12-Bagger Monitise Continues to Snowball
LONDON -- Monitise this morning released its half-time interim results, delivering positive news that saw the share price edge up in early trade to reach 34.75 pence -- making the company a 12-bagger in just five years.
The largest mobile money specialist in the world reported a 63% increase in revenues (22% on an organic basis) for the six-month period to 31 December 2012, up to £27.8m compared to H1 2012. Gross margins increased to 72% against 64% at the half-way stage of the 2012 fiscal year, and 69% in the second half. Full-year revenue is on track to reach at least 70 million pounds, underpinned by "order book and strong sales pipeline."
The number of registered customers has increased to 20 million, a surge from six million just one year ago. As a result, the company is now processing two billion transactions, a four-fold increase on last year's figures. User-generated revenue is up 164% (70% organically), rising on a reported basis to 51% of total revenues from 31% in H1 FY 2012 and 37% in H2 FY 2012.
Chairman Duncan McIntyre commented:
This has been yet another successful period in the Monitise journey. We were delighted with the strong investment community interest and support shown for our business with the capital raise carried out in December 2012. The proceeds from this are being used to rapidly scale our business as we enhance our global Mobile Money leadership position, laying deeper foundations for future growth.
Monitise management also announced that it is to launch a BlackBerry Messenger service in Indonesia, alongside BlackBerry and Permatabank, one of the country's top 10 financial institutions.
Additionally, it has entered into a strategic partnership with Venda, the world's largest on-demand eCommerce provider. The partnership will fast-track retailer adoption of Monitise's Instant Mobile Checkout by seamlessly integrating with Venda's commerce platform.
With the shares as low as 2.89 pence in 2009, they have now 12-bagged their way to the current price -- canny investors who bought in five years ago, then, will be sitting on some very healthy gains.
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The article 12-Bagger Monitise Continues to Snowball originally appeared on Fool.com.Sam does not own shares in Monitise. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.