EML Payments surges on reaffirming guidance despite Irish regulatory woes

EML Payments

31/03/2023 02:07

** Shares of Australian payments solutions provider EML
Payments Ltd  EML.AX  rise as much as 35.7% to A$0.570, their
biggest intraday pct gain since Nov. 1, 2022
    ** EML reaffirms FY23 guidance; expects revenue of A$235
mln-A$245 mln ($164.52 mln-$157.80 mln), and underlying EBITDA
of A$26 mln-A$34 mln
    ** EML's guidance reaffirmed despite Irish central bank
imposing 0% growth cap on EML's Irish unit, PFS Card Services
Ireland Limited (PCSIL), for 12 months ending March 31, 2024
    ** Notification from Irish c.bank ensures PCSIL would be
restricted from signing new customers and launching new programs
for 12 months ending March 31, 2024
    ** EML on Feb. 24 noted that growth cap would lead to
reduction in revenue of A$3.5 mln in revenue and A$2 mln in
EBITDA for FY23
    ** Stock hits highest level since Feb. 24 
    ** More than 10 mln shares change hands, vs the 30-day
average volume of 2.7 mln shares
    ** Stock down 33.3% this year, as of last close

($1 = 1.4892 Australian dollars)

 (Reporting By Udbhav Krishna P and Harish Sridharan in
Bengaluru)
 ((UdbhavKrishna.P@thomsonreuters.com))