- Total transaction value increases 10 per cent to £233m.
- Pre-tax profit up 14 per cent to £8.3m on revenue of £47.7m.
- Underlying free cash flow of £7.3m (7.3p a share).
- Dividend of 5.23p equates to 75 per cent of EPS of 7p.
- Double-digit profit forecast in new financial year.
Founded in 2006, Fonix Mobile (FNX:150p) has been one of the fastest growing technology companies in recent years - operating profit has trebloed to £8.3m since 2018 - a performance that prompted some shrewd fund managers (Slater Investments, Blackrock, Kestrel Partners and Axa) to back last autumn's IPO. It’s easy to understand why.
Fonix’s main business is a mobile payments service that enables merchants to charge customers' mobile phone bills for products or services. This segment accounted for 84 per cent of gross profit of £11.3m in the 12 months to 30 June 2021. The group’s other two operating segments are mobile messaging (9 per cent), which allows Fonix’s customers to communicate, notify and market to consumers, and managed services which represent fees charged and non-transactional revenue (7 per cent).