26 Jan 2016 07:00
26 January 2016
Mi-Pay Group plc
("Mi-Pay" or the "Group" or the "Company")
Trading Update, Change of Accounting Framework and Notice of Results
Mi-Pay (AIM: MPAY), the leading provider of mobile payment solutions to Tier 1 Mobile Network Operators and Mobile Virtual Network Operators, is pleased to provide a trading update for the year ended 31 December 2015, ahead of announcing its final results on 13 April 2016. In addition, the Company announces that it has changed its accounting framework for the parent company accounts for the year ended 31 December 2015 as required by the Financial Reporting Council.
Trading Update
Trading for the year ended 31 December 2015 has been in line with market expectations. Total revenue for the year was £3 million, and the Company continued to experience strong growth in transactions, delivering a 48% increase in transaction volumes from new and existing clients during the year. This was achieved whilst maintaining high payment success rates, low fraud levels and delivering a significant reduction in administrative expenses. The Company's cash position at 31 December 2015 remained solid at £3.5m (£3.8m as at 30 June 2015).
Change of Accounting Framework
The accounting framework used for the Mi-Pay Group plc parent company has been UK GAAP up to 31 December 2014. For the year ended 31 December 2015, the parent company is required by the publication of FRS 100 "Application of Financial Reporting Requirements" by the Financial Reporting Council to change its accounting framework. The Group intends to apply FRS 101 "Reduced Disclosure Framework" to the parent company accounts for the year ended 31 December 2015 and future years, which is not expected to give rise to any material changes in disclosures. Any shareholder or shareholders holding in aggregate 5% or more of the allotted shares of the Company are entitled to object to the adoption of FRS 101. Objections should be made in writing to the Company's Chief Financial Officer at its registered office (Seal House, 56 London Road, Bagshot, Surrey, GU19 5HL) not later than 19 February 2016.
The Group's consolidated financial statements are unaffected by this change, and will continue to be prepared in accordance with International Financial Reporting Standards as adopted by the EU.
Seamus Keating, Chairman of Mi-Pay Group, commented: "Mi-Pay has made solid progress during the year, delivering a significant increase in transactions with existing and new clients. We are also delighted to report that our in-house developed fraud-engine exceeded our expectations since its roll out in December 2014, delivering record low fraud rates during 2015."
For further information please contact:
Mi-Pay Group plc | Newgate | Zeus Capital |
Tel: +44 207 112 2129 | Tel: +44 207 653 9850 | Tel +44 161 831 1512 |
Seamus Keating, Chairman | Robyn McConnachie | Nick Cowles |
John Beale, CFO | Bob Huxford Edward Treadwell | Jamie Peel Tel +44 20 7533 7727 Alex Davies |
About Mi-Pay Group
Founded in 2003, Mi-Pay Group delivers fully outsourced online and related payment solutions to digital ecommerce clients, primarily in the mobile sector. Its product offering provides the infrastructure to enable pre-paid mobile devices to be topped up via a variety of channels such as websites, mobile applications and social media applications and customers include Mobile Network Operators (MNOs) and Mobile Virtual Network Operators (MVNOs). Mi-Pay sells, integrates and operates its products and solutions on a global basis. For further information, please visit www.Mi-Pay.com or contact details as shown above.