REG - Boku Inc - Interim Results
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RNS Number : 3056B Boku Inc 30 September 2025
30 September 2025
Boku, Inc.
("Boku" or the "Company" and, together with its subsidiaries, the "Group")
Interim results for the six months ended 30 June 2025
Tech giants' partner of choice for local payment methods
On track to meet previously announced medium term guidance
Boku (AIM: BOKU), a global network of local payment methods ("LPMs"),
announces its unaudited interim results for the six months ended 30 June 2025
("H1 2025"), with a strong first half performance reflecting continued
merchant and customer adoption globally. As the world shifts decisively
towards LPMs, Boku is the trusted enabler, helping global technology leaders
reach billions of new consumers through their preferred payment methods -
making LPMs truly global.
Financial Highlights
FINANCIAL HIGHLIGHTS H1 2025 H1 2024 Movement
$'000 $'000
Direct Carrier Billing 40,833 35,392 +15%
- Payments 34,230 31,498 +9%
- Bundling 6,603 3,894 +70%
Digital Wallets & Account to Account 22,504 11,892 +89%
TOTAL REVENUE 63,337 47,284 +34%
Adjusted EBITDA 21,755 14,213 +53%
Adjusted EBITDA Margin 34.3% 30.1% +4.2pp
Operating Profit/ (Loss) 11,916 (396) -
30 Jun 2025 31 Dec 2024 Movement
Group Cash Balances 191,918 177,333 +8%
Own Cash Balances 87,291 80,249 +9%
· Total Group revenue for H1 2025 was $63.3 million, representing growth of 34%
(H1 2024: $47.3 million). This represents 36% growth on a constant exchange
rate ("CER")(1) basis.
· Direct Carrier Billing(2) revenue, which includes Payments and Bundling,
delivered combined growth of 15% on H1 2024, with Payments revenue increasing
by 9% and Bundling revenue growing by 70%.
· Revenue from Digital Wallets(2) and Account-to-Account ("A2A") schemes(2)
increased by 89% on H1 2024, reflecting continued merchant and customer
adoption together with a greater number of connections we have made between
our merchants and LPMs.
· Adjusted EBITDA(1) was $21.8 million, up 53% on the prior comparative period
(H1 2024: $14.2 million), reflecting an adjusted EBITDA margin(1) of 34.3%
(H1 2024: 30.1%).
· c.$3 million of total Group revenue relates to specific launch phase pricing
during H1 2025, which has since normalised and is not expected to recur in H2
2025. Excluding this element of revenue:
o Underlying revenue increased by 27% (29% on a CER basis);
o Revenue from Digital Wallets and A2A schemes increased by 61% (64% on a CER
basis); and
o Adjusted EBITDA increased by 29%, with adjusted EBITDA margin remaining above
30%.
· Costs related to currency conversion services of $1.4 million have now been
incorporated into the adjusted EBITDA alternative performance measure (APM),
reflecting a refined methodology to better align revenue and associated costs.
· Boku delivered an operating profit of $11.9 million in H1 2025 (H1 2024:
operating loss of $0.4 million).
· A higher Boku share price resulted in a fair value loss on the Amazon warrants
of $2.8 million (H1 2024: fair value loss of $3.3 million).
· Interest income was $1.6 million in H1 2025 (H1 2024: $1.6 million).
· Total Group cash was $192 million at 30 June 2025 representing an increase of
8% from $177.3 million at 31 December 2024 (30 June 2024: $148.5 million).
· Boku's own cash(1) grew by 9% in the first six months to $87.3 million, up
from $80.2 million at 31 December 2024 (30 June 2024: $75.2 million). This
includes the impact of the repurchase of 5.8 million Boku shares during H1
2025 at a cost of $12.3 million.
Strategic and Operational Highlights
· Continued to enable global tech giants reach new consumers in new markets:
o More users: Monthly Active Users ("MAU")(2) increased by 20% to 95.5 million
in June 2025, up from 79.6 million in June 2024, with more than 44 million new
users added to the platform in the last 6 months (H1 2024: 39.9m).
o More payments: Total Payment Volume ("TPV")(2) increased by 28% to $7.4
billion (H1 2024: $5.8 billion). On a constant exchange rate(2) basis, TPV was
26% higher than H1 2024.
· Delivered 60 new connections for our merchants enabling access to a broader
base of customer accounts worldwide and facilitating their continued
expansion.
· Successfully onboarded new merchants including a leading digital design
platform and a global entertainment company.
· Take rate(2) increased by 4 basis points to 0.85% (H1 2024: 0.81%), largely
reflecting the impact of launch-phase pricing. Underlying take rate, excluding
this, was stable half on half.
· Continued investment in our growth pillars, with particular focus on growing
revenues, product innovation and driving operational efficiencies to support
sustainable growth.
Outlook
With a positive start to H2 2025, the year-on-year revenue growth rate is
expected to be at least in line with the underlying H1 growth rate of 27%,
implying full-year revenue in line with upgraded consensus(3) post the H1 2025
Trading Update announced on 24 July 2025.
As set out in that update, we are now including currency conversion costs
within adjusted EBITDA. While adjusted EBITDA would be higher on a
like-for-like basis, the inclusion of these costs means that full year
adjusted EBITDA is expected to be in line with consensus(3).
Previous medium-term guidance in relation to organic revenue growth exceeding
20% on a compound annual growth rate basis and achieving adjusted EBITDA
margins in excess of 30%, remains unchanged.
Stuart Neal, Chief Executive Officer, commented:
"Boku's strong momentum in the first half of 2025 reflects both the trust
we've built with the world's largest tech giants and the scale of our global
network - driven by consistent execution, resilient infrastructure, and a
seamless localised payments experience. As merchants expand across both mature
and emerging markets, the rapid rise of Digital Wallets and Account-to-Account
schemes underscores the accelerating shift beyond traditional card networks
toward more flexible, mobile native local payment methods.
Our ability to deliver at scale continues to position Boku as the trusted
partner for our merchants' global growth. This is supported by our banking and
treasury infrastructure, including progress towards fully automated
settlements, and a growing suite of value-added services.
With a strong first half behind us and a positive start to H2, we remain
firmly on track to meet expectations for the full year, as well as previously
announced medium-term guidance of delivering organic revenue growth exceeding
20% on a compound annual growth rate basis and sustaining adjusted EBITDA
margins above 30%. We look forward to sharing more on how our platform,
innovation pipeline, and value-added services will drive our long-term growth
journey to becoming the world's best localised payments partner for global
commerce at our Capital Markets Event in October."
Capital Markets Event
As previously announced, the Company will be hosting a Capital Markets Event
for institutional investors and research analysts on Thursday 16 October 2025,
with presentations starting at 3pm at The Courthouse Hotel, 335-337 Old St,
London, EC1V 9LL. Institutional investors and analysts interested in attending
are invited to register their interest by contacting boku@investor-focus.co.uk
(mailto:boku@investor-focus.co.uk) .
(1) These represent alternative performance measures (APMs) for the Group.
Refer to the APM section at the end of this announcement for a summary of APMs
used, together with their definitions
(2) For a full list of definitions and abbreviations used by the Group, refer
to the Glossary at the end of this announcement
(3) In so far as the Board is aware, as at 29 September 2025, consensus
expectations for the full year to 31 December 2025 was for revenue of $126.7m
and adjusted EBITDA of $39.3m.
Enquiries:
Boku, Inc.
Stuart Neal, Chief Executive Officer
Robert Whittick, Chief Financial Officer
Investec Bank plc (Nominated Adviser and Joint Broker) +44 (0)20 7597 5970
Nick Prowting / Kamalini Hull / Patrick Robb
Peel Hunt LLP (Joint Broker) +44 (0)20 7418 8900
Neil Patel / Ben Cryer / Kate Bannatyne
IFC Advisory Limited (Financial PR & IR) +44 (0)20 3934 6630
Tim Metcalfe / Graham Herring / Florence Staton
Notes to Editors
Boku Inc. (AIM: BOKU) is a global network of local payment methods. Through a
single integration, Boku provides access to a comprehensive network of digital
wallets, direct carrier billing, and account-to-account (A2A) real-time
payment schemes - reaching over 7 billion consumer payment accounts
worldwide.
Merchants that trust Boku to simplify sign-up, acquire new paying users and
prevent fraud include the world's largest technology, media and entertainment
companies.
Boku Inc. was incorporated in 2008 and is headquartered in London, UK, with
offices in the US, India, Brazil, China, Estonia, France, Germany, Indonesia,
Ireland, Japan, Singapore, Spain, Taiwan and Vietnam.
To learn more about Boku Inc., please visit: https://www.boku.com
(https://www.boku.com/)
Chief Executive Officer's Report
Before getting into the results, I wish to express my sincere thanks to Dr
Richard Hargreaves as he steps down following nine years of dedicated service
to the Boku board, first as NED and subsequently as Chair. His unwavering
support of the Boku management team, and of me personally since I took over as
CEO in January 2024 has been hugely appreciated.
I also offer a warm welcome to Richard Pennycook CBE, our incoming Chair,
whose vast experience will undoubtedly add significant value to Boku going
forward. I am looking forward to working with him immensely.
Business momentum
I am delighted to report another strong half of business performance on Boku's
journey towards becoming the world's best localised payments partner for
global commerce. Across all reported metrics, the business demonstrated
positive momentum, with strong revenue growth of >30% half on half and
solid adjusted EBITDA margins of >30% being particularly pleasing.
It is worth noting the continued resilience of Direct Carrier Billing (DCB)
Payments as a popular form of payment, alongside the ongoing and rapid rise of
Digital Wallets. At the same time, we are seeing the emergence of
Account-to-Account (A2A) schemes and increasing popularity of our app
distribution product, DCB Bundling. In the first half, all of these products
continued to grow by connecting our large global merchants to paying users
(consumers) worldwide, with more than 95 million users making a purchase
through the Boku network in June 2025 alone.
Of course, current year revenues are a reward for the work we did back in
2024, and I therefore want to spotlight the work we are doing in 2025 that
will create value in future periods.
Progress is not only measured by what is clearly visible - strong financial
results, growth in active user numbers, new revenue-generating connections,
merchant launches and licence wins like Brazil. It is also, and just as
importantly, reflected in what is less visible. This includes new talent hired
across multiple functions, enhancements to banking and treasury
infrastructure, advances towards straight-through processing, and the
introduction of AI tools for all colleagues
Put simply, we are continuing to grow the business whilst simultaneously
creating a scalable platform to allow for future growth.
Core elements of the mid-term strategy
Boku believes the key to long-term success is to create a virtuous circle, the
Boku flywheel, that keeps our merchants at the centre of everything we do. By
solving real problems for our merchants, we develop new products and expand
our Local Payment Methods (LPM) network which in turn, attracts more merchants
and drives greater volumes. With this growth, we can sharpen operational
efficiency while building a platform capable of scaling materially.
As we think about scaling the business for the longer term, the following
continue to be the key pillars that will facilitate that virtuous circle:
· Grow core and develop new revenue streams
Our revenue growth will come from both deepening our partnerships with
existing global merchants while also attracting new ones onto our network.
o Grow with existing merchants
We are fortunate to partner with some of the world's most successful
technology brands, helping to connect them with billions of consumer accounts
worldwide via access to LPMs. We have a long history with these merchants, and
as LPMs become more prevalent around the world, there remains significant
opportunity to grow alongside these merchants.
o Attracting new merchants (utilise the network)
Boku has created a network that spans the globe, with connections to LPMs
across four continents and around 70 countries. Whilst we have historically
concentrated our efforts on serving our large existing merchants, we now see a
clear opportunity to expand our merchant base through a more direct sales
approach. This new sales motion is in planning phase during 2025, with a
ramp-up in sales activity expected in 2026.
· Drive product innovation
As we continue to seek new ways to add value for our merchants, we are
developing products and services that build on Boku's global payment
infrastructure. These include, though are not limited to, three current areas
of focus: money movement, currency conversion and treasury; Payment Marketing;
and next-generation innovation led by our new team in Singapore.
o Money movement, currency conversion and treasury
Put simply, how do we help merchants, as they expand geographically, to
collect money in different currencies around the world and convert those funds
into their preferred currencies? Being able to provide this service
professionally, transparently and in a locally compliant fashion will help
differentiate the Boku proposition. Backed by top tier global banks, with
payment licences and registrations that permit us to move money in over 40
markets, we have already made great progress in this area and are now
collecting funds in more than 30 currencies.
o Payment Marketing
The war for subscribers is still raging in tech-land. Boku's connectivity via
LPMs into billions of end-consumer accounts is a rich hunting ground for large
tech giants seeking broad distribution. By providing a shop window within
payment apps, Boku connects merchants directly with LPM consumers, creating an
efficient way to drive user numbers (and consequently payment volumes) upwards
- a model where everybody wins!
o Innovation team
We are investing in exploratory innovation that will shape the next generation
of payments. Under the supervision of our newly established innovation team in
Singapore, we are testing multiple ideas that may lead to new technology
products in areas such as stablecoins, dynamic currency conversion, and money
disbursements.
We recently announced our participation in an exciting new venture in the
global stablecoin clearing arena, Ubyx. This is part of our strategy to stay
ahead of technological developments and embed them into our products for the
benefit of our global merchant base.
· Increase operational efficiency
With increasing volumes across our network, we are prioritising operational
efficiency and building a platform with the capacity to scale significantly.
Being part of the open banking ecosystem (via A2A connections) sets a high bar
for efficiency, with features such as automated transaction reconciliation,
straight-through merchant settlements and near real-time/ instant fund flows.
Back in 2024 we embarked on a multi-year programme to upgrade Boku's payment
operations systems which underpin transaction and money flows through our
business to ensure accurate, automated, and swift settlement of merchant
funds.
I am pleased to report that we have continued to make significant progress on
these workstreams, and we can now settle money through our interconnected
banking network. By the end of 2025, we expect to process a significant
portion of merchant settlements in a fully automated manner.
Marching forward
I am, as always, full of admiration and gratitude for the village of Boku
employees around the world, who deliver such incredible results and who make
Boku the incredibly special company that we are. It is through their talent,
energy and inspiration that I have every confidence that we will march
forwards towards our goal to be the best localised payments partner for global
commerce.
It is my pleasure to lead this company.
Stuart Neal
Chief Executive Officer
30 September 2025
Chief Financial Officer's Report
Accelerating growth through strategic execution and scale
I am delighted to present Boku's exceptionally strong first half performance,
driven by growing global demand for Local Payment Methods (LPMs) and
consistent strategic execution, as we continue to work towards becoming the
world's best localised payments partner for global commerce.
Group revenue increased by 34% (or 36% on a Constant Exchange Rate 1 (CER)
basis) to $63.3m (H1 2024: $47.3m). Excluding c.$3m of revenue related to
launch-phase pricing, which is not expected to repeat in H2, underlying
revenue growth remained strong at 27% (or 30% on a CER basis), reflecting the
strength of our core business.
This growth was underpinned by strong momentum across our key operational
metrics, as the global shift towards LPMs continues to accelerate. Monthly
Active Users (MAU) in June rose by 20% to 95.5m (June 2024: 79.6m) while Total
Payment Volumes (TPV) increased by 28% (or 26% on a CER basis) to $7.4bn (H1
2024: $5.8bn).
We have maintained and deepened our leadership in Direct Carrier Billing
(DCB), with revenue from DCB Payments and DCB Bundling growing by 9% and 70%
respectively. At the same time, we are actively diversifying our revenue base
through significant growth in Digital Wallets and Account-to-Account (A2A)
schemes which saw revenue increase by 89% - or 61% on an underlying basis,
excluding launch-phase pricing. These products now represent 36% of total
Group revenue, up from 25% in H1 2024.
This strong revenue performance together with a disciplined focus on strategic
investment has translated into a significant uplift in both adjusted EBITDA 2
and operating profit. Adjusted EBITDA, which now includes $1.4m of foreign
exchange costs associated with currency conversion services, increased by 53%
to $21.8m (H1 2024: $14.2m), resulting in an adjusted EBITDA margin 3 of
34.3% (H1 2024: 30.1%). Excluding the impact of launch-phase pricing in the
period, underlying adjusted EBITDA would have risen by 29%, with the adjusted
EBITDA margin remaining above 30%. On a statutory basis, we delivered an
operating profit of $11.9m (H1 2024: operating loss of $0.4m).
We continue to lay the groundwork for future growth by investing in our
infrastructure, extending our regulatory scope, and sharpening our commercial
capabilities. Despite this ongoing investment, the business remains highly
cash generative, with own cash 4 increasing from $80.2m at 31 December 2024
to $87.3m at 30 June 2025, representing growth of 9% or 24% excluding the
$12.3m outlay on share buybacks during the first six months (30 June 2024:
$75.2m).
As ever, our results reflect the strength of our network, the quality of our
people, and the increasing relevance of our products to some of the world's
largest merchants. With a strong first half behind us and a clear pipeline of
opportunities ahead, we enter the second half with confidence and momentum.
Merchants and consumers continue to adopt LPMs driving payment volumes and
revenues
Revenue Performance H1 2025 H1 2024 Movement
$'000 $'000
Direct Carrier Billing 40,833 35,392 15%
- Payments 34,230 31,498 9%
- Bundling 6,603 3,894 70%
-
Digital Wallets & Account to Account 22,504 11,892 89%
Total Revenue 63,337 47,284 34% (36% on a CER basis)
Operational Highlights H1 2025 H1 2024 Movement
Total Payment Volumes $7.4bn $5.8bn 28% (26% on a CER basis)
Take Rates 0.85% 0.81% 4bps
Monthly Active Users in June 95.5m 79.6m 20%
New users for 6 months to June 44.3m 39.9m 11%
Our revenue performance in H1 2025 was supported by continued merchant and
consumer adoption of LPMs.
MAU in June 2025 reached 95.5m, up 20% from 79.6m in June 2024, with 44.3m new
users added to the network (H1 2024: 39.9m). This growth was driven by both
deeper integration with existing merchants and the successful onboarding of
high-quality new names including a leading digital design platform and a
global entertainment company. We also delivered 60 new connections for our
merchants expanding both their reach and relevance across key markets. At the
same time, we remain focused on optimising our portfolio of merchants and
payment methods to ensure they align with our long-term economic priorities.
These increased user numbers have in turn led to a 28% (or 26% on a CER basis)
increase in TPV to $7.4bn (H1 2024: $5.8bn).
Our take rate improved by 4 basis points to 0.85% (H1 2024: 0.81%), largely
reflecting the impact of launch-phase pricing. Excluding this, the underlying
take rate would have been flat half on half.
DCB revenue, comprising Payments and Bundling, grew by a combined 15%, with
Bundling up by 70% and Payments up by 9%. DCB continues to benefit from
subscription-led growth, with markets such as APAC and EMEA performing
particularly well. Growth has also been supported by a leading global consumer
electronics and entertainment merchant expanding geographically, alongside
strong adoption trends among bundling merchants.
Revenue from Digital Wallets and Account to Account (A2A) schemes increased by
89% or 61% excluding the impact of launch phase pricing. This was underpinned
by a 44% increase in MAU in June to 12.6m (June 2024: 8.8m) together with a
38% rise in new users to 12.7m during the first half (H1 2024: 9.2m). These
products now account for 36% of total Group revenue, up from 25% at H1 2024.
A2A and Digital Wallet growth has been supported by new issuer connections in
APAC and EMEA for a leading global social media and technology company. We are
also seeing ongoing cumulative growth from our established connections - for
example, Blik has scaled rapidly since launch last year. In addition, the roll
out of multiple wallets for our newly onboarded global digital design merchant
have contributed positively.
Scaling efficiently without compromising margin
Operating Performance H1 2025 H1 2024 Movement
$'000 $'000
Adjusted Operating Expenses 41,060 31,706 30%
Adjusted EBITDA 21,755 14,213 53%
Adjusted EBITDA Margin 34.3% 30.1% 4.2pp
Operating Profit 11,916 (396) -
Adjusted operating expenses increased by 30% to $41.1m (H1 2024: $31.7m),
reflecting ongoing strategic investment to support growth while maintaining
our commitment to an adjusted EBITDA margin above 30%.
Foreign exchange costs of $1.4m related to currency conversion services which
we provide to our merchants are now included in adjusted operating expenses
and adjusted EBITDA. With these services now contributing more meaningfully to
revenue, this revised methodology better aligns income and associated costs.
We continue to take a disciplined approach to cost management, prioritising
investment in initiatives that will scale the business by driving product
innovation and enhancing operational efficiency. Our product focus is about
strengthening money movement and currency conversion capabilities, developing
the Payment Marketing opportunity, and building out our new innovation team in
Singapore. From an operational perspective, we are investing in greater
automation, straight-through processing, and a broader payment operations
transformation agenda.
Translating adjusted EBITDA to statutory results
Boku delivered an operating profit of $11.9m in H1 2025 (H1 2024: operating
loss of $0.4m). The bridge to adjusted EBITDA of $21.8 million can be
explained as follows:
· Share-based payment charges decreased to $5.1m (H1 2024: $5.8m).
More details on the award schemes operated by the Group can be found in note
22 of the 2024 full year annual report.
· Amortisation of internally generated intangibles has increased to
$2.5m (H1 2024: $1.9m) due to higher levels of capitalised expenditure in 2023
and 2024. Amortisation of acquired intangibles was unchanged compared to H1
2024 at $0.9m.
· Depreciation decreased marginally to $0.8m (H1 2024: $1m).
· Exceptional items of $0.6m primarily comprising transformation
costs including restructuring and redundancy (H1 2024: $0.2m).
· Foreign exchange gains of $0.1m (H1 2024: foreign exchange loss
of $4.8m).
Other items below the operating profit line include:
· A fair value loss on the Amazon warrants of $2.8m (H1 2024: fair
value loss of $3.3m) primarily due increases in our share price over the
period. See note 8 for further detail.
· Interest income of $1.6m (H1 2024: $1.6m).
The Group reported a Basic Earnings Per Share (EPS) of $0.03 and a Diluted EPS
of $0.03 (H1 2024: Basic loss per share of $0.01)
Capital strength supporting growth
Group and Own Cash 30 June 2025 31 December 2024 Movement
$'000 $'000
Group Cash Balances 191,918 177,333 8%
Own Cash 87,291 80,249 9%
Average Cash H1 2025 H1 2024 Movement
$'000 $'000
Average Cash Balances 5 152,290 134,368 13%
( )
Cash Generation
Through disciplined capital allocation and a focus on scalable profitable
growth, Boku remains debt-free and continues to generate strong cash flows to
drive future expansion. Group cash balances increased by 8% to $192m from
$177.3m at 31 December 2024 (30 June 2024: $148.5m) with average cash balances
in the first six months up 13% to $152.3m compared to $134.4m during H1 2024
(FY 2024: $154m).
Boku's own cash, which excludes merchant and issuer related balances,
increased by 9% to $87.3m from $80.2m at 31 December 2024 (30 June 2024:
$75.2m). Excluding the outlay of $12.3m related to the repurchase of our own
shares this increase would have been 24%.
Share Buyback
In the first half of the year, the Group repurchased 5.8m of Boku's own shares
for a total consideration of $12.3m under our share buyback programme. See
note 11 for further details.
Intangibles
The Group had goodwill of $43.2m (31 December 2024: $41.3m) and other
intangibles of $15.6m (31 December 2024: $15.2m). No impairment was required.
Deferred Tax Asset
Our deferred tax asset decreased to $14.2m from $16.1m at 31 December 2024
primarily due to utilisation of tax losses.
Principal risks and uncertainties
For the six months to 30 June 2025, the principal risks and uncertainties of
the Group remain consistent with those previously reported in the Annual
Report and Accounts for the year-ended 31 December 2024. For more details on
the Group's risk management, please refer to the 'Principal Risks and
Uncertainties' section on pages 19 to 25 of the Annual report.
Outlook
With a positive start to H2 2025, the year-on-year revenue growth rate is
expected to be at least in line with the underlying H1 growth rate of 27%,
implying full-year revenue in line with upgraded consensus 6 post the H1 2025
Trading Update announced on 24 July 2025.
As set out in that update, we are now including currency conversion costs
within adjusted EBITDA. While adjusted EBITDA would be higher on a
like-for-like basis, the inclusion of these costs means that full year
adjusted EBITDA is expected to be in line with consensus.
Previous medium-term guidance in relation to organic revenue growth exceeding
20% on a compound annual growth rate basis and achieving adjusted EBITDA
margins in excess of 30%, remains unchanged.
Robert Whittick
Chief Financial Officer
Date: 30 September 2025
Cautionary Statement
Boku has made forward-looking statements in this financial information,
including statements about the market and benefits of its products and
services; financial results; product development plans; the potential benefits
of business relationships with third parties and business strategies. The
Group considers any statements that are not historical facts as
"forward-looking statements". They relate to events and trends that are
subject to risk and uncertainty that may cause actual results and the
financial performance of the Group to differ materially from those contained
in any forward-looking statement. These statements are made by the Directors
in good faith based on the information available to them and such statements
should be treated with caution due to the inherent uncertainties, including
both economic and business risk factors underlying any such forward-looking
information.
Condensed consolidated statement of comprehensive income
( )
(Unaudited)
For six months ended 30 June
2025 2024
Note $'000 $'000
Revenue 5 63,337 47,284
Cost of providing services (522) (1,365)
Gross profit 62,815 45,919
Administrative expenses (50,899) (46,315)
Operating profit/ (loss) 11,916 (396)
Fair value gain/ (loss) on warrants 8 (2,790) (3,279)
Finance income 6 1,615 1,637
Finance expense (89) (115)
Profit/ (loss) before tax 10,652 (2,153)
Income tax (expense)/ benefit (2,168) 1,084
Profit/ (loss) for the period 8,484 (1,069)
(all attributable to equity holders of the parent)
Other comprehensive income/ (expense)
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign operations 5,100 (1,063)
Other comprehensive income/ (expense) for the period, net of tax 5,100 (1,063)
Total comprehensive income/ (expense) for the period 13,584 (2,132)
(all attributable to equity holders of the parent)
Earnings per share $ $
Basic earnings/ (loss) per share 0.03 (0.01)
Diluted earnings/ (loss) per share 0.03 (0.01)
Alternative performance measures
Adjusted EBITDA(1) 21,755 14,213
( )
(1)Adjusted EBITDA is a non-IFRS measure defined as earnings before interest,
tax, depreciation, amortisation, non-recurring income, share-based payment
expense, foreign exchange gains/(losses) (excluding costs associated with
currency conversion services) and exceptional items (see alternative
performance section of this report for further details).
The accompanying notes form an integral part of these condensed consolidated
financial statements.
Condensed consolidated statement of financial position
(Unaudited) (Audited)
30 June 31 December
2025 2024
Note $'000 $'000
ASSETS
Non-current assets
Property, plant, and equipment 864 776
Intangible assets 58,769 56,485
Right-of-use assets 3,941 2,433
Warrant contract assets 8 1,089 1,806
Deferred tax assets 14,176 16,096
Total non-current assets 78,839 77,596
Current assets
Issuer, trade and other receivables 176,834 151,197
Warrant contract assets 8 218 208
Cash and cash equivalents 7 191,918 177,333
Total current assets 368,970 328,738
Total assets 447,809 406,334
LIABILITIES
Non-current liabilities
Warrant liabilities 8 11,216 9,130
Lease liabilities 2,337 1,612
Other non-current liabilities 1,987 1,676
Deferred tax liabilities 127 239
Total non-current liabilities 15,667 12,657
Current liabilities
Merchant, trade and other payables 286,322 252,882
Short-term lease liabilities 1,485 1,035
Current tax liabilities 1,499 2,019
Total current liabilities 289,306 255,936
Total liabilities 304,973 268,593
EQUITY
Share capital 11 30 29
Other reserves 257,041 261,049
Foreign exchange reserve (1,846) (6,946)
Treasury share reserve (15,002) (10,728)
Accumulated losses (97,387) (105,663)
Total equity (all attributable to equity holders of the parent) 142,836 137,741
Total equity and liabilities 447,809 406,334
The accompanying notes form an integral part of these condensed consolidated
financial statements.
Condensed consolidated statement of changes in equity
Share capital Other reserves Foreign currency translation reserve Treasury shares reserve Accumulated losses Equity Total
$'000 $'000 $'000 $'000 $'000 $'000
Equity as at 1 January 2024 29 255,249 (4,718) (6,628) (110,403) 133,529
Loss for the period - - - - (1,069) (1,069)
Other comprehensive expense - - (1,063) - - (1,063)
Total comprehensive expense for the period - - (1,063) - (1,069) (2,132)
(all attributable to equity holders of the parent company)
Transactions with owners of the Company
Issue of share capital on exercise of warrants - 3,000 - - - 3,000
Issue of share capital upon exercise of stock options and RSUs - 428 - - - 428
Share-based payments expense - 4,412 - - - 4,412
Taxation on share-based payments - - - - 777 777
Acquisition of treasury shares - - - (1,584) - (1,584)
Issue of treasury shares to employees - (6,194) - 6,194 - -
Equity at 30 June 2024 29 256,895 (5,781) (2,018) (110,695) 138,430
Equity as at 1 January 2025 29 261,049 (6,946) (10,728) (105,663) 137,741
Profit for the period - - - - 8,484 8,484
Other comprehensive income - - 5,100 - - 5,100
Total comprehensive income for the period - - 5,100 - 8,484 13,584
(all attributable to equity holders of the parent company)
Transactions with owners of the Company
Issue of share capital on exercise of options 1 - - - - 1
Share-based payments expense - 4,060 - - - 4,060
Taxation on share-based payments - - - - (208) (208)
Acquisition of treasury shares - - - (12,342) - (12,342)
Issue of treasury shares to employees - (8,068) - 8,068 - -
Equity as at 30 June 2025 30 257,041 (1,846) (15,002) (97,387) 142,836
The accompanying notes form an integral part of these condensed consolidated
financial statements.
Condensed consolidated statement of cash flows
(Unaudited)
For six months ended 30 June
2025 2024
Note $'000 $'000
Cash flows from operating activities
Cash generated from operations 9 25,082 1,751
Income taxes paid (1,301) (159)
Net cash generated from operating activities 23,781 1,592
Cash flows from investing activities
Interest received 6 1,627 1,637
Purchase of property, plant and equipment (310) (267)
Payments for internally developed software (3,186) (3,461)
Proceeds from sale of property, plant and equipment 2 -
Net cash used in investing activities (1,867) (2,091)
Cash flows from financing activities
Payment on lease liabilities (604) (840)
Issue of share capital on exercise of options & RSUs - 428
Payments for the acquisition of treasury shares (12,342) (1,584)
Proceeds from warrant exercise 8 - 3,000
Interest paid on loan - (25)
Net cash (used in)/ from financing activities (12,946) 979
Net increase in cash and cash equivalents 8,968 480
Cash and cash equivalents at beginning of period 177,333 150,859
Effect of foreign exchange rate changes 5,617 (2,839)
Cash and cash equivalents at end of the period 7 191,918 148,500
The accompanying notes form an integral part of these condensed consolidated
financial statements.
Notes to the condensed consolidated financial statements
1. Corporate information
Boku, Inc. (the Company or the Parent) is a public limited company
incorporated and domiciled in the United States of America. The shares of the
Company are quoted on AIM, a market of the London Stock Exchange Group plc.
The Company's registered office is at 660 Market Street, Suite 400, San
Francisco, CA 94104, United States.
These condensed consolidated financial statements comprise the Company and its
subsidiaries (the Group or collectively Boku).
The principal activity of Boku is the provision of digital payment solutions
to its merchants, allowing consumers to make purchases through Local Payment
Methods (LPMs), such as Direct Carrier Billing (DCB), Digital Wallets, and
Account to Account (A2A) schemes. These solutions support a broad range of
payment preferences and enable Boku's merchants to acquire new consumers and
accept payments from consumers who prefer, or only have access to, alternative
payment methods.
Boku operates through its subsidiaries under various payment licenses and
registrations across multiple jurisdictions, each allowing operations within
the respective territories. In the European Economic Area (EEA), Boku is
authorised as a Payment Institution by the Central Bank of Ireland, permitting
cross-border services across EEA member states. In the United Kingdom, Boku is
authorised as an Electronic Money Institution and a Payment Initiation Service
Provider by the Financial Conduct Authority, facilitating operations within
the United Kingdom. Similarly, Boku holds regulatory approvals and
registrations in Hong Kong, India, Brazil, the Philippines, Singapore, Taiwan,
Argentina, Malaysia, the United States of America, and Japan, enabling it to
provide payment services in those jurisdictions.
These condensed consolidated financial statements for the six months ended 30
June 2025 were approved by the Board of Directors and authorised for issue on
30 September 2025.
2. Basis of preparation
The condensed consolidated financial statements are for the six months ended
30 June 2025 and have been prepared on a going concern basis in accordance
with International Accounting Standard 34 Interim Financial Reporting (IAS 34)
and have been independently reviewed but not audited.
The condensed consolidated financial statements do not contain all the
information required for full annual financial statements and should be read
in conjunction with the Group's annual financial statements for the year ended
31 December 2024. The comparative condensed statement of financial position
has been extracted from the annual financial statements as at 31 December
2024. The comparative condensed consolidated statement of comprehensive
income, statement of changes in equity, and statement of cash flows have been
extracted from unaudited condensed consolidated financial statements of the
Group for the six-month ended 30 June 2024.
In the six months ended 30 June 2025 the Group did not adopt any new standards
or amendments issued by the IASB or interpretations by the IFRS
Interpretations Committee ("IFRIC") that would have had a material impact on
the condensed consolidated financial statements.
2.1 Going concern
Boku finances its day-to-day working capital requirements through its own cash
balances. The Directors have considered the Group's financial position and
cash flow forecasts and are satisfied that the Group has adequate resources to
continue in operational existence for at least the next 12 months from the
approval date of these condensed consolidated financial statements.
Accordingly, these condensed consolidated financial statements have been
prepared on a going-concern basis.
2.2 Alternative performance measures (APMs)
Management uses APMs internally to understand, manage, and evaluate the
business performance and make operating decisions. These measures are among
the primary factors management uses in planning for and forecasting future
periods. The primary APMs are adjusted EBITDA, adjusted operating expenses,
constant exchange rate revenues, own cash and average cash balances which
management considers relevant in understanding the Boku's financial
performance. Further information about these APMs is disclosed in the APM
section of this report.
2.3 Critical accounting estimates and judgements
In preparing these condensed consolidated financial statements, management has
made judgements and estimates about the future that affect the application of
the Group's accounting policies and the reported figures. Actual results may
differ from these estimates. Management assessed that there were no material
changes in the current period to the critical accounting estimates and
judgements, as disclosed in the consolidated financial statements for the year
ended 31 December 2024.
3. Material Accounting Policies
The accounting policies and the methods of computation adopted in the
preparation of these condensed consolidated financial statements are the same
as those applied in the preparation of Group's most recent annual financial
statements for the year ended 31 December 2024.
4. Segment information
Boku operates as a single operating segment - Payments Services. This segment
includes all activities related to providing digital payment solutions,
allowing consumers to make purchases through local payment methods such as
Direct Carrier Billing (DCB) Digital Wallets and Account to Account (A2A)
schemes.
The Chief Operating Decision Maker (CODM), identified as the Global Leadership
Team (GLT), monitors the performance of Boku as a whole for the purpose of
resource allocation and decision-making. As such, no additional segment
reporting disclosures under IFRS 8 are provided.
Revenue disaggregation by major geographical market(1) is as follows:
Group revenue by region Six months ended 30 June
2025 2024
$'000 $'000
Americas 5,926 1,043
Europe, Middle East & Africa (EMEA) 27,147 18,242
Asia-Pacific (APAC) 30,264 27,999
Total 63,337 47,284
(1) The geographical market is determined by the consumer
location.
As of the reporting date, the majority of Boku's non-current assets are
located in the USA. The geographical breakdown of non-current assets, based on
their location, is as follows:
As at 30 June As at 31 December
2025 2024
Non-current assets by geographical region(2) $'000 $'000
Americas 50,363 50,210
Europe, Middle East & Africa (EMEA) 12,109 8,289
Asia-Pacific (APAC) 1,102 1,195
Total non-current assets by geographical region 63,574 59,694
(2) Non-current assets exclude deferred tax and warrant contract assets
5. Revenue
The Group's revenue is principally its service fees earned from its merchants.
All revenue is earned at the time the transaction is processed and, as a
result, all revenue is recognised at that point in time.
Six months ended 30 June
2025 2024
$'000 $'000
Revenue 63,337 47,284
In H1 2025, 2 merchants (H1 2024: 4) accounted for more than 10% of the total
revenue from Payment Services, contributing $34.1m (2024: $32.5m).
6. Finance income and expense
Six months ended 30 June
2025 2024
$'000 $'000
Finance income
Interest income 1,615 1,637
Total finance income 1,615 1,637
Finance expense
Interest on lease liabilities (85) (90)
Other interest expenses (4) (25)
Total finance expense (89) (115)
Net finance income 1,526 1,522
7. Cash and cash equivalents and restricted cash
30 June 2025 31 December 2024
$'000 $'000
Cash and cash equivalents 164,752 142,308
Restricted cash 27,166 35,025
Total Cash 191,918 177,333
The restricted cash primarily includes safeguarded funds received but not yet
paid to merchants for Boku's licensed entities. In addition, it includes cash
held at the bank to secure a lease agreement for Boku's San Francisco office,
and monies held at a financial institution to collateralise Company credit
cards.
8. Warrants
Amazon Warrants - Derivative Liabilities
On 16 September 2022, the Group entered into a stock warrant agreement with
Amazon in conjunction with a commercial service level agreement for the Group
to provide payment processing services to Amazon. The Group includes a
detailed explanation of the Amazon warrants and its accounting policy for such
warrants in the Group's most recent annual financial statements and has
therefore not replicated those disclosures within these condensed consolidated
financial statements.
The fair value of warrant obligations as at 30 June 2025 was $11.2m (FY 2024:
$9.1m), primarily due to an increase in the spot price of shares on AIM from
£1.82 to £2.12 (as well as an decrease in risk free rate from 4.41% to
3.92%), partially offset by a decrease in the number of warrants expected to
vest (including warrants already vested based on revenue generated to date)
from 5,571,222 to 5,141,301. The fair value of 1 warrant increased to $2.181
at 30 June 2025 from $1.639 at 31 December 2024. The decrease in the number of
warrants expected to vest resulted in a decrease to the contract asset and
financial liability by $0.7m. The increase in the fair value of underlying
warrants of $2.8m represented a charge to the condensed consolidated statement
of comprehensive income. During the period, 209,350 (H1 2024: 209,350)
additional warrants of common stock vested for revenue generated under the
agreement.
The warrants are classified as Level 3 derivative liabilities, as they require
significant judgement or estimation due to the absence of an active market.
The fair value was determined using a combination of Monte Carlo Simulation
and Black-Scholes Model valuation methods.
Significant unobservable inputs used in the valuation as at 30 June 2025
included an equity volatility of 35% (FY 2024: 40%), revenue volatility of 30%
(FY 2024: 35%), a risk-free rate of 3.92% (FY 2024: 4.41%), and forecasted
revenue from Amazon over the 7-year vesting period.
A significant change in volatilities would materially impact the fair value of
the warrants. At 30 June 2025, a 5% decrease in both equity and revenue
volatilities (to 30% and 25%, respectively) would have resulted in a fair
value reduction to $11.1m, a decline of $0.1m. Conversely, a 5% increase (to
40% and 35%, respectively) would have increased the fair value to $11.4m, an
increase of $0.2m.
Exercise of other warrants in the comparative period
In the comparative six months, Danal Company Ltd exercised a total of
1,634,699 warrants, exercisable at 141p, for a total compensation of $3m. As a
result, 1,634,699 new common shares of $0.0001 were issued. The warrants were
issued as part of the initial consideration in respect of the Company's
acquisition of Danal, Inc, announced on 6 December 2018 and completed on 1
January 2019.
9. Cash generated from operations
(Unaudited)
For six months ended 30 June
2025 2024
Note $'000 $'000
Cash flows from operating activities
Profit for the period 8,484 (1,069)
Adjustments for:
- Depreciation of property, plant, and equipment 251 238
- Amortisation of intangible assets 3,389 2,802
- Depreciation of right-of-use assets 553 749
- Loss on disposal of property, plant, and equipment 1 -
- Amortisation of warrant contract asset 1 81
- Fair value loss/(gain) on warrants 2,790 3,279
- Share-based payment expense 4,059 4,412
- Net Finance income (1,526) (1,522)
- Employer taxes on stock options and restricted stock units 583 694
benefit/(charge)
- Income tax expense 2,168 (1,084)
Changes in net working capital(1):
- - (Increase)/decrease in Issuer, trade and other receivables (20,184) 8,009
including contract assets
- - Increase/(decrease) in merchant, trade and other payables 24,513 (14,838)
including contract liabilities
Cash generated from operations (2) 25,082 1,751
(1) Net working capital includes both short-term and long-term items.
(2) In 2024, Boku changed the presentation of the cash flows relating to
operations activities to improve the usefulness of disclosed information. The
comparative amounts for H1 2024 have been re-represented accordingly.
10. Dividends
No interim dividend has been paid or proposed in respect of the current
financial period (H1 2024: nil).
11. Share Capital
At 30 June 2025, Boku, Inc. had 303,220,113 (FY 2024: 303,110,613) common
shares issued and fully paid. Boku, Inc. has only one class of shares with par
value of $0.0001 each. The authorised share capital is 500,000,000 shares.
Boku, Inc. holds 6,628,009 shares in treasury (FY 2024: 4,548,434 shares).
During the six months to 30 June 2025 Boku, Inc. purchased back 5,815,000
shares under the Share buyback programme. The programme expired on 30 June
2025.
12. Contingent liabilities
The Group does not believe it has any potential liabilities or obligations
that would have a material adverse effect on its financial position or results
of operations, including those related to legal disputes, patent claims, or
indemnification agreements.
13. Events after the reporting date
Management has assessed the events occurring between the reporting date and
the date of approval of the financial statements. No material events have
been identified that would require adjustment to or disclosure in the
financial statements.
Alternative Performance Measures
Management uses Alternative Performance Measures (APMs) internally to
understand, manage and evaluate the business performance and make operating
decisions. These measures are among the primary factors management uses in
planning for and forecasting future periods.
Management present APMs because they believe that these and other similar
measures are widely used by certain investors, securities analysts and other
interested parties as supplemental measures of performance and liquidity. It
is believed these APMs depict the true performance of the business by
encompassing only relevant and controllable events, allowing management to
evaluate and plan more effectively for the future. These measures are not
defined under the requirements of IFRS and may not be comparable with the APMs
of other companies and should be viewed as supplemental to, but not a
substitute for, measures presented in the financial statements which are
prepared in accordance with IFRS.
The primary APMs are adjusted EBITDA, adjusted operating expenses, constant
exchange rate revenues, own cash, and average cash balances which management
considers are relevant in understanding the Group's financial performance.
Management calculates APMs by excluding certain non-cash and one-off items
from the actual results. The determination of whether non-cash items or
one-off items should be excluded, is a matter of judgement and is based on
whether the inclusion/exclusion from the results represent more closely the
consistent trading performance of the business.
Boku uses the following APMs:
APM Definition
Adjusted EBITDA A measure of profitability from continuing operations which is calculated as
operating profit before non-recurring other income, depreciation and
amortisation, share-based payments expense, foreign exchange gains/(losses)
(excluding costs associated with currency conversion services) and exceptional
items.
In calculating adjusted EBITDA, we exclude certain non-cash and non-recurring
items that we believe are not reflective of our long-term performance.
Adjusted EBITDA is used internally to establish forecasts, budgets and
operational goals to manage and monitor our business, as well as evaluate our
underlying historical performance. We believe that adjusted EBITDA is a
meaningful indicator of the health of our business as it reflects our ability
to generate cash that can be used to fund recurring capital expenditures and
growth. We also believe that adjusted EBITDA is widely used by investors,
securities analysts and other interested parties as a supplemental measure of
performance and liquidity
Adjusted operating expenses Calculated as gross profit less adjusted EBITDA.
Adjusted EBITDA margin Calculated as adjusted EBITDA over revenue for the period.
Constant exchange rate revenues Constant exchange rate is calculated by applying the monthly average foreign
exchange rates in the prior period to the current period revenues.
Own cash Calculated as cash held plus gross amounts due to Boku from issuers and
merchants less amounts owed to merchants
Average Cash Balances Average cash is the average cash balance for each day for the period
Alternative performance measures
Six months ended 30 June
2025 2024
$'000 $'000
Adjusted EBITDA 21,755 14,213
Adjusted EBITDA margin (%) 34.3% 30.1%
Adjusted operating expenses 41,060 31,706
Constant exchange rate revenues 64,180 47,284
Average Cash Balances 152,290 134,368
Period ended
30 June 2025 31 Dec 2024
$'000 $'000
87,291 80,249
Own Cash
Reconciliation of adjusted EBTIDA to operating profit/(loss):
Six months ended 30 June
2025 2024
$'000 $'000
Adjusted EBITDA 21,755 14,213
Depreciation and amortisation (4,193) (3,789)
Share-based payments (including associated tax costs) (5,118) (5,821)
Foreign exchange gain/ (loss) 101 (4,833)
Exceptional items (629) (166)
Operating profit/ (loss) 11,916 (396)
Exceptional items are included in administrative expenses and include the
following items:
Six months ended 30 June
2025 2024
$'000 $'000
Restructuring, redundancy and transformation costs 415 634
One-off refund from an issuer (50) (468)
Office relocation costs 264 -
Total exceptional Items 629 166
Adjusted operating expenses calculation
Six months ended 30 June
2025 2024
$'000 $'000
Gross profit 62,815 45,919
Adjusted EBITDA (21,755) (14,213)
Adjusted operating expenses 41,060 31,706
Constant Exchange Rate Revenues
Six months ended June 30 Constant
Currency Revenue Growth
2025 2025 2024 Revenue
Revenue Revenue
at H12024 Rates
Operating Segment $'000 $'000 $'000
Payment Services 63,337 64,180 47,284 36%
As at 30 June As at 31 December 2024
2025
$'000 $'000
Cash and cash equivalents 191,918 177,333
Receivable from Issuers 158,505 134,672
Trade receivables 12,964 12,122
Payable to Merchants (276,096) (243,878)
Total own cash 87,291 80,249
Own Cash Calculations
Average Cash Balances
Six months ended 30 June
2025 2024
$'000 $'000
Average Cash Balances 152,290 134,368
Independent review report to Boku, Inc.
Report on the condensed consolidated interim financial statements
Our conclusion
We have reviewed Boku, Inc.'s condensed consolidated interim financial
statements (the "interim financial statements") in the 2025 Interim Report of
Boku, Inc. for the 6 month period ended 30 June 2025 (the "period").
Based on our review, nothing has come to our attention that causes us to
believe that the interim financial statements are not prepared, in all
material respects, in accordance with International Accounting Standard 34,
'Interim Financial Reporting', as issued by the IASB and the AIM Rules for
Companies.
The interim financial statements comprise:
· the Condensed consolidated statement of financial position as at
30 June 2025;
· the Condensed consolidated statement of comprehensive income for the
period then ended;
· the Condensed consolidated statement of cash flows for the period
then ended;
· the Condensed consolidated statement of changes in equity for the
period then ended; and
· the explanatory notes to the interim financial statements.
The interim financial statements included in the 2025 Interim Report of Boku,
Inc. have been prepared in accordance with International Accounting Standard
34, 'Interim Financial Reporting', as issued by the IASB and the AIM Rules for
Companies.
Basis for conclusion
We conducted our review in accordance with International Standard on Review
Engagements (UK) 2410, 'Review of Interim Financial Information Performed by
the Independent Auditor of the Entity' issued by the Financial Reporting
Council for use in the United Kingdom ("ISRE (UK) 2410"). A review of interim
financial information consists of making enquiries, primarily of persons
responsible for financial and accounting matters, and applying analytical and
other review procedures.
A review is substantially less in scope than an audit conducted in accordance
with International Standards on Auditing (UK) and, consequently, does not
enable us to obtain assurance that we would become aware of all significant
matters that might be identified in an audit. Accordingly, we do not express
an audit opinion.
We have read the other information contained in the 2025 Interim Report and
considered whether it contains any apparent misstatements or material
inconsistencies with the information in the interim financial statements.
Conclusions relating to going concern
Based on our review procedures, which are less extensive than those performed
in an audit as described in the Basis for conclusion section of this report,
nothing has come to our attention to suggest that the directors have
inappropriately adopted the going concern basis of accounting or that the
directors have identified material uncertainties relating to going concern
that are not appropriately disclosed. This conclusion is based on the review
procedures performed in accordance with ISRE (UK) 2410. However, future events
or conditions may cause the group to cease to continue as a going concern.
Responsibilities for the interim financial statements and the review
Our responsibilities and those of the directors
The 2025 Interim Report, including the interim financial statements, is the
responsibility of, and has been approved by the directors. The directors are
responsible for preparing the 2025 Interim Report in accordance with the AIM
Rules for Companies which require that the financial information must be
presented and prepared in a form consistent with that which will be adopted in
the company's annual financial statements. In preparing the 2025 Interim
Report, including the interim financial statements, the directors are
responsible for assessing the group's ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the
going concern basis of accounting unless the directors either intend to
liquidate the group or to cease operations, or have no realistic alternative
but to do so.
Our responsibility is to express a conclusion on the interim financial
statements in the 2025 Interim Report based on our review. Our conclusion,
including our Conclusions relating to going concern, is based on procedures
that are less extensive than audit procedures, as described in the Basis for
conclusion paragraph of this report. This report, including the conclusion,
has been prepared for and only for the company for the purpose of complying
with the AIM Rules for Companies and for no other purpose. We do not, in
giving this conclusion, accept or assume responsibility for any other purpose
or to any other person to whom this report is shown or into whose hands it may
come save where expressly agreed by our prior consent in writing.
PricewaterhouseCoopers LLP
Chartered Accountants
London
30 September 2025
Glossary
Abbreviation Definition
A2A Account to Account based payment systems allow payments to be made from one
bank account to another, generally in real time. They are contrasted with
card-based payment systems where the payment is mediated through a card
scheme. In A2As the payment is direct via Boku. A2A payments can be organised
as schemes, typically under the jurisdiction of the Central Bank (UPI in India
or Pix in Brazil), as interbank initiatives (Twint in Switzerland, Blik in
Poland) or as infrastructure (Open Banking access to Faster Payments in the
UK).
AGM Annual General Meeting.
AIM Alternative Investment Market.
AISP Under Open Banking, an Account Information Service Provider, with consumer
consent can access information about the transactions and balances in the
consumer's bank account. AISPs can then provide services that provide a
consolidated view of a consumer's activity across multiple banks, or analysis
that might not be available from their financial institution. In the UK, AISPs
are authorised by the FCA.
APMs Alternative performance measures are non-GAAP financial measures used by
management to assess and monitor the performance of the business.
ATV The Average Transaction value is the TPV divided by the total number of
successful transactions.
CAGR Compound annual growth rate.
Carriers Carriers are the consumer's mobile network operator (MNO), through which
purchases can be charged to a phone bill. See DCB.
CER Constant exchange rate is calculated by applying the monthly average foreign
exchange rates in the prior year to the current year results.
CEO Chief Executive Officer.
CFO Chief Financial Officer.
CGU Cash generating unit.
COO Chief Operating Officer.
CT Corporation tax.
DCB (Bundling) Direct Carrier Billing (Bundling) refers to the distribution of merchant
services via third parties, such as telecom providers typically as part of a
new tariff or promotional offer (e.g. 'Get six months of streaming music
included with your mobile phone plan'). Boku's services facilitate this
process by seamlessly connecting the distributor with the entertainment
company's systems.
DCB (Payments) Direct Carrier Billing (Payments) is a form of payment method whereby
consumers can purchase digital goods using their post-paid mobile phone
account or pre-paid mobile phone balance.
DEI Diversity, equity and inclusion.
DT Deferred tax.
ECL Expected credit loss
EGM Extraordinary General Meeting.
EPS Earnings per share.
Digital Wallet A Digital Wallet is a type of payment method that allows a user to undertake
transactions online and, sometimes, offline. A user will link their wallet to
a funding source which might be a bank account, debit card or cash top up. The
balance in the wallet is then used to fund the purchase. In some cases, these
wallets will have an auto top up feature that allows funds to be withdrawn
from the funding source if there is insufficient balance. Examples include
Alipay, PayPal, Dana or Gopay.
GLT Global Leadership Team.
Gross margin Revenue less cost of sales divided by revenue.
Group Boku, Inc. and its controlled entities.
IFRS International Financial Reporting Standards.
Issuer The Issuer is the entity within the Boku network who has the relationship with
the consumer, issues them with payment credentials, collects the amounts owed
by the consumer and settles them. The Issuers within the Boku network include
Mobile Network Operators, Digital Wallet providers and A2A schemes.
LPMs Local Payment Methods are those which typically operate in a single region.
They include Digital Wallets, Account to Account based payment schemes,
domestic card schemes, domestic voucher schemes, mobile network operators and
Buy Now Pay Later operators. Local Payment Methods typically operate to their
own standard and are not interoperable with other schemes.
LTIP Long term incentive plan.
MAU Boku defines a Monthly Active User as one who has undertaken one or more
successful payment transactions or who has an active bundle within the month
in question. Users who have registered and still have an active payment method
on file are not defined as active unless they have successfully transacted.
Merchant A merchant is a business or entity that sells products or services to
consumers and integrates various payment methods.
MNOs Mobile network operator, see carrier.
Nomad Nominated adviser.
NPV Net present value.
Open banking In Open Banking markets, banks are required to provide interfaces to
authorised third parties to access account information (AISP) or initiate
payments (PISP).
Payments Marketing Payments Marketing refers to the integration of marketing initiatives into the
payment process. Through this approach, targeted offers, promotions, or
bundled services are delivered at the point of payment, enabling merchants to
use payment channels as a means of enhancing customer engagement and
retention.
PISP Under Open Banking, a Payment Initiation Service Provider, with consumer
consent, can initiate payments from the consumer's bank account. In the UK,
PISPs are authorised by the FCA.
Platform The platform that Boku has built to connect Merchants and Issuers via Local
Payment Methods.
PPA Price purchase allocation.
PSP A Payment Service Provider acts as a technical layer connecting a merchant to
various issuers. The base level of service is the transaction model where only
technical services are provided. It can be supplemented by the settlement
model whereby funds are collected and settled to those merchants.
PwC PricewaterhouseCoopers LLP.
RCF Revolving credit facility.
RSU Restricted Stock/Share Units are share awards subject to a vesting schedule
and certain vesting conditions.
Settlement model In the Settlement model, Boku provides not only technical transaction
processing services but also collects the funds due from the Issuers and
settles them to the merchant in the currency of their choice.
SID Senior Independent Director.
SRSU Stretch restricted share units subject to market based vesting conditions
Take rate Take rate is defined as revenue divided by TPV. It is a measure of the average
price obtained.
TPV Total Payment Volume is total value transacted through the system quantified
in US dollars. For payments, this is the total amount successfully transacted
by consumers translated into USD at average FX rates for the month. For
bundling transactions, it represents the total retail value of the bundles. In
some cases, this value is inferred from revenue.
Transaction model The Transaction Model is where Boku provides technical connectivity services
to a merchant, while the merchant directly arranges settlement with the
issuer.
WACC Weighted average cost of capital.
1 Constant exchange rate is an alternative performance measure (APM)
calculated by applying the monthly average foreign exchange rates in the prior
year to the current year results.
2 Adjusted EBITDA is an alternative performance measure (APM) calculated as
operating profit before non-recurring other income, depreciation,
amortisation, share-based payment expense, foreign exchange gains/(losses)
(excluding costs associated with currency conversion services) and exceptional
items (see the APM section of this report for further details).
3 Calculated as adjusted EBITDA over revenue for the year.
4 Own cash is an alternative performance measure calculated as cash held
plus gross amounts due from issuers and merchants less amounts owed to
merchants
5 Average cash balances are an alternative performance measure calculated as
the average cash balance for each day over the period.
6 In so far as the Board is aware, as at 29 September 2025, consensus
expectations for the full year to 31 December 2025 was for revenue of $126.7m
and adjusted EBITDA of $39.3m.
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