Spenda's 1H FY24 Financial Results

Spenda Limited (ASX: $SPX) reported its financial results for the half year ended 31 December 2023, with total revenue reaching $2.7m, marking a 102% increase from the prior corresponding period. The company's gross profit rose to $1.6m, reflecting a 138% increase, while the EBITDA loss improved by 10% to $3.1m. Spenda's cash and cash equivalents stood at $6m, with expectations of revenue and earnings growth in 2H FY24.

Executive Commentary on 1H FY24 Results

Over the past six months, we have laid the foundations to build a unique payments business with the potential to generate high margin, recurring revenue from long term customer contracts. Our first half results only include the very early revenue contribution from these contracts, together with the costs associated with the contract acquisition and onboarding of new customers. Over time, we expect to accelerate growth through layered revenue streams across customers in different industry verticals and we expect continued growth in revenue and earnings in 2H FY24.

Summary of 1H FY24 Results and Outlook

Spenda's 1H FY24 results showcased significant revenue growth driven by key strategic partnerships, with expectations of further expansion in 2H FY24. The company's focus on the roll-out and ramp-up of programs of work with Carpet Court, Capricorn, eBev, and AirPlus is anticipated to lead to continued revenue and earnings growth. Spenda's ambitions to generate high margin, recurring revenue from long term customer contracts and the integration of payment solutions into various platforms indicate a positive outlook for the company's corporate strategy and future performance.