HPS: Consolidated Revenues Increase by 18.1% by the End of September 2025

In the third quarter of 2025, HPS recorded consolidated revenues of 358 million MAD, reflecting a 21.4% increase compared to Q3 2024. For the first nine months of the year, consolidated revenues reached 1,030 million MAD, up 18.1% despite unfavorable currency effects. At constant exchange rates, the growth stands at 24.5% compared to 2024. The transition to the SaaS model, particularly in North America and Australia, continues to drive growth in regular and recurring revenues, which increased by 7.9% in the quarter, accounting for 71% of total revenues by the end of September 2025. In the payments sector, robust momentum is supported by the advancement of the PowerCARD and BankWorld projects, which are the digital banking and wallet platform developed by the subsidiary CR2. The growth in SaaS fees and the onboarding of new clients also contributed to this positive trend. The switching segment continues to grow, bolstered by an expanded service offering and the integration of new participants. Investments in research and development remain high, totaling 105 million MAD by the end of September, reflecting a continuous commitment to innovation. HPS has confirmed its 2025 objective of achieving annual consolidated revenue growth exceeding 20%. In the payments division, the execution of projects and the acceleration of recurring revenues are noteworthy. Revenue from the PowerCARD and BankWorld projects has increased by 68%, while SaaS fees have risen by 39%. Maintenance revenue also grew by 39%, driven by the onboarding of new clients and ongoing geographical expansion, particularly in North America and Asia. The switching segment is experiencing continuous growth due to an expanded service offering and increased interoperability. This growth aligns with ongoing efforts to enhance the availability, performance, and added value of the platform. On September 19, HPS entered exclusive negotiations with the French IT services company Synanto for the sale of its testing activity. This move is part of the Group's strategy to focus on its core business—electronic payment technologies—and to strengthen the coherence and performance of its portfolio. In terms of R&D investments, HPS allocated 35 million MAD in Q3 2025, a 40% increase compared to Q3 2024. By the end of September, the cumulative investment reached 105 million MAD, slightly down by 1.0% from 2024, indicating a return to a normative pace after several years of sustained investment in the nearly finalized version 4 of PowerCARD. The Group's R&D priorities include the integration of BankWorld and PowerCARD to maximize synergies from the CR2 acquisition, continuous functional enhancements of platforms, technological innovation in cloud computing, AI, and cybersecurity, and anticipating regulatory changes in key markets. As of the end of September 2025, the consolidation scope reflects the integration of HPS Australia in Q1 2025. HPS's investments in Q3 2025 were part of the normal cycle of acquiring and replacing IT equipment, with no major new operations. By the end of September 2025, HPS demonstrated a solid financial structure, with cash totaling 176 million MAD, down from 204 million MAD in 2024. This decrease is attributed to regular repayments of the Group's loans, which were used to finance various external growth operations. Consequently, debt stands at 465 million MAD, a decrease of 14.7% compared to 2024. HPS reaffirms its 2025 outlook, targeting revenue growth exceeding 20%, primarily driven by recurring activities and contracts already secured in the backlog. This objective is supported by a record backlog ensuring high visibility for the end of the year, gradual increases in SaaS revenues linked to the launch of SaaS platform phases in North America and Australia, and the enhanced contribution from major on-premises projects signed throughout 2025.