Fintech unicorn, Adyen, has shared an early trading update to give a clearer idea of how transactions have fared so far in 2020 in the midst of the COVID-19 outbreak.
Adyen processed €67bn (£59bn) of transactions in the first quarter of the year. As a result, the company saw net revenue of €135.5m (£119.8m) for the year up to 31st March – a year-on-year increase of 34%.
Colin Neil, SVP Business Development at Adyen UK – who heads up the businesses Manchester office – confirmed that Adyen’s success in sales can be attributed in part to its Manchester retail partners and the number of ecommerce players in the region.
Colin explained: “The first three months of the year have been helped by healthy online sales and our Northern client base has played a key role in that growth. Across the UK, we’re seeing growth with ecommerce retailers or those looking to add new channels, but slowdowns across gyms, hospitality, travel, and accommodation businesses as they feel the impact of the lockdown.
“Manchester is no different, but the high number of pure ecommerce players in the region has meant they’re a little more insulated. And we’ve been really impressed with how agile many local retailers have been in response to changing market conditions.”
Adyen’s Northern client base has consistently grown since the payments company expanded to Manchester in 2018.
Adyen is continuing to support its retail partners during this time, for example, by hiring new members to the account management teams in local offices and ensuring payout schedules are unaffected so businesses don’t face additional financial pressures or cashflow issues.
Colin concluded: “One thing we’re really proud of is the work we’ve done around our customers’ deposits. These are held in a reserve fund to allow for returns and chargebacks. Since the outbreak of Covid-19 we’ve been exploring how these might be released to certain customers who are having difficulty with cash flow. At a time when most businesses are tightening their purse strings, it’s great to be in a position to be able to help.”