Payments solutions provider Network International said on Monday that it was “strongly positioned” across its “rapidly accelerating” digital payments markets despite posting double-digit full-year declines in both revenues and earnings.
Network recorded a 15.1% drop in revenues to $284.84m and a 33.2% contraction in underlying earnings to $112.56m and a 90.2% fall in profits from continuing operations to $5.59m.
The FTSE 250-listed stated revenues in its merchant solutions unit were down 28.5% due to “significant impacts” from Covid-19 lockdowns at the tail end of the year, while revenues in its issuer solutions wing showed “greater resilience”, falling just 7.1% year-on-year.
However, Network said it had ended the year with “positive momentum” across both of its business lines.
Looking forward, Network said it was “encouraged” by positive momentum seen at the latter end of 2020 and accelerating secular trends, giving it confidence in its long-term outlook.
Although Network said it had seen “some headwinds” to trading during the initial months of 2021 due to the rise in Covid-19 cases across the UAE, the company expects 2021 total revenues to return to approximately the same levels recorded in 2019.
Chief executive Nandan Mer said: “Our business remains strong and we have excellent foundations. I will be placing an emphasis on innovation and agility, so that Network further extends its leadership position across our markets.
“My priorities are focused upon being at the forefront of rapidly evolving customer needs, enabling them to serve their consumers with a wide choice of payment options, successful execution, and progressing with growth accelerators such as the completion of DPO and our market entry into Saudi Arabia.”
As of 0820 GMT, Network shares were up 0.22% at 359.0p.
