Stargroup (ASX:STL) has posted its 13th record quarter of revenue surpassing $2.5 million for the March quarter.
This represents a 133% increase in 2017 Q3 total revenue compared to 2016 Q3 total revenue.
It also cements a 296% improvement in 2017 year to date total revenue compared to 2016 year to date total revenue.
Stargroup expects to complete the Indue acquisition at the end of this month, which is forecast to further drive revenues moving forward.
Todd Zani, executive chairman, commented: “Our Q3 ATM revenues were a 15% improvement when compared with the prior quarterly result and our total group revenues have also improved 11% when compared over the same period, which is an excellent result for the quarter.”
Background
Stargroup is a dual listed technology company that owns a 350+ ATM network in Australia and provides EFTPOS and payWave technologies, and has a 11% interest in NeoICP Korea Inc, the manufacturer of cashPod ATMs, back office and casino settlement solutions.
Stargroup offers two key products - ATMs and EFTPOS terminals.
Stargroup is currently completing its acquisition of the ATM switching, settlement processing, telecommunications and ATM reseller business operated by Indue Limited.
Indue provides services to circa 70 ATM deployers, 1,700 ATMs, 1,350 modems and processes 12 million transactions per annum.
Indue benefits
Stargroup is looking forward to completing the Indue acquisition at the end of this month and it estimates that its future revenues in the next quarter will be up a further 27% as a result.
This will boost June quarter revenues well over $3 million based on further organic growth and the boost anticipated from the integration of the Indue businesses into Stargroup.
The current March quarter result would have been even more impressive if the Indue transaction was completed when anticipated.
Despite the delay in the settlement of the Indue acquisition, Stargroup is still on track to achieve the previously outlined forecast revenues and EBITDA for FY2017.