Australian fintech Zip — the owner of the zipPay, zipMoney and Pocketbook brands — has hit cash flow break even right on target.

In a business update, the digital retail finance and payments player reported revenue for the fourth quarter was $13.2 million — up 136 per cent on the same three months last year.

And Zip hit positive underlying cash from operating activities — after bad debt write-offs — of $700,000.

However, the stock (ASX:Z1P) fell 1 per cent to $1, valuing the company at about $300 million.

ZipMoney operates a “buy now, pay later, no interest” service and uses artificial intelligence and big data technologies to drive a credit and fraud decision engine.

Managing Director and CEO Larry Diamond says the company now has more than 1.2 million customers and has processed $850 million in transactions on the Zip payments platform.

“Through Zip and Pocketbook, the company has created financial products that are resonating with Australian consumers,” he says.

Fintech Zip's share price (ASX:Z1P) movement over the past year.
Fintech Zip’s share price (ASX:Z1P) movement over the past year.

“It is also pleasing to report that the Company achieved its goal of cash flow break-even on a monthly basis during the quarter – a huge milestone for management and investors.”

Zip also announced that Super Retail Group and Wesfarmers’ Officeworks were both rolling-out Zip’s omnichannel capability.

“The pipeline continues to grow with many large enterprise opportunities in negotiation,” says Diamond.

Last year the Sydney fintech landed a $40 million investment from Westpac.

In 2016, it paid $7.5 million for personal finance management app Pocketbook.


This article first appeared on Business Insider Australia, Australia’s most popular business news website. Read the original article. Follow Business Insider on Facebook or Twitter.