• Successful IPO on 25 November 2024
• Exceeded Prospectus FY25 pro forma NPAT forecast
• Acquisition of Indue to create a more resilient and competitive payments business

Cuscal Limited (ASX: CCL) has reported its FY25 results, which show strong earnings growth across all core capabilities and improved returns through strong investment discipline. The company exceeded its Prospectus FY25 pro forma NPAT forecast and declared a final dividend of 5.5 cents per share. Cuscal has also announced the acquisition of Indue Limited, a respected player in the Australian payments industry. The acquisition is strategically and financially compelling, with expected annual run rate cost synergies of $15-$20 million after tax, representing 8-10% of the combined operating expenses. The acquisition is expected to be earnings dilutive in FY26 and FY27 due to one-off integration costs, but is anticipated to deliver a run rate post-synergy EPS accretion of 25%+ by FY29. The combined entity is expected to have a CET1 position of around 18-19%, in line with Cuscal's targets and above regulatory minimums. The acquisition will bring together two organisations with shared heritage, values, and a complementary client base, creating a more resilient and competitive payments business.

Cuscal expects to achieve annual run rate cost synergies of $15-$20 million after tax from the acquisition of Indue, which are expected to be fully realised by FY29.

The acquisition of Indue is expected to create a more resilient and competitive payments business, with enhanced product and service offerings, operational efficiencies, and innovation at scale.