Credit Clear achieves record quarterly revenue
Australian receivables management solution provider Credit Clear announce that it achieved record revenue of $8.63m in Q4FY22, up 41% QoQ and 160% vs PCP.
Record monthly revenue of $3.12m was achieved in June taking Credit Clear’s annualised revenue run rate to $37.44m.
In addition to record revenue, Credit Clear has reported consecutive months of operational profitability in May and June 2022, through continued growth and a disciplined approach to its ongoing investment in technology.
New sales and pipeline
Credit Clear signed 60 new clients in Q4FY22, including several clients that the company expects to become top ten clients by revenue. Notable clients include a financial services provider, a state government service provider, and a large water utility.
The sales pipeline has strengthened considerably during the quarter, with Credit Clear’s award-winning technology supported by hybrid end-to-end collections and legal recoveries resonating particularly well with materially significant potential clients.
New opportunities include negotiations with a large Australian bank, a tier 1 Australian insurer and several large utility opportunities, where growing pressure on customers due to rising inflation is having an impact.
International update
South Africa – During the quarter several key data and technical projects have been completed that are typical of large, complex organisations on a digitisation journey. Message delivery rates and engagement are broadly consistent with Australian metrics and email messages have recently been added to the workflow. Techub is progressively adopting a “digital-first” approach and providing Credit Clear the opportunity to process untreated portfolios.
UK and Singapore – Credit Clear has progressed discussions in the UK with a large multinational BPO and Collection Agency regarding a partnering and teaming agreement. In Singapore, Credit Clear is pursuing a licensing agreement with a large APAC debt collection provider.
Technology performance
A significant champion / challenger test during the quarter provided further validation of Credit Clear’s award-winning Artificial Intelligence (AI) technology. Credit Clear’s AI-driven software, which predicts the next best channel, message and timing to use, has delivered a 35% uplift in collections for a toll road operator in Q4FY22. The case study measured optimised workflows using SMS, Email, and dialler calls, using the Credit Clear platform and the same message templates. The differentiator between the two treatments was the use of Credit Clear AI to decide which action to take next for a particular customer, based on what had already happened to date.
Andrew Smith, Credit Clear CEO, said, “In 2022 Credit Clear has positioned itself to lead the market as a hybrid end-to-end credit management company. We’ve done this by providing a ‘best-of-both’ offering that sees award-winning AI technology combined with an experience-led and customer centric service offering. The uplift in performance produced for our clients has been quantifiably proven in recent case studies and is contributing towards greater referral volumes from existing clients, and an influx of new clients that we have signed in the past few months.
“International expansion is an important part of our growth story, and I’m pleased to say that our technology is being received in other markets with the same enthusiasm that we have seen in Australia. We are in meaningful discussions with several global organisations that could provide Credit Clear with low-cost, high-scale international partnership opportunities.
“We exit the 2022 financial year as a profitable market-leading company and our intention is to reinvest profits for growth. With a strong cash balance and an increasingly supportive economic environment Credit Clear is positioned to deliver strong growth across every business unit in FY2023.”
