Paypoint Share Discussion Threads

[casholaa] 21/2/2024 12:09

May get a small bounce at around 485, dunno if it'll last though.

[johndoe23] 21/2/2024 12:03

Let's see if support at 480p

[doom4gloom] 20/2/2024 20:33

Love the way this one keeps giving me the opportunity to accumulate then distribute within a well defined trading range every 2 months. Great dividend, its the nearest thing to a safe haven you can get, i’m looking to begin at 485 this time but will monitor closely for the right moment, might hit 460ish but i think thats looking less likely this time round although it would only take a general march market pullback. Either way with the divi and a bit of attention this one returns me 20-30% without fail every year

[masurenguy] 20/2/2024 16:31

This remains very undervalued both in terms of the current PER - circa 7 - and the yield - circa 8%. Over the past 3 weeks the shareprice has drifted back - circa 8% - on really rather low daily trading volumes - circa 100k. One of the factors that is probably holding the shareprice back is the net debt of £70m, with current elevated rates of interest. We should see a year end trading update in circa 8 weeks time and that potentially could be a catalyst to trigger an overdue price rise.

[stoopid] 20/2/2024 15:39

Yep, you also have to use the gift cards within a set period or you lose them or have to reactivate them.

[casholaa] 20/2/2024 12:53

The tune will be different once the interest on unused giftcards starts trickling in, also there is the possibility of a monthly fee to be removed from unspent giftcards. I think this is how others work???

[stoopid] 20/2/2024 12:38

Volumes are so low. Appears that everyone has lost interest now everything has settled down. Im surprised that with the recent results and projected financials this is languishing in the 490s......

[pinemartin9] 31/1/2024 08:46

Last chance to get on board for the 9.5p interim dividend

[brucie5] 26/1/2024 09:58

John Rosier reporting in the IC this week:
"No new positions, but I added to three
existing positions and reduced two. I
increased PayPoint (on 5 December
at 457p and 14 December at 483p),
reaching my target of 5 per cent.
PayPoint looked ludicrously cheap at
457p on a March 2024 forecast price/
earnings (PE) ratio of 7.3 times and
a yield of 8.7 per cent. That is for a
company achieving margins of 20
per cent and a return on capital of 26
per cent. Even at the current price of
520p, it is ludicrously cheap, just a
little less so than at 460p."

[eigthwonder] 24/1/2024 15:28

Market will be focusing on the growth of FY 25 over FY 24 from here on

[masurenguy] 24/1/2024 14:19

The shareprice has already risen by circa 22% over the past 7 weeks.

[casholaa] 24/1/2024 12:41

"PayPoint said it remains on track to deliver around GBP80 million in underlying earnings before interest, tax, depreciation and amortisation for the current financial year to March 31, up 31% from GBP61.3 million in financial 2023, and underlying pretax profit in line with undefined expectations."

I would find it totally understandable if the share price were to rise by 31%

:op

[davebowler] 24/1/2024 11:23

Liberum
Q3 statement guides to trading in line with expectations, with 2.8% organic net revenue growth. We maintain our headline earnings estimates, with comfort from the seasonally strong H2 at Love2Shop and Parcels. We maintain our cautious FY 24 Net Debt (excl. leases) estimate of £70m (0.9x EBITDA). At Payments and Banking, net revenues were distorted by EBSS but the decline in the legacy energy business is moderating, and the recent DVLA contract win underlines the strength of the proposition. At Shopping, PayPoint is increasing the number of sites and improving the offering. At Parcels, the expanded partnership with Yodel and Vinted may be transformational, and management is looking for the next leg of growth. Love2shop has delivered a return to growth in Park Christmas Savings billings for the first time in six years, with good client growth in the corporate business offset by lower than expected order values in December. A CY 24 P/E of 7.5x and ordinary yield of 7.8% are too cheap. Q3 statement guides to trading in line with expectations, with 2.8% organic net revenue growth PayPoint’s trading statement guides to trading performance in line with expectations. Underlying group net revenues increased by 59.8% from £32.5m to £52.0m Q3 24 on Q3 23, with a £18.5m net revenue contribution from Appreciate. Group net revenues (excluding Appreciate) increased 2.8% to £33.4m.

[pinemartin9] 24/1/2024 08:24

Yes, looks solid. I bought in May last year. Including dividends currently 30% up. Plenty more to come here. Time to divert my attention elsewhere. GLH.

[masurenguy] 24/1/2024 08:19

Currently valued at a PER of circa 8 with a yield of 7.5% and Liberum has a target price of 1100p.

Trading update for the three months ended 31 December 2023

A positive quarter with PayPoint Group on track to deliver c.£80m of underlying EBITDA, net debt below £70m and underlying PBT in line with expectations for FY24

HIGHLIGHTS

Positive performance across the Group

Group net revenue increased by 59.8% in the quarter to £52.0 million (Q3 FY23: £32.5 million). PayPoint segment net revenue increased by 2.8% to £33.4 million.

Shopping

Shopping divisional net revenue increased by 6.0% to £16.4m (Q3 FY23: £15.4m), driven by the growth of our PayPoint One/Mini estate and a positive performance in our cards business.

E-commerce

E-commerce divisional net revenue increased strongly by 34.3% to £3.1m (Q3 FY23: £2.3m) and transactions grew by 54.3% to 26.2m (Q3 FY23: 17.0m) through our e-commerce technology platform, Collect+. This division has now processed over 68.3mn parcel transactions year to date, surpassing the 56.4m transactions processed over the whole of FY23.

Payments & Banking

Payments & Banking divisional net revenue decreased by 5.5% to £13.9m (Q3 FY23: 314.7m): with further growth in our digital payments platform, MultiPay; offset by the expected impact of the Energy Bills Support Scheme (EBSS), which was a one-off activity that ran in the same period last year; and a continued reduction in cash bill payments.

Love2shop

Love2shop divisional net revenue of £18.5m, driven by the positive performance in Park Christmas Savings, which has returned to growth for the first time in six years

Balance Sheet at 31 December 2023

The Group had net corporate debt of £71.2m (31 March 2023: £72.4m), down from £83.2m at the half year, comprising cash balances of £26.8m (31 March 2023: 22.0m), less loans and borrowings of £8.1m (31 March 2023: £94.4m).

Dividend

The Board have declared an increased interim dividend of 19.0p per share, consistent with our progressive dividend policy, and representing an increase of 2.2% vs the final dividend declared on 26 May 2022 of 18.6p per share. The dividend is payable in equal instalments of 9.5p per share on 29 December 2023 and 5 March 2024.

Nick Wiles, Chief Executive of PayPoint Plc, said: "This has been another positive quarter for the PayPoint Group and we remain on track to deliver c. £80m of underlying EBITDA for the current year, an important milestone on our journey to achieving £100m EBITDA by the end of FY26, ending the year with net debt below £70m and delivering underlying PBT in line with expectations. This performance reflects both the resilience of our businesses and the benefits from the transformation delivered over the past three years as we unlock further opportunities and growth for our enhanced platform and expanded capabilities."

[casholaa] 22/1/2024 16:21

ex-div 1st of Feb. Even if in the worst case senario this set of results aren't much good, I not worried in the least.

[brucie5] 22/1/2024 15:32

Glad to hear that that the PO is fighting back as a business, though their reputation is of course in tatters after the scandal.
Re PAY, I hold, and wasn't thinking of selling any, not yet adding.

[casholaa] 22/1/2024 14:46

We have a TU on Wednesday so I am a suspicious of today's 'news'.

[casholaa] 22/1/2024 14:27

Not so fast Bruce, the PO has gone down the route of the supermarkets & Argos... I reckon they'll be receiving parcels for ebay and amazon soon if they aren't doing it already. I can already send at the PO with evri & yodel.. there's an amazon sack in my local PO too.

[casholaa] 22/1/2024 14:21

Yeah, I saw that. I think the last ones I bought from the post office cost 8-9 quid each. It depends on the country being visited. No idea where I'd be buying it from next time. It's reckoned that 300,000 of them are issued/stamped per year... cost to the public £8 + photo... no idea whether it'll still be a foldable card thing.

[alter ego] 22/1/2024 14:13

PayPoint wins DVLA contract for International Driving Permits

PayPoint Plc is pleased to announce that it has been awarded the Driver & Vehicle Licensing Agency (DVLA) contract for providing International Driving Permits across its extensive network of retailer partners across the UK.

The multi-year agreement will see the service move from the Post Office to PayPoint from 1st April......

rns just out

[mouse_of_wallst] 17/1/2024 21:09

Good luck all!

[mouse_of_wallst] 17/1/2024 21:05

!FOLLOWFEED

[pinemartin9] 15/1/2024 20:09

24th Jan according to Stocko for TU. Very fair of them. Gives people a chance to buy in and pick up the nice dividend if they like what they hear!