Boku, a company focusing on localised payment solutions, experienced a 24% surge in revenue during the first half of 2024.
- The company reported a total revenue of $47.3 million (£35.4 million) for the six months ended 30 June 2024.
- CEO Stuart Neal attributes the rise to international expansion and multiple successful partnerships across the globe.
- Despite the increase in revenue, expenses led to a net loss of £1.6 million, contrasting with a profit of £2.2 million in the previous year.
- Neal remains unconcerned by the losses, viewing them as a necessary step towards broader market scaling and improved infrastructure.
Boku, a key player in the localised payment solutions sector, has announced an impressive 24% increase in revenue for the first half of 2024. The company, which specialises in mobile payments and digital wallets, reported a total revenue of $47.3 million (£35.4 million) for this period. This significant growth is attributed to Boku’s strategic international partnerships and expansion efforts.
According to CEO Stuart Neal, much of this success can be linked to Boku’s global initiatives. The company has successfully connected the Polish payment system Blik with Google and integrated Netflix with the Italian wallet Satispay. Neal highlighted that the revenue boost is not dependent on any single partnership; rather, it emanates from a diverse and global portfolio of projects. These include recent product rollouts in regions such as Thailand, Japan, Taiwan, Germany, and the Middle East.
Despite this revenue growth, Boku faced a financial setback with the first half of 2024 ending in a net loss of £1.6 million. This represents a notable shift from the company’s position in the same period in 2023, where it recorded a total comprehensive profit of £2.2 million. The increased expenses are described by Neal as a ‘deliberate’ strategy aimed at ensuring the company’s long-term market presence and operational efficiency.
Neal elaborates on the need for such expenditure by explaining that the expansion requires deeper foundations, including enhanced treasury systems, improved process engineering, and the automation of back-office functions. These foundational improvements, according to Neal, are vital for supporting Boku’s ambitious growth objectives.
In financial markets, Boku’s shares initially rose to 163.00 but later dipped to 161.40. No dividend was paid during this financial period, reflecting the company’s focus on reinvestment in growth and infrastructure rather than immediate shareholder returns.
Boku’s strategic focus on global expansion and foundational improvements is set to drive long-term growth despite short-term financial challenges.
