Quarterly Activities/Appendix 4C Cash Flow Report

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Stock Spenda Ltd (SPX.ASX)
Release Time 31 Jan 2025, 6:30 p.m.
Price Sensitive Yes
 Spenda Ltd reports record quarterly cash receipts
Key Points
  • Cash receipts from customers grew 86% to $3.57m, up 160% on prior comparable period
  • Payment volumes of $138m up 116% on prior comparable period
  • Cash and cash equivalents of $7.2m as at 31 December 2024
Full Summary

Spenda Ltd (ASX:SPX) has reported a strong quarterly performance for the three months ended 31 December 2024. The company achieved record cash receipts from customers of $3.57m, an increase of 160% compared to the prior comparable period and an 86% increase quarter-on-quarter. Total payment volumes for the quarter were $138m, up 116% on the prior comparable period. Spenda ended the quarter with $7.2m in cash and cash equivalents, up from $6.5m at the end of the previous quarter. The company's operating costs have become more predictable, with average monthly cash burn of $316k in the December 2024 half, down 35% from the previous half. Spenda continues to see strong growth across its product portfolio, including the roll-out of its SwiftStatement program with Capricorn, the finalisation of the Carpet Court SOE, and the scaling of its finance and payments products. The company expects to continue building on its strong start to FY2025, with delivery on current projects expected to close the current cashflow operating gap.

Guidance

Spenda expects to continue to build on its strong start to FY2025, with cash receipts of $5.49m for the half year ended December 31, 2024, surpassing total cash receipts collected in FY2024 ($5.4m). The company expects continued growth in maintainable earnings as it generates multiple income streams and increases average revenue per user from each customer channel.

Outlook

Spenda will focus on the commercialisation of existing contracts, including the broader roll-out of SOE to Carpet Court and into new channels, rationalisation of the lending portfolio, continued expansion of the collaboration with Capricorn, improvement of overall margins, and continuous improvement of its implementation capacity with the delivery of self-serve onboarding for core products. The company will also apply for a financial services license and focus on achieving ISO 27001 accreditation to enable it to broaden the scope of core services.