PayPoint plc, the main cash and online payments operator in the UK, has announced the bill payment network and transaction volume growth in Romania. The company reported revenue of 24.4 million GBP (28.8 million Euro), an increasing number of clients by signing 13 new contracts for collecting payments and 900 new PayPoint points of payment.

Bill payments in Romania have grown significantly and include a full year of transaction volumes compared to last year (launched August 2008). Volumes continue to grow as more terminal sites are rolled out and consumers become aware of the service. In the year, we have processed over 5.5 million bill payment transactions, an increase of nearly six times on the previous year.

The announcement was made as PayPoint plc issued its financial results for the financial year ending March 28, 2010.

The group reported total revenues of 196.6 GBP (232 million Euro), decreasing by 12.4% compared to the previous year, as a result of fewer mobile top-up transactions, especially where PayPoint is principal and accounts for the face value of the top-up as revenue. At the same time, the group reported operating profit of 34.1 million GBP (40.2 million Euro), up 1.2% year-on-year. The number of transactions processed increased to 552 million.

"PayPoint has continued to grow and invest in new business areas despite the tough economic climate. Margins, operating profit and dividends have increased. For the current financial year, trading is in line with the company’s expectations. Our established business is strong, with opportunities to enhance retail yield and increase the number of online merchants we serve. In our developing businesses, there is substantial growth potential as we roll out our services to a wider base, to improve profitability. Together, these businesses provide a solid foundation from which we aim to deliver long term value for shareholders.” said David Newlands, Chairman PayPoint plc.

In Romania, the company officially launched its bill payment service under the PayPoint brand in August 2008 and expanded its client portfolio by signing partnerships with a range of companies in service sectors including utilities, financial - insurance, cable TV and mobile telecom.

 Currently, PayPoint has signed contracts with 29 major customers in telecommunications, utilities and financial services, of which 22 are contracts for payment collection services.

Current clients include: 

• Payments for utilities sector: GDF SUEZ Energy Romania, E. ON Gas Distribution E. ON Gaz Romania, Petrom Gas Distribution; Congaz E. ON Moldova Supply, Enel Energy, Enel Energy Wallachia, Electrica Transilvania Nord, Electrica Transilvania Sud, Electrica Muntenia Nord, Apa Nova Bucharest.

• The telecommunications sector and cable communication: Vodafone Romania, Romtelecom, UPC Romania, Zapp, Boom TV, Akta TV.

• Banking sector:Allianz-Tiriac, Citibank Romania, EOS KSI Romania, GE Money.

PayPoint also offers top-up services for all mobile operators (Cosmote, Orange, Vodafone, Zapp), for landline operators providing international calls and Internet Service Providers. PayPoint clients include Nobel and Worldtelecom (Number One). For Focus Sat, PayPoint provides recharge vouchers for DTH service users.

Mugur Dogariu, Managing Director, PayPoint Romania, said:
"The key elements we are still focused on are network’s development and efficiency. It has been almost two years since the launch of Bill Payment service in Romania; in this period we managed to create a solid foundation for our business and we have everything we need in order to maintain the growing trend from now on: a diversified portfolio of clients, many points of sales nationwide and customers who understand and appreciate the benefits of PayPoint services. "

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ABOUT PAYPOINT

PayPoint is a leading specialist payments company with operations in the UK, Ireland, Romania, France, USA and Canada. It handles over £9.5 billion from over 550 million transactions annually for more than 6,000 clients and merchants.

PayPoint processes consumer payments across a wide variety of markets (energy pre and post-payment, telecoms, housing, water, transport, e-commerce, parking and gaming) through its retail networks, internet and mobile phone channels:

Retail networks

The PayPoint branded retail network in the UK numbers over 22,000 terminals located in local shops (including Co-op, Spar, McColls, Costcutter, Sainsbury’s Local, One Stop, Londis and thousands of independents). Collect+, a joint venture with Yodel, formerly Home Delivery Network Limited, provides a parcel collection and drop off service at more than 3,400 PayPoint retailers. Its ATM network numbers more than 2,300 ‘LINK’ branded machines across the UK, mainly in the same sites as PayPoint terminals.

In Romania, the retail network numbers over 4,800 terminals located in local shops, processing cash bill payments for utilities and mobile phone top-ups. In Ireland, over 500 outlets in shops and credit unions process mobile top-ups and bill payments.

Internet

PayPoint.net is an internet payment service provider linking into all major UK acquiring banks to deliver secure online credit and debit card payments for over 5,600 web merchants. It offers a comprehensive set of products ranging from a transaction gateway through to a bureau service and Fraudguard, an advanced service to mitigate the risk of fraud.

PayByPhone

PayByPhone is a leading international provider of services to parking authorities allowing consumers to use their mobile phones to pay for their parking by credit or debit card.  It has contracts in the UK, France, Canada and the USA.

PayPoint floated on the London Stock Exchange in September 2004. It is widely recognised for its leadership in prepayment systems, smart technology and consumer service.