27th Sep 2022 11:12
(Alliance News) - Boku Inc on Tuesday reported a dip in interim revenue and a fall in profit, citing currency headwinds.
Shares were up 5.0% at 100.80 pence each on Tuesday morning in London.
For six months ended June 30, the San Francisco-based mobile payments company said payments revenue declined slightly by 1.3% to USD30.3 million from USD30.7 million a year ago.
"The strength of the US dollar against major currencies has affected these results", it explained.
Pretax profit fell by 14% to USD3.6 million from USD4.2 million, as operating profit dropped by 11% to USD4.1 million from USD4.6 million a year ago.
Adjusted earnings before interest, tax, depreciation and amortisation amounted to USD9.5 million, down 15% from USD11.2 million as currency headwinds impacted.
Boku added that it continues its investment in Boku's mobile-first payment network.
On the plus side, Boku said its monthly active users increased to 46.3 million in June, up 22% from 37.9 million a year ago.
Chief Executive Officer Jon Prideaux said: "We launched over 50 new connections with customers such as Netflix, Meta, Apple, Amazon, Spotify, Samsung, Sky and EA Games in the half. These new launches will build our revenues over the coming months and years. Post period end, we have had a number of pieces of very encouraging news. One highlight is a new contract with the world's leading ecommerce company, Amazon, with whom we've recently signed a multi-year agreement for these new payment types."
Cash amounted to USD67.8 million at June 30, compared to USD62.4 million on December 31.
Boku said it is encouraged by the first half progress despite significant currency headwinds, particularly the "progress of our new Local Payment methods where volumes and users have increased substantially".
By Xindi Wei; [email protected]
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