Worldpay H1 outpaces analyst expectations

Source: Worldpay

Results for the 6 months ended 30 June 2016

  • Strong net revenue growth of 16% (14% at constant currency): expansion of business with existing customers, roll-out of enhanced capabilities and innovation, and new customer wins
    • Global eCom net revenue grew 25%: driven by growth in existing customer portfolio and a good contribution from new customers; also reflects very strong acquiring and treasury performance; we expect a moderation to more normal growth levels in the second half
    • Worldpay UK net revenue grew 12%: continue to increase customer numbers and product penetration through cross selling; also benefited from the overall positive effect on product propositions and pricing following the reduction in interchange costs
    • Worldpay US performance improving: net revenue growth of 11% (5% at constant currency); transaction volume up 10%; encouraging progress in the transformation of the US business
    • Strong net revenue growth of 16% (14% at constant currency): expansion of business with existing customers, roll-out of enhanced capabilities and innovation, and new customer wins
  • Underlying EBITDA grew 19% (18% at constant currency), driven by revenue growth, and by strong cost management and improved efficiency in Worldpay UK, partly offset by continued investment in Global eCom and Worldpay US
  • Success in growing our share of existing customer business and winning customer contracts giving increased visibility on longer-term growth prospects
  • Further strengthening our capabilities to help our customers prosper, including through the addition of new payment types and transformational products and services
  • Have begun boarding customers onto our new acquiring platform; boarding of all UK and Global eCom customers expected to be completed in the next 12 months

"We delivered a strong first half performance, further enhancing our product propositions, and deepening our capabilities and presence, both by geography and across our divisions and verticals. We are well positioned to deliver a good performance in the second half of the year, and our medium-term guidance remains unchanged. While the UK's vote to leave the EU has resulted in increased uncertainty, we do not expect it to have a material effect on Worldpay's trading performance. Our confidence in our prospects is reflected in further investment in capabilities to support sustainable growth over the medium-term, and the declaration of our maiden interim dividend of 0.65p per share."

Philip Jansen, Chief Executive Officer

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