EML Payments - Edison Group

Overview
Price performance
Financials
Research
Thematics

EML Payments is a payment solutions company managing thousands of programmes across 32 countries in Europe, North America and Australia. It provides payment solutions for banking, credit and disbursement services, earned wage access, gifts, incentives and rewards, and open banking and FX.

EML quotes a total addressable market for prepaid cards of $1.8tn with a CAGR of c 18% from 2023 to 2030. With gross debit volume of A$9.6bn from prepaid cards in FY24, EML is well positioned to benefit from market growth as well as market share gains.

Latest Insights

View More

TMT |
Update

06.09.24

EML Payments — Back to basics

TMT |
Flash note

25.04.24

EML Payments — Growth cap lifted in the UK

TMT |
Update

12.04.24

EML Payments — Cutting the final link to PFS vendors

TMT |
Flash note

18.03.24

EML Payments — Sale of Sentenial agreed

Sector

TMT

Equity Analyst

Katherine Thompson

Katherine Thompson

Director

Key Management

Anthony Hynes

Chairman
Jonathan Gatt

Group CFO
Kevin Murphy

NED
Ron Hynes

CEO

Balance Sheet

Forecast net cash (A$m)

37.6

Forecast gearing ratio (%)

N/A

Share Price Performance

Price Performance
%	1M	3M	12M
Actual	9.8	(17.3)	(38.0)
Relative	9.5	(20.9)	(47.4)
52 week high/low	A$1.3/A$0.6

Financials

EML Payments’ FY24 results were the first to show the full impact of the liquidation of PFS Card Services Ireland Limited (PCSIL). Continuing operations, which exclude PCSIL, saw gross debit volume (GDV) growth of 18%, revenue growth of 18% and underlying EBITDA growth of 34%. The sale of Sentenial has since completed with proceeds of A$53.4m, moving EML to a net cash position. Management is now focused on moving back to a growth mindset in the remaining business and optimising the cost base post the disposals. Shifting away from the medium-term targets given in February, management expects to disclose more at its AGM in November. We have reduced our FY25 forecasts to reflect the more modest EBITDA guidance and to remove the Sentenial business.

Y/E Jun	Revenue (A$m)	EBITDA (A$m)	PBT (A$m)	EPS (fd) (c)	P/E (x)	P/CF (x)
2023A	183.9	8.6	(9.6)	(2.05)	N/A	28.2
2024A	217.3	38.1	16.6	3.43	19.5	6.6
2025E	208.9	54.8	35.0	7.21	9.3	4.6
2026E	217.0	58.5	42.5	8.76	7.6	4.3

Research

Update

TMT

09.12.22

EML Payments — New three-year plan to transform the business

Update

TMT

15.11.22

EML Payments — Irish regulator extends growth cap

TMT

Update

EML Payments — Considering its options

Flash note

TMT

01.11.22

EML Payments — UK regulator raises concerns

Update

TMT

09.09.22

EML Payments — Strategic review for sustainable growth

Flash note

TMT

30.08.22

EML Payments — New CEO launches strategic review

Flash note

TMT

25.07.22

EML Payments — More work to do in Europe

Update

TMT

07.07.22

EML Payments — Prepaid card contract win in Spain

Update

TMT

03.05.22

EML Payments — Weaker European business drives downgrades

Update

TMT

01.03.22

EML Payments — Improving outlook

Flash note

TMT

26.11.21

EML Payments — Making progress with the Irish regulator

Update

TMT

18.11.21

EML Payments — Reassuring Q1 update

Flash note

TMT

30.09.21

EML Payments — Bringing Sentenial into the fold

Update

TMT

20.08.21

EML Payments — Moving forward

Update

TMT

14.06.21

EML Payments — Update on Q3 trading and regulation

Update

TMT

20.05.21

EML Payments — Irish regulator raises issues

Update

TMT

14.04.21

EML Payments — Open sesame

Update

TMT

19.02.21

EML Payments — Showing the benefits of diversification

edison tv

TMT

17.02.21

EML Payments – executive interview

Initiation

TMT

21.10.20

EML Payments — Storing up value

edison tv

TMT

09.07.20

EML Payments – executive interview

QuickView

TMT

17.06.19

EML Payments — Creating value from stored value

thematic

Consumer

21.11.23

Deutsches Eigenkapitalforum (EKF) 2023 consumer and media

thematic

TMT

21.11.23

Deutsches Eigenkapitalforum (EKF) 2023 technology

thematic

TMT

07.11.23

MediaWatch – Still waiting…

thematic

TMT

28.07.23

MediaWatch – Targeting the opportunities

thematic

TMT

25.04.23

MediaWatch – Vision On

Digital Marketing and Internet Media Technology Platform

thematic

TMT

31.01.23

MediaWatch – Screening well

thematic

Consumer

05.10.22

IPO apocalypse

thematic

TMT

10.08.22

ESG, moving beyond the box tick

thematic

TMT

11.05.22

Direct tech investors

thematic

TMT

21.04.22

Seven things every investor needs to know about SenSen

thematic

Consumer

24.03.22

Circular economy business models

thematic

TMT

29.09.21

Quantum dots – all the colours of the rainbow

thematic

TMT

09.09.21

Micro-LEDs – small is beautiful

thematic

TMT

14.07.21

Five things every investor needs to know about Mynaric

thematic

TMT

16.08.20

Semiconductor winners – European companies with strong positions

thematic

TMT

24.06.20

The small satellite market – Small is beautiful

thematic

TMT

08.04.20

European video games: A safe haven in troubled times

thematic

TMT

27.02.20

Blockchain adoption: Implications for the financial services sector

thematic

Consumer

14.08.19

Illuminator: August Update

thematic

TMT

05.08.19

European video games

thematic

TMT

10.07.19

Diversification and scale for online success

thematic

TMT

08.05.19

5G – Strategic importance, but lacking a near-term commercial driver

thematic

TMT

26.02.19

UK video games – Heterogeneous not homogeneous

thematic

TMT

24.02.17

Mobile ecosystems

thematic

TMT

08.02.17

Mobile ecosystems

thematic

TMT

13.10.15

Mobile ecosystems

thematic

TMT

23.03.15

NZ – Edison talks tech

thematic

TMT

23.03.15

AUS – Edison talks tech

thematic

TMT

18.03.15

Mobile ecosystems

thematic

Consumer

11.11.14

Deutsche Börse Eigenkapitalforum 2014 Research Guide

thematic

TMT

15.10.14

Mobile ecosystems

thematic

Energy & Resources

04.03.14

ASX Spotlight Conference – London, 6 March 2014

thematic

Energy & Resources

01.03.13

ASX Small to Mid Caps Conference – London, 7 March 2013

thematic

TMT

24.09.10

The third pillar

thematic

TMT

10.09.10

The real disruptor

thematic

TMT

27.08.10

Merger mania is back