Openpay (ASX:OPY)

Openpay (ASX:OPY) is an ASX-listed buy now, pay later (BNPL) stock with a differentiated offering to other players in the sector. The company targets financially savvy and low risk customers, with 54% of its customer base aged 38 years old.

Openpay is primarily focused on segments with higher transaction values, such as home improvement, automotive and healthcare, providing longer term plans of up to 36 months.

The company’s H1 FY20 results, released in February 2019, showed 187 per cent growth in active plans, a 99 per cent rise in active customers and a 95 per cent ($84.4 million) jump in total transaction value relative to the previous period.

Other key milestones for the remainder of 2019 included a successful launch in the United Kingdom and an ASX debut listing in December.

Following on from these successes, in July 2020 Openpay announced a partnership deal with telehealth stock 1st Group, allowing patients to utilise the BNPL provider to pay their bills. Shortly afterwards, a revenue-sharing arrangement was announced with MLS Solutions that saw an integration onto the OpenPay platform for sales of its golf and membership products.

For the period between March and September in 2020, Openpay was among the BNPL sector standouts, with a share price gain of over 1000 per cent.

In October, Openpay announced its Q1 results, where the company said it booked revenues of $6.2 million — a gain of 68 per cent from the prior year comparative period. The company said it had 372,000 active customers across a merchant base of over 2,200 companies.