Integrated Payment Technologies Limited (ASX:IP1) CEO, Dean Martin, discusses 1H20 results, customers numbers and take up for the company's ClickSuper and PayVu systems and integration with accounting platforms.
Rachael Jones: Hello. I'm Rachael Jones for the Finance News Network. Joining me today from Integrated Payment Technologies (ASX:IP1) is CEO Dean Martin. Dean, welcome back to FNN.
Dean Martin: Thanks Rachael. It is good to be here.
Rachael Jones: Now, InPayTech provides software to automate payments for superannuation and also for bookkeepers. How is progress?
Dean Martin: It's been a great six months for us with all of our products. So, all of our key products and services have brought on new customers. What we're seeing now is that PayVu has established itself in the target market, which is advisors -- specifically bookkeepers and accountants that are trying to help their customers make payments. We've established active, regular users in that market.
Payment Adviser, probably our least known solution, has also grown. It is integrating into the peer-to-peer lending market, so that is a market that is growing as well. And we're in the final stages of integrating with a growing player in that space.
ClickSuper -- we're extending the functionality to effectively triple our total addressable market for our key product, or the key solution that our customers keep coming back to us for. And that is, of course, a complete compliance and payment solution. What I mean by that is, with ClickSuper, a payroll manager can, as simple as a single button push, move the money for a salary payment, a contribution payment, and the associated superannuation data and STP data, and that's all done with a single button push.
Now, that doesn't sound sexy or exciting. But when you actually unpack the process and look at what's involved for a payroll manager today, what they'll typically do is they export a file to pay the salaries and wages. That exporting the file is where you're exposing financial data about your staff. That file contains your name, your date of birth, your tax file number, where you live. They'll then navigate to another portal and upload that file.
When payrolls integrate with ClickSuper, we reduce that risk, and we automate the process. Single button push, money and data move to where they need to, you're not exposing personal or private information and financial data about employees outside of a payroll system.
Rachael Jones: And how are the first half results for 2020? What were the highlights?
Dean Martin: The highlights really haven't translated into the financials at this stage. What we find with our solutions and our target market, is that it is a double sales process. So firstly, we need to let the payrolls and the bookkeepers and accountants know about the automation that we can provide to reduce risk in manual steps, or to make it an elegant solution. What subsequently happens is they need to sell that solution to their customers, whether it is an SME in the bookkeeping space, or if it is a large enterprise business or a small-medium business in the larger traditional market of ClickSuper, which is the payroll space.
So, there is a natural lag between us growing, adding people to our network, and seeing that translate into the financial results. So, as I said, we're tripling our total addressable market in ClickSuper by adding new functionality, effectively taking our core competencies, where we provide completely in-the-plumbing solutions for enterprise and government clients -- we've now brought that down to SME and medium business. So, that will take hold in the second half of the year, and really our total addressable market will grow, and we expect that'll subsequently feed into the financials.
Rachael Jones: And Dean, for the benefit of investors, what does the second half look like?
Dean Martin: So, as I know you know, Rachael, we restructured six months ago. And that really meant refocusing the business and organising our resources in a more effective way. We're starting to see those benefits take hold on the sales front, and really now our goal is to continue to grow -- ie, continue to bring on new partners -- and also help our partners engage their clients to understand that there are now solutions available that are more automated, less manual steps, but also more secure for their customers.
Rachael Jones: Excellent. And to the last question now, Dean, is there anything else you would like to add?
Dean Martin: Now that we've established in our target market for PayVu, we're really looking forward to seeing that grow and bring on new customers at a much faster rate. So now that we've got customers that are actually talking about it, we've got some great reference sites, we've got some case studies coming out, and we've got a big launch in March. So, we're expecting to see the appropriate level of growth in that part of our business.
With ClickSuper, we will continue to extend that integrated payroll network. And I think with cyber crime and identity theft, part of that sale is being done for us in the media now. People are more aware and more concerned about the privacy of their information, privacy of their financial data, privacy of their identity data. That makes our sales job much easier.
So, we are expecting to start to really see those things have an impact.
Rachael Jones: Dean Martin, thanks for the update, and we'll look forward to hearing from you, if not before, at full year results' time.
Dean Martin: Look forward to it, Rachael. Thanks for having me.
This release contains forward-looking statements and information that are necessarily subject to risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements of Integrated Payment Technologies Limited (the Company) to be materially different from those expressed or implied in this release including, amongst others, changes in general economic and business conditions, regulatory environment, results of advertising and sales activities, competition, and the availability of resources. Should one or more of these risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this release. Except as required by law, the Company assumes no obligation to update or correct the information in this release. To the maximum extent permitted by law, the Company and its subsidiaries and officers do not make any representation or warranty as to the likelihood of fulfilment of any forward-looking statements and disclaim responsibility and liability for any forward-looking statements or other information in this release. This release should be read in conjunction with the Company’s other ASX announcements and releases.