Pushpay delivers on revenue guidance, 52.6% increase...

Pushpay delivers on revenue guidance, 52.6% increase year-on-year Auckland, New Zealand | Redmond, Washington, USA - 1 August 2018 Pushpay Holdings Limited (NZSX:PPH, ASX:PPH, 'Pushpay' or 'the Company') the leading payments and engagement provider to the US faith sector, is pleased to announce that it has delivered on its revenue guidance of between US$20.5 million and US$22.0 million for the quarter ended 30 June 2018. Total revenue increased from US$14.0 million for the previous corresponding period, to US$21.4 million, an increase of 52.6%. Chris Heaslip, Pushpay's CEO and Co-founder said, "Pushpay is pleased to deliver a strong first quarter of the financial year, increasing total revenue to US$21.4 million, an increase of 52.6% on the previous corresponding period. The Company continues to build on its market leading position in the US faith sector and is well positioned for future growth. "Pushpay exceeded budgeted sales targets, leading to a record sales quarter. We continue to experience quarter over quarter growth in our field sales initiative and deal sizes continue to increase, validating the assumption that face-to-face interaction allows us to better communicate the value of our solutions to support a higher price point. We continue to focus on scaling the business in the US faith sector in order to maximise shareholder value over the long term. "Pushpay has seen rapid growth at a global standard over the past four years. As we continue to execute on our growth strategy, Pushpay has attracted a leading team that we are extremely proud of. We are pleased to announce executive changes that strengthen Pushpay's senior management team and positions the Company for further growth. The elevation of exceptional leaders like Josh Robb and Kevin Kuck better positions us to execute on our growth strategy. "I would like to thank James Maiocco for his contribution over the last two years, in particular his work in strengthening our partnership capabilities and support around the Bluebridge acquisition. James leaves with our best wishes for the future and our thanks for the contribution he made during his time at Pushpay. "Pushpay remains in a position to reach its target of breakeven on a monthly cash flow basis prior to the end of calendar year 2018." Highlights for the quarter ended 30 June 2018 - Pushpay delivered on its revenue guidance of between US$20.5 million and US$22.0 million for the quarter ended 30 June 2018, increasing total revenue to US$21.4 million for the period. Pushpay is providing total revenue guidance of between US$21.8 million and US$23.3 million for the quarter ending 30 September 2018. This represents an increase of at least 38.7% over the previous corresponding period. - ARPC increased to US$994 per month, an increase of 35.7% over the year to 30 June 2018. See more under 'Average Revenue Per Customer (ARPC)'. - ACMR increased to US$87.7 million, an increase of 40.0% over the year to 30 June 2018. See more under 'Annualised Committed Monthly Revenue (ACMR)'. - Pushpay increased its Customer base to 7,352, an increase of 3.1% over the year to 30 June 2018. As at 30 June 2018, 14 of the top 20 and 55 of the top 100 largest churches in the US have chosen to partner with Pushpay. See more under 'Pushpay's Customer numbers'. - Months to Recover CAC remained at less than 18 months. Pushpay expects its Months to Recover CAC to remain below 18 months as the business scales. - Annual Revenue Retention Rate (excluding upsells into the existing Customer base) continued to exceed 100%, which the Company believes places it among the best-in-class for SaaS companies. - Annualised Processing Volume increased to US$3.0 billion, an increase of 56.5% over the year to 30 June 2018. - Staff headcount decreased to 350, a decrease of 8.9% over the year to 30 June 2018. Pushpay now has 97 staff based in New Zealand and 253 staff based in the US. - Pushpay launched an integration with QuickBooks(R) Online in April 2018, which automates the sharing of financial information from Pushpay to QuickBooks(R) Online and provides an end-to-end solution for our Customers' finance teams. See more under 'QuickBooks(R) Online'. - The Company will consolidate its brands under the Pushpay brand by the end of September 2018, with preparations well underway for the launch. See more under 'Rebrand'. - Pushpay welcomes Josh Robb and Kevin Kuck to its senior management team. See more under 'Senior management team'. - Pushpay benefits from distinct competitive advantages in the US faith sector which have enabled its substantial growth to date and its leading position in the market. See more under 'Competitive advantages'. - The NZ$100 million bookbuild for the sale of shares held by Eliot Crowther's associated interests was successfully completed on 19 June 2018, with all shares sold at the clearing price of NZ$4.04 per share. The book was oversubscribed with all bids subject to scaling. The bookbuild was conducted by Deutsche Craigs Limitediv, as manager and underwriter. The bookbuild was well supported, attracting bids from 19 institutional investors across New Zealand, Australia and the US. Eliot resigned from his positions as an Executive Director on 21 June 2018 and as a Sales Representative on 31 July 2018. - As announced on 18 June 2018, the board considers the primary objectives of the previously proposed US market listing have been largely achieved and has decided to cease preparations for a US market listing at this time. Outlook Chris Heaslip, Pushpay's CEO and Co-founder, said, "Pushpay is confident in its strategy to gain further market share in the medium-term and believes this is the best way to maximise shareholder value. As Pushpay further refines its sales and marketing strategy, focusing more heavily on medium and large Customers, it expects to see a continued increase in Subscription Fees added from new Customers over FY19, with a lower sales headcount than in FY18. "Given seasonality, we expect ARPC and ACMR to steadily grow over the current quarter ending 30 September 2018, following which ARPC and ACMR will be significantly higher given the quarter ending 31 December 2018 is our seasonal high period. We also expect Customer numbers to steadily grow over the current financial year. "Pushpay is providing total revenue guidance of between US$21.8 million and US$23.3 million for the quarter ending 30 September 2018. Pushpay reiterates its target to reach breakeven on a monthly cash flow basis prior to the end of calendar year 2018. "In the medium term, our goal is to reach the milestone of US$10 billion in Annualised Processing Volume, representing less than 10% of annual giving to religious organisations in the US. "In the long term, Pushpay is targeting over 50% of the medium and large church segments, an opportunity representing over US$1 billion in annual revenue." Investor Briefing Pushpay will hold an Investor Briefing today at 11:00 am (NZT) to discuss its operational results for the quarter ended 30 June 2018. Dial-in details New Zealand: 0800 122 360 All countries: +64 9 950 5335 Conference ID (required for dial-in): 319024 Playback details Replay of the Quarterly Investor Briefing will be available for 30 days following completion of the call. New Zealand: 0800 122 135 All countries: +64 9 950 7088 Replay Pin: 7362# Please refer to the PDF announcement for further information. End CA:00321565 For:PPH Type:MKTUPDTE Time:2018-08-01 09:36:09