“We have extended our 12 year exclusive relationship with Dixons Carphone Group to 2019 for all B2B and B2C leasing products. Dixons Carphone plc is Europe’s leading specialist electrical and telecommunications retailer.”
“We are investing significantly in our proprietary systems, people, and funding platforms to further leverage our sector leading software and processing IP together with paperless transactions, online basket integration and market innovative new customer account and mobile application products and services.”
“We are one of the first businesses in our sector to be formally approved by the Financial Conduct Authority for leasing and are in the process of applying for an extension to our permissions to also include consumer finance, which will further position us for diversification and accelerated growth.”
“We continue to execute our strategy of building long term value in the UK with a focus on the release and distribution of our leading integrated online basket and mobile finance solutions for retailers and continual optimisation of our credit scoring and decision engine capabilities to maximise volumes and manage risk.”
Mr Montarello said the UK business continued to perform well and had been assisted by a strong UK economy with a positive outlook for continued growth in retail sales, consumer confidence and further reductions in unemployment.
“Following this transformational and successful year, and to further assist in unlocking value in the UK business, the Board has appointed Canaccord Genuity, a global full-service investment banking and financial services group, as its strategic advisor to explore options open to the company to continue to maximise value for shareholders,” Mr Montarello said.
“The 2015 financial period has been very positive for ThinkSmart, reshaping our balance sheet and providing solid foundations for continued growth ahead. We are anticipating double digit year on year percentage growth in Group Operating NPAT** to continue for the 2016 financial period.”
* The results for the 12 months 30 June 2014 are unaudited and used for comparison purposes only due to the change in the year end reporting period
** Group Operating NPAT excludes any exceptional items arising from non-operating activities