Feedback: Growth, profitability, GoCardless continues on its way

Just over a year after making Paris its hub for European operations, GoCardless shares its results and reports sustained growth. Driven mainly by its commercial strategy and its GoCardless Embed offering, the fintech expects to reach profitability by 2025. The market for account-to-account payments is indeed buoyant, enabling Gocardless to envisage continued performance.

FACTS

• GoCardless has just reported on its successful year and the reasons behind it.
• The company's performance includes :
• a 31% increase in sales worldwide,
• a 49% increase in international sales (excluding the UK and Ireland),
• a 42% increase in sales in France, the bridgehead country for the deployment of GoCardless in Europe.
• In terms of business, the company estimates that the total volume of payments processed rose by over 36% over the period.
• The fintech has identified two main factors behind this performance:
• A sustained sales strategy: GoCardless succeeded in signing major contracts, while renewing long-standing strategic partnerships such as with Sage. The company also carried out several integrations with software suppliers, a means of further accelerating its commercial conquest.
• The launch of GoCardless Embed: Launched in February 2023, the solution enables PSPs to access the company's bank payment network and benefit from account-to-account payments.
• Finally, the fintech explained that it had chosen to focus its recruitment strategy on finding and retaining talent in their fields, which seems to have paid off.

CHALLENGES

• Results that confirm the fintech's ambitions: All these developments are aimed at making GoCardless one of the major players in BtoB payments. From its base in the UK, the start-up has expanded to the four corners of the globe, with a presence in some 30 countries today. The UK-based company has opened offices in Australia, France, Latvia and the USA. The fintech is also closing in on a more concrete goal: profitability, which it expects to achieve by 2025.
• Meeting market expectations: Today, fintech processes $35 billion in payments per year. There's still plenty of room for improvement, since transaction volume for the account-to-account payments market is estimated at $225,000 billion, according to the figures in the press release. The evolution of GoCardless shows that the fintech is not content to rest on its laurels.

MARKET PERSPECTIVE

• In March, GoCardless announced the potential acquisition of Nuapay, an online payment and account-to-account platform operating mainly in Europe. Still awaiting approval from the competition authorities, GoCardless sees this acquisition as a way of expanding its range of indirect channels.