News & Media
6th October 2022
Award-winning AI could boost Credit Clear’s share price
ASX-listed fintech company Credit Clear could see its share price rise on the development of award-winning artificial intelligence (AI) technology for the payments collection sector.
The company also saw monthly revenues rise to record levels in August after achieving four consecutive months of operational profitability.
Credit Clear grabs Australian fintech award
Credit Clear won the award for 'Best Use of AI' at the 7th Annual Fintech Awards for software that helps to increase collection rates for toll roads. This year marks the second consecutive year that Credit Clear has grabbed this honour from the Australian Fintech Awards.
According to Credit Clear, its software helped one of Australia's biggest toll road operators to raise collections by 35% in May and June of this year.
The case study for the award found that the Credit Clear platform achieved this increase via AI that optimises the likelihood of customers making payments.
Credit Clear's software has analysed millions of interactions to determine which actions have the greatest impact on the probability of customer payments.
Chief product and technology officer (CPTO) Jason Serafino said this huge volume of data was the key to the effectiveness of the software.
"We've trained the AI on tens of millions of interactions, to understand the best treatment for a customer on a day-by-day basis, looking at the kind of customer that it is, the kind of debt that it is," Serafino said to Stockhead.
"It might decide that today the first action might be to send an SMS while for another customer it might say the first action is to make a phone call or send an email, because it's a different profile of customer."
Credit Clear said that as a result of the case study, the client has made its AI software the primary method of collection for the first six weeks of their collection lifecycle.
Serafino said that a 35% increase in collection levels was far greater than the standard rates of improvement achieved using AI processes.
"In a space like AI we're often looking for 1-2% difference and we get excited about that, so to hit an uplift of 35%, with more money in the bank because of the use of the AI, that's really exciting."
August revenues hit record high
According to an ASX announcement, in August Credit Clear achieved record-high monthly revenue of $3.28 million and its fourth consecutive month of operational profitability.
Key drivers of revenue growth that month included the recent onboarding of large new clients and growth in debt referrals from existing clients.
Record-monthly revenue in August coincided with a record for payments collected via the digital platform.
Credit Clear facilitated the collection of $5.64 million in payments in August, marking the first month that the figure exceeded $5 million and the fourth consecutive record-breaking month.
New clients to boost revenue
Credit Clear forecasts further strong growth in revenue on the back of the onboarding of new clients.
The total expected addition to annual revenue from clients onboarded since the start of 2022 is $10.77 million.
The month of August alone saw Credit Clear sign 38 new clients, who are expected to collectively add $418,00 in revenue over the upcoming 12 months.
Credit Clear's leading clients hail from a range of sectors, including consumer finance, education, energy and water supply.
Recognition as leading Insurtech Start-up
In addition to its fintech honours, Credit Clear’s digital third-party insurance claims system also won the company recognition for being one of Australia's top insurtech start-ups.
The digital platform was a finalist for Insurtech Start-up of the Year at the 2022 Australian and New Zealand Institute of Insurance and Finance (ANZIFF) industry awards.
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Winner of ‘Best Multi-Platform Provider’ at ADVFN International Finance Awards 2022
This article was first published on www.ig.com