Paypoint Plc · LSE:PAY
Paypoint — Q2 2026 Earnings Presentation
39 slides from Paypoint's earnings presentation, Nov 20, 2025
Slide 1: Results for the half year ended 30 September 2025
Results for the half year ended 30 September 2025 Highly confidential
Slide 2: Agenda
Open Banking Agenda 2 1 Overview 2 Financial review 3 Delivery of key growth projects 4 Business review 5 Update on organisational framework programme 6 Outlook 7 Q&A
Slide 3: Resilient half year with good progress on delivery of growth projects
Resilient Open half yearBanking 3 with good progress on delivery of growth projects 1 2 3 Successful major project Underlying Business Specific Challenges in H1 delivery key to long term Performance growth InPost/Yodel 1. Underlying EBITDA for 1. Launch of BankLocal FY26 to be ahead of last • Impact
Slide 4: Resilient financial performance
Open Banking 4 Resilient financial performance H1 FY25 H1 FY26 DIVISIONAL HIGHLIGHTS SHOPPING E-COMMERCE Underlying EBITDA1 £37.5m -0.5% £37.3m H1 FY25 H1 FY26 H1 FY25 H1 FY26 £32.9m +0.6% £33.1m £8.0m +7.5% £8.6m net revenue net revenue net revenue net revenue Underlying PBT 2 £26.9m -4.5% £25.7m P
Slide 5: Delivery of growth plans
Delivery of growth Open Bankingplans 5 Consistent with the new targets for the Group to the end of FY28 announced in June 2025, our growth plans are underpinned by: 1 Delivery of £100m underlying EBITDA as our next key milestone Consistent delivery of 5-8% of net revenue growth per annum, achieved t
Slide 6: Financial review
Financial review Highly confidential
Slide 7: Resilient financial performance
Resilient financial performance 7 7 Half year ended 30 September 2025 2024 £m £m Change Revenue 144.1 135.0 6.8% Net revenue1 84.7 84.6 0.1% See slide 8 Total costs (59.0) (57.7) 2.3% Underlying profit before tax3 25.7 26.9 (4.5)% See slide 9 Made up of: PayPoint Segment 24.4 24.6 Love2Shop segment
Slide 8: Net revenue analysis
Net revenue Continuedanalysis 8 net revenue growth in all divisions 8 Half year ended 30 September 2025 2024 Change Change £m £m £m % Shopping 33.1 32.9 0.2 0.6% - Service fees 11.6 10.7 - Card payments 16.1 16.6 - ATMs & Counter Cash 3.8 4.0 - Other 1.6 1.6 E-commerce 8.6 8.0 0.6 7.5% Payments & Ba
Slide 9: Underlying PBT view vs. previous year
9 Underlying 2.1% increase inPBT PBT view vs. previous year 9 £30.0m £29.0m £1.1m £28.0m (£1.8m) £0.6m £27.0m £0.2m (£1.3m) £26.0m £27.7m £27.1m £26.9m £25.0m £25.7m £24.0m Underlying PBT HY 24/25 Net Revenue Net Revenue Net Revenue Net Revenue L2s Net Costs* Underlying PBT HY 25/26 Shopping E-Comme
Slide 10: Cost base now including obconnect
Cost base now including from investmentobconnect 10 Cost increases in key areas to drive revenues 10 £m 61.0 £0.5m 60.0 £0.5m (£1.5m) 59.0 £1.8m 58.0 £59.0m £59.0m 57.0 £57.7m 56.0 Total costs excluding adjusting obconnect D&A Financing costs People and overheads savings Total costs excluding adjust
Slide 11: Cash generation
Cash generation 11 Strong cash generation of £28.3 million 11 Half year ended 30 September 2025 2024 Change £m £m £m Profit before tax 19.9 23.1 (3.2) Non cash adjusting items - (2.3) 2.3 Depreciation and amortisation 10.5 11.4 (0.9) Share based payments / other (0.1) 0.3 (0.4) Working capital (Corp
Slide 12: Balance sheet includes £30m share buyback
Balance sheet includes £30m share buyback 12 Strengthened balance sheet, net debt reduced by £4.5m 12 September March Change 2025 2025 £m £m £m Goodwill 129.6 129.6 - Other intangible assets 72.2 71.9 0.3 Property, plant & equipment 32.7 31.9 0.8 Strategic investments and acquisitions (Yodel/Aperida
Slide 13: Dividend and Financing
Dividend and Financing 13 Financing & Dividend 13 Capital allocation policy Net Corporate debt and future cash requirements • Investment in the business through small investments and capital • Net corporate debt is £84.0m, and made up of Cash and cash equivalents expenditure in innovation to drive f
Slide 14: Delivery of key growth projects
Delivery of key growth projects Highly confidential
Slide 15: Successful launch of key growth projects in H1
Openlaunch Banking 15 Successful of key growth projects in H1 Standout achievement in H1, with launch of multiple projects that enhance consumer proposition, establish important partnerships and strengthen long-term prospects of the business: 1 2 3 Launch of Royal Mail Shop and Acceleration of Love2
Slide 16: Launch of PayPoint BankLocal
Launch Open Banking 16 of PayPoint Bank Local 1 Successful launch of PayPoint BankLocal service in August 2025, enabling consumer cash deposits for customers of the Lloyds Banking Group : LIVE 26th August LIVE 30th September Deposit via barcode Deposit via Card Mobile-app based deposits up to +3,000
Slide 17: PayPoint BankLocal – success to date
Open Bank Banking 17 PayPoint Local – success to date 1 Rapid adoption of the service, with strength of our extensive retailer network providing convenient access to banking services when others can’t: Over £10m in deposits processed* Over 40% of transactions before 9am and after 5pm Over 25% of tra
Slide 18: PayPoint BankLocal – future developments
Open Bank Banking 18 PayPoint Local – future developments 1 Following strong start, further development of the service over H2, including launching SME solution and enabling further High St banks for consumer cash deposits: Driving further consumer awareness via Lloyds channels SME banking solution
Slide 19: Strategic investment in Collect+ by Royal Mail
Open Banking 19 Strategic investment in Collect+ by Royal Mail Strategic investment by International Distribution Services, announced on 30 September 2025, is important to the 2 next stage of growth for Collect+ and its positioning as the leading Out of Home store network in the UK: Strategic invest
Slide 20: Launch of Royal Mail Shop in Collect+ network
Launch Open Banking 20 of Royal Mail Shop in Collect+ network Leveraging strength of Royal Mail Shop brand in c.8,000 sites across the UK, enabling customers to buy postage in 2 store as well as collect, send and return parcels: Launch of Royal Mail Shop Over 3,000 sites now branded as Royal Mail Sh
Slide 21: Royal Mail Shop – future developments
Open Banking 21 Royal Mail Shop – future developments Focus in H2 FY26 on expanding over the counter services to all 8,000 Royal Mail Shop sites and 2 launching self-service kiosks early next year: All 8,000 sites to be live for over the counter services and branded by end of H2 FY26 Further consume
Slide 22: Acceleration of InComm Payments partnership
OpenofBanking 22 Acceleration InComm Payments partnership Launched in October 2024, partnership has established a strong new sales channel enabling Love2shop physical 3 gift card sales in major High St retailers: Growth in InComm channel sales Sales of Love2shop physical gift card billings growing i
Slide 23: Further expansion of Love2shop multichannel approach
FurtherOpen Banking 23 expansion of Love2shop multichannel approach Building on success of InComm partnership, there are further initiatives underway to expand the presence of 3 Love2shop and leverage its strong brand across multiple channels: Future growth in Love2shop Launch of Love2shop Digital M
Slide 24: Business review
Business review P| PayPoint Group
Slide 25: Shopping: continued growth in Retail
Shopping: Shopping Divisioncontinued growth in Retail 25 25 H1 FY26 Highlights Shopping Division Retail - service fee net revenue increased by 8.4% to £11.6m, H1 FY25 H1 FY26 driven by further PayPoint One/Mini site growth to 20,389 and annual RPI increase. Store Growth Specialist team continues t
Slide 26: E-commerce: positive half for Collect+
E-commerce: E-Commerce Divisionpositive half for Collect+ 26 26 H1 FY26 Highlights E-Commerce Division H1 FY25 H1 FY26 Royal Mail – launch of Royal Mail Shop branding in over 3,000 sites, with 2,200 live for over-the-counter services. Stamps now available in c.8,000 sites InPost/Yodel - proactiv
Slide 27: Payments & Banking: Digital and Open Banking growth
27 Payments & Banking: Payments & Banking Division Digital and Open Banking growth 27 H1 FY26 Highlights Payments & Banking Division MultiPay – positive half year for new business wins in H1 FY25 H1 FY26 Housing with strong market position now established and 4 new contract wins (Peabody, RHP, Orw
Slide 28: Love2shop: further InComm channel growth
Love2shop: Payments & Bankingfurther InComm channel growth 28 Division 28 H1 FY26 Highlights Love2shop Division H1 FY25 H1 FY26 InComm Payments – strong growth in billings delivered in the half year via partnership enabling distribution of Love2shop gift cards into major grocers and High St brands
Slide 29: Update on organisational framework programme
Update on organisational framework programme
Slide 30: Delivering greater automation and agility
Open Banking 30 Delivering greater automation and agility Phase 2 of this project has been recently completed, with the support of Nile, an independent consultancy firm. This has set out the target state framework for three key processes below with preliminary estimates highlighting at least £2 mill
Slide 31: Outlook
Outlook P| PayPoint Group
Slide 32: Summary and outlook
Summary and outlook 32 Outlook 32 1 The Board remain confident in delivering further progress in the current year and achieving our medium-term financial goals Whilst as a business we cannot determine the pace at which new services are adopted by consumers, the delivery of our key projects 2 in the
Slide 33: Q&A
Q&A 33 Q&A 33 Q&A Results for the half year ended 30 September 2025
Slide 34: Appendix
Appendix Pp | PayPoint Group
Slide 35: PayPoint Group overview
Open Banking 35 PayPoint Group overview Multichannel payments platform and the delivery of community services through our retailer & SME networks Payments Network & Services Device Card MultiPay Open Banking Platform Gift card Service Fee payments Payments Platform (obconnect) and loyalty programme
Slide 36: Investment case
Investment case 36 Year on year view across divisions and sub-divisions 36 Multichannel payments platform and the delivery of community PayPoint Group services through our retailer & SME networks 1 New targets established for growth to end of FY28, with 5-8% net revenue growth pa 2 Leading multichan
Slide 37: Business division mapping
Business Business divisiondivision mapping 37 mapping 37 Division Sub-division Lower level PayPoint One/EPoS Service Fees Retail Services Counter Cash/ATMs FMCG campaigns Shopping Handepay/Merchant Rentals card payments and leasing Card payments PayPoint card payments Business finance E-Commerce E-c
Slide 38: Year on year view across divisions and sub-divisions
YOY Year onview year view across divisions and sub-divisions 38 across divisions and sub-divisions 38 Net revenue Division Sub-division H1 FY26 H1 FY25 Retail Services £17.0m £16.3m Shopping Card payments £16.1m £16.6m E-Commerce E-Commerce £8.6m £8.0m Digital £8.8m £6.3m Payments & Banking Cash thr
Slide 39: Adjusting items
Adjusting items 39 Financing & Dividend 39 Half year ended 30 September 2025 2024 £m £m Exceptional items 3.2 2.5 - Legal fees and settlement 2.6 2.1 - Accelerated amortisation (Love2shop) - 0.4 - Organisational framework costs (Nile) 0.6 - Adjusting items 2.6 1.3 - Amortisation of intangible assets