Douugh Experiences Revenue Growth in Q2, Launches B2B Offering Stakk

Published 5 months ago

Douugh Ltd, an award-winning fintech company listed on the ASX (ASX: DOU), has reported strong revenue growth in its recent Quarterly Activities Report. The growth is primarily attributed to its Business-to-Business (B2B) Embedded Finance activities and its consumer app’s loan origination and share-trading activities.

Douugh has invested over $7 million of shareholder capital in its technology platform over the past three years. This investment has enabled Douugh to develop and implement one of the industry’s most comprehensive and multi-functional Embedded Finance solutions. The solution, also known as Banking-as-a-Service (BaaS) outside of Australia, is designed to deliver key banking and investing capabilities globally. The main focus of Douugh’s technology stack is to enable more intuitive and efficient money management.

Douugh initially deployed its technology on a business-to-consumer (B2C) basis in Australia and the United States under the “Douugh” brand. The company has now expanded its technology to a B2B model under the “Stakk” brand, generating initial monthly revenues of approximately $55,000.

Stakk: An A-la-carte Offering

Stakk offers a range of services, including digital banking apps, online account opening, identity verification, account-to-account payments, banking, debit and credit card issuing, checking and savings accounts, US share trading, automated money management, installment based credit, stockback rewards, and a merchant payment gateway. All functionality is driven by an application programming interface (API) and is complemented with Mobile SDK’s (software developer kits) for rapid deployment.

The B2B model has proven to be attractive to fintech providers, lenders, banks, credit unions, building societies, mutual funds, and other brands seeking such functions as part of their Embedded Finance strategies.

Douugh’s B2C Loan Origination Activities

Alongside the growth of Stakk, Douugh’s B2C loan origination activities have also seen a significant increase. Douugh issued approximately 700 loans, equating to $102,000 in Q2, up from $53,000 in Q1. The company is now seeking further revenue growth within the Australian market and through strategic partnerships in the United States.

Douugh is also anticipating the full-market release of its “Douugh Pay” solution for Merchants, which is currently in Beta testing.

CEO’s Statement

Andy Taylor, Founder, and CEO of Douugh, expressed delight over the increase in revenue following the roll out of their new B2B Embedded Finance division, Stakk. He mentioned that the financial benefits of the new strategy are starting to show and are expected to grow as the company expands its sales pipeline and forges new strategic partnerships across Australia and the US. Douugh’s B2C offering will also be scaled up through Merchant partnerships as they roll out their new Douugh Pay gateway product to Merchants.