AUS
NZ
UK
CA
USA
FRA
GER
ESP
ITA
NLD
PRT
SWE
GRC
IND
POL
BRA
ZAF
RUS
CHN
UAE
_11_11_2022_02_16_04_336540.jpg){kind=logo}
Highlights
- Zip Co Limited, in a recently shared FY22 report, highlighted revenue has risen 57% year-on-year to AU$620 million.
- Zip’s customer number also accelerated by 56% to 11.4 million during the year.
- Today, while Zip’s shares were 20% up, ASX 200 Financials sector was 1.8% strong on the ASX (as of 11:30 AM AEDT).
The share price of Zip Co Limited (ASX:ZIP) traded over 20% higher at AU$0.755 apiece at 11:12 AM AEDT on the ASX today (11 November 2022). Zip’s share price rose despite no price-sensitive update released by the company today.
The benchmark S&P/ASX200 Financials sector (INDEXASX:XFJ), around the same time, was 1.874% higher to 6,534.8 points. Also, the ASX 200 index was 2.486% strong at 7,137.1 points. Meanwhile, financial services firm, Zip, via a presentation on 3 November 2022, shared some vital financial and operational highlights from FY2022.
Key highlights from the presentation:
- Total transaction value (TTV) has gained 51% year-on-year to AU$8.7 billion.
- Revenue has soared up 57% year-on-year to AU$620 million.
- Total customers increased 56% year-on-year to 11.4 million, while the total merchant partners were up 77% to 91k during the same period.
- In FY22, Zip introduced some major brands to its platform, like Best Buy, Bed Bath & Beyond, Qantas and Virgin Australia.
- The company also signed with eBay.
- Zip’s customer engagement continued to increase, propelled by the quick adoption and usage of the Zip app.
- Zip delivered AU$28 million cash EBTDA in Australia (up 250% YoY).
- Zip completed AU$173 million of capital raising during the year, and the company claims it is well-funded with enough available cash and liquidity.
- During the year, Zip also announced the acquisition of Sezzle as part of its growth strategy in the US. However, the companies mutually agreed to terminate the proposed transaction.
The share price performance of Zip
Zip shares have gained 11.19% in the last five trading days on the ASX. In the past month, the company has moved up 22.13%. However, the company has lost 25.50% on the ASX in the last six months. On a year-to-date basis, Zip has tumbled 82.79%, while on a year-on-year basis, the shares have nosedived 86.93% on the ASX (as of 11:54 AM AEDT).
