The Tyro Payments Ltd (ASX: TYR) share price has bounced this morning after the company released its most recent weekly trading update.
Tyro's trading update
Tyro released its trading update for the week ending 4 September earlier today.
The update was highlighted by a 24% increase in date-on-date transaction values from FY20 to FY21. For the period between the start of September to 4 September, Tyro reported a transaction value of $247 million.
In comparison to FY20, the company also reported an increase in same day-on-day and year-to-date transaction values of 6% and 5%, respectively.
Tyro has been releasing weekly transaction value updates to the market, and today's announcement marks its 25th update. The company decided to do this in a bid to provide transparency on the impact of the COVID-19 pandemic on operations.
More details on Tyro
Tyro is an electronic payments solution provider that listed on the ASX late last year. The company's proprietary technology terminals (which accept debit and credit card payments) are provided to over 32,000 merchants.
In FY20, Tyro reported a 15% surge in transaction value of $20.1 billion. As a result, the company reported an 11% increase in revenue of $210.7 million for the full-year.
Behind the big four banks, Tyro is also Australia's 5th largest merchant acquiring bank by number of terminals in circulation. For FY20, the company originated $60.1 million in loans and reported $50.5 million in merchant deposits.
Despite record transaction volumes and revenue, Tyro booked a $38.1 million net loss for the full-year. The company's management cited the COVID-19 pandemic and Australian bushfires earlier in the year for its lacklustre performance.
The pandemic in particular has hit the company hard, with most of Tyro's retail customers in the hospitality and retail sector. As a result, the company has opted to provide weekly update on transaction volumes, rather than offering financial guidance for FY21.
At the time of writing the Tyro share price is trading slightly lower for the day at around $3.38. Shares in Tyro have bounced slightly after hitting an intra-day low of $3.32 earlier. Overall, the Tyro share price is trading relatively flat for 2020, after rebounding by more than 235% from its low in mid-March.
