Realex reports profits of €780k on €7m revenues

2 Dec 2010

E-commerce payments company Realex has reported revenue growth of 8pc for the year ending in April 2010. Year-end statements reveal a turnover of €7m, up from €6.5m a year earlier.

Pre-tax profits at the 10-year-old company increased by 9pc, reaching €783,000, leaving Realex Payments with accumulated profits of more than €3m at the end of April last.

The value of payments processed in the last 12 months increased by 44pc to €9bn.

In excess of €1bn was processed in November – double what was processed during the same month last year. 

The volume of payments processed by the company also increased by 26pc.

Consumers are spending more money online: the average transaction value in November 2010 was €252, increasing from €182 in November 2009.

Online entrepreneurial spirit is still buoyant – the amount of new businesses signing up to the company each month has increased steadily throughout 2010. In November, the Realex Payments signed up 180 new companies to its service.

CEO Colm Lyon is still the majority shareholder in Realex Payments, owning 79pc of its shares at the end of April last.

Expansion mode

“Our focus is expansion; we have a strategy in place that calls for ambitious plans to grow and scale our business, particularly abroad,” Lyon said.

Realex is currently recruiting 15 new employees.

“We recently launched in the French market and plans are already afoot for further European expansion.” Lyon said.

“We’ve witnessed a significant uplift in terms of the value and volume of payments we’ve processed in the last 12 months. We processed in excess of €9bn in 2010, with €1bn processed during November alone.” Lyon continued.

A key component of the expansion plans for the company is the launch and rollout of its subsidiary company Carapay in 2011.

Carapay is a new payment instrument and was the first new company to be awarded a licence under the Payment Service Directive (PSD).

John Kennedy is a journalist who served as editor of Silicon Republic for 17 years