RS2 plc - Full-Year Results

On 23 April 2025, RS2 plc published its Annual Report & Financial Statements for the year ended 31 December 2024.

Total revenue fell by 5.4% to €37.5 million as the declines in ‘Software (Licensing) solutions’ (-11% to €10.5 million) and ‘Processing solutions’ (-6% to €23.4 million) outweighed the growth in ‘Merchant solutions’ (+23% to €3.7 million).

Operating costs fell by 7.8% to €35 million as the higher level of cost of sales was offset by lower administrative and marketing expenses. Furthermore, the Group recorded favourable foreign exchange movements in contrast to foreign exchange losses in the prior year. As a result, operating profit climbed nearly 50% to €2.54 million (2023: €1.70 million). Excluding depreciation and amortisation charges, EBITDA increased by 31% to €5.43 million and the EBITDA margin improved to 14.5% from 10.4% in the previous year.

After accounting for net finance costs of €0.39 million, tax expenses of €1.24 million, and a profit of €0.86 million attributable to minority interests, the net profit attributable to the shareholders amounted to €0.04 million compared to a loss of €0.51 million in the previous year.

The Statement of Financial Position as of 31 December 2023 shows that total assets remained virtually unchanged at €49.1 million with minimal changes across assets. Total liabilities fell by 3% to €25.4 million as the reduction in borrowings (-25% to €5.4 million) outweighed the increase in lease liabilities (+12% to €2.6 million). Shareholders’ funds remained practically unchanged at €26 million.

Outlook

In his commentary, RS2’s CEO stated that 2025 is shaping up to be a year of significant innovation and change with focus on making payments more convenient, secure, and personalised for consumers. RS2 will continue to concentrate on implementing and delivering its strategy around its main business pillars of growing and expanding the managed service business, ramping up the US expansion and growing its own direct acquiring business. The Group is also investing further in its infrastructure to strengthen the technology and complete the product to play a more active role in the digitalisation of the whole customer journey, to offer omni-channel solutions and go beyond traditional payment solutions.