EML Payments (ASX: EML)

Last close As at 27/03/2024

AUD1.27

0.08 (6.28%)

Market capitalisation

AUD449m

EML Payments is a payment solutions company managing thousands of programmes across 32 countries in Europe, North America and Australia. It provides payment solutions for banking, credit and disbursement services, earned wage access, gifts, incentives and rewards, and open banking and FX.

EML provides payment solutions for banking, credit and disbursement services, earned wage access, gifts, incentives and rewards, and open banking and FX. The company estimates it has a serviceable addressable market worth A$114bn, which is growing at c 7% pa. It estimates it has less than a 0.2% share of this market, providing plenty of scope for growth.

Latest Insights

View More

TMT | Flash note

EML Payments — Sale of Sentenial agreed

TMT | Update

EML Payments — Looking to a brighter future

TMT | Update

EML Payments — Major source of losses stemmed

TMT | Update

EML Payments — Turning the ship around

Sector

TMT

Equity Analyst

Key Management

  • Jonathan Gatt

    Group CFO

  • Kevin Murphy

    Interim CEO

Balance Sheet

Forecast net debt (A$m)

22.6

Forecast gearing ratio (%)

13

Share Price Performance

Price Performance
% 1M 3M 12M
Actual 34.3 49.4 191.5
Relative 32.1 43.7 158.9
52 week high/low A$1.3/A$0.4

Financials

EML Payments has agreed to sell Sentenial to GoCardless for an enterprise value of €32.75m/A$54.1m. As Sentenial is currently loss-making, the disposal will be earnings and cashflow accretive to EML in year one. Proceeds from the sale will be used to reduce debt and strengthen EML’s balance sheet. This disposal combined with the liquidation of PFS Card Services Ireland (PCSIL) leaves EML as a more focused group specialising in prepaid cards, with all remaining businesses profitable and cash generating.

Y/E Jun Revenue (A$m) EBITDA (A$m) PBT (A$m) EPS (fd) (c) P/E (x) P/CF (x)
2022A 232.4 34.3 16.0 3.398 37.4 N/A
2023A 254.2 (2.6) (22.8) (4.869) N/A N/A
2024E 262.1 49.7 27.5 5.736 22.1 N/A
2025E 238.0 62.5 39.8 8.287 15.3 N/A

Thematics

thematic

TMT

MediaWatch – Rinse and repeat

thematic

TMT

MediaWatch – Still waiting…

Subscribe to Edison

Get access to the very latest content matched to your personal investment style.

Sign up for free