RegTech 100 company iSignthis has published its interim operating update for its Australian payment processing and settlement operations.
The company, which specialises in identity verification and payment authentication, reports that over the last four months, figures indicate that its Gross Process Transaction Value (GPTV) will exceed $100m.
This beats previous expectations of $75m, based on three of the seven merchants contracted so far according to the company. However, the company cannot forecast the GPTV contribution of the other contracted merchants or those being finalised to contract.
Australian Securities and Frankfurt Stock Exchange listed iSignthis claims to be a global leader in remote identity verification, payment authentication and payment processing to meet AML/CFT requirements. It provides an end-to-end on-boarding service for merchants, with a payment and identity service via its Paydentity and ISXPay solutions.
Last month, European payments firm Worldline bolstered its digital identity capabilities completing a technical integrating with iSignthis’ ISXPay. The RegTech provider expects its MSF margin rate to drop from around 1.28% to 1.15% as it diversifies its operations across various unrelated merchant market sectors whilst also increasing in GPTV volume.
It also forecasts flat transactional fees charged at a weighted average of 24 cents per transaction is in accordance with previous estimates.
Going forward, iSignthis is looking to focus on selected merchants because they ‘provide scale and a higher gross margin than the anticipated average’ according to a statement from the company. This will allow it to bed down its technology and operations, before moving to conclude further integrations, process higher volumes, and finalise further new sales opportunities.
Further merchants are expected to go live within the next few weeks, and will include the full Paydentity(TM) suite. For AML regulated merchants, the company said that the use of Paydentity will likely result in higher KYC conversions together with massive increase in extraterritorial reach, which in turn will likely lead to corresponding increase in GPTV being processed by ISXPay(R).
In 2016, iSignthis partnered with Coinify to help its bitcoin exchange platform meet AML, KYC, and CTF regulations for customer due diligence. The RegTech also placed up to A$6.5m to investors and announced the integration of its services with Australian Securities and Investment Commission (ASIC) regulated TraderQ.
Following the deal, iSignthis was hand-picked by a panel of industry experts for the RegTech 100, a list of companies that every financial institution should know about in 2018. The RegTech 100 is part of the Global RegTech review – an essential, in-depth analysis of the global RegTech market.
Copyright © 2018 RegTech Analyst
Copyright © 2018 RegTech Analyst
