Fintech giant, Cassava Smartech cut its loss before tax to $ 27.6 million from $ 1.8 billion recorded prior period on the back of revenue growth.
A reduction in exchange losses and costs also improved earnings.
The Group’s revenues reached $ 11 billion, an increase of 36 percent compared to the same period last year, driven largely by an increase in transactional volumes for the Fintech business units.
The Fintech business remains the largest contributor to revenue, constituting 80 percent of total revenue.
In its interim statement, the Group said focus will be on revenue diversification as a strategy for revenue growth.
“Management remains focused on leveraging technology to improve operational efficiencies,” the Group said.
The half-year under review was characterized by the re-imposition of lockdown measures due to the resurgence of the Covid 19 pandemic, which resulted in restrictions on the movement of persons and subdued business activity.
Ecocash continued a steady growth trajectory with transaction values and wallet funding on the upward trend compared to the same period last year at 25 percent and 54 percent, respectively.
The Steward Bank lending strategy yielded positive results as the 127 percent growth in the loan book from February 2021 spurred the bank’s 795 percent growth in interest income, compared to the same period in FY2021.
“The completion of the Core Banking System upgrade, in line with the acceleration of our digitization focus, has resulted in improved customer experience and has created capacity for the development of innovative products in the future,” the Group said.
In line with our revenue diversification strategy, Insurtech business revenue contribution grew from 14 percent in the same period last year to 19% on the back of the growing strength of our short-term insurance corporate book.
Group equity grew 15.2 percent to $ 6.7 billion from $ 5.8 billion previous half. Total assets grew 24 percent to $ 37.8 billion against liabilities of $ 31.1 billion.