Laybuy (ASX:LBY) share price climbs on March trading update

The Laybuy Holdings Ltd (ASX: LBY) share price is climbing today following the release of a trading update. Here are the company highlights.

| More on:
A young woman smiling and looking happy, indicating a positive share price movement on the ASX market

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Laybuy Holdings Ltd (ASX: LBY) share price is climbing in early-afternoon trade following the release of a trading update. At the time of writing, the buy now, pay later (BNPL) provider's shares are trading at 93 cents, up 1%.

Trading update

Investors are pushing Laybuy shares higher after the company delivered a robust performance for the month of March.

For the month ending 31 March 2021, Laybuy reported annualised (multiplied by 12) gross merchandise value (GMV) of NZ$704 million. In addition, 479 active merchants and 23,000 active customers signed on to Laybuy's platform.

Predominately, the United Kingdom market is the company's largest revenue source, achieving NZ$296 million in annualised GMV for FY21. It's worth noting that this market has significantly grown 504% over the prior corresponding year. The company said its UK merchants, along with strategic partnerships, are driving the rapid growth.

The Australia New Zealand region closely follows with NZ$293 million in annualised GMV for the current financial year.

In total, this reflects an increase of 159% on FY21 GMV to NZ$589 million, slightly above previous forecasts.

Active merchants stood at 9,126 at the end of the period, representing a 75% increase from 31 March 2020. Furthermore, active customers came to 756,000, a surge of 87% over the same time frame.

Laybuy stated that it has funding options and a capital efficient business model to facilitate future growth. The UK retail market has an addressable opportunity of NZ$757 billion, highlighting an attractive pathway.

In addition, the company said that it was well-placed to respond to any regulatory changes in the BNPL sector.

Laybuy share price review

Over the past 12 months, the Laybuy share price has fallen more than 50%, with close to 30% down year-to-date. The company's shares have been trending lower ever since its listing in early September 2020.

Based on the current share price, Laybuy presides a market capitalisation of roughly $163.1 million, with 174.4 million shares outstanding.

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Market News

The silhouettes of ten people holding hands with their arms raised against the sky, as the sun rises or sets in the background.
Share Gainers

Here are the top 10 ASX 200 shares today

Investors were nervous this Friday, ending the week on a sour note.

Read more »

A businessman looking at his digital tablet or strategy planning in hotel conference lobby. He is happy at achieving financial goals.
Share Market News

Where to invest $5,000 into ASX 200 shares this month

The team at Bell Potter is bullish on these names. But why?

Read more »

Man pointing an upward line on a bar graph symbolising a rising share price.
52-Week Highs

8 ASX 200 shares hitting multi-year highs today

These shares have defied the trend, hitting new price milestones amid a day in the red for the ASX 200.

Read more »

Broker Notes

Brokers name 3 ASX shares to buy today

Here's why brokers are feeling bullish about these three shares this week.

Read more »

A young man punches the air in delight as he reacts to great news on his mobile phone.
Share Gainers

Why EOS, Evolution Mining, Renascor, and Woodside shares are jumping today

These shares are ending the week on a high. But why?

Read more »

Person with thumbs down and a red sad face poster covering the face.
Share Fallers

Why Accent, Cettire, Ioneer, and Pro Medicus shares are dropping today

These shares are ending the week in the red. What's going on?

Read more »

A group of three miners in hard hats and high visibility vests confer at a rocky mining site.
Broker Notes

Up 66% in a year, just how much more upside does Macquarie tip for Perseus Mining shares?

Just how much higher might Perseus Mining shares soar? Here’s what Macquarie had to say about the ASX 200 gold…

Read more »

Rising share price chart.
Broker Notes

Why this exciting ASX 200 share could rise almost 50%

Bell Potter has good things to say about this biopharmaceutical company.

Read more »