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PEXA reveals robust financial performance and strategic initiatives in 1H24 report


PEXA Group Limited (PEXA) has reported a strong financial outcome for the first half of the financial year 2024, ending 31 December 2023. Demonstrating a 16% increase in group revenue to $163 million and a 12% growth in Operating EBITDA to $59 million from the same period last year, PEXA’s results have either met or surpassed the forecasts released in December 2023. The Exchange’s operating margin witnessed a rise of 3 percentage points, reaching 55%, thereby underlining the strength of this core aspect of PEXA’s business.

Glenn King, PEXA Group Managing Director and CEO, expressed satisfaction over the company’s performance and the disciplined approach to executing their strategy. “Across the Group, these results represent the discipline we have brought to executing our strategy,” he said. He also indicated that there’s ongoing work to fulfill the company’s domestic and international ambitions.

Elaborating on PEXA’s different business segments, King highlighted the Exchange’s strong market position and resilience, contributing to a solid first-half result through CPI-linked price increases and higher market volumes. He emphasized the 80% revenue growth in the Digital Growth business from the corresponding period the previous year, attributing it primarily to new businesses. King also discussed PEXA International’s expansion in the UK, noting the strategic acquisitions and the commitment from top UK lenders to join the PEXA platform, praising the efforts made by the new PEXA UK CEO, Joe Pepper.

PEXA’s overall financial performance saw considerable revenue growth across its main business segments. The Exchange business raised its revenue by 11% to $149.6 million, while Digital Growth and International business segments reported 80% and 261% revenue growth, respectively, compared to the first half of the previous year. Operating EBITDA for the group went up to $58.8 million, a 12% increase from the prior year, following the effects of the Productivity Enhancement Program (PEP) and strategic investments.

However, the statutory net loss after tax was $(4.6) million in 1H24, in contrast to a net profit of $4.0 million in 1H23. This was mainly attributed to costs associated with acquisitions and restructuring, along with higher amortisation rates due to investments.

King underlined PEXA’s ongoing focus on operational efficiency and sustainable growth. He stated, “Looking ahead we are well placed to execute on our plan, with strong financial performance and a focus on continued delivery of operating efficiencies and executing on sustainable growth”.

In closing, with the reinforcement of a robust performance in the first half of 2024, PEXA remains committed to delivering operational and financial efficiencies. The group also reconfirms its financial guidance for the full year 2024, excluding the impact of their Smoove acquisition.

($ million) 1H241H23Vs 1H23
Group Business Revenue 163.3140.9+16%
Group Operating EBITDA 58.852.4+12%
Group Operating EBITDA margin 36%37.2%-1.2%
Group EBITDA 43.445.0-4%
Group NPATGroup NPATA -4.615.04.023.5n.m.-36%
PEXA Exchange Revenue 149.6135.1+11%
PEXA Exchange Operating EBITDA2 82.970.9+17%
PEXA Exchange Operating EBITDA2 margin 55%52%+3.0ppt
1H24 financial results overview

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