PaySauce Quarterly Market Update - December 2025

PaySauce achieves record ARR of $9.4m in 3Q26

Lower Hutt, New Zealand - 15 January 2026


Software as a Service Fintech PaySauce (NZX: PYS) today reports record
Annualised Recurring Revenue (ARR) for the December 2025 quarter (3Q26) of
$9.4m.

Record ARR of $9.4m came from a +11% YoY increase in processing fees, more than
offsetting the -25% YoY reduction in interest revenue compared to the previous
comparable period. PaySauce has continued to grow the existing customer base
while it prepares to launch the Australian product on the Global Payroll Platform at
the Australian Dairy Conference in Melbourne in February.


KEY YEAR-ON-YEAR PERFORMANCE HIGHLIGHTS FOR 3Q26

● ARR of $9.4m (up +2% YoY)
● Recurring revenue of $2.3m for the quarter (up +1% YoY)
● Processing fee revenue of $1.8m for the quarter (up +11% YoY)
● Customers at the end of the quarter: 8,582 (up +6% YoY)

Metric Dec
2025
1
QoQ
Increase
YoY
Increase
ARR $9.4m +2% +2%
Recurring revenue (for the quarter) $2.3m +2% +1%
Processing fee revenue (for the quarter) $1.8m +3% +11%
Active customers
#
(December 2025)
8,582 +1% +6%

Processing fee revenue growth continued to be the key driver of the improving
result for the December 2025 quarter, with processing fee revenue up +3% QoQ
and +11% YoY. This was supported by the growth in the number of active customers
to 8,582, up +1% QoQ and +6% YoY.

Whilst remaining positive, revenue and customer growth slowed over the last
quarter with YoY growth of +6% down 3 percentage points from +9% YoY growth at
2Q26. The focus of our New Zealand customer acquisition resources has been split
1
All figures are in New Zealand dollars unless specified otherwise.
# Active customers are those that have processed payments in the month

between New Zealand growth, and our upcoming market entry into Australia as
the Australian team continues to be established.



Interest earned on the funds held on behalf of customers (the float) declined in
the quarter to December 2025, reflecting the continued reduction in wholesale
interest rates since this time last year - with a further 75bps of cuts since the
September quarter. Interest income declined -25% against the same quarter last
year, and declined -5% against the most recent quarter to September.

CEO Asantha Wijeyeratne said: “I’m pleased with our performance in the third
quarter of 2026. We’ve continued to grow both our revenue and customer base
despite continued downward pressure on interest rates. We achieved another
quarter of record ARR of $9.4m whilst our focus has been split between New
Zealand and Australia, as we continue to invest time and resources from the New
Zealand business to prepare for the upcoming market launch.

$3.5 million placement complete, $1m Share Purchase Plan closes 23 January

The injection of $3.5m of capital following the successful placement in December
will support the full commercial launch of the Australian product.
PaySauce reminds investors that applications for the $1 million Share Purchase
Plan (SPP) are open to new and existing shareholders until Friday 23 January.
Details of the offer are available on the NZX.

Wijeyeratne expressed his gratitude to investors, “I also want to say a huge thank
you to new and existing shareholders who have supported us so far during our
capital raise. This raise and the backing from key institutional investors will give us
the flexibility to pursue this opportunity across the Tasman and consider bolt on
acquisitions that will accelerate our growth in this market.

“I’m excited to share more as we execute on our strategy and begin to deliver an
acceleration in customer and revenue growth off the back of a recovering New
Zealand economy, and an underserved market in Australia.”

ENDS

ABOUT PAYSAUCE
PaySauce is a SaaS fintech platform delivering digital payroll solutions across 14
jurisdictions in Asia-Pacific. The technology enables small employers to digitally
onboard, pay and manage employees from any device. The platform includes
rosters, mobile timesheets, payroll calculations, banking integration, automated
payments, PAYE filing, labour costing, and automated general ledger entries. The
PayNow feature enables customers’ employees to access the pay they’ve earned
before payday, providing a free alternative to payday lenders. www.paysauce.com

CONTACT

Jaime Monaghan
CFO PaySauce
+64 22 5246366
Please direct any investment queries to investor@paysauce.com