2005 was another year of excellent performance for the online money transfer service provider, which grew revenue 108% to $172.1 million, and even more impressively, almost tripled profit after tax at $91.5 million.
The success of the business model is clearly evident in the increasing strength of the gross margin at 73.5%, compared to 69.4% in 2004.
During the year, NETeller\’s customer base increased 86% to over 2.3m, while the average daily receipts grew 90% to more than $3.44 million. Average daily sign-ups for 2005 were 2,930, rising from 2,072 in Q4 2004 to 3,197 in Q4 2005.
As of March 27, NETeller had further increased its customer base to more than 2.5m members and more than 3,400 online merchants, including over 80% of worldwide gaming merchants.
The company, which has a strong balance sheet with $114.6 million of free cash, is looking to develop its operations through both organic growth and acquisitions.
“2005 represented a year of \’Business Fast Forward\’ for NETeller. Our record results demonstrate our continuing determination to exceed our merchants\’ and customers\’ expectations. 2006 promises to be another impressive year in the growth and expansion of NETeller. I have been impressed with the depth and experience of the NETeller team and with resolute focus we will drive this Company to new levels of achievement. We intend to drive additional profitability through improving our merchant value proposition and our \’deepen and extend\’ strategy. I am confident that through a combination of these initiatives and the resources we are applying, NETeller will improve its competitive advantage in 2006,” commented Ron Martin, President & CEO of NETeller.
Elsewhere, HomeATM announced the launch of its online payment process after three years of development and millions spent in production.
HomeATM offers a 100% money back guarantee on any transaction with merchant sites that accept the HomeATM payment method. The service is capable of accepting PIN debit and ATM Bankcards with no reserves or chargebacks.
Consumers can deposit funds into any participating merchant account in real-time with zero risk of hacking or financial compromise and the consumers can also transfer funds from one bankcard to another in real-time anywhere in the world and retrieve funds from any ATM machine.
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