Funds management company OFX, under the leadership of CEO Skander Malcolm, expands through acquisitions; discusses financial year 2023 outcomes

OFX Announces Acquisition of B2B Payments Provider Paytron and Future Expansion Plans

In a significant move, OFX, the global money transfer company, has announced its plans to acquire B2B payment service provider Paytron. The acquisition, which is expected to be completed in the second half of 2025, will see OFX itself as the buyer, as reported.

The announcement follows a strong performance by OFX in the fiscal year 2023. The company's net operating income surged by 45.6% year-on-year to A$214.1m, while corporate revenue grew almost 90% YoY to A$124.6m. The B2B segment, including corporate payments and online sellers, has seen significant growth, with OFX's total revenue growing by 38.6% to A$210.3m.

OFX's share price has also risen due to these impressive results, reflecting investor confidence in the company's future. Underlying EBITDA climbed 40.3% to A$62.4m.

Last year, OFX acquired Firma, which contributed A$53.7m (25.5%) to OFX's total revenue. Excluding Firma, OFX's revenue organically increased by 3.2%. Firma has played a key role in the growth of the B2B segment, particularly in corporate payments and online sellers.

Looking ahead, OFX is focusing on competing in the consumer transfer market while also expanding its presence in the B2B space. The company has plans to make additional acquisitions in FY 24, following the acquisition of Paytron in July. However, specific details about acquisition goals for FY 24 have not been disclosed.

Daniel Webber and Joe Baker, who are key figures in OFX's leadership, were not directly mentioned as being involved in the discussion of the company's strategy or acquisitions in the given paragraph.

The acquisition of Paytron is a strategic move by OFX to further strengthen its position in the B2B payments market. The company aims to leverage Paytron's technology and expertise to enhance its offering and provide more value to its customers.

As OFX evolves its strategy in response to strong FY 23 results, investors and customers can look forward to exciting developments in the coming years. The company projects a net operating income of between A$225m-243m and underlying EBITDA of between A$63m and A$74m for FY 24. These projections indicate a continued focus on growth and profitability for OFX.