Fintech Fintel Reveals 2023 Results and Two Expansion Moves

<p>The UK
fintech company Fintel plc (AIM: FNTL) published its trading update for the
fiscal year of 2023 (FY23) today (Tuesday). The company reported resilient
financial performance in line with board expectations and announced the
acquisition of two companies: Owen James Events and Synaptic Software.</p><p>Fintel Announces 2023
Financial Results </p><p>Fintel's
adjusted EBITDA grew 6% to £20.5 million compared to £19.4 million last
year. The company maintained a strong balance sheet with £12.7 million in cash
reserves and £69 million in available credit through its £80 million revolving
credit facility. Fintel had a net cash position of £1.7 million at year-end,
having invested significantly in four acquisitions throughout 2023.</p><p>The
company's core revenue, which excludes mortgage brokerage and surveying
services, increased 0.3% to £56.6 million. Core software-as-a-service and
subscription revenue was up 2% to £37.6 million, or 8% higher on a
like-for-like basis excluding the impact of changed accounting treatment for
some software reseller agreements and the acquisitions.</p><p>The <a href="https://www.financemagnates.com/tag/fintech/" target="_blank" rel="follow">fintech's </a>non-core revenue, mainly from mortgage brokerage and surveying services,
declined to £8.4 million in FY23 from £10.1 million last year due to the weak UK
housing market. Overall statutory revenue was £64.9 million compared to £66.5
million last year.</p><p>Matt
Timmins, the CEO of Fintel, said the company made significant strategic
progress in 2023 by increasing scale and reach through four acquisitions. </p><p>“In line
with our strategy, we are completely focused on consolidating a fragmented
market to enhance our scale, proposition, and IP, as we continue to inspire
better outcomes for UK retail financial services,” Timmins added.</p><p>Two New Acquisitions</p><p>Earlier in
January, Fintel completed two acquisitions: Owen James Events <a href="https://www.financemagnates.com/forex/news-nuggets-5-december-equals-updates-on-acquisition-fca-presents-new-plans/" target="_blank" rel="follow">and Synaptic
Software</a>. Owen James is the leading provider of strategic engagement events for
the UK financial services industry. </p><p>“Today, we
welcome yet another market leader in Owen James Events, a business with huge
potential, and our sixth <a href="https://www.financemagnates.com/terms/a/acquisition/">acquisition</a> in twelve months,” Timmins commented.</p><p>Synaptic
Software provides <a href="https://www.financemagnates.com/terms/f/fintech/">fintech</a> solutions to financial intermediaries. The two
acquisitions align with Fintel's strategy of expanding into adjacent markets
and enhancing its service platform for customers.</p><p>Fintel's Future Outlook</p><p>For 2023,
Fintel expects full-year results to be in line with board expectations, with
resilient earnings from the core business offsetting pressures from the
mortgage market. </p><p>The company
remains well-positioned to benefit from a recovery in the UK housing market and
adjusting interest rates in 2024. Fintel also gains from increasing
regulatory requirements and its ability to support financial intermediaries in
demonstrating product suitability.</p><p>“We are confident of delivering further progress in the year ahead as we continue to scale our proposition, realize our very active M&amp;A pipeline and invest in our service and technology platform, with our growth underpinned by recurring incomes and positive structural market drivers,” the company’s CEO concluded.</p><p>Fintel
plans to announce its 2023 full-year financial results on 19 March 2024. The
company's share price on the London Stock Exchange AIM market decreased almost 5%
in early trading following the trading update.</p><p>Participate in Our Fraud Survey: Your Opinion Matters!</p><p>We invite you to participate in our joint survey conducted by FXStreet and Finance Magnates Group, which explores prevalent online financial fraud types, platforms used for fraudulent activities, effectiveness of countermeasures, and challenges faced by companies in tackling such fraud. Your valuable insights will help inform future strategies and resource allocation in combating financial fraud.</p><p><a href="https://www.financemagnates.com/forex/social-media-scams-help-shape-the-fight-with-your-2024-survey-participation/" target="_blank">Social Media Scams: Help Shape the Fight with Your 2024 Survey Participation.</a></p>

This article was written by Damian Chmiel at www.financemagnates.com.