Zaim Credit Systems Plc expects further improvements in cash flow, fluctuations on interim profit
The group said the move to a digital business resulted in higher numbers of loans while reducing costs
Zaim Credit Systems Plc expects a further improvement in cash flow from operating activities in the second half of the year after an interim profit has been achieved.
The group said the transition to a digital business resulted in higher numbers of loans while significantly reducing the total cost of ownership.
READ: Zaim Credit Systems Grants Record Loans
In the six months to June 30, the Russia-focused fintech group recorded a 2.78-fold increase in total lending to 11.45 million.
Online lending now accounts for 86% of total lending.
The AIM listed group posted net income of £ 229,000 compared to a net loss of £ 1.3 million the previous year. Cash at the end of the period was £ 1.1m.
“In the first half of 2021, Zaim continued to implement its strategy of transitioning to an online credit model. This strategy led to a significant increase in access to our products without having to visit our stores, while at the same time reducing our fixed cost base, ”commented CEO Siro Cicconi.
“We recently launched our branded mobile application (Zaim Mobile App), which has become a new sales channel for our company alongside online and offline sales channels. The app enables existing customers to get credit faster and easier, and increases customer loyalty by enhancing their customer experience. We expect it to become a major growth driver for our business given the rapid growth of the online customer base. “
“The successful launch of the Zaim Mobile App is an important milestone on the way to increasing fintech content in our business model. It provides an opportunity to expand our knowledge of our customers, understand their needs and attitudes, and obtain information and data that will help Zaim develop next-generation services. “
Shares rose 3% to 4.23 pence on Thursday morning.