Strong growth across the board for moneycorp in 2016, with significant customer acquisition across all markets
Full year highlights, January – December 2016
• Significant growth in UK corporate market
• Rollout of new technology to support global payments cross currency solutions
• International Payments platform rolled out in Spain, Gibraltar, Romania, and USA
• Moneycorp’s total income reached a record £137m, up 9% YOY
• Underlying profits (excluding investments) grew 20% to £22.3m
• Over 7 million transactions handled and £25bn worth of currency traded in 2016
• Successfully obtained banking licence and launched Moneycorp Bank in Gibraltar
• Product enhancements include the launch of the moneycorp app for iOS and Android
• Establishment of an offshore technology hub in India to support rapid platform rollout
Moneycorp, the currency and international payments specialist, has reported growth across all its major business units for the year ending 31st December 2016, in line with its ambitious growth strategy and long-term investment for the future.
As one of the fastest-growing international currency providers in the UK, moneycorp’s International Payments businesses saw underlying profit rise 20% last year. This was mainly thanks to an impressive performance by the company’s Corporate International Payments business. This area of the business experienced record revenue growth of 28% year on year, due to enhancements in its product offerings, combined with increased demand for FX support from businesses tackling sterling volatility following the Brexit vote. Moneycorp’s Payment Solutions team in particular has seen a huge revenue increase of 844%, as the division continues to improve technology to automate companies’ mass cross-border payment requirements.
Overseas, moneycorp has also seen continued success, with underlying profit growth in its International Markets business rising 89%. A firm focus on organic expansion in 2016 led to the introduction of a corporate offering in Spain and the launch of a full-branch in Romania. At the beginning of 2016, moneycorp also announced the launch of one of its largest ever commercial partnerships with global news giants CNN, representing a solid platform from which to service the US market.
Elsewhere in the business, moneycorp’s Cash Services division delivered 11% underlying profit growth, resulting from an increase in passenger numbers at UK airports and the continued appeal of its ‘Reserve and Collect’ and ATM offerings.
In 2016, moneycorp also successfully completed its application to acquire a bank licence in Gibraltar. Moneycorp Bank, which operates as a separate legal entity to moneycorp’s main operating company, can hold deposits in multiple currencies and service the payment needs of corporate and private clients in Gibraltar. The new bank has allowed moneycorp to continue its expansion into European markets.
The introduction of new products and technologies has buoyed the business’ performance, with the launch of the new moneycorp app for iOS and Android and investment in a complementary offshore technology hub in India. Alongside this, moneycorp has updated a range of products and payment facilities, including an enhanced bulk payment capability which has proved popular with corporate clients.
Nick Haslehurst, CFOO of moneycorp said,
“Our impressive financial results in 2016 were matched with some significant milestones for moneycorp in terms of product innovation and international expansion.
“The political headwind and subsequent sterling volatility resulting from the Brexit vote made 2016 a challenging year for clients across many of our business divisions. During the second half of the year we saw our corporate division grow considerably, as businesses turned to us for support with currency volatility.
“The consistent growth across the various moneycorp divisions further cements the importance of a solution-based, technology-driven business at uncertain times like these. We look forward to continuing our expansion plans and providing support to our clients in 2017, a year when the services of foreign exchange specialists will be undoubtedly more important than ever.”