Flexshopper (FPAY) Planet MicroCap Showcase: VEGAS 2025 summary

Financial performance and growth

• Net lease revenue reached $107 million in 2024, up from $92 million, with overall revenue at $140 million.

• Gross profit grew 40%, and adjusted EBITDA hit a record $33 million.

• Store count and marketplace presence are expanding, with a 250% growth rate in store partnerships in 2024.

• Revenue recognition is deferred due to lease accounting, creating a tailwind for 2025.

• B2B channel accounts for 65% of new customer originations, driving repeat business in B2C.

Strategic initiatives and market expansion

• Expanding offerings to product providers and manufacturers, not just traditional retailers.

• Pursuing new bank partnerships to broaden product range and increase total addressable market.

• Lending program development will enable financing for services like auto repairs and HVAC.

• Focus on increasing website conversion rates by enhancing the credit stack and adding credit card options.

• Direct partnerships with brands and manufacturers are increasing average retail margin to 20%.

Technology, risk management, and customer experience

• Mobile-friendly application process with instant approvals and virtual cards at point of sale.

• Machine learning models and multi-source data integration have reduced bad debt from the 30% to the 20% range.

• Fraud prevention leverages device, behavioral, and bank data to identify high-risk transactions.

• Asset-light, drop-ship model eliminates inventory risk and keeps CapEx low.

• Repeat customer rates are 50%, far exceeding competitors’ 10%.