Monitise Regulatory News (MONI)

23 July 2013

Monitise plc

Trading update

Monitise continues substantial growth trend for fifth year running

Demand for Monitise services at all-time high

Payments and transfers initiated via Group's technology passes $40bn

Monitise plc (LSE: MONI.L) (the "Company" or "Group") announces an unaudited trading update following its 30 June 2013 financial year-end. Monitise's 2013 full-year results are scheduled to be published on 5 September 2013.

Highlights

·; Full-year 2013 revenue of at least £70m, compared to £36m in FY 2012, representing another year of substantial growth across the Monitise Group.

·; Gross margins for the year above 70% with H2 particularly strong owing to a number of significant licence deals (FY 2012: 66%).

·; Net cash at year-end of £85.6m.

·; Over 23 million registered users to the Monitise platform.

·; Further growth in live transactions with 2.4bn transactions on an annualised basis.

·; Payments and transfers initiated via Monitise technology now worth $40bn on an annualised basis.

·; Monitise partners and clients in the US include Visa Inc., FIS, American Savings Bank, Webster Bank, BMO Bank of Montreal, Fifth Third Bank, PNC, US Bank, Frost Bank, UMB, First Citizens, Alerus Financial, Veridian and Desert Schools Federal Credit Union.

·; New business wins and Mobile Money launches:

- Becoming the preferred mobile payments and commerce technology partner for Telefónica Digital, the global innovation arm of Telefónica, one of the world's largest telecommunications businesses with more than 316m subscribers in 24 countries. It operates under the O2, Movistar and Vivo commercial brands.

- A new three-year deal with Visa Europe spanning the development and deployment of Mobile Money payments and commerce solutions for Europe's leading financial institutions.

- The launch of BBM Money, a person-to-person mobile payments service launched through Monitise's Joint Venture with Astra International in partnership with Indonesian financial institution PermataBank and BlackBerry.

- Entering a mobile point of sale partnership with Lloyds Bank Commercial Banking to develop a suite of mobile card acceptance solutions for micro-merchants, start-ups and small business owners shortly after the launch of Monitise's new white-labelled mobile payments service for banks, mobile operators and acquirers.

- Launching an international partnership with Blackhawk Network, a leading prepaid payment network, to make mobile gift card purchasing available to consumers through certain banks and financial institutions.

- ICICI Bank joins Movida, our Indian Joint Venture with Visa Inc. to enable its payment card holders to pay bills, recharge prepaid airtime and buy cinema tickets via their mobile.

·; At Mobile World Congress in February, Monitise joined Visa Inc. at a press briefing to showcase innovations that Monitise is delivering as it supports Visa's mobile strategies including:

- Functionality enhancements to the Visa DPS Mobile Card Management Services that launched last year.

- Developing a Remote Payments Platform in India ("Movida") to bring innovative mobile payments capabilities to hybrid markets around the world.

- Collaboration on Visa PayWave, Visa's contactless payments application.

- Supporting Visa's product development of V.me by creating the mobile wallet for smartphones that extends V.me's ecommerce acceptance to mobile devices.

·; Significant corporate activity during the financial year also includes the integration of Clairmail Inc., the acquisitions and integrations of eMerit Solutions Limited and the Mobile Money Network Limited along with the August and December capital raises.

Monitise Group CEO, Alastair Lukies, said:

"This has been a hugely successful 12 months for Monitise. As well as the substantial revenue growth, numerous launches on a global basis, some very important new partnerships, the integration of three acquisitions and the raising of more than £100m, we have entered our new financial year with momentum at an all-time high.

I could not be more proud of every employee for their incredible endeavour and commitment to the journey. While the global Mobile Money landscape is growing as predicted, it is gathering momentum faster than anyone anticipated. Our strategic focus on enhancing our existing mobile banking and payments franchises with world-leading mobile commerce capabilities has proven to be very timely. We are delighted with the interest and demand we are seeing and the new partnerships we recently announced with Visa Europe and Telefónica Digital."

Monitise Group CFO, Brad Petzer, commented:

"This has been another strong year of growth for the company with momentum across the business. Monitise has continued to focus on investing in our people, platforms, internal systems and infrastructure as we scale the business for the next phase of growth. We believe we are very well placed with our strong balance sheet and proven platform to continue to strengthen and expand our market reach and benefit from the acceleration in Mobile Money globally."

About Monitise

Monitise (LSE: MONI) is a world leader in Mobile Money - banking, paying and buying with a mobile device. Leading banks, payments companies, retailers and mobile networks utilise Monitise's technology platforms and services to securely connect people with their money. 

Already over 23 million consumers benefit from our patented technology to 'bank anywhere', 'pay anyone' and 'buy anything', accounting for over $40bn of payments, purchases and transfers annually. More information is available at www.monitise.com.

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