UK financial payment company Paypoint has posted a seven per cent net rise in revenues over the last quarter, according to an interim management statement released today.
Business at the company, which operates payment terminals in retailers such as Sainsbury’s Local, Co-op and Spar, was aided by an increase in online transactions but hindered by decline in mobile top-ups.
Internet transactions increased by over 40 per cent year-on-year to 17 million between September 27th and December 26th 2010 but the revenues for mobile top-ups were down by £1.6 million compared to last year.
Bill and general payment transactions were up six per cent over the same period last year, ahead of Paypoint’s previous expectations, but total revenues rose only one per cent in the quarter thanks largely to better offers from mobile operators meaning phone customers have had to top-up less.
The increase in online shopping has been significant over the last year, however, with Managing Director of Paypoint Michael Norton saying last summer that the huge rise in online payments showed the economy was improving.
“We’ve seen the online retail industry go from strength to strength this year,” Norton explained.
“We’ve also seen an improvement in business confidence, having received increased interest from would-be entrepreneurs looking to set up their own online business - another clear indicator that the e-commerce market is returning to health.”
Net cash for Paypoint increased from £13 million last year to £16 million for the period, and it also acquired the PayByPhone company during the quarter.