One Click Group’s fintech platform hits 90,000 user milestone

The new tax season and mortgage rate uncertainties have helped drive a dramatic acceleration in take-up of One Click Group’s (ASX: 1CG) digital financial support platform.

This has been highlighted by the addition of an extra 10,000 users in just over a week.

After announcing it had signed up 80,000 users on July 6, the company today revealed its registered user base has now surpassed 90,000 users – an approximately 12% increase.

Demand for digital financial services

Managing director Mark Waller said the interest in the company’s platform is reflected by the growing demand for digital financial services in Australia.

One Click’s digital services have been developed to help users find answers to daily issues such as taxes and mortgages via a suite of simple financial products capable of being easily consumed via a mobile phone.

Mr Waller said the recent growing interest is presenting increasing business opportunities for the company’s core tax product, and other products available on the One Click Life platform, such as One Click Mortgages.

“Our focus for the last two weeks has been assisting as many customers as possible with their tax lodgement needs,” Mr Waller said.

Growth in user numbers and revenue

“This has resulted in over 10,000 tax lodgements since 1 July 2023, with over 15% selecting a Next Day Refund, significantly increasing the average revenue per customer.

“A substantial amount of work has been put into our marketing strategy and product improvements, which are generating a significant growth in user numbers for the One Click Life platform.”

One Click’s has attracted over 25,000 new users since January 1, a 38% improvement on the 65,000 users registered as at 31 December 2022 and a 250% leap from the same period last financial year.

The dramatic upsurge in user registrations is also adding significantly to the company’s bottom line.

This recent uptake is being reflected in outstanding revenue growth with returns rocketing up by more than 300% between July 1 and 12.

Mr Waller said a combination of strong returning customer numbers, strong user growth and an increased suite of products available on the One Click Life platform is pushing the dramatic revenue increase.

The dramatic early July surge has already pushed year-to-date above the 2022 full year’s revenue.

Mr Waller says the company is confident it can attract over 110,000 registered users by the end of the year.

Next day funds expansion

Earlier this week, One Click Group revealed that its wholly owned subsidiary Mobile Business Devices had secured an additional $1 million to fund the expansion of its ‘Next Day Refunds’ tax product.

The additional funding comes on the back of an early July 2023 deal which saw the company’s wholly owned subsidiary, Mobile Business Devices, secure funding of $1.2 million under a loan note facility.

That facility carried an option to raise up to an aggregate of $2.5 million and due to significant customer demand for the Next Day Refunds product, the company has agreed to acquire a total of $2.2 million.

Only released for live testing on June 21, the Next Day Refunds product has already been taken up by over 1,100 customers.

The product provides customers with the ability to receive an advance cash payment of up to $1,000 of their tax refund on the day after lodgement of their tax return.

Mr Waller says that when the ATO commences paying tax refunds back through the company’s trust account, the tax refund advances will be repaid to the company, and the company will be able to recycle the debt to continue providing the product.