Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2020 | Nov. 03, 2020 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 000-31203 | |
Entity Registrant Name | NET 1 UEPS TECHNOLOGIES, INC. | |
Entity Incorporation State Country Code | FL | |
Entity Tax Identification Number | 98-0171860 | |
Entity Address Line One | President Place, 4 | |
Entity Address Line Two | Cnr. Jan Smuts Avenue and Bolton Road | |
Entity Address, City or Town | Rosebank, Johannesburg | |
Entity Address, Postal Zip Code | 2196 | |
Entity Address Country | ZA | |
City Area Code | 27 | |
Local Phone Number | 11-343-2000 | |
Title of 12(b) Security | Common stock, par value $0.001 per share | |
Trading Symbol | UEPS | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 56,638,725 | |
Current Fiscal Year End Date | --06-30 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0001041514 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | [1] |
CURRENT ASSETS | |||
Cash and cash equivalents | $ 209,185 | $ 217,671 | |
Restricted cash related to ATM funding (Note 8) | 6,726 | 14,814 | |
Accounts receivable, net and other receivables (Note 2) | 28,314 | 43,068 | |
Finance loans receivable, net (Note 2) | 20,508 | 15,879 | |
Inventory (Note 3) | 18,084 | 19,860 | |
Total current assets before settlement assets | 282,817 | 311,292 | |
Settlement assets | 3,993 | 8,014 | |
Total current assets | 286,810 | 319,306 | |
PROPERTY, PLANT AND EQUIPMENT, net of accumulated depreciation of- September: $31,182 June: $29,524 | 6,286 | 6,656 | |
OPERATING LEASE RIGHT-OF-USE (Note 16) | 4,848 | 5,395 | |
EQUITY-ACCOUNTED INVESTMENTS (Note 5) | 50,367 | 65,836 | |
GOODWILL (Note 6) | 24,865 | 24,169 | |
INTANGIBLE ASSETS, NET (Note 6) | 548 | 612 | |
DEFERRED INCOME TAXES | 288 | 358 | |
OTHER LONG-TERM ASSETS, including reinsurance assets (Note 5 and 7) | 30,172 | 31,346 | |
TOTAL ASSETS | 404,184 | 453,678 | |
CURRENT LIABILITIES | |||
Short-term credit facilities for ATM funding (Note 8) | 6,726 | 14,814 | |
Accounts payable | 5,213 | 6,287 | |
Other payables (Note 9) | 25,242 | 23,779 | |
Operating lease liability - current (Note 16) | 1,921 | 2,251 | |
Income taxes payable | 1,298 | 16,157 | |
Total current liabilities before settlement obligations | 40,400 | 63,288 | |
Settlement obligations | 3,993 | 8,015 | |
Total current liabilities | 44,393 | 71,303 | |
DEFERRED INCOME TAXES | 91 | 1,859 | |
OPERATING LEASE LIABILITY - LONG TERM (Note 16) | 3,105 | 3,312 | |
OTHER LONG-TERM LIABILITIES, including insurance policy liabilities (Note 7) | 2,074 | 2,012 | |
TOTAL LIABILITIES | 49,663 | 78,486 | |
REDEEMABLE COMMON STOCK | 84,979 | 84,979 | |
EQUITY | |||
COMMON STOCK (Note 10 ) Authorized: 200,000,000 with $0.001 par value; Issued and outstanding shares, net of treasury - September: 56,638,725 June: 57,118,925 | 80 | 80 | |
PREFERRED STOCK Authorized shares: 50,000,000 with $0.001 par value; Issued and outstanding shares, net of treasury: September: - June: - | |||
ADDITIONAL PAID-IN-CAPITAL | 301,946 | 301,489 | |
TREASURY SHARES, AT COST: September: 24,891,292 June: 24,891,292 | (286,951) | (286,951) | |
ACCUMULATED OTHER COMPREHENSIVE LOSS (Note 11) | (161,245) | (169,075) | |
RETAINED EARNINGS | 415,712 | 444,670 | |
TOTAL NET1 EQUITY | 269,542 | 290,213 | |
NON-CONTROLLING INTEREST | 0 | 0 | |
TOTAL EQUITY | 269,542 | 290,213 | |
TOTAL LIABILITIES, REDEEMABLE COMMON STOCK AND SHAREHOLDERS' EQUITY | $ 404,184 | $ 453,678 | |
[1] | Derived from audited financial statements. |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Condensed Consolidated Balance Sheets [Abstract] | ||
Property, plant and equipment, accumulated depreciation | $ 31,182 | $ 29,524 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares issued | 56,638,725 | 57,118,925 |
Common stock, shares outstanding | 56,638,725 | 57,118,925 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Treasury shares, shares outstanding | 24,891,292 | 24,891,292 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Operations - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | [1] | |
Condensed Consolidated Statements Of Operations [Abstract] | |||
REVENUE (Note 15) | $ 37,113 | $ 47,938 | |
EXPENSE | |||
Cost of goods sold, IT processing, servicing and support | 28,437 | 32,428 | |
Selling, general and administration | 18,528 | 20,622 | |
Depreciation and amortization | 923 | 1,324 | |
OPERATING LOSS | (10,775) | (6,436) | |
INTEREST INCOME | 611 | 363 | |
INTEREST EXPENSE | 747 | 1,347 | |
LOSS BEFORE INCOME TAX (BENEFIT) EXPENSE | (10,911) | (7,420) | |
INCOME TAX (BENEFIT) EXPENSE (Note 18) | (1,090) | 970 | |
NET LOSS BEFORE (LOSS) EARNINGS FROM EQUITY-ACCOUNTED INVESTMENTS | (9,821) | (8,390) | |
(LOSS) EARNINGS FROM EQUITY-ACCOUNTED INVESTMENTS (Note 5) | (19,137) | 1,063 | |
NET LOSS FROM CONTINUING OPERATIONS | (28,958) | (7,327) | |
NET INCOME FROM DISCONTINUED OPERATIONS (Note 20) | 0 | 2,935 | |
NET LOSS | (28,958) | (4,392) | |
NET (LOSS) INCOME ATTRIBUTABLE TO NET1 | (28,958) | (4,392) | |
Continuing | (28,958) | (7,327) | |
Discontinued | $ 0 | $ 2,935 | |
Net (loss) earnings per share, in United States dollars (Note 13): | |||
Basic (loss) earnings attributable to Net1 shareholders | $ (0.51) | $ (0.08) | |
Continuing | (0.51) | (0.13) | |
Discontinued | 0 | 0.05 | |
Diluted (loss) earnings attributable to Net1 shareholders | (0.51) | (0.08) | |
Continuing | (0.51) | (0.13) | |
Discontinued | $ 0 | $ 0.05 | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Condensed Consolidated Statem_2
Condensed Consolidated Statements Of Comprehensive (Loss) Income - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Net loss | $ (28,958) | $ (4,392) | [1] |
Other comprehensive income (loss), net of taxes | |||
Movement in foreign currency translation reserve | 6,142 | (18,085) | |
Movement in foreign currency translation reserve related to equity-accounted investments | 1,688 | 2,718 | |
Total other comprehensive income (loss), net of taxes | 7,830 | (15,367) | |
Comprehensive loss | (21,128) | (19,759) | |
Add comprehensive loss attributable to non-controlling interest | 0 | 0 | |
Comprehensive loss attributable to Net1 | $ (21,128) | $ (19,759) | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Condensed Consolidated Statem_3
Condensed Consolidated Statement Of Changes In Equity - USD ($) $ in Thousands | Total | Common And Treasury Stock [Member] | Treasury Stock [Member] | Number Of Shares, Net Of Treasury [Member] | Additional Paid In Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Parent [Member] | Noncontrolling Interest [Member] | ||
Balance, Number of Shares at Jun. 30, 2019 | 81,459,717 | (24,891,292) | 56,568,425 | ||||||||
Balance at Jun. 30, 2019 | $ 317,342 | $ 80 | $ (286,951) | $ 276,997 | $ 523,028 | $ (195,812) | $ 317,342 | $ 0 | |||
Stock-based compensation charge (Note 12) | 387 | 387 | 387 | ||||||||
Stock based-compensation charge related to equity-accounted investment (Note 5) | 71 | 71 | 71 | ||||||||
Net loss | (4,392) | (4,392) | (4,392) | 0 | |||||||
Other comprehensive loss (Note 11) | $ (15,367) | (15,367) | (15,367) | 0 | |||||||
Balance, Number of Shares at Sep. 30, 2019 | 56,568,425 | 81,459,717 | (24,891,292) | 56,568,425 | |||||||
Balance at Sep. 30, 2019 | $ 298,041 | $ 80 | $ (286,951) | 277,455 | 518,636 | (211,179) | 298,041 | $ 0 | |||
Redeemable Common Stock, Balance at Sep. 30, 2019 | 107,672 | ||||||||||
Balance, Number of Shares at Jun. 30, 2020 | 82,010,217 | (24,891,292) | 57,118,925 | ||||||||
Balance at Jun. 30, 2020 | 290,213 | [1] | $ 80 | $ (286,951) | 301,489 | 444,670 | (169,075) | 290,213 | |||
Redeemable Common Stock, Balance at Jun. 30, 2020 | [1] | 84,979 | |||||||||
Stock-based compensation charge (Note 12) | 682 | 682 | 682 | ||||||||
Reversal of stock-based compensation charge (Note 12) | (283) | (283) | (283) | ||||||||
Reversal of stock-based compensation charge (Note 12), shares | (480,200) | (480,200) | |||||||||
Stock based-compensation charge related to equity-accounted investment (Note 5) | (40) | (40) | (40) | ||||||||
Proceeds from disgorgement of shareholders' short-swing profits (Note 21) | 98 | 98 | 98 | ||||||||
Net loss | (28,958) | (28,958) | (28,958) | ||||||||
Other comprehensive loss (Note 11) | $ 7,830 | 7,830 | 7,830 | ||||||||
Balance, Number of Shares at Sep. 30, 2020 | 56,638,725 | 81,530,017 | (24,891,292) | 56,638,725 | |||||||
Balance at Sep. 30, 2020 | $ 269,542 | $ 80 | $ (286,951) | $ 301,946 | $ 415,712 | $ (161,245) | $ 269,542 | ||||
Redeemable Common Stock, Balance at Sep. 30, 2020 | $ 84,979 | ||||||||||
[1] | Derived from audited financial statements. |
Condensed Consolidated Statem_4
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | [1] | |
Cash flows from operating activities | |||
Net loss | $ (28,958) | $ (4,392) | |
Depreciation and amortization | 923 | 4,765 | |
Movement in allowance for doubtful accounts receivable | 514 | 512 | |
Loss (Earnings) from equity-accounted investments (Note 5) | (19,137) | 1,063 | |
Movement in allowance for doubtful loans to equity-accounted investments | 78 | 0 | |
Fair value adjustment related to financial liabilities | (886) | (87) | |
Interest payable | (63) | 632 | |
Profit on disposal of property, plant and equipment | 10 | 154 | |
Stock-based compensation charge (Note 12) | 399 | 387 | |
Dividends received from equity accounted investments | 57 | 1,068 | |
Increase in accounts receivable and finance loans receivable | 8,115 | 5,666 | |
Decrease (Increase) in inventory | (2,359) | 12,313 | |
Decrease in accounts payable and other payables | (415) | (3,396) | |
(Decrease) Increase in taxes payable | (14,917) | 1,288 | |
Decrease in deferred taxes | 1,755 | 88 | |
Net cash used in operating activities | (29,880) | (18,333) | |
Cash flows from investing activities | |||
Capital expenditures | (275) | (2,624) | |
Proceeds from disposal of property, plant and equipment | 16 | 213 | |
Proceeds from disposal of Net1 Korea (Note 2) | 20,114 | 0 | |
Proceeds from disposal of DNI as equity-accounted investment (Note 2) | 329 | 0 | |
Loan to equity-accounted investment (Noe 5) | (78) | 0 | |
Investment in equity-accounted investments (Note 5) | 0 | (1,250) | |
Repayment of loans by equity-accounted investments | 0 | 4,268 | |
Net change in settlement assets | 4,068 | (13,509) | |
Net cash provided by (used in) investing activities | 24,174 | (12,902) | |
Cash flows from financing activities | |||
Proceeds from bank overdraft (Note 8) | 69,146 | 183,674 | |
Repayment of bank overdraft (Note 8) | 76,850 | 184,829 | |
Long-term borrowings utilized (Note 8) | 0 | 14,798 | |
Proceeds from disgorgement of shareholders' short-swing profits (Note 21) | 98 | 0 | |
Guarantee fee | 0 | (148) | |
Finance lease capital repayments | 0 | (26) | |
Net change in settlement obligations | (4,068) | 13,509 | |
Net cash (used in) provided by financing activities | (11,674) | 26,978 | |
Effect of exchange rate changes on cash | 806 | (6,455) | |
Net decrease in cash, cash equivalents and restricted cash | (16,574) | (10,712) | |
Cash, cash equivalents and restricted cash - beginning of period | 232,485 | 121,511 | |
Cash, cash equivalents and restricted cash - end of period (Note 14) | $ 215,911 | $ 110,799 | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Basis Of Presentation And Summa
Basis Of Presentation And Summary Of Significant Accounting Policies | 3 Months Ended |
Sep. 30, 2020 | |
Basis Of Presentation And Summary Of Significant Accounting Policies [Abstract] | |
Basis Of Presentation And Summary Of Significant Accounting Policies | 1. Basis of Presentation and Summary of Significant Accounting Policies Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements include all majority-owned subsidiaries over which the Company exercises control and have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission for Quarterly Reports on Form 10-Q and include all of the information and disclosures required for interim financial reporting. The results of operations for the three months ended September 30, 2020 and 2019, are not necessarily indicative of the results for the full year. The Company believes that the disclosures are adequate to make the information presented not misleading. These financial statements should be read in conjunction with the financial statements, accounting policies and financial notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2020. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments), which are necessary for a fair representation of financial results for the interim periods presented. References to “Net1” are references solely to Net 1 UEPS Technologies, Inc. References to the “Company” refer to Net1 and its consolidated subsidiaries, collectively, unless the context otherwise requires. Impact of COVID-19 on the Company’s business The COVID-19 pandemic did not impact the Company’s South African operations as severely during the three months ended September 30, 2020, compared to the last four months of the year ended June 30, 2020. Nevertheless, as the date of this report, South Africa remains under various lockdown restrictions, which continue to affect the broader economy and these affect the Company to the extent they affect economic activity levels in South Africa. The broader implications of COVID-19 on the Company’s results of operations and overall financial performance continue to remain uncertain. While the Company has not incurred significant disruptions thus far from the COVID-19 outbreak, apart from the two months in April and May 2020 when loan origination was curtailed, the Company is unable to accurately predict the impact that COVID-19 will have due to numerous uncertainties, including the severity and duration of the outbreak, actions that may be taken by governmental authorities, the impact on the Company’s customers and other factors. The Company will continue to evaluate the nature and extent of the impact on its business, consolidated results of operations, and financial condition . Recent accounting pronouncements adopted There were no new accounting pronouncements adopted by the Company during the three months ended September 30, 2020. Recent accounting pronouncements not yet adopted as of September 30, 2020 In June 2016, the Financial Accounting Standards Board (“FASB”) issued guidance regarding Measurement of Credit Losses on Financial Instruments . The guidance replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. For trade and other receivables, loans, and other financial instruments, an entity is required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses, which reflects losses that are probable. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. This guidance is effective for the Company beginning July 1, 2023. The Company is currently assessing the impact of this guidance on its financial statements and related disclosures, but does not expect the impact on its financial results to be material. In August 2018, the FASB issued guidance regarding Disclosure Framework: Changes to the Disclosure Requirements for Fair Value Measurement. The guidance modifies the disclosure requirements related to fair value measurement. This guidance is effective for the Company beginning July 1, 2021. Early adoption is permitted. The Company is currently assessing the impact of this guidance on its financial statement’s disclosure. 1. Basis of Presentation and Summary of Significant Accounting Policies (continued) Recent accounting pronouncements not yet adopted as of September 30, 2020 (continued) In November 2019, the FASB issued guidance regarding Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging(Topic 815), and Leases (Topic 842). The guidance provides a framework to stagger effective dates for future major accounting standards and amends the effective dates for certain major new accounting standards to give implementation relief to certain types of entities, including Smaller Reporting Companies. The Company is a Smaller Reporting Company. Specifically, the guidance changes some effective dates for certain new standards on the following topics in the FASB Codification, namely Derivatives and Hedging (ASC 815); Leases (ASC 842); Financial Instruments — Credit Losses (ASC 326); and Intangibles — Goodwill and Other (ASC 350). The guidance defers the adoption date of guidance regarding Measurement of Credit Losses on Financial Instruments by the Company from July 1, 2020 to July 1, 2023, and defers the adoption guidance regarding Disclosure Framework: Changes to the Disclosure Requirements for Fair Value Measurement by the Company from July 1, 2020 to July 1, 2021. In January 2020, the FASB issued guidance regarding Clarifying the Interactions Between Topic 321, Topic 323, and Topic 815. The guidance clarifies that an entity should consider observable transactions that require an entity to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with U.S GAAP guidance immediately before applying or upon discontinuing the equity method. The guidance also clarifies that, when determining the accounting for certain forward contracts and purchased options an entity should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. This guidance is effective for the Company beginning July 1, 2021. Early adoption is permitted. The Company is currently assessing the impact of this guidance on its financial statement’s disclosure. |
Accounts Receivable, Net And Ot
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net | 3 Months Ended |
Sep. 30, 2020 | |
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net [Abstract] | |
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net | 2. Accounts receivable, net and other receivables and finance loans receivable, net Accounts receivable, net and other receivables The Company’s accounts receivable, net, and other receivables as of September 30, 2020, and June 30, 2020 , are presented in the table below: September 30, June 30, 2020 2020 Accounts receivable, trade, net $ 12,567 $ 8,458 Accounts receivable, trade, gross 12,853 8,711 Allowance for doubtful accounts receivable, end of period 286 253 Beginning of period 253 661 Reversed to statement of operations - ( 155) Charged to statement of operations 32 181 Utilized ( 6) ( 151) Deconsolidation - ( 178) Foreign currency adjustment 7 ( 105) Taxes refundable related to sale of Net1 Korea - 19,796 Loans provided to Carbon 3,000 3,000 Current portion of amount outstanding related to sale of remaining interest in DNI 3,916 2,756 Other receivables 8,831 9,058 Total accounts receivable, net and other receivables $ 28,314 $ 43,068 In January 2020, the Company agreed that the purchaser of Net1 Korea would withhold potential capital gains taxes of approximately $ 19.8 million (KRW 23.8 billion) from the Net1 Korea transaction price and pay such amounts, on behalf of Net1 BV, to the South Korean tax authorities. Net1 BV commenced a process to claim a refund from the South Korean tax authorities of the potential amount withheld and received this amount of approximately $ 20.1 million (KRW 23.8 billion) in September 2020. On October 26, 2020, DNI settled the full amount outstanding related to sale of the remaining interest in DNI, including the $ 1.6 million included in other long-term assets, refer to Note 5. Other receivables include prepayments, deposits and other receivables. 2. Accounts receivable, net and other receivables and finance loans receivable, net (continued) Finance loans receivable, net The Company’s finance loans receivable, net, as of September 30, 2020, and June 30, 2020 , is presented in the table below: September 30, June 30, 2020 2020 Microlending finance loans receivable, net $ 20,508 $ 15,879 Microlending finance loans receivable, gross 22,785 17,737 Allowance for doubtful finance loans receivable, end of period 2,277 1,858 Beginning of period 1,858 3,199 Reversed to statement of operations - ( 492) Charged to statement of operations 486 1,211 Utilized ( 119) ( 1,451) Foreign currency adjustment 52 ( 609) Working capital finance loans receivable, gross 5,800 5,800 Allowance for doubtful finance loans receivable, end of period 5,800 5,800 Beginning of period 5,800 5,800 Total accounts receivable, net $ 20,508 $ 15,879 Gross microlending finance loans receivable as of September 30, 2020, increased compared to June 30, 2020, following subdued lending activity due to COVID-19 restrictions in April and early May 2020. The Company was unable to originate any significant loans in April and early May 2020. |
Inventory
Inventory | 3 Months Ended |
Sep. 30, 2020 | |
Inventory [Abstract] | |
Inventory | 3. Inventory The Company’s inventory comprised the following categories as of September 30, 2020, and June 30, 2020 September 30, June 30, 2020 2020 Finished goods $ 13,716 $ 15,618 Finished goods subject to sale restrictions 4,368 4,242 $ 18,084 $ 19,860 Finished goods subject to sale restrictions represents airtime inventory purchased in March 2020, that may only be sold by the Company from October 1, 2020. |
Fair Value Of Financial Instrum
Fair Value Of Financial Instruments | 3 Months Ended |
Sep. 30, 2020 | |
Fair Value Of Financial Instruments [Abstract] | |
Fair Value Of Financial Instruments | 4. Fair value of financial instruments Initial recognition and measurement Financial instruments are recognized when the Company becomes a party to the transaction. Initial measurements are at cost, which includes transaction costs. Risk management The Company manages its exposure to currency exchange, translation, interest rate, customer concentration, credit and equity price and liquidity risks as discussed below. Currency exchange risk The Company is subject to currency exchange risk because it purchases inventories that it is required to settle in other currencies, primarily the euro and U.S. dollar. The Company has used forward contracts in order to limit its exposure in these transactions to fluctuations in exchange rates between the South African rand (“ZAR”), on the one hand, and the U.S. dollar and the euro, on the other hand. 4. Fair value of financial instruments (continued) Risk management (continued) Translation risk Translation risk relates to the risk that the Company’s results of operations will vary significantly as the U.S. dollar is its reporting currency, but it earns a significant amount of its revenues and incurs a significant amount of its expenses in ZAR. The U.S. dollar has fluctuated significantly against the ZAR over the past three years. As exchange rates are outside the Company’s control, there can be no assurance that future fluctuations will not adversely affect the Company’s results of operations and financial condition. Interest rate risk As a result of its normal borrowing and lending activities, the Company’s operating results are exposed to fluctuations in interest rates, which it manages primarily through regular financing activities. The Company generally maintains investments in cash equivalents and held to maturity investments and has occasionally invested in marketable securities. Credit risk Credit risk relates to the risk of loss that the Company would incur as a result of non-performance by counterparties. The Company maintains credit risk policies with regard to its counterparties to minimize overall credit risk. These policies include an evaluation of a potential counterparty’s financial condition, credit rating, and other credit criteria and risk mitigation tools as the Company’s management deems appropriate. With respect to credit risk on financial instruments, the Company maintains a policy of entering into such transactions only with South African and European financial institutions that have a credit rating of “B” (or its equivalent) or better, as determined by credit rating agencies such as Standard & Poor’s, Moody’s and Fitch Ratings. Microlending credit risk The Company is exposed to credit risk in its microlending activities, which provide unsecured short-term loans to qualifying customers. The Company manages this risk by performing an affordability test for each prospective customer and assigning a “creditworthiness score”, which takes into account a variety of factors such as other debts and total expenditures on normal household and lifestyle expenses. Equity price and liquidity risk Equity price risk relates to the risk of loss that the Company would incur as a result of the volatility in the exchange-traded price of equity securities that it holds and the risk that it may not be able to liquidate these securities. The market price of these securities may fluctuate for a variety of reasons and, consequently, the amount that the Company may obtain in a subsequent sale of these securities may significantly differ from the reported market value. Equity liquidity risk relates to the risk of loss that the Company would incur as a result of the lack of liquidity on the exchange on which these securities are listed. The Company may not be able to sell some or all of these securities at one time, or over an extended period of time without influencing the exchange traded price, or at all. Financial instruments The following section describes the valuation methodologies the Company uses to measure its significant financial assets and liabilities at fair value. In general, and where applicable, the Company uses quoted prices in active markets for identical assets or liabilities to determine fair value. This pricing methodology would apply to Level 1 investments. If quoted prices in active markets for identical assets or liabilities are not available to determine fair value, then the Company uses quoted prices for similar assets and liabilities or inputs other than the quoted prices that are observable either directly or indirectly. These investments would be included in Level 2 investments. In circumstances in which inputs are generally unobservable, values typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models, and similar techniques. Investments valued using such techniques are included in Level 3 investments. 4. Fair value of financial instruments (continued) Financial instruments (continued) Asset measured at fair value using significant unobservable inputs – investment in Cell C The Company’s Level 3 asset represents an investment of 75,000,000 class “A” shares in Cell C, a significant mobile telecoms provider in South Africa. The Company used a discounted cash flow model developed by the Company to determine the fair value of its investment in Cell C as of September 30, 2020, and June 30, 2020, and valued Cell C at $ 0.0 (zero) at September 30, 2020, and June 30, 2020. The Company believes the Cell C business plan utilized in the Company’s valuation is reasonable based on the current performance and the expected changes in Cell C’s business model. The Company utilized the latest approved business plan provided by Cell C management for the period ending December 31, 2024, and the following key valuation inputs were used as of September 30, 2020 and June 30, 2020: Weighted Average Cost of Capital ("WACC"): Between 16% and 21% over the period of the forecast Long term growth rate: 3 % (3% as of June 30, 2020) Marketability discount: 10% Minority discount: 15% Net adjusted external debt - September 30, 2020: (1) ZAR 15.1 billion ($ 0.9 billion), includes R 4.2 billion of lease liabilities Net adjusted external debt - June 30, 2020: (2) ZAR 15.8 billion ($ 0.9 billion), includes R 4.4 billion of lease liabilities Deferred tax (incl, assessed tax losses) - September 30, 2020: (1) ZAR 2.9 billion ($ 172.3 million) Deferred tax (incl, assessed tax losses) - June 30, 2020: (2) ZAR 2.9 billion ($ 167.3 million) (1) translated from ZAR to U.S. dollars at exchange rates applicable as of September 30, 2020. (2) translated from ZAR to U.S. dollars at exchange rates applicable as of June 30, 2020. The following table presents the impact on the carrying value of the Company’s Cell C investment of a 2.0% increase and 2.0% decrease in the WACC rate and the EBITDA margins used in the Cell C valuation on September 30, 2020, all amounts translated at exchange rates applicable as of September 30, 2020: Sensitivity for fair value of Cell C investment 2.0% increase (A) 2.0% decrease (A) WACC rate $ - $ 6,786 EBITDA margin $ 2,881 $ - (A) the carrying value of the Cell C investment is not impacted by a 1.0% increase or a 1.0% decrease and therefore the impact of a 2.0% increase and a 2.0% decrease is presented. The fair value of the Cell C shares as of September 30, 2020, represented approximately 0% of the Company’s total assets, including these shares. The Company expects to hold these shares for an extended period of time and that there will be short-term equity price volatility with respect to these shares particularly given the current situation of Cell C’s business. Derivative transactions - Foreign exchange contracts As part of the Company’s risk management strategy, the Company enters into derivative transactions to mitigate exposures to foreign currencies using foreign exchange contracts. These foreign exchange contracts are over-the-counter derivative transactions. All of the Company’s derivative exposures are with counterparties that have long-term credit ratings of “B” (or equivalent) or better. The Company uses quoted prices in active markets for similar assets and liabilities to determine fair value (Level 2). The Company has no derivatives that are measured under Level 1 or 3 of the fair value hierarchy. The Company had no outstanding foreign exchange contracts as of September 30, 2020, or June 30, 2020. 4. Fair value of financial instruments (continued) The following table presents the Company’s assets measured at fair value on a recurring basis as of September 30, 2020, according to the fair value hierarchy: Quoted Price in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets Investment in Cell C $ - $ - $ - $ - Related to insurance business: Cash, cash equivalents and restricted cash (included in other long-term assets) 510 - - 510 Fixed maturity investments (included in cash and cash equivalents) 1,758 - - 1,758 Total assets at fair value $ 2,268 $ - $ - $ 2,268 The following table presents the Company’s assets measured at fair value on a recurring basis as of June 30, 2020, according to the fair value hierarchy: Quoted Price in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets Investment in Cell C $ - $ - $ - $ - Related to insurance business Cash and cash equivalents (included in other long-term assets) 490 - - 490 Fixed maturity investments (included in cash and cash equivalents) 4,198 - - 4,198 Total assets at fair value $ 4,688 $ - $ - $ 4,688 There have been no transfers in or out of Level 3 during the three months ended September 30, 2020 and 2019, respectively. There was no movement in the carrying value of assets measured at fair value on a recurring basis, and categorized within Level 3, during the three months ended September 30, 2020. Summarized below is the movement in the carrying value of assets and liabilities measured at fair value on a recurring basis, and categorized within Level 3, during the Carrying value Assets Balance as of June 30, 2020 $ - Foreign currency adjustment (1) - Balance as of September 30, 2020 $ - (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR, and the U.S. dollar on the carrying value. 4. Fair value of financial instruments (continued) Summarized below is the movement in the carrying value of assets and liabilities measured at fair value on a recurring basis, and categorized within Level 3, during the three months ended September 30, 2019: Carrying value Assets Balance as at June 30, 2019 $ - Foreign currency adjustment (1) - Balance as of September 30, 2019 $ - (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR, and the U.S. dollar on the carrying value. Assets measured at fair value on a nonrecurring basis The Company measures equity investments without readily determinable fair values at fair value on a nonrecurring basis. The fair values of these investments are determined based on valuation techniques using the best information available, and may include quoted market prices, market comparables, and discounted cash flow projections. An impairment charge is recorded when the cost of the asset exceeds its fair value and the excess is determined to be other-than-temporary. The Company has not recorded any impairment charges during the reporting periods presented herein. The Company has no liabilities that are measured at fair value on a nonrecurring basis. |
Equity-Accounted Investments An
Equity-Accounted Investments And Other Long-Term Assets | 3 Months Ended |
Sep. 30, 2020 | |
Equity-Accounted Investments And Other Long-Term Assets [Abstract] | |
Equity-Accounted Investments And Other Long-Term Assets | 5. Equity-accounted investments and other long-term assets Refer to Note 10 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020, for additional information regarding its equity-accounted investments and other long-term assets. Equity-accounted investments The Company’s ownership percentage in its equity-accounted investments as of September 30, 2020, and June 30, 2020, was as follows: September 30, June 30, 2020 2020 Bank Frick & Co AG (“Bank Frick”) 35 % 35 % Finbond Group Limited (“Finbond”) 31 % 31 % Carbon Tech Limited (“Carbon”) 25 % 25 % Revix (“Revix”) 25 % 25 % SmartSwitch Namibia (Pty) Ltd (“SmartSwitch Namibia”) 50 % 50 % V2 Limited (“V2”) 50 % 50 % Walletdoc Proprietary Limited (“Walletdoc”) 20 % 20 % Finbond As of September 30, 2020, the Company owned 268,820,933 shares in Finbond representing approximately 31% of its issued and outstanding ordinary shares. Finbond is listed on the Johannesburg Stock Exchange (“JSE”) and its closing price on September 30, 2020, the last trading day of the month, was ZAR 1.04 per share. The market value, using the September 30, 2020, closing price, of the Company’s holding in Finbond on September 30, 2020, was ZAR 279.6 million ($ 16.6 million translated at exchange rates applicable as of September 30, 2020). Finbond recently published its half-year results to August 2020, which included the financial impact of the COVID-19 pandemic on its reported results during the reporting period. Finbond incurred losses during the six months to August 2020, and experienced a slow-down in its lending activities. Finbond reported that its lending activities have increased again, albeit at a slower pace compared with the prior calendar period. Finbond’s share price declined substantially during the period from its fiscal year end (February 2020) to September 30, 2020, and the weakness in its traded share price continued post September 30, 2020. The Company considered the combination of the slow-down in business activity and the lower share price as impairment indicators. The Company performed an impairment assessment of its holding in Finbond as of September 30, 2020. The Company recorded an impairment loss of $ 16.8 million during the quarter ended September 30, 2020, related to the other-than-temporary decrease in Finbond’s value, which represented the difference between the determined fair value of the Company’s interest in Finbond and the Company’s carrying value (before the impairment). There is limited trading in Finbond shares on the JSE because it has three shareholders that own approximately 90% of its issued and outstanding shares between them. The Company calculated a fair value per share for Finbond by applying a liquidity discount of 15% to the September 30, 2020, Finbond closing price. 5. Equity-accounted investments and other long-term assets (continued) Equity-accounted investments (continued) V2 Limited In June 2020, V2 Limited drew down $ 0.5 million of the $ 5.0 million working capital facility granted by the Company to V2. In September 2020, the Company agreed to grant V2 an option to acquire the Company’s entire interest in V2 for an option price of $ 5.0 million plus the face value of the outstanding working capital facility. The option expires on December 31, 2020, and may be exercised at any time through the expiration date. The Company and V2 also agreed to reduce the $ 5.0 million working capital facility to $ 1.5 million. In October 2020, V2 drew down the remaining available $ 1.0 million of the working capital facility. Summarized below is the movement in equity-accounted investments and loans provided to equity-accounted investments during the three months ended September 30, 2020: Bank Frick Finbond Other (1) Total Investment in equity Balance as of June 30, 2020 $ 29,739 $ 30,876 $ 4,601 $ 65,216 Stock-based compensation - ( 40) - ( 40) Comprehensive (loss) income: 481 ( 17,773) ( 157) ( 17,449) Other comprehensive income - 1,688 - 1,688 Equity accounted (loss) earnings 481 ( 19,461) ( 157) ( 19,137) Share of net (loss) income 481 ( 2,617) ( 157) ( 2,293) Impairment - ( 16,844) - ( 16,844) Dividends received - - ( 57) ( 57) Foreign currency adjustment (2) 925 1,091 57 2,073 Balance as of September 30, 2020 $ 31,145 $ 14,154 $ 4,444 $ 49,743 Investment in loans: Balance as of June 30, 2020 $ - $ - $ 620 $ 620 Loans granted - - 78 78 Allowance for doubtful loans - - ( 78) ( 78) Foreign currency adjustment (2) - - 4 4 Balance as of September 30, 2020 $ - $ - $ 624 $ 624 Equity Loans Total Carrying amount as of : June 30, 2020 $ 65,216 $ 620 $ 65,836 September 30, 2020 $ 49,743 $ 624 $ 50,367 (1) Includes Carbon, SmartSwitch Namibia, V2 and Walletdoc; (2) The foreign currency adjustment represents the effects of the fluctuations of the ZAR, Nigerian naira and Namibian dollar, against the U.S. dollar on the carrying value. Other long-term assets Summarized below is the breakdown of other long-term assets as of September 30, June 30, 2020 2020 Total equity investments $ 26,993 $ 26,993 Investment in 15% of Cell C, at fair value (Note 4) - - Investment in 12% of MobiKwik 26,993 26,993 Investment in 87.5% of CPS (1) - - Total held to maturity investments - - Investment in 7.625% of Cedar Cellular Investment 1 (RF) (Pty) Ltd 8.625% notes - - Long-term portion of amount due from DNI related to sale of remaining interest in DNI 1,635 2,857 Policy holder assets under investment contracts (Note 7) 511 490 Reinsurance assets under insurance contracts (Note 7) 1,033 1,006 Total other long-term assets $ 30,172 $ 31,346 Cost basis Unrealized holding Unrealized holding Carrying gains losses value Equity securities: Investment in MobiKwik $ 26,993 $ - $ - $ 26,993 Investment in CPS - - - - Held to maturity: Investment in Cedar Cellular notes - - - - Total $ 26,993 $ - $ - $ 26,993 Summarized below are the components of the Company’s equity securities without readily determinable fair value and held to maturity investments as of June 30, 2020: Cost basis Unrealized holding Unrealized holding Carrying gains losses value Equity securities: Investment in MobiKwik $ 26,993 $ - $ - $ 26,993 Investment in CPS - - - - Held to maturity: Investment in Cedar Cellular notes - - - - Total $ 26,993 $ - $ - $ 26,993 Contractual maturities of held to maturity investments Summarized below is the contractual maturity of the Company’s held to maturity investment as of September 30, 2020: Cost basis Estimated fair value (1) Due in one year or less $ - $ - Due in one year through five years (2) - - Due in five years through ten years - - Due after ten years - - Total $ - $ - (1) The estimated fair value of the Cedar Cellular note has been calculated utilizing the Company’s portion of the security provided to the Company by Cedar Cellular, namely, Cedar Cellular’s investment in Cell C. (2) The cost basis is zero ($0.0 million). |
Goodwill And Intangible Assets,
Goodwill And Intangible Assets, Net | 3 Months Ended |
Sep. 30, 2020 | |
Goodwill And Intangible Assets, Net [Abstract] | |
Goodwill And Intangible Assets, Net | 6. Goodwill and intangible assets, net Goodwill Summarized below is the movement in the carrying value of goodwill for the three months ended September 30, 2020: Gross value Accumulated impairment Carrying value Balance as of June 30, 2020 $ 63,194 $ ( 39,025) $ 24,169 Foreign currency adjustment (1) 892 ( 196) 696 Balance as of September 30, 2020 $ 64,086 $ ( 39,221) $ 24,865 (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR and the euro, and the U.S. dollar on the carrying value. Refer to Note 17 for additional information regarding changes to the Company’s reportable segments during the three months ended September 30, 2020. Goodwill has been allocated to the Company’s reportable segments as follows: Processing Financial services Technology Carrying value Balance as of June 30, 2020 $ 9,989 $ - $ 14,180 $ 24,169 Foreign currency adjustment (1) 276 - 420 696 Balance as of September 30, 2020 $ 10,265 $ - $ 14,600 $ 24,865 (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR and the euro, and the U.S. dollar on the carrying value. Intangible assets Carrying value and amortization of intangible assets Summarized below is the carrying value and accumulated amortization of the intangible assets as of September 30, 2020, and June 30, 2020: As of September 30, 2020 As of June 30, 2020 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Finite-lived intangible assets: Customer relationships $ 19,317 $ ( 19,118) $ 199 $ 19,064 $ ( 18,806) $ 258 Software and unpatented technology 3,973 ( 3,973) - 3,931 ( 3,931) - FTS patent 2,276 ( 2,276) - 2,211 ( 2,211) - Trademarks 2,780 ( 2,431) 349 2,731 ( 2,377) 354 Total finite-lived intangible assets $ 28,346 $ ( 27,798) $ 548 $ 27,937 $ ( 27,325) $ 612 Infinite-lived intangible assets: Financial institution licenses - - Total infinite-lived intangible assets - - Total intangible assets $ 548 $ 612 Aggregate amortization expense on the finite-lived intangible assets for the three months ended September 30, 2020 and 2019, was approximately $0.1 million and $0.1 million, respectively. Future estimated annual amortization expense for the next five fiscal years and thereafter, assuming exchange rates that prevailed on September 30, 2020, is presented in the table below. Actual amortization expense in future periods could differ from this estimate as a result of acquisitions, changes in useful lives, exchange rate fluctuations and other relevant factors. Fiscal 2021 $ 327 Fiscal 2022 61 Fiscal 2023 61 Fiscal 2024 61 Fiscal 2025 60 Thereafter 61 Total future estimated annual amortization expense $ 631 |
Assets And Policyholder Liabili
Assets And Policyholder Liabilities Under Insurance And Investment Contracts | 3 Months Ended |
Sep. 30, 2020 | |
Assets And Policyholder Liabilities Under Insurance And Investment Contracts [Abstract] | |
Assets And Policyholder Liabilities Under Insurance And Investment Contracts | 7. Assets and policyholder liabilities under insurance and investment contracts Reinsurance assets and policyholder liabilities under insurance contracts Summarized below is the movement in reinsurance assets and policyholder liabilities under insurance contracts during the three months ended September 30, 2020: Reinsurance Assets (1) Insurance contracts (2) Balance as of June 30, 2020 $ 1,006 $ ( 1,370) Increase in policy holder benefits under insurance contracts 126 1,788 Claims and policyholders’ benefits under insurance contracts ( 128) ( 1,785) Foreign currency adjustment (3) 29 ( 40) Balance as of September 30, 2020 $ 1,033 $ ( 1,407) (1) Included in other long-term assets (refer to Note 5); (2) Included in other long-term liabilities; (3) Represents the effects of the fluctuations of the ZAR against the U.S. dollar. The Company has agreements with reinsurance companies in order to limit its losses from various insurance contracts, however, if the reinsurer is unable to meet its obligations, the Company retains the liability. The value of insurance contract liabilities is based on the best estimate assumptions of future experience plus prescribed margins, as required in the markets in which these products are offered, namely South Africa. The process of deriving the best estimates assumptions plus prescribed margins includes assumptions related to claim reporting delays (based on average industry experience). Assets and policyholder liabilities under investment contracts Summarized below is the movement in assets and policyholder liabilities under investment contracts during the three months ended September 30, 2020: Assets (1) Investment contracts (2) Balance as of June 30, 2020 $ 490 $ ( 490) Increase in policy holder benefits under investment contracts 6 ( 6) Foreign currency adjustment (3) 15 ( 15) Balance as of September 30, 2020 $ 511 $ ( 511) (1) Included in other long-term assets (refer to Note 5); (2) Included in other long-term liabilities; (3) Represents the effects of the fluctuations of the ZAR against the U.S. dollar. The Company does not offer any investment products with guarantees related to capital or returns. |
Borrowings
Borrowings | 3 Months Ended |
Sep. 30, 2020 | |
Borrowings [Abstract] | |
Borrowings | 8. Borrowings Refer to Note 13 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020, for additional information regarding its borrowings. Movement in short-term credit facilities Summarized below are the Company’s short-term facilities as of September 30, 2020, and the movement in the Company’s short-term facilities from as of June 30, 2020 to as of September 30, 2020, as well as the respective interest rates applied to the borrowings as of September 30, 2020: South Africa Total RMB Nedbank Short-term facilities available as of September 30, 2020 $ 71,283 $ 26,731 $ 98,014 Overdraft - 2,970 2,970 Overdraft restricted as to use for ATM funding only 71,283 14,851 86,134 Indirect and derivative facilities - 8,910 8,910 Interest rate, based on South African prime rate (%) 7.00 Interest rate, based on South African prime rate less 1.15%&"(%) 5.85 Movement in utilized overdraft facilities: Balance as of June 30, 2020 14,756 58 14,814 Utilized 60,117 9,029 69,146 Repaid ( 68,039) ( 8,811) ( 76,850) Foreign currency adjustment (1) ( 153) ( 231) ( 384) Balance as of September 30, 2020 6,681 45 6,726 Restricted as to use for ATM funding only 6,681 45 6,726 Movement in utilized indirect and derivative facilities: Balance as of June 30, 2020 (2) - 5,398 5,398 Foreign currency adjustment (1) - 159 159 Balance as of September 30, 2020 (2) $ - $ 5,557 $ 5,557 (1) Represents the effects of the fluctuations between the ZAR and the U.S. dollar. (2) As of September 30, 2020 and June 30, 2020, the Company had utilized approximately ZAR 93.6 million ($ 5.6 million) and ZAR 93.6 million ($ 5.4 million), respectively, of its indirect and derivative facilities of ZAR 150 million to enable the bank to issue guarantees, letters of credit and forward exchange contracts, in order for the Company to honor its obligations to third parties requiring such guarantees (refer to Note 19). |
Other Payables
Other Payables | 3 Months Ended |
Sep. 30, 2020 | |
Other Payables [Abstract] | |
Other Payables | 9. Other payables Summarized below is the breakdown of other payables as of September 30, 2020, and June 30, 2020: September 30, June 30, 2020 2020 Accruals $ 7,191 $ 6,045 Provisions 5,224 4,926 Other 10,759 11,329 Value-added tax payable 241 129 Payroll-related payables 1,343 887 Participating merchants' settlement obligation 484 463 $ 25,242 $ 23,779 Other includes transactions-switching funds payable, deferred income, client deposits and other payables. |
Capital Structure
Capital Structure | 3 Months Ended |
Sep. 30, 2020 | |
Capital Structure [Abstract] | |
Capital Structure | 10. Capital structure The following table presents a reconciliation between the number of shares, net of treasury, presented in the unaudited condensed consolidated statement of changes in equity as of September 30, 2020 and 2019, respectively: September 30, September 30, 2020 2019 Number of shares, net of treasury: Statement of changes in equity 56,638,725 56,568,425 Non-vested equity shares that have not vested as of end of period 324,000 583,908 Number of shares, net of treasury, excluding non-vested equity shares that have not vested 56,314,725 55,984,517 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 3 Months Ended |
Sep. 30, 2020 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | 11. Accumulated other comprehensive loss The table below presents the change in accumulated other comprehensive (loss) income per component during the three months ended September 30, 2020: Three months ended September 30, 2020 Accumulated foreign currency translation reserve Total Balance as of July 1, 2020 $ ( 169,075) $ ( 169,075) Movement in foreign currency translation reserve related to equity-accounted investment 1,688 1,688 Movement in foreign currency translation reserve 6,142 6,142 Balance as of September 30, 2020 $ ( 161,245) $ ( 161,245) The table below presents the change in accumulated other comprehensive (loss) income per component during the three months ended September 30, 2019: Three months ended September 30, 2019 Accumulated foreign currency translation reserve Total Balance as of July 1, 2019 $ ( 195,812) $ ( 195,812) Movement in foreign currency translation reserve related to equity-accounted investment 2,718 2,718 Movement in foreign currency translation reserve ( 18,085) ( 18,085) Balance as of September 30, 2019 $ ( 211,179) $ ( 211,179) There were reclassifications from accumulated other comprehensive loss to net (loss) income during the three months ended September 30, 2020 and 2019. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Sep. 30, 2020 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | 12. Stock-based compensation The Company’s Amended and Restated 2015 Stock Incentive Plan and the vesting terms of certain stock-based awards granted are described in Note 18 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020. 12. Stock-based compensation (continued) Stock option and restricted stock activity Options The following table summarizes stock option activity for the three months ended September 30, 2020 and 2019: Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Aggregate intrinsic value ($'000) Weighted average grant date fair value ($) Outstanding - June 30, 2020 1,331,651 5.83 7.56 - 2.01 Granted - August 2020 150,000 3.50 3.00 166 1.11 Forfeited ( 250,034) 8.79 - 2.71 Outstanding - September 30, 2020 1,231,617 4.97 7.56 163 1.76 Outstanding - June 30, 2019 864,579 7.81 7.05 - 2.62 Outstanding - September 30, 2019 864,579 7.81 6.81 - 2.62 On August 5, 2020, the Company granted one of its non-employee directors, Mr. Ali Mazanderani, in his capacity as a consultant to the Company, 150,000 stock options with an exercise price of $3.50. These stock options are subject to the non-employee director’s continuous service through the applicable vesting date, and half of the options vest on each of the first and second anniversaries of the grant date. No stock options were awarded during the three months ended September 30, 2019. During the three months ended September 30, 2020, the Company’s former chief executive officer forfeited 250,034 stock options with strike prices ranging from $ 6.20 to $ 11.23 per share following his separation from the Company. The fair value of each option is estimated on the date of grant using the Cox Ross Rubinstein binomial model that uses the assumptions noted in the following table. The estimated expected volatility is calculated based on the Company’s 750-day volatility. The estimated expected life of the option was determined based on historical behavior of employees who were granted options with similar terms. The table below presents the range of assumptions used to value stock options granted during the three months ended September 30, 2020: Three months ended September 30, 2020 Expected volatility 62 % Expected dividends 0 % Expected life (in years) 2 Risk-free rate 0.11 % 12. Stock-based compensation (continued) Stock option and restricted stock activity (continued) Options (continued) The following table presents stock options vested and expected to vest as of September 30, 2020: Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Aggregate intrinsic value ($’000) Vested and expecting to vest - September 30, 2020 1,231,617 4.97 7.56 163 These options have an exercise price range of $ 3.07 to $ 11.23. The following table presents stock options that are exercisable as of September 30, 2020: Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Exercisable - September 30, 2020 400,617 7.64 6.84 During the three months ended September 30, 2020 and 2019, respectively, 156,333 and 170,335 stock options became exercisable. The Company issues new shares to satisfy stock option exercises. Restricted stock The following table summarizes restricted stock activity for the three months ended September 30, 2020 and 2019: Number of shares of restricted stock Weighted average grant date fair value ($’000) Non-vested – June 30, 2020 1,115,500 5,354 Total vested ( 311,300) ( 1,037) Vested – August 2020 ( 244,500) ( 812) Vested – September 2020 - accelerated vesting ( 66,800) ( 225) Forfeitures ( 480,200) ( 1,618) Non-vested – September 30, 2020 324,000 1,102 Non-vested – June 30, 2019 583,908 3,410 Non-vested – September 30, 2019 583,908 3,410 During the three months ended September 30, 2020, 244,500 shares of restricted stock with time-based vesting conditions vested. In connection with the Company’s former chief executive officer’s separation, the Company agreed to accelerate the vesting of 66,800 shares of restricted stock which were granted in February 2020, and which were subject to time-based vesting. These shares of restricted stock vested on September 30, 2020. The 480,200 shares of restricted stock that were forfeited during the three months ended September 30, 2020, includes 375,200 shares of restricted stock forfeited by the Company’s former chief executive officer upon his separation from the Company. 12. Stock-based compensation (continued) Stock-based compensation charge and unrecognized compensation cost The Company recorded a stock-based compensation charge, net during each of the three months ended September 30, 2020 and 2019, of $ 0.4 million, respectively, which comprised: Allocated to cost of goods sold, Allocated to IT processing, selling, general Total servicing and and charge support administration Three months ended September 30, 2020 Stock-based compensation charge $ 682 $ - $ 682 Reversal of stock compensation charge related to stock options and restricted stock forfeited ( 283) - ( 283) Total - three months ended September 30, 2020 $ 399 $ - $ 399 Three months ended September 30, 2019 Stock-based compensation charge $ 387 $ - $ 387 Total - three months ended September 30, 2019 $ 387 $ - $ 387 The stock-based compensation charges have been allocated to selling, general and administration based on the allocation of the cash compensation paid to the relevant employees. As of September 30, 2020, the total unrecognized compensation cost related to stock options was approximately $ 0.9 million, which the Company expects to recognize over approximately three years. As of September 30, 2020, the total unrecognized compensation cost related to restricted stock awards was approximately $ 0.9 million, which the Company expects to recognize over approximately three years. As of September 30, 2020, and June 30, 2020, respectively, the Company recorded a deferred tax asset of approximately $ 0.03 million and $ 0.4 million, related to the stock-based compensation charge recognized related to employees of Net1. As of September 30, 2020, and June 30, 2020, respectively, the Company recorded a valuation allowance of approximately $ 0.03 million and $ 0.4 million, related to the deferred tax asset because it does not believe that the stock-based compensation deduction would be utilized as it does not anticipate generating sufficient taxable income in the United States. The Company deducts the difference between the market value on the date of exercise by the option recipient and the exercise price from income subject to taxation in the United States. |
(Loss) Earnings Per Share
(Loss) Earnings Per Share | 3 Months Ended |
Sep. 30, 2020 | |
(Loss) Earnings Per Share [Abstract] | |
(Loss) Earnings Per Share | 13. (Loss) Earnings per share The Company has issued redeemable common stock which is redeemable at an amount other than fair value. Redemption of a class of common stock at other than fair value increases or decreases the carrying amount of the redeemable common stock and is reflected in basic earnings per share using the two-class method. There were no redemptions of common stock, or adjustments to the carrying value of the redeemable common stock during the three months ended September 30, 2020 and 2019. Accordingly, the two-class method presented below does not include the impact of any redemption. The Company’s redeemable common stock is described in Note 15 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020. Basic (loss) earnings per share includes shares of restricted stock that meet the definition of a participating security because these shares are eligible to receive non-forfeitable dividend equivalents at the same rate as common stock. Basic (loss) earnings per share has been calculated using the two-class method and basic (loss) earnings per share for the three months ended September 30, 2020 and 2019 , reflects only undistributed earnings. The computation below of basic (loss) earnings per share excludes the net loss attributable to shares of unvested restricted stock (participating non-vested restricted stock) from the numerator and excludes the dilutive impact of these unvested shares of restricted stock from the denominator. Diluted (loss) earnings per share has been calculated to give effect to the number of shares of additional common stock that would have been outstanding if the potential dilutive instruments had been issued in each period. Stock options are included in the calculation of diluted (loss) earnings per share utilizing the treasury stock method and are not considered to be participating securities, as the stock options do not contain non-forfeitable dividend rights. 13. (Loss) Earnings per share (continued) The calculation of diluted (loss) earnings per share includes the dilutive effect of a portion of the restricted stock granted to employees in August 2017, March 2018, May 2018, September 2018 and February 2020, as these shares of restricted stock are considered contingently returnable shares for the purposes of the diluted (loss) earnings per share calculation and the vesting conditions in respect of a portion of the restricted stock had been satisfied. The vesting conditions for all awards made are discussed in Note 18 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020. The following table presents net loss attributable to Net1 and the share data used in the basic and diluted (loss) earnings per share computations using the two-class method: Three months ended September 30, 2020 2019 (in thousands except percent and per share data) Numerator: Net loss attributable to Net1 $ ( 28,958) $ ( 4,392) Undistributed (loss) earnings ( 28,958) ( 4,392) Continuing ( 28,958) ( 7,327) Discontinued $ - $ 2,935 Percent allocated to common shareholders (Calculation 1) 98 99 Numerator for (loss) earnings per share: basic and diluted ( 28,443) ( 4,346) Continuing ( 28,443) ( 7,251) Discontinued - 2,905 Denominator Denominator for basic (loss) earnings per share: weighted-average common shares outstanding 56,104 55,985 Denominator for diluted (loss) earnings per share: adjusted weighted average common shares outstanding and assuming conversion 56,104 55,985 (Loss) Earnings per share: Basic $ ( 0.51) $ ( 0.08) Continuing $ ( 0.51) $ ( 0.13) Discontinued $ - $ 0.05 Diluted $ ( 0.51) $ ( 0.08) Continuing $ ( 0.51) $ ( 0.13) Discontinued $ - $ 0.05 (Calculation 1) Basic weighted-average common shares outstanding (A) 56,104 55,985 Basic weighted-average common shares outstanding and unvested restricted shares expected to vest (B) 57,119 56,568 Percent allocated to common shareholders (A) / (B) 98 99 Options to purchase 1,231,617 shares of the Company’s common stock at prices ranging from $ 3.07 to $ 11.23 per share were outstanding during the three months ended September 30, 2020, but were not included in the computation of diluted (loss) earnings per share because the options’ exercise price was greater than the average market price of the Company’s common stock. Options to purchase 864,579 shares of the Company’s common stock at prices ranging from $6.20 to $11.23 per share were outstanding during the three months ended September 30, 2019, but were not included in the computation of diluted (loss) earnings per share because the options’ exercise price was greater than the average market price of the Company’s common stock. The options, which expire at various dates through August 5, 2030, were still outstanding as of September 30, 2020. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 3 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | 14. Supplemental cash flow information The following table presents supplemental cash flow disclosures for the three months ended September 30, 2020 and 2019: Three months ended September 30, 2020 2019 Cash received from interest $ 495 $ 737 Cash paid for interest $ 908 $ 813 Cash paid for income taxes $ 15,406 $ 1,883 Leases The following table presents supplemental cash flow disclosure related to leases for the three months ended September 30, 2020 and 2019: Three months ended September 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 872 $ 920 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 90 $ 230 |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Sep. 30, 2020 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | 15. Revenue recognition Disaggregation of revenue The following table presents our revenue disaggregated by major revenue streams, including a reconciliation to operating segments for the three months ended September 30, 2020: Processing Financial services Technology Total Processing fees $ 18,307 $ 599 $ - $ 18,906 South Africa 16,751 599 - 17,350 Rest of world 1,556 - - 1,556 Technology products 460 6,074 6,534 Telecom products and services 4,422 - 4,422 Lending revenue - 4,200 - 4,200 Insurance revenue - 1,457 - 1,457 Account holder fees - 1,183 - 1,183 Other 306 81 24 411 Total revenue, derived from the following geographic locations 23,495 7,520 6,098 37,113 South Africa 21,939 7,520 6,098 35,557 Rest of world $ 1,556 $ - $ - $ 1,556 As discussed in Note 17, the Company’s chief operating decision maker changed the Company’s operating and internal reporting structures during the three months ended September 30, 2020. Previously reported information has been restated. The following table presents our revenue disaggregated by major revenue streams, including a reconciliation to operating segments for the three months ended September 30, 2019: Processing Financial services Technology Total Processing fees $ 15,916 $ 1,249 $ - $ 17,165 South Africa 14,717 1,249 - 15,966 Rest of world 1,199 - - 1,199 Technology products 240 - 6,894 7,134 Telecom products and services 9,294 - - 9,294 Lending revenue - 5,154 - 5,154 Insurance revenue - 1,386 - 1,386 Account holder fees - 5,260 - 5,260 Other 2,365 166 14 2,545 Total revenue, derived from the following geographic locations 27,815 13,215 6,908 47,938 South Africa 26,616 13,215 6,908 46,739 Rest of world $ 1,199 $ - $ - $ 1,199 |
Leases
Leases | 3 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Leases | 16. Leases The Company has entered into leasing arrangements classified as operating leases under accounting guidance. These leasing arrangements relate primarily to the lease of its corporate head office, administration offices and branch locations through which the Company operates its financial services business in South Africa. The Company’s operating leases have remaining lease terms of between one five years. The Company also operates parts of its financial services business from locations which it leases for a period of less than one year. The Company’s operating lease expense during each of the three months ended September 30, 2020 and 2019 was $ 0.9 million, respectively. The Company does not have any significant leases that have not commenced as of September 30, 2020 . The Company has also entered into short-term leasing arrangements, primarily for the lease of branch locations and other locations to operate its financial services business in South Africa. The Company’s short-term lease expense during the three months ended September 30, 2020 and 2019 , was $ 1.1 million and $ 1.5 million, respectively. The following table presents supplemental balance sheet disclosure related to the Company’s right-of-use assets and its operating lease liabilities as of September 30, 2020 and June 30, 2020 : September 30, June 30, 2020 2020 Operating leases: Operating lease right-of-use asset $ 4,848 $ 5,395 Weighted average remaining lease term (years) 3.88 3.94 Weighted average discount rate (percent) 9 9 The maturities of the Company’s operating lease liabilities as of September 30, 2020, are presented below: September 30, 2020 Maturities of operating lease liabilities 2021 (for September 30, 2020 excluding three months to September 30, 2020) $ 1,825 2022 1,617 2023 995 2024 660 2025 331 Thereafter 336 Total undiscounted operating lease liabilities 5,764 Less imputed interest 738 Total operating lease liabilities, included in 5,026 Operating lease liability - current 1,921 Operating lease liability - long-term $ 3,105 |
Operating Segments
Operating Segments | 3 Months Ended |
Sep. 30, 2020 | |
Operating Segments [Abstract] | |
Operating Segments | 17. Operating segments Change to internal reporting structure and restatement of previously reported information During September 2020, the Company’s chief operating decision maker changed the Company’s operating and internal reporting structures following the Company’s decisions to focus primarily on the South African market and to exit its operating activities performed through IPG. The chief operating decision maker has decided to analyze the Company’s operating performance primarily based on reported information for statutory entity, statutory groups, clustered statutory entities or clustered statutory groups, with certain reallocations, based on the activity of the reporting unit. Previously reported information has been restated. Reallocation of certain activities among operating segments During the first quarter of fiscal 2021, the Company reorganized its operating segments by combining what were previously the South African transaction processing segment and the International transaction processing segment into what is now the Processing segment and bifurcating what was previously the Financial inclusion and applied technologies segment into what are now the Financial services segment and the Technology segment. Segment results for the three months ended September 30, 2020 reflect these changes to the operating segments. Operating segments The Company discloses segment information as reflected in the management information systems reports that its chief operating decision maker uses in making decisions and to report certain entity-wide disclosures about products and services, and the countries in which the entity holds material assets or reports material revenues. The Company currently has three reportable segments: Processing, Financial services and Technology. All three segments operate mainly within South Africa and certain of our activities outside of South Africa have been allocated to Processing. The Company’s reportable segments offer different products and services and require different resources and marketing strategies and share the Company’s assets. The Processing segment includes fees earned by the Company from processing activities performed for its customers and revenue generated from the distribution of prepaid airtime. The Company provides its customers with transaction processing services that involve the collection, transmittal and retrieval of all transaction data. Customers that have a bank account managed by the Company are issued cards that can be utilized to withdraw funds at an ATM or to transact at a merchant point of sale device (“POS”). The Company earns processing fees from transactions processed for these customers. The Company also earns fees on transactions performed by other banks’ customers utilizing its ATM, POS or bill payment infrastructure. The Processing segment includes IPG’s processing activities. The Financial services segment includes activities related to the provision of financial services to customers, including a bank account, loans and insurance products. The Company charges monthly administration fees for all bank accounts. The Company provides short-term loans to customers in South Africa for which it earns initiation and monthly service fees. The Company writes life insurance contracts, primarily funeral-benefit policies, and policy holders pay the Company a monthly insurance premium. The Technology segment includes sale of hardware and licenses to customers. Hardware includes the sale of POS devices, SIM cards and other consumables which can occur on an ad hoc basis. Licenses include the right to use certain technology developed by the Company. Corporate/Eliminations includes the Company’s head office cost center and the amortization of acquisition-related intangible assets. Revenue Reportable Segment Inter-segment From external customers Processing $ 24,483 $ 988 $ 23,495 Financial services 8,265 745 7,520 Technology 6,211 113 6,098 Total for the three months ended September 30, 2020 $ 38,959 $ 1,846 $ 37,113 Processing $ 30,017 $ 2,202 $ 27,815 Financial services 14,168 953 13,215 Technology 7,209 301 6,908 Total for the three months ended September 30, 2019 $ 51,394 $ 3,456 $ 47,938 The Company does not allocate interest income, interest expense or income tax expense to its reportable segments. The Company evaluates segment performance based on segment operating income before acquisition-related intangible asset amortization which represents operating income before acquisition-related intangible asset amortization and expenses allocated to Corporate/Eliminations, all under GAAP. The reconciliation of the reportable segments measures of profit or loss to loss before income tax (benefit) expense for the three months ended September 30, 2020 and 2019, is as follows: Three months ended September 30, 2020 2019 Reportable segments measure of profit or loss $ ( 7,898) $ ( 4,015) Operating income: Corporate/Eliminations ( 2,877) ( 2,421) Interest income 611 363 Interest expense ( 747) ( 1,347) Loss before income tax (benefit) expense $ ( 10,911) $ ( 7,420) 17. Operating segments (continued) Operating segments (continued) The following tables summarize segment information that is prepared in accordance with GAAP for the three months ended September 30, 2020 and 2019: Three months ended September 30, 2020 2019 Revenues Processing $ 24,483 $ 30,017 IPG 1,209 793 All others 23,274 29,224 Financial services 8,265 14,168 Technology 6,211 7,209 Total 38,959 51,394 Operating (loss) income Processing ( 7,301) ( 5,505) IPG ( 2,772) ( 1,973) All others ( 4,529) ( 3,532) Financial services ( 2,372) 345 Technology 1,775 1,145 Subtotal: Operating segments ( 7,898) ( 4,015) Corporate/Eliminations ( 2,877) ( 2,421) Total ( 10,775) ( 6,436) Depreciation and amortization Processing 704 823 Financial services 136 218 Technology 2 166 Subtotal: Operating segments 842 1,207 Corporate/Eliminations 81 117 Total 923 1,324 Expenditures for long-lived assets Processing 246 2,068 Financial services 28 79 Technology 1 2 Subtotal: Operating segments 275 2,149 Corporate/Eliminations - - Total $ 275 $ 2,149 The segment information as reviewed by the chief operating decision maker does not include a measure of segment assets per segment as all of the significant assets are used in the operations of all, rather than any one, of the segments. The Company does not have dedicated assets assigned to a particular operating segment. Accordingly, it is not meaningful to attempt an arbitrary allocation and segment asset allocation is therefore not presented. |
Income Tax
Income Tax | 3 Months Ended |
Sep. 30, 2020 | |
Income Tax [Abstract] | |
Income Tax | 18. Income tax Income tax in interim periods For the purposes of interim financial reporting, the Company determines the appropriate income tax provision by first applying the effective tax rate expected to be applicable for the full fiscal year to ordinary income. This amount is then adjusted for the tax effect of significant unusual items, for instance, changes in tax law, valuation allowances and non-deductible transaction-related expenses that are reported separately, and have an impact on the tax charge. The cumulative effect of any change in the enacted tax rate, if and when applicable, on the opening balance of deferred tax assets and liabilities is also included in the tax charge as a discrete event in the interim period in which the enactment date occurs. For the three months ended September 30, 2020, the Company’s effective tax rate was impacted by the reversal of the deferred tax liability related to one of the Company’s equity-accounted investments following its impairment (refer to Note 5), which was partially offset by the tax expense recorded by the Company’s profitable South African operations, non-deductible expenses, the on-going losses incurred by IPG and certain of the Company’s South African businesses and the associated valuation allowances created related to the deferred tax assets recognized regarding net operating losses incurred by these entities. For the three months ended September 30, 2019, the Company’s effective tax rate was impacted by the on-going losses incurred by IPG and certain of its South African businesses and the associated valuation allowances created related to the deferred tax assets recognized regarding net operating losses incurred by these businesses, non-deductible expenses, and tax expense recorded by the Company’s profitable businesses, primarily in South Africa. Uncertain tax positions The Company had no significant uncertain tax positions during the three months ended September 30, 2020, and therefore, the Company had no accrued interest related to uncertain tax positions on its balance sheet. The Company does not expect changes related to its unrecognized tax benefits will have a significant impact on its results of operations or financial position in the next 12 months. The Company has no unrecognized tax benefits. The Company files income tax returns mainly in South Africa, Germany, Hong Kong, India, the United Kingdom, Botswana and in the U.S. federal jurisdiction. As of September 30, 2020, the Company’s South African subsidiaries are no longer subject to income tax examination by the South African Revenue Service for periods before June 30, 2016. The Company is subject to income tax in other jurisdictions outside South Africa, none of which are individually material to its financial position, statement of cash flows, or results of operations. |
Commitments And Contingencies
Commitments And Contingencies | 3 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | 19. Commitments and contingencies Guarantees The South African Revenue Service and certain of the Company’s customers, suppliers and other business partners have asked the Company to provide them with guarantees, including standby letters of credit, issued by a South African bank. The Company is required to procure these guarantees for these third parties to operate its business. Nedbank has issued guarantees to these third parties amounting to ZAR 93.6 million ($ 5.6 million, translated at exchange rates applicable as of September 30, 2020) thereby utilizing part of the Company’s short-term facilities. The Company pays commission of between 0.4% per annum to 1.94% per annum of the face value of these guarantees and does not recover any of the commission from third parties. The Company has not recognized any obligation related to these guarantees in its consolidated balance sheet as of September 30, 2020. The maximum potential amount that the Company could pay under these guarantees is ZAR 93.6 million ($ 5.6 million, translated at exchange rates applicable as of September 30, 2020). The guarantees have reduced the amount available for borrowings under the Company’s short-term credit facility described in Note 8. Contingencies The Company is subject to a variety of other insignificant claims and suits that arise from time to time in the ordinary course of business. Management currently believes that the resolution of these other matters, individually or in the aggregate, will not have a material adverse impact on the Company’s financial position, results of operations or cash flows. |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Sep. 30, 2020 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | 20. Discontinued operations Following the disposal of its controlling interest in Net1 Korea (in fiscal 2020) and DNI (in fiscal 2019), the Company determined that Net1 Korea and DNI should be classified as discontinued operations because the disposals of these businesses represented a strategic shift that would have a major effect on the Company’s operations and financial results. Refer to Note 3 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2020, for additional information regarding the deconsolidation of Net1 Korea and DNI. 20. Discontinued operations (continued) The table below presents certain major captions to the Company’s unaudited condensed consolidated statement of operations and unaudited condensed consolidated statement of cash flows for three months ended September 30, 2019, that have not been separately presented on those statements, related to the presentation of Net1 Korea as a discontinued operation: Net1 Korea Three months ended September 30, 2019 Unaudited condensed consolidated statement of operations Discontinued: Revenue $ 32,818 Cost of goods sold, IT processing, servicing and support 14,366 Selling, general and administration 11,309 Depreciation and amortization 3,441 Operating income 3,702 Interest income 288 Interest expense 8 Net income before tax 3,982 Income tax expense 1,047 Net income from discontinued operations $ 2,935 Unaudited condensed consolidated statement of cash flows Discontinued: Total net cash provided by operating activities $ 10,194 Total net cash provided by investing activities $ 3,088 The Company retained a continuing involvement in DNI following the disposal of the Company’s controlling interest during the year ended June 30, 2019. The Company recorded earnings under the equity method related to its retained investment in DNI during the three months ended September 30, 2019. The table below presents revenues and expenses between the Company and DNI, after the DNI disposal transaction, during the three months ended September 30, 2019 DNI Three months ended September 30, 2019 Revenue generated from transactions with DNI $ - Expenses incurred related to transactions with DNI $ 2,274 The Company received dividends of $ 0.7 million from DNI during the three months ended September 30, 2019. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 21. Related party transactions Disgorgement proceeds from VCP In late September 2020, Value Capital Partners (Pty) Ltd (“VCP”), a significant shareholder, notified the Company that it would make payment to the Company related to the disgorgement of short-swing profits from the purchase of common stock by VCP pursuant to Section 16(b) of the Securities Exchange Act of 1934, as amended and the Company’s insider trading policy. The Company recognizes these proceeds as a capital contribution from shareholders and recorded an increase of $ 0.1 million, net of taxes of $ 0.02 million, to additional paid-in capital in its unaudited condensed consolidated statement of changes in equity for the three months ended September 30, 2020. As the purchase transactions occurred in late September 2020, $ 0.02 million of the $ 0.12 million proceeds were received in early October 2020 and are included in accounts receivable, net and other receivables in the Company’s unaudited condensed consolidated balance sheet as of September 30, 2020. The Company received $ 0.1 million of the $ 0.12 million gross proceeds in September 30, 2020, and recorded these amounts within cash flows from financing activities in its unaudited condensed consolidated statement of cash flow for the three months ended September 30, 2020. The Company expects to pay the taxes due of $ 0.02 million in calendar 2021. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | 22. Subsequent events Purchase of vehicles from CPS On October 15, 2020, the Company purchased bespoke vehicles from CPS for an arms-length price of ZAR 50.0 million (approximately $ 3.0 million, translated at exchange rates applicable as of September 30, 2020) to use in its mobile ATM business. These vehicles largely comprise the fleet of customized mobile ATMs used to deliver a service to rural communities and were previously leased from CPS. Additional capital raise by MobiKwik in November 2020 In early November 2020, MobiKwik entered into an agreement to raise additional capital through the issuance of additional shares to a new shareholder for a 1.6% interest in the company for approximately $ 5.6 million, implying a valuation of MobiKwik as of the closing date of approximately $ 375.0 million. |
Basis Of Presentation And Sum_2
Basis Of Presentation And Summary Of Significant Accounting Policies (Policy) | 3 Months Ended |
Sep. 30, 2020 | |
Basis Of Presentation And Summary Of Significant Accounting Policies [Abstract] | |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements include all majority-owned subsidiaries over which the Company exercises control and have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission for Quarterly Reports on Form 10-Q and include all of the information and disclosures required for interim financial reporting. The results of operations for the three months ended September 30, 2020 and 2019, are not necessarily indicative of the results for the full year. The Company believes that the disclosures are adequate to make the information presented not misleading. These financial statements should be read in conjunction with the financial statements, accounting policies and financial notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2020. In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal recurring adjustments), which are necessary for a fair representation of financial results for the interim periods presented. References to “Net1” are references solely to Net 1 UEPS Technologies, Inc. References to the “Company” refer to Net1 and its consolidated subsidiaries, collectively, unless the context otherwise requires. |
Impact Of COVID-19 On The Company's Business | Impact of COVID-19 on the Company’s business The COVID-19 pandemic did not impact the Company’s South African operations as severely during the three months ended September 30, 2020, compared to the last four months of the year ended June 30, 2020. Nevertheless, as the date of this report, South Africa remains under various lockdown restrictions, which continue to affect the broader economy and these affect the Company to the extent they affect economic activity levels in South Africa. The broader implications of COVID-19 on the Company’s results of operations and overall financial performance continue to remain uncertain. While the Company has not incurred significant disruptions thus far from the COVID-19 outbreak, apart from the two months in April and May 2020 when loan origination was curtailed, the Company is unable to accurately predict the impact that COVID-19 will have due to numerous uncertainties, including the severity and duration of the outbreak, actions that may be taken by governmental authorities, the impact on the Company’s customers and other factors. The Company will continue to evaluate the nature and extent of the impact on its business, consolidated results of operations, and financial condition . |
Recent Accounting Pronouncements Adopted | Recent accounting pronouncements adopted There were no new accounting pronouncements adopted by the Company during the three months ended September 30, 2020. |
Recent accounting pronouncements Not Yet Adopted As Of September 30, 2020 | Recent accounting pronouncements not yet adopted as of September 30, 2020 In June 2016, the Financial Accounting Standards Board (“FASB”) issued guidance regarding Measurement of Credit Losses on Financial Instruments . The guidance replaces the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. For trade and other receivables, loans, and other financial instruments, an entity is required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses, which reflects losses that are probable. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. This guidance is effective for the Company beginning July 1, 2023. The Company is currently assessing the impact of this guidance on its financial statements and related disclosures, but does not expect the impact on its financial results to be material. In August 2018, the FASB issued guidance regarding Disclosure Framework: Changes to the Disclosure Requirements for Fair Value Measurement. The guidance modifies the disclosure requirements related to fair value measurement. This guidance is effective for the Company beginning July 1, 2021. Early adoption is permitted. The Company is currently assessing the impact of this guidance on its financial statement’s disclosure. 1. Basis of Presentation and Summary of Significant Accounting Policies (continued) Recent accounting pronouncements not yet adopted as of September 30, 2020 (continued) In November 2019, the FASB issued guidance regarding Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging(Topic 815), and Leases (Topic 842). The guidance provides a framework to stagger effective dates for future major accounting standards and amends the effective dates for certain major new accounting standards to give implementation relief to certain types of entities, including Smaller Reporting Companies. The Company is a Smaller Reporting Company. Specifically, the guidance changes some effective dates for certain new standards on the following topics in the FASB Codification, namely Derivatives and Hedging (ASC 815); Leases (ASC 842); Financial Instruments — Credit Losses (ASC 326); and Intangibles — Goodwill and Other (ASC 350). The guidance defers the adoption date of guidance regarding Measurement of Credit Losses on Financial Instruments by the Company from July 1, 2020 to July 1, 2023, and defers the adoption guidance regarding Disclosure Framework: Changes to the Disclosure Requirements for Fair Value Measurement by the Company from July 1, 2020 to July 1, 2021. In January 2020, the FASB issued guidance regarding Clarifying the Interactions Between Topic 321, Topic 323, and Topic 815. The guidance clarifies that an entity should consider observable transactions that require an entity to either apply or discontinue the equity method of accounting for the purposes of applying the measurement alternative in accordance with U.S GAAP guidance immediately before applying or upon discontinuing the equity method. The guidance also clarifies that, when determining the accounting for certain forward contracts and purchased options an entity should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. This guidance is effective for the Company beginning July 1, 2021. Early adoption is permitted. The Company is currently assessing the impact of this guidance on its financial statement’s disclosure. |
Accounts Receivable, Net And _2
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net [Abstract] | |
Schedule Of Accounts Receivable, Net And Other Receivables | September 30, June 30, 2020 2020 Accounts receivable, trade, net $ 12,567 $ 8,458 Accounts receivable, trade, gross 12,853 8,711 Allowance for doubtful accounts receivable, end of period 286 253 Beginning of period 253 661 Reversed to statement of operations - ( 155) Charged to statement of operations 32 181 Utilized ( 6) ( 151) Deconsolidation - ( 178) Foreign currency adjustment 7 ( 105) Taxes refundable related to sale of Net1 Korea - 19,796 Loans provided to Carbon 3,000 3,000 Current portion of amount outstanding related to sale of remaining interest in DNI 3,916 2,756 Other receivables 8,831 9,058 Total accounts receivable, net and other receivables $ 28,314 $ 43,068 |
Schedule Of Finance Loans Receivable, Net | September 30, June 30, 2020 2020 Microlending finance loans receivable, net $ 20,508 $ 15,879 Microlending finance loans receivable, gross 22,785 17,737 Allowance for doubtful finance loans receivable, end of period 2,277 1,858 Beginning of period 1,858 3,199 Reversed to statement of operations - ( 492) Charged to statement of operations 486 1,211 Utilized ( 119) ( 1,451) Foreign currency adjustment 52 ( 609) Working capital finance loans receivable, gross 5,800 5,800 Allowance for doubtful finance loans receivable, end of period 5,800 5,800 Beginning of period 5,800 5,800 Total accounts receivable, net $ 20,508 $ 15,879 |
Inventory (Tables)
Inventory (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Inventory [Abstract] | |
Schedule Of Inventory | September 30, June 30, 2020 2020 Finished goods $ 13,716 $ 15,618 Finished goods subject to sale restrictions 4,368 4,242 $ 18,084 $ 19,860 |
Fair Value Of Financial Instr_2
Fair Value Of Financial Instruments (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Fair Value Of Financial Instruments [Abstract] | |
Schedule Of Key Valuation Inputs Used To Measure Fair Value Of Investment In Cell C | Weighted Average Cost of Capital ("WACC"): Between 16% and 21% over the period of the forecast Long term growth rate: 3 % (3% as of June 30, 2020) Marketability discount: 10% Minority discount: 15% Net adjusted external debt - September 30, 2020: (1) ZAR 15.1 billion ($ 0.9 billion), includes R 4.2 billion of lease liabilities Net adjusted external debt - June 30, 2020: (2) ZAR 15.8 billion ($ 0.9 billion), includes R 4.4 billion of lease liabilities Deferred tax (incl, assessed tax losses) - September 30, 2020: (1) ZAR 2.9 billion ($ 172.3 million) Deferred tax (incl, assessed tax losses) - June 30, 2020: (2) ZAR 2.9 billion ($ 167.3 million) |
Schedule Of Impact On Carrying Value Of Cell C Investment | Sensitivity for fair value of Cell C investment 2.0% increase (A) 2.0% decrease (A) WACC rate $ - $ 6,786 EBITDA margin $ 2,881 $ - |
Fair Value Of Assets And Liabilities Measured On Recurring Basis | Quoted Price in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets Investment in Cell C $ - $ - $ - $ - Related to insurance business: Cash, cash equivalents and restricted cash (included in other long-term assets) 510 - - 510 Fixed maturity investments (included in cash and cash equivalents) 1,758 - - 1,758 Total assets at fair value $ 2,268 $ - $ - $ 2,268 Quoted Price in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Total Assets Investment in Cell C $ - $ - $ - $ - Related to insurance business Cash and cash equivalents (included in other long-term assets) 490 - - 490 Fixed maturity investments (included in cash and cash equivalents) 4,198 - - 4,198 Total assets at fair value $ 4,688 $ - $ - $ 4,688 |
Carrying Value Of Assets And Liabilities Measured On Recurring Basis | Carrying value Assets Balance as of June 30, 2020 $ - Foreign currency adjustment (1) - Balance as of September 30, 2020 $ - (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR, and the U.S. dollar on the carrying value. Carrying value Assets Balance as at June 30, 2019 $ - Foreign currency adjustment (1) - Balance as of September 30, 2019 $ - (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR, and the U.S. dollar on the carrying value. |
Equity-Accounted Investments _2
Equity-Accounted Investments And Other Long-Term Assets (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Equity-Accounted Investments And Other Long-Term Assets [Abstract] | |
Ownership Percentage Of Equity-Accounted Investments | September 30, June 30, 2020 2020 Bank Frick & Co AG (“Bank Frick”) 35 % 35 % Finbond Group Limited (“Finbond”) 31 % 31 % Carbon Tech Limited (“Carbon”) 25 % 25 % Revix (“Revix”) 25 % 25 % SmartSwitch Namibia (Pty) Ltd (“SmartSwitch Namibia”) 50 % 50 % V2 Limited (“V2”) 50 % 50 % Walletdoc Proprietary Limited (“Walletdoc”) 20 % 20 % |
Summary Of Movement In Equity-Accounted Investments | Bank Frick Finbond Other (1) Total Investment in equity Balance as of June 30, 2020 $ 29,739 $ 30,876 $ 4,601 $ 65,216 Stock-based compensation - ( 40) - ( 40) Comprehensive (loss) income: 481 ( 17,773) ( 157) ( 17,449) Other comprehensive income - 1,688 - 1,688 Equity accounted (loss) earnings 481 ( 19,461) ( 157) ( 19,137) Share of net (loss) income 481 ( 2,617) ( 157) ( 2,293) Impairment - ( 16,844) - ( 16,844) Dividends received - - ( 57) ( 57) Foreign currency adjustment (2) 925 1,091 57 2,073 Balance as of September 30, 2020 $ 31,145 $ 14,154 $ 4,444 $ 49,743 Investment in loans: Balance as of June 30, 2020 $ - $ - $ 620 $ 620 Loans granted - - 78 78 Allowance for doubtful loans - - ( 78) ( 78) Foreign currency adjustment (2) - - 4 4 Balance as of September 30, 2020 $ - $ - $ 624 $ 624 Equity Loans Total Carrying amount as of : June 30, 2020 $ 65,216 $ 620 $ 65,836 September 30, 2020 $ 49,743 $ 624 $ 50,367 (1) Includes Carbon, SmartSwitch Namibia, V2 and Walletdoc; (2) The foreign currency adjustment represents the effects of the fluctuations of the ZAR, Nigerian naira and Namibian dollar, against the U.S. dollar on the carrying value. |
Summary Of Other Long-Term Asset | September 30, June 30, 2020 2020 Total equity investments $ 26,993 $ 26,993 Investment in 15% of Cell C, at fair value (Note 4) - - Investment in 12% of MobiKwik 26,993 26,993 Investment in 87.5% of CPS (1) - - Total held to maturity investments - - Investment in 7.625% of Cedar Cellular Investment 1 (RF) (Pty) Ltd 8.625% notes - - Long-term portion of amount due from DNI related to sale of remaining interest in DNI 1,635 2,857 Policy holder assets under investment contracts (Note 7) 511 490 Reinsurance assets under insurance contracts (Note 7) 1,033 1,006 Total other long-term assets $ 30,172 $ 31,346 (1) On October 16, 2020, the High Court of South Africa, Gauteng Division, Pretoria ordered that CPS be placed into liquidation. |
Summary Of Unrealized Gain (Loss) On Investments | Cost basis Unrealized holding Unrealized holding Carrying gains losses value Equity securities: Investment in MobiKwik $ 26,993 $ - $ - $ 26,993 Investment in CPS - - - - Held to maturity: Investment in Cedar Cellular notes - - - - Total $ 26,993 $ - $ - $ 26,993 Cost basis Unrealized holding Unrealized holding Carrying gains losses value Equity securities: Investment in MobiKwik $ 26,993 $ - $ - $ 26,993 Investment in CPS - - - - Held to maturity: Investment in Cedar Cellular notes - - - - Total $ 26,993 $ - $ - $ 26,993 |
Summary Of Contractual Maturity Of Investment | Cost basis Estimated fair value (1) Due in one year or less $ - $ - Due in one year through five years (2) - - Due in five years through ten years - - Due after ten years - - Total $ - $ - (1) The estimated fair value of the Cedar Cellular note has been calculated utilizing the Company’s portion of the security provided to the Company by Cedar Cellular, namely, Cedar Cellular’s investment in Cell C. (2) The cost basis is zero ($0.0 million). |
Goodwill And Intangible Asset_2
Goodwill And Intangible Assets, Net (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Goodwill And Intangible Assets, Net [Abstract] | |
Summary Of Movement In Carrying Value Of Goodwill | Gross value Accumulated impairment Carrying value Balance as of June 30, 2020 $ 63,194 $ ( 39,025) $ 24,169 Foreign currency adjustment (1) 892 ( 196) 696 Balance as of September 30, 2020 $ 64,086 $ ( 39,221) $ 24,865 (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR and the euro, and the U.S. dollar on the carrying value. |
Goodwill Allocated To Reportable Segments | Processing Financial services Technology Carrying value Balance as of June 30, 2020 $ 9,989 $ - $ 14,180 $ 24,169 Foreign currency adjustment (1) 276 - 420 696 Balance as of September 30, 2020 $ 10,265 $ - $ 14,600 $ 24,865 (1) The foreign currency adjustment represents the effects of the fluctuations between the ZAR and the euro, and the U.S. dollar on the carrying value. |
Carrying Value And Accumulated Amortization Of Intangible Assets | As of September 30, 2020 As of June 30, 2020 Gross carrying value Accumulated amortization Net carrying value Gross carrying value Accumulated amortization Net carrying value Finite-lived intangible assets: Customer relationships $ 19,317 $ ( 19,118) $ 199 $ 19,064 $ ( 18,806) $ 258 Software and unpatented technology 3,973 ( 3,973) - 3,931 ( 3,931) - FTS patent 2,276 ( 2,276) - 2,211 ( 2,211) - Trademarks 2,780 ( 2,431) 349 2,731 ( 2,377) 354 Total finite-lived intangible assets $ 28,346 $ ( 27,798) $ 548 $ 27,937 $ ( 27,325) $ 612 Infinite-lived intangible assets: Financial institution licenses - - Total infinite-lived intangible assets - - Total intangible assets $ 548 $ 612 |
Future Estimated Annual Amortization Expense | Fiscal 2021 $ 327 Fiscal 2022 61 Fiscal 2023 61 Fiscal 2024 61 Fiscal 2025 60 Thereafter 61 Total future estimated annual amortization expense $ 631 |
Assets And Policyholder Liabi_2
Assets And Policyholder Liabilities Under Insurance And Investment Contracts (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Assets And Policyholder Liabilities Under Insurance And Investment Contracts [Abstract] | |
Summary Of The Movement In Reinsurance Assets And Policyholder Liabilities Under Insurance Contracts | Reinsurance Assets (1) Insurance contracts (2) Balance as of June 30, 2020 $ 1,006 $ ( 1,370) Increase in policy holder benefits under insurance contracts 126 1,788 Claims and policyholders’ benefits under insurance contracts ( 128) ( 1,785) Foreign currency adjustment (3) 29 ( 40) Balance as of September 30, 2020 $ 1,033 $ ( 1,407) (1) Included in other long-term assets (refer to Note 5); (2) Included in other long-term liabilities; (3) Represents the effects of the fluctuations of the ZAR against the U.S. dollar. |
Summary Of Movement In Assets And Policyholder Liabilities Under Investment Contracts | Assets (1) Investment contracts (2) Balance as of June 30, 2020 $ 490 $ ( 490) Increase in policy holder benefits under investment contracts 6 ( 6) Foreign currency adjustment (3) 15 ( 15) Balance as of September 30, 2020 $ 511 $ ( 511) (1) Included in other long-term assets (refer to Note 5); (2) Included in other long-term liabilities; (3) Represents the effects of the fluctuations of the ZAR against the U.S. dollar. |
Borrowings (Tables)
Borrowings (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Borrowings [Abstract] | |
Summary Of Short-Term Credit Facilities | South Africa Total RMB Nedbank Short-term facilities available as of September 30, 2020 $ 71,283 $ 26,731 $ 98,014 Overdraft - 2,970 2,970 Overdraft restricted as to use for ATM funding only 71,283 14,851 86,134 Indirect and derivative facilities - 8,910 8,910 Interest rate, based on South African prime rate (%) 7.00 Interest rate, based on South African prime rate less 1.15%&"(%) 5.85 Movement in utilized overdraft facilities: Balance as of June 30, 2020 14,756 58 14,814 Utilized 60,117 9,029 69,146 Repaid ( 68,039) ( 8,811) ( 76,850) Foreign currency adjustment (1) ( 153) ( 231) ( 384) Balance as of September 30, 2020 6,681 45 6,726 Restricted as to use for ATM funding only 6,681 45 6,726 Movement in utilized indirect and derivative facilities: Balance as of June 30, 2020 (2) - 5,398 5,398 Foreign currency adjustment (1) - 159 159 Balance as of September 30, 2020 (2) $ - $ 5,557 $ 5,557 (1) Represents the effects of the fluctuations between the ZAR and the U.S. dollar. (2) As of September 30, 2020 and June 30, 2020, the Company had utilized approximately ZAR 93.6 million ($ 5.6 million) and ZAR 93.6 million ($ 5.4 million), respectively, of its indirect and derivative facilities of ZAR 150 million to enable the bank to issue guarantees, letters of credit and forward exchange contracts, in order for the Company to honor its obligations to third parties requiring such guarantees (refer to Note 19). |
Other Payables (Tables)
Other Payables (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Other Payables [Abstract] | |
Schedule Of Other Payables | September 30, June 30, 2020 2020 Accruals $ 7,191 $ 6,045 Provisions 5,224 4,926 Other 10,759 11,329 Value-added tax payable 241 129 Payroll-related payables 1,343 887 Participating merchants' settlement obligation 484 463 $ 25,242 $ 23,779 |
Capital Structure (Tables)
Capital Structure (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Capital Structure [Abstract] | |
Schedule Of Number Of Shares, Net Of Treasury | September 30, September 30, 2020 2019 Number of shares, net of treasury: Statement of changes in equity 56,638,725 56,568,425 Non-vested equity shares that have not vested as of end of period 324,000 583,908 Number of shares, net of treasury, excluding non-vested equity shares that have not vested 56,314,725 55,984,517 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Change In Accumulated Other Comprehensive (Loss) Income Per Component | Three months ended September 30, 2020 Accumulated foreign currency translation reserve Total Balance as of July 1, 2020 $ ( 169,075) $ ( 169,075) Movement in foreign currency translation reserve related to equity-accounted investment 1,688 1,688 Movement in foreign currency translation reserve 6,142 6,142 Balance as of September 30, 2020 $ ( 161,245) $ ( 161,245) Three months ended September 30, 2019 Accumulated foreign currency translation reserve Total Balance as of July 1, 2019 $ ( 195,812) $ ( 195,812) Movement in foreign currency translation reserve related to equity-accounted investment 2,718 2,718 Movement in foreign currency translation reserve ( 18,085) ( 18,085) Balance as of September 30, 2019 $ ( 211,179) $ ( 211,179) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Stock-Based Compensation [Abstract] | |
Summarized Stock Option Activity | Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Aggregate intrinsic value ($'000) Weighted average grant date fair value ($) Outstanding - June 30, 2020 1,331,651 5.83 7.56 - 2.01 Granted - August 2020 150,000 3.50 3.00 166 1.11 Forfeited ( 250,034) 8.79 - 2.71 Outstanding - September 30, 2020 1,231,617 4.97 7.56 163 1.76 Outstanding - June 30, 2019 864,579 7.81 7.05 - 2.62 Outstanding - September 30, 2019 864,579 7.81 6.81 - 2.62 Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Aggregate intrinsic value ($’000) Vested and expecting to vest - September 30, 2020 1,231,617 4.97 7.56 163 Number of shares Weighted average exercise price ($) Weighted average remaining contractual term (in years) Exercisable - September 30, 2020 400,617 7.64 6.84 |
Range Of Assumptions Used To Value Options Granted | Three months ended September 30, 2020 Expected volatility 62 % Expected dividends 0 % Expected life (in years) 2 Risk-free rate 0.11 % |
Restricted Stock Activity | Number of shares of restricted stock Weighted average grant date fair value ($’000) Non-vested – June 30, 2020 1,115,500 5,354 Total vested ( 311,300) ( 1,037) Vested – August 2020 ( 244,500) ( 812) Vested – September 2020 - accelerated vesting ( 66,800) ( 225) Forfeitures ( 480,200) ( 1,618) Non-vested – September 30, 2020 324,000 1,102 Non-vested – June 30, 2019 583,908 3,410 Non-vested – September 30, 2019 583,908 3,410 |
Recorded Net Stock Compensation Charge | Allocated to cost of goods sold, Allocated to IT processing, selling, general Total servicing and and charge support administration Three months ended September 30, 2020 Stock-based compensation charge $ 682 $ - $ 682 Reversal of stock compensation charge related to stock options and restricted stock forfeited ( 283) - ( 283) Total - three months ended September 30, 2020 $ 399 $ - $ 399 Three months ended September 30, 2019 Stock-based compensation charge $ 387 $ - $ 387 Total - three months ended September 30, 2019 $ 387 $ - $ 387 |
(Loss) Earnings Per Share (Tabl
(Loss) Earnings Per Share (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
(Loss) Earnings Per Share [Abstract] | |
Income From Continuing Operations And Share Data Used In Basic And Diluted Earnings Per Share Computations | Three months ended September 30, 2020 2019 (in thousands except percent and per share data) Numerator: Net loss attributable to Net1 $ ( 28,958) $ ( 4,392) Undistributed (loss) earnings ( 28,958) ( 4,392) Continuing ( 28,958) ( 7,327) Discontinued $ - $ 2,935 Percent allocated to common shareholders (Calculation 1) 98 99 Numerator for (loss) earnings per share: basic and diluted ( 28,443) ( 4,346) Continuing ( 28,443) ( 7,251) Discontinued - 2,905 Denominator Denominator for basic (loss) earnings per share: weighted-average common shares outstanding 56,104 55,985 Denominator for diluted (loss) earnings per share: adjusted weighted average common shares outstanding and assuming conversion 56,104 55,985 (Loss) Earnings per share: Basic $ ( 0.51) $ ( 0.08) Continuing $ ( 0.51) $ ( 0.13) Discontinued $ - $ 0.05 Diluted $ ( 0.51) $ ( 0.08) Continuing $ ( 0.51) $ ( 0.13) Discontinued $ - $ 0.05 (Calculation 1) Basic weighted-average common shares outstanding (A) 56,104 55,985 Basic weighted-average common shares outstanding and unvested restricted shares expected to vest (B) 57,119 56,568 Percent allocated to common shareholders (A) / (B) 98 99 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule Of Supplemental Cash Flow Disclosures | Three months ended September 30, 2020 2019 Cash received from interest $ 495 $ 737 Cash paid for interest $ 908 $ 813 Cash paid for income taxes $ 15,406 $ 1,883 |
Supplemental Cash Flow Disclosure Related To Leases | Three months ended September 30, 2020 2019 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 872 $ 920 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 90 $ 230 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Revenue Recognition [Abstract] | |
Revenue Disaggregated By Major Revenue Streams | Processing Financial services Technology Total Processing fees $ 18,307 $ 599 $ - $ 18,906 South Africa 16,751 599 - 17,350 Rest of world 1,556 - - 1,556 Technology products 460 6,074 6,534 Telecom products and services 4,422 - 4,422 Lending revenue - 4,200 - 4,200 Insurance revenue - 1,457 - 1,457 Account holder fees - 1,183 - 1,183 Other 306 81 24 411 Total revenue, derived from the following geographic locations 23,495 7,520 6,098 37,113 South Africa 21,939 7,520 6,098 35,557 Rest of world $ 1,556 $ - $ - $ 1,556 Processing Financial services Technology Total Processing fees $ 15,916 $ 1,249 $ - $ 17,165 South Africa 14,717 1,249 - 15,966 Rest of world 1,199 - - 1,199 Technology products 240 - 6,894 7,134 Telecom products and services 9,294 - - 9,294 Lending revenue - 5,154 - 5,154 Insurance revenue - 1,386 - 1,386 Account holder fees - 5,260 - 5,260 Other 2,365 166 14 2,545 Total revenue, derived from the following geographic locations 27,815 13,215 6,908 47,938 South Africa 26,616 13,215 6,908 46,739 Rest of world $ 1,199 $ - $ - $ 1,199 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
Supplemental Balance Sheet Disclosure Related To Right-of-use Assets And Operating Leases Liabilities | September 30, June 30, 2020 2020 Operating leases: Operating lease right-of-use asset $ 4,848 $ 5,395 Weighted average remaining lease term (years) 3.88 3.94 Weighted average discount rate (percent) 9 9 |
Maturities Of Operating Lease Liability | September 30, 2020 Maturities of operating lease liabilities 2021 (for September 30, 2020 excluding three months to September 30, 2020) $ 1,825 2022 1,617 2023 995 2024 660 2025 331 Thereafter 336 Total undiscounted operating lease liabilities 5,764 Less imputed interest 738 Total operating lease liabilities, included in 5,026 Operating lease liability - current 1,921 Operating lease liability - long-term $ 3,105 |
Operating Segments (Tables)
Operating Segments (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Operating Segments [Abstract] | |
Reconciliation Of Reportable Segments Revenue | Revenue Reportable Segment Inter-segment From external customers Processing $ 24,483 $ 988 $ 23,495 Financial services 8,265 745 7,520 Technology 6,211 113 6,098 Total for the three months ended September 30, 2020 $ 38,959 $ 1,846 $ 37,113 Processing $ 30,017 $ 2,202 $ 27,815 Financial services 14,168 953 13,215 Technology 7,209 301 6,908 Total for the three months ended September 30, 2019 $ 51,394 $ 3,456 $ 47,938 |
Reconciliation Of Reportable Segments Measure Of Profit Or Loss To Loss Before Income Tax (Benefit) Expense | Three months ended September 30, 2020 2019 Reportable segments measure of profit or loss $ ( 7,898) $ ( 4,015) Operating income: Corporate/Eliminations ( 2,877) ( 2,421) Interest income 611 363 Interest expense ( 747) ( 1,347) Loss before income tax (benefit) expense $ ( 10,911) $ ( 7,420) |
Summary Of Segment Information | Three months ended September 30, 2020 2019 Revenues Processing $ 24,483 $ 30,017 IPG 1,209 793 All others 23,274 29,224 Financial services 8,265 14,168 Technology 6,211 7,209 Total 38,959 51,394 Operating (loss) income Processing ( 7,301) ( 5,505) IPG ( 2,772) ( 1,973) All others ( 4,529) ( 3,532) Financial services ( 2,372) 345 Technology 1,775 1,145 Subtotal: Operating segments ( 7,898) ( 4,015) Corporate/Eliminations ( 2,877) ( 2,421) Total ( 10,775) ( 6,436) Depreciation and amortization Processing 704 823 Financial services 136 218 Technology 2 166 Subtotal: Operating segments 842 1,207 Corporate/Eliminations 81 117 Total 923 1,324 Expenditures for long-lived assets Processing 246 2,068 Financial services 28 79 Technology 1 2 Subtotal: Operating segments 275 2,149 Corporate/Eliminations - - Total $ 275 $ 2,149 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Sep. 30, 2020 | |
Net1 Korea [Member] | |
Schedule Of Major Captions That Have Not Been Separately Presented On Related To Discontinued Operation | Net1 Korea Three months ended September 30, 2019 Unaudited condensed consolidated statement of operations Discontinued: Revenue $ 32,818 Cost of goods sold, IT processing, servicing and support 14,366 Selling, general and administration 11,309 Depreciation and amortization 3,441 Operating income 3,702 Interest income 288 Interest expense 8 Net income before tax 3,982 Income tax expense 1,047 Net income from discontinued operations $ 2,935 Unaudited condensed consolidated statement of cash flows Discontinued: Total net cash provided by operating activities $ 10,194 Total net cash provided by investing activities $ 3,088 |
DNI [Member] | |
Schedule Of Revenues And Expenses After DNI Disposal Transaction | DNI Three months ended September 30, 2019 Revenue generated from transactions with DNI $ - Expenses incurred related to transactions with DNI $ 2,274 |
Accounts Receivable, Net And _3
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net (Narrative) (Details) $ in Thousands, ₩ in Billions | 1 Months Ended | 3 Months Ended | |||||
Jan. 31, 2020KRW (₩) | Jan. 31, 2020USD ($) | Sep. 30, 2020KRW (₩) | Sep. 30, 2020USD ($) | Oct. 26, 2020USD ($) | Jun. 30, 2020USD ($) | [1] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Settlement assets | $ 3,993 | $ 8,014 | |||||
DNI [Member] | Subsequent Event [Member] | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Settlement assets | $ 1,600 | ||||||
Net1 BV [Member] | Foreign Country [Member] | South Korean Tax Authorities [Member] | Net1 Korea [Member] | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Potential capital gains taxes withheld from transaction price | ₩ 23.8 | $ 19,800 | |||||
Refund received from taxes withheld | ₩ 23.8 | $ 20,100 | |||||
[1] | Derived from audited financial statements. |
Accounts Receivable, Net And _4
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net (Schedule Of Accounts Receivable, Net And Other Receivables) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Jun. 30, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable, trade, net | $ 12,567 | $ 8,458 |
Accounts receivable, trade, gross | 12,853 | 8,711 |
Allowance for doubtful accounts receivable, end of period | 286 | 253 |
Beginning of period | 253 | 661 |
Reversed to statement of operations | 0 | (155) |
Charged to statement of operations | 32 | 181 |
Utilized | (6) | (151) |
Deconsolidation | 0 | (178) |
Foreign currency adjustment | 7 | (105) |
Taxes refundable related to sale of Net1 Korea | 0 | 19,796 |
Other receivables | 8,831 | 9,058 |
Total accounts receivable, net and other receivables | 28,314 | 43,068 |
Carbon [Member] | Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan provided | 3,000 | 3,000 |
DNI [Member] | Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loan provided | $ 3,916 | $ 2,756 |
Accounts Receivable, Net And _5
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net (Schedule Of Finance Loans Receivable, Net) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Jun. 30, 2020 | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance loans receivable, net | $ 20,508 | $ 15,879 | [1] |
Reversed to statement of operations | 0 | (155) | |
Total accounts receivable, net | 20,508 | 15,879 | |
Microlending Finance Loans [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total finance loans receivable, net | 20,508 | 15,879 | |
Receivable, gross | 22,785 | 17,737 | |
Allowance for doubtful finance loans receivable, end of period | 2,277 | 1,858 | |
Beginning of period | 1,858 | 3,199 | |
Reversed to statement of operations | 0 | (492) | |
Charged to statement of operations | 486 | 1,211 | |
Utilized | (119) | (1,451) | |
Foreign currency adjustment | 52 | (609) | |
Working Capital Finance [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Receivable, gross | 5,800 | 5,800 | |
Allowance for doubtful finance loans receivable, end of period | 5,800 | 5,800 | |
Beginning of period | $ 5,800 | $ 5,800 | |
[1] | Derived from audited financial statements. |
Inventory (Schedule Of Inventor
Inventory (Schedule Of Inventory) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
Inventory [Abstract] | |||
Finished goods | $ 13,716 | $ 15,618 | |
Finished goods subject to sale restrictions | 4,368 | 4,242 | |
Inventory | $ 18,084 | $ 19,860 | [1] |
[1] | Derived from audited financial statements. |
Fair Value Of Financial Instr_3
Fair Value Of Financial Instruments (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($)shares | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($) | Mar. 31, 2020USD ($) | Jun. 30, 2020USD ($) | |
Derivatives, Fair Value [Line Items] | |||||
Transfers into or out of Level 3 | $ 0 | $ 0 | $ 0 | $ 0 | |
Foreign Exchange Contracts [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Outstanding foreign exchange contracts | 0 | 0 | |||
Cell C [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Investment amount owned | $ 0 | $ 0 | |||
Equity method investment, percentage of ownership interest | 0.00% | ||||
Cell C [Member] | Net1 SA [Member] | Class A [Member] | |||||
Derivatives, Fair Value [Line Items] | |||||
Investment shares owned | shares | 75,000,000 |
Fair Value Of Financial Instr_4
Fair Value Of Financial Instruments (Schedule Of Key Valuation Inputs Used To Measure Fair Value Of Investment In Cell C) (Details) - Cell C [Member] $ in Millions, R in Billions | 3 Months Ended | 12 Months Ended | |||
Sep. 30, 2020USD ($) | Jun. 30, 2020 | Sep. 30, 2020ZAR (R) | Jun. 30, 2019USD ($) | Jun. 30, 2019ZAR (R) | |
Net adjusted external debt | $ 900 | R 15.1 | $ 900 | R 15.8 | |
Lease liabilities included in net adjusted external debt | 4.2 | 4.4 | |||
Deferred tax including assessed tax losses | $ 172.3 | R 2.9 | $ 167.3 | R 2.9 | |
Weighted Average Cost of Capital (WACC) Rate [Member] | Minimum [Member] | |||||
Investment fair value measurement inputs | 16.00% | 16.00% | |||
Weighted Average Cost of Capital (WACC) Rate [Member] | Maximum [Member] | |||||
Investment fair value measurement inputs | 21.00% | 21.00% | |||
Long Term Growth Rate [Member] | |||||
Investment fair value measurement inputs | 3.00% | 3.00% | |||
Marketability Discount [Member] | |||||
Investment fair value measurement inputs | 10.00% | ||||
Minority Discount [Member] | |||||
Investment fair value measurement inputs | 15.00% |
Fair Value Of Financial Instr_5
Fair Value Of Financial Instruments (Schedule Of Impact On Carrying Value Of Cell C Investment) (Details) $ in Thousands | Sep. 30, 2020USD ($) |
2.0% Increase [Member] | Weighted Average Cost of Capital (WACC) Rate [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Sensitivity for fair value of investment, increase (decrease) in valuation based on 2% change | $ 0 |
2.0% Increase [Member] | EBITDA Multiple [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Sensitivity for fair value of investment, increase (decrease) in valuation based on 2% change | 2,881 |
2.0% Decrease [Member] | Weighted Average Cost of Capital (WACC) Rate [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Sensitivity for fair value of investment, increase (decrease) in valuation based on 2% change | 6,786 |
2.0% Decrease [Member] | EBITDA Multiple [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Sensitivity for fair value of investment, increase (decrease) in valuation based on 2% change | $ 0 |
Fair Value Of Financial Instr_6
Fair Value Of Financial Instruments (Fair Value Of Assets And Liabilities Measured On Recurring Basis) (Details) - Recurring [Member] - USD ($) | Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment | $ 0 | $ 0 | ||
Cash, cash equivalents and restricted cash (included in other long term assets) | 510,000 | 490,000 | ||
Fixed maturity investments (included in cash and cash equivalents) | 1,758,000 | 4,198,000 | ||
Total assets at fair value | 2,268,000 | 4,688,000 | ||
Quoted Price In Active Markets For Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment | 0 | 0 | ||
Cash, cash equivalents and restricted cash (included in other long term assets) | 510,000 | 490,000 | ||
Fixed maturity investments (included in cash and cash equivalents) | 1,758,000 | 4,198,000 | ||
Total assets at fair value | 2,268,000 | 4,688,000 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment | 0 | 0 | ||
Cash, cash equivalents and restricted cash (included in other long term assets) | 0 | 0 | ||
Fixed maturity investments (included in cash and cash equivalents) | 0 | 0 | ||
Total assets at fair value | 0 | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment | 0 | 0 | ||
Cash, cash equivalents and restricted cash (included in other long term assets) | 0 | 0 | ||
Fixed maturity investments (included in cash and cash equivalents) | 0 | 0 | ||
Total assets at fair value | $ 0 | $ 0 | $ 0 | $ 0 |
Fair Value Of Financial Instr_7
Fair Value Of Financial Instruments (Carrying Value Of Assets And Liabilities Measured On Recurring Basis) (Details) - USD ($) | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Liabilities | |||
Foreign currency adjustment | $ 886,000 | $ 87,000 | [1] |
Recurring [Member] | |||
Assets | |||
Beginning balance, Carrying value | 4,688,000 | ||
Ending balance, Carrying value | 2,268,000 | ||
Significant Unobservable Inputs (Level 3) [Member] | Recurring [Member] | |||
Assets | |||
Beginning balance, Carrying value | 0 | 0 | |
Foreign currency adjustment | 0 | ||
Ending balance, Carrying value | $ 0 | $ 0 | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Equity-Accounted Investments _3
Equity-Accounted Investments And Other Long-Term Assets (Narrative) (Details) R / shares in Units, R in Billions | 1 Months Ended | 3 Months Ended | |||||
Oct. 31, 2020USD ($) | Jun. 30, 2020USD ($) | Sep. 30, 2020USD ($)Itemshares | Sep. 30, 2019USD ($) | Sep. 30, 2020ZAR (R)R / sharesshares | Jul. 31, 2020USD ($) | ||
Amount released from accumulated other comprehensive loss | $ 0 | $ 0 | |||||
Impairment loss on equity method investment | 16,844,000 | ||||||
Market value of holding | $ 65,836,000 | [1] | $ 50,367,000 | ||||
Finbond [Member] | |||||||
Equity-accounted investments, ownership percentage | 31.00% | 31.00% | 31.00% | ||||
Investment shares owned | shares | 268,820,933 | 268,820,933 | |||||
Impairment loss on equity method investment | $ 16,844,000 | ||||||
Market value of holding | $ 16,600,000,000 | R 279.6 | |||||
Share price per share | R / shares | R 1.04 | ||||||
Liquidity discount used to calculate a fair value per share | 15.00% | ||||||
Number of shareholders that own approximately 90% of issued and outstanding shares | Item | 3 | ||||||
Percentage of issued and outstanding shares owned by three shareholders | 90.00% | ||||||
V2 [Member] | |||||||
Equity-accounted investments, ownership percentage | 50.00% | 50.00% | 50.00% | ||||
Equity acquisition amount under purchase agreement | $ 5,000,000 | ||||||
Working capital facility | $ 5,000,000 | $ 1,500,000 | $ 5,000,000 | ||||
Amount drawn from working capital facility grant | 500,000 | ||||||
V2 [Member] | Subsequent Event [Member] | |||||||
Amount drawn from working capital facility grant | $ 1,000,000 | ||||||
Cedar Cellular [Member] | 8.625% Notes [Member] | |||||||
Equity-accounted investments, ownership percentage | 7.625% | 7.625% | |||||
Interest rate | 8.625% | 8.625% | |||||
Cell C [Member] | |||||||
Equity-accounted investments, ownership percentage | 15.00% | 15.00% | |||||
Investment amount owned | $ 0 | $ 0 | |||||
Net1 SA [Member] | Cell C [Member] | Class A [Member] | |||||||
Investment shares owned | shares | 75,000,000 | 75,000,000 | |||||
[1] | Derived from audited financial statements. |
Equity-Accounted Investments _4
Equity-Accounted Investments And Other Long-Term Assets (Ownership Percentage Of Equity-Accounted Investments) (Details) | Sep. 30, 2020 | Jun. 30, 2020 |
Bank Frick [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 35.00% | 35.00% |
Finbond [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 31.00% | 31.00% |
Carbon Tech Limited ("Carbon"), formerly OneFi Limited [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 25.00% | 25.00% |
Revix [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 25.00% | 25.00% |
SmartSwitch Namibia [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 50.00% | 50.00% |
V2 [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 50.00% | 50.00% |
Walletdoc [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-accounted investments, ownership percentage | 20.00% | 20.00% |
Equity-Accounted Investments _5
Equity-Accounted Investments And Other Long-Term Assets (Summary Of Movement In Equity-Accounted Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | [1] | |
Investment in equity: | |||
Balance as of, beginning | $ 65,216 | ||
Stock-based compensation | (40) | ||
Comprehensive (loss) income | (17,449) | ||
Other comprehensive income | 1,688 | ||
Equity accounted (loss) earnings | (19,137) | ||
Share of net (loss) income | (2,293) | ||
Impairment | (16,844) | ||
Dividends received | (57) | ||
Foreign currency adjustment | 2,073 | ||
Balance as of, ending | 49,743 | ||
Investment in loans: | |||
Balance as of, beginning | 620 | ||
Loans granted | 78 | $ 0 | |
Allowance for doubtful loans | (78) | ||
Foreign currency adjustment | 4 | ||
Balance as of, ending | 624 | ||
Bank Frick [Member] | |||
Investment in equity: | |||
Balance as of, beginning | 29,739 | ||
Stock-based compensation | 0 | ||
Comprehensive (loss) income | 481 | ||
Other comprehensive income | 0 | ||
Equity accounted (loss) earnings | 481 | ||
Share of net (loss) income | 481 | ||
Impairment | 0 | ||
Foreign currency adjustment | 925 | ||
Balance as of, ending | 31,145 | ||
Investment in loans: | |||
Balance as of, beginning | 0 | ||
Loans granted | 0 | ||
Allowance for doubtful loans | 0 | ||
Foreign currency adjustment | 0 | ||
Balance as of, ending | 0 | ||
Finbond [Member] | |||
Investment in equity: | |||
Balance as of, beginning | 30,876 | ||
Stock-based compensation | (40) | ||
Comprehensive (loss) income | (17,773) | ||
Other comprehensive income | 1,688 | ||
Equity accounted (loss) earnings | (19,461) | ||
Share of net (loss) income | (2,617) | ||
Impairment | (16,844) | ||
Dividends received | 0 | ||
Foreign currency adjustment | 1,091 | ||
Balance as of, ending | 14,154 | ||
Investment in loans: | |||
Balance as of, beginning | 0 | ||
Loans granted | 0 | ||
Allowance for doubtful loans | 0 | ||
Foreign currency adjustment | 0 | ||
Balance as of, ending | 0 | ||
Other [Member] | |||
Investment in equity: | |||
Balance as of, beginning | 4,601 | ||
Stock-based compensation | 0 | ||
Comprehensive (loss) income | (157) | ||
Other comprehensive income | 0 | ||
Equity accounted (loss) earnings | (157) | ||
Share of net (loss) income | (157) | ||
Impairment | 0 | ||
Dividends received | (57) | ||
Foreign currency adjustment | 57 | ||
Balance as of, ending | 4,444 | ||
Investment in loans: | |||
Balance as of, beginning | 620 | ||
Loans granted | 78 | ||
Allowance for doubtful loans | (78) | ||
Foreign currency adjustment | 4 | ||
Balance as of, ending | $ 624 | ||
[1] | Refer to Note 20 for discontinued operations disclosures |
Equity-Accounted Investments _6
Equity-Accounted Investments And Other Long-Term Assets (Carrying Amount Of Equity-Accounted Investments) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 |
Schedule of Equity Method Investments [Line Items] | ||
Equity | $ 49,743 | $ 65,216 |
Loans | 624 | 620 |
Total | $ 50,367 | $ 65,836 |
Equity-Accounted Investments _7
Equity-Accounted Investments And Other Long-Term Assets (Summary Of Other Long-Term Asset) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
Schedule Of Equity And Held To Maturity Investments [Line Items] | |||
Total equity investments | $ 26,993 | $ 26,993 | |
Long-term portion of amount due from DNI related to sale of remaining interest in DNI | 1,635 | 2,857 | |
Policy holder assets under investment contracts (Note 7) | 511 | 490 | |
Reinsurance assets under insurance contracts (Note 7) | 1,033 | 1,006 | |
Total other long-term assets | 30,172 | 31,346 | [1] |
Cell C [Member] | |||
Schedule Of Equity And Held To Maturity Investments [Line Items] | |||
Total equity investments | $ 0 | 0 | |
Equity-accounted investments, ownership percentage | 15.00% | ||
MobiKwik [Member] | |||
Schedule Of Equity And Held To Maturity Investments [Line Items] | |||
Total equity investments | $ 26,993 | 26,993 | |
Equity-accounted investments, ownership percentage | 12.00% | ||
CPS [Member] | |||
Schedule Of Equity And Held To Maturity Investments [Line Items] | |||
Total equity investments | $ 0 | 0 | |
Cedar Cellular [Member] | 8.625% Notes [Member] | |||
Schedule Of Equity And Held To Maturity Investments [Line Items] | |||
Total equity investments | $ 0 | $ 0 | |
Equity-accounted investments, ownership percentage | 7.625% | ||
Interest rate | 8.625% | ||
[1] | Derived from audited financial statements. |
Equity-Accounted Investments _8
Equity-Accounted Investments And Other Long-Term Assets (Summary Of Unrealized Gain (Loss) On Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Jun. 30, 2020 | |
Schedule Of Equity And Held To Maturity Investments [Line Items] | ||
Cost basis | $ 26,993 | $ 26,993 |
Carrying value | 26,993 | 26,993 |
MobiKwik [Member] | ||
Schedule Of Equity And Held To Maturity Investments [Line Items] | ||
Cost basis | 26,993 | 26,993 |
Carrying value | 26,993 | 26,993 |
Cedar Cellular Investment1 Ltd [Member] | ||
Schedule Of Equity And Held To Maturity Investments [Line Items] | ||
Cost basis | 0 | 0 |
Carrying value | $ 0 | $ 0 |
Equity-Accounted Investments _9
Equity-Accounted Investments And Other Long-Term Assets (Summary Of Contractual Maturity Of Investment) (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Equity-Accounted Investments And Other Long-Term Assets [Abstract] | |
Due in one year or less, Cost basis | $ 0 |
Due in one year through five, Cost basis | 0 |
Due after ten years, Cost basis | 0 |
Due after ten years, Cost basis | 0 |
Total, Cost basis | 0 |
Due in one year or less, Estimated fair value | 0 |
Estimated fair value, Due in one year through five years | 0 |
Due in five years through ten years, Estimated fair value | 0 |
Due after ten years, Estimated fair value | 0 |
Total. Estimated fair value | $ 0 |
Goodwill And Intangible Asset_3
Goodwill And Intangible Assets, Net (Summary Of Movement In Carrying Value Of Goodwill) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2020 | |||
Gross value, Beginning Balance | $ 63,194 | |||
Gross value, Foreign currency adjustment | 892 | |||
Gross value, Ending Balance | 64,086 | |||
Accumulated impairment, Beginning Balance | (39,025) | |||
Accumulated impairment, Foreign currency adjustment | (196) | |||
Accumulated impairment, Ending Balance | (39,221) | |||
Carrying value, Beginning Balance | [1] | 24,169 | ||
Carrying value, Foreign currency adjustment | 696 | |||
Carrying value, Ending Balance | $ 24,169 | [1] | $ 24,865 | |
[1] | Derived from audited financial statements. |
Goodwill And Intangible Asset_4
Goodwill And Intangible Assets, Net (Goodwill Allocated To Reportable Segments) (Details) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020USD ($) | ||
Goodwill [Line Items] | ||
Carrying value, Beginning Balance | $ 24,169 | [1] |
Carrying value, Foreign currency adjustment | 696 | |
Carrying value, Ending Balance | 24,865 | |
Processing [Member] | ||
Goodwill [Line Items] | ||
Carrying value, Beginning Balance | 9,989 | |
Carrying value, Foreign currency adjustment | 276 | |
Carrying value, Ending Balance | 10,265 | |
Financial Services [Member] | ||
Goodwill [Line Items] | ||
Carrying value, Beginning Balance | 0 | |
Carrying value, Foreign currency adjustment | 0 | |
Carrying value, Ending Balance | 0 | |
Technology [Member] | ||
Goodwill [Line Items] | ||
Carrying value, Beginning Balance | 14,180 | |
Carrying value, Foreign currency adjustment | 420 | |
Carrying value, Ending Balance | $ 14,600 | |
[1] | Derived from audited financial statements. |
Goodwill And Intangible Asset_5
Goodwill And Intangible Assets, Net (Carrying Value And Accumulated Amortization Of Intangible Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, Gross carrying value | $ 28,346 | $ 27,937 | |
Accumulated amortization | (27,798) | (27,325) | |
Total future estimated amortization expense | 548 | 612 | |
Indefinite-lived intangible assets | 0 | 0 | |
Total intangible assets, Net carrying value | 548 | 612 | [1] |
Financial Institution License [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Indefinite-lived intangible assets | 0 | 0 | |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, Gross carrying value | 19,317 | 19,064 | |
Accumulated amortization | (19,118) | (18,806) | |
Total future estimated amortization expense | 199 | 258 | |
Software And Unpatented Technology [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, Gross carrying value | 3,973 | 3,931 | |
Accumulated amortization | (3,973) | (3,931) | |
Total future estimated amortization expense | 0 | 0 | |
FTS Patent [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, Gross carrying value | 2,276 | 2,211 | |
Accumulated amortization | (2,276) | (2,211) | |
Total future estimated amortization expense | 0 | 0 | |
Trademarks And Brands [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-lived intangible assets, Gross carrying value | 2,780 | 2,731 | |
Accumulated amortization | (2,431) | (2,377) | |
Total future estimated amortization expense | $ 349 | $ 354 | |
[1] | Derived from audited financial statements. |
Goodwill And Intangible Asset_6
Goodwill And Intangible Assets, Net (Future Estimated Annual Amortization Expense) (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Goodwill And Intangible Assets, Net [Abstract] | |
Fiscal 2021 | $ 327 |
Fiscal 2022 | 61 |
Fiscal 2023 | 61 |
Fiscal 2024 | 61 |
Fiscal 2025 | 60 |
Thereafter | 61 |
Total future estimated amortization expense | $ 631 |
Assets And Policyholder Liabi_3
Assets And Policyholder Liabilities Under Insurance And Investment Contracts (Summary Of The Movement In Reinsurance Assets And) (Details) $ in Thousands | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Assets And Policyholder Liabilities Under Insurance And Investment Contracts [Abstract] | |
Reinsurance assets, Beginning Balance | $ 1,006 |
Reinsurance assets, Increase in policyholder benefits under insurance contracts | 126 |
Reinsurance assets, Claims and policyholders' benefits under insurance contracts | (128) |
Reinsurance assets, Foreign currency adjustment | 29 |
Reinsurance assets, Ending Balance | 1,033 |
Insurance contracts, Beginning Balance | (1,370) |
Insurance contracts, Increase in policyholder benefits under insurance contracts | 1,788 |
Insurance contracts, Claims and policyholders' benefits under insurance contracts | 1,785 |
Insurance contracts, Foreign currency adjustment | (40) |
Insurance contracts, Ending Balance | $ (1,407) |
Assets And Policyholder Liabi_4
Assets And Policyholder Liabilities Under Insurance And Investment Contracts (Summary Of Movement In Assets And Policyholder Liabilities Under Investment Contracts) (Details) $ in Thousands | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Assets And Policyholder Liabilities Under Insurance And Investment Contracts [Abstract] | |
Assets, Beginning Balance | $ 490 |
Assets, Increase in policyholder benefits under investment contracts | 6 |
Assets, Foreign currency adjustment | 15 |
Assets, Ending Balance | 511 |
Investment contracts, Beginning Balance | (490) |
Investment contracts, Increase in policy holder benefits under investment contracts | (6) |
Investment contracts, Foreign currency adjustment | (15) |
Investment contracts, Ending Balance | $ (511) |
Borrowings (Summary Of Short-Te
Borrowings (Summary Of Short-Term Credit Facilities) (Details) $ in Thousands, R in Millions | 3 Months Ended | ||||
Sep. 30, 2020USD ($) | Sep. 30, 2020ZAR (R) | Sep. 30, 2019USD ($) | [1] | Sep. 30, 2020ZAR (R) | |
Short-term Debt [Line Items] | |||||
Short-term facility available | $ 98,014 | ||||
Utilized | 69,146 | $ 183,674 | |||
Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 86,134 | ||||
Overdraft Facility [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 2,970 | ||||
Balance as of June 30, 2019 | 14,814 | ||||
Utilized | 69,146 | ||||
Repaid | (76,850) | ||||
Foreign currency adjustment | (384) | ||||
Balance as of September 30, 2019 | 6,726 | ||||
Overdraft Facility [Member] | Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Balance as of September 30, 2019 | 6,726 | ||||
Indirect And Derivative Facilities [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 8,910 | ||||
Balance as of June 30, 2019 | 5,398 | ||||
Foreign currency adjustment | 159 | ||||
Balance as of September 30, 2019 | 5,557 | ||||
South Africa [Member] | Amended July 2017 [Member] | Overdraft Facility [Member] | Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Balance as of September 30, 2019 | $ 6,681 | ||||
South Africa [Member] | Nedbank Limited [Member] | Prime Rate [Member] | |||||
Short-term Debt [Line Items] | |||||
Interest rate | 5.85% | 5.85% | |||
Percentage used to calculate interest rate on short-term facilities | 1.15% | 1.15% | |||
South Africa [Member] | Nedbank Limited [Member] | Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | $ 14,851 | ||||
South Africa [Member] | Nedbank Limited [Member] | Overdraft Facility [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 2,970 | ||||
Balance as of June 30, 2019 | 58 | ||||
Utilized | 9,029 | ||||
Repaid | (8,811) | ||||
Foreign currency adjustment | (231) | ||||
Balance as of September 30, 2019 | 45 | ||||
South Africa [Member] | Nedbank Limited [Member] | Overdraft Facility [Member] | Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 26,731 | ||||
Balance as of September 30, 2019 | 45 | ||||
South Africa [Member] | Nedbank Limited [Member] | Indirect And Derivative Facilities [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 8,910 | ||||
Balance as of June 30, 2019 | 5,398 | ||||
Foreign currency adjustment | 159 | ||||
Balance as of September 30, 2019 | 5,557 | ||||
South Africa [Member] | Nedbank Limited [Member] | Indirect And Derivative Facilities [Member] | Nedbank Short-Term Credit Facility [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | R | R 150 | ||||
Balance as of June 30, 2019 | 5,400 | R 93.6 | |||
Balance as of September 30, 2019 | 5,600 | R 93.6 | |||
South Africa [Member] | RMB [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | $ 71,283 | ||||
South Africa [Member] | RMB [Member] | Prime Rate [Member] | |||||
Short-term Debt [Line Items] | |||||
Interest rate | 7.00% | 7.00% | |||
South Africa [Member] | RMB [Member] | Overdraft Restricted As To Use For ATM Funding Only [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | $ 71,283 | ||||
South Africa [Member] | RMB [Member] | Overdraft Facility [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 0 | ||||
Balance as of June 30, 2019 | 14,756 | ||||
Utilized | 60,117 | ||||
Repaid | (68,039) | ||||
Foreign currency adjustment | (153) | ||||
Balance as of September 30, 2019 | 6,681 | ||||
South Africa [Member] | RMB [Member] | Indirect And Derivative Facilities [Member] | |||||
Short-term Debt [Line Items] | |||||
Short-term facility available | 0 | ||||
Balance as of June 30, 2019 | 0 | ||||
Foreign currency adjustment | 0 | ||||
Balance as of September 30, 2019 | $ 0 | ||||
[1] | Refer to Note 20 for discontinued operations disclosures |
Other Payables (Schedule Of Oth
Other Payables (Schedule Of Other Payables) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
Other Payables [Abstract] | |||
Accruals | $ 7,191 | $ 6,045 | |
Provisions | 5,224 | 4,926 | |
Other | 10,759 | 11,329 | |
Value-added tax payable | 241 | 129 | |
Payroll-related payables | 1,343 | 887 | |
Participating merchants' settlement obligation | 484 | 463 | |
Other payables, total | $ 25,242 | $ 23,779 | [1] |
[1] | Derived from audited financial statements. |
Capital Structure (Schedule Of
Capital Structure (Schedule Of Number Of Shares, Net Of Treasury) (Details) - shares | Sep. 30, 2020 | Sep. 30, 2019 |
Capital Structure [Abstract] | ||
Number of shares, net of treasury: Statement of changes in equity | 56,638,725 | 56,568,425 |
Non-vested equity shares that have not vested as of end of period | 324,000 | 583,908 |
Number of shares, net of treasury excluding non-vested equity shares that have not vested | 56,314,725 | 55,984,517 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Narrative) (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Reclassification from accumulated other comprehensive (loss) income | $ 0 | $ 0 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Change In Accumulated Other Comprehensive (Loss) Income Per Component) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | $ (169,075) | [1] | $ (195,812) |
Movement in foreign currency translation reserve related to equity-accounted investment | 1,688 | 2,718 | |
Movement in foreign currency translation reserve | 6,142 | (18,085) | |
Ending Balance | (161,245) | (211,179) | |
Accumulated Foreign Currency Translation Reserve [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (169,075) | (195,812) | |
Movement in foreign currency translation reserve related to equity-accounted investment | 1,688 | 2,718 | |
Movement in foreign currency translation reserve | 6,142 | (18,085) | |
Ending Balance | $ (161,245) | $ (211,179) | |
[1] | Derived from audited financial statements. |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of stock options awarded | 150,000 | ||
Forfeitures, Number of shares | 250,034 | ||
Stock-based compensation charge, net | $ 399 | $ 387 | |
Deferred tax asset related to stock-based compensation | 30 | $ 400 | |
Valuation allowance | $ 30 | $ 400 | |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options exercise price range, lower limit | $ 3.07 | ||
Options exercise price range, upper limit | $ 11.23 | ||
Expected volatility | 62.00% | ||
Expected life (in years) | 2 years | ||
Risk-free rate | 0.11% | ||
Unrecognized compensation cost | $ 900 | ||
Unrecognized compensation cost, expected recognition period, years | 3 years | ||
Stock Options [Member] | August 2008 [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility calculation term | 750 days | ||
Stock Options [Member] | Executive Officers [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares forfeited | 250,034 | ||
Stock Options [Member] | Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of stock options awarded | 0 | 0 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vested number of shares of restricted stock | 311,300 | ||
Forfeitures, Number of shares | 480,200 | 244,500 | |
Stock-based compensation charge, net | $ 400 | ||
Unrecognized compensation cost | $ 900 | ||
Unrecognized compensation cost, expected recognition period, years | 3 years | ||
Minimum [Member] | Stock Options [Member] | Executive Officers And Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Strike price | $ 6.20 | ||
Maximum [Member] | Stock Options [Member] | Executive Officers And Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Strike price | $ 11.23 |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summarized Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Stock-Based Compensation [Abstract] | ||||
Outstanding, Number of shares, Beginning Balance | 1,331,651 | 864,579 | 864,579 | |
Granted, Number of shares | 150,000 | |||
Forfeitures, Number of shares | (250,034) | |||
Outstanding, Number of shares, Ending Balance | 1,231,617 | 864,579 | 1,331,651 | 864,579 |
Exercisable, Number of Shares | 400,617 | |||
Vested and expected to vest, Number of shares | 1,231,617 | |||
Outstanding, Weighted average exercise price, Beginning Balance | $ 5.83 | $ 7.81 | $ 7.81 | |
Granted, Weighted average exercise price | 3.50 | |||
Forfeitures, Weighted average exercise price | 8.79 | |||
Outstanding, Weighted average exercise price, Ending Balance | 4.97 | $ 7.81 | $ 5.83 | $ 7.81 |
Exercisable, Weighted average exercise price | 7.64 | |||
Vested and expected to vest, Weighted average exercise price | $ 4.97 | |||
Outstanding, Weighted average remaining contractual term (in years) | 7 years 6 months 21 days | 6 years 9 months 21 days | 7 years 6 months 21 days | 7 years 18 days |
Granted, Weighted average remaining contractual term (in years) | 3 years | |||
Exercisable, Weighted average remaining contractual term (in years) | 6 years 10 months 2 days | |||
Vested and expected to vest, Weighted average remaining contractual term (in years) | 7 years 6 months 21 days | |||
Outstanding, Aggregate intrinsic value, Beginning Balance | $ 0 | |||
Granted, Aggregate intrinsic value | 166 | |||
Outstanding, Aggregate intrinsic value, Ending Balance | $ 163 | $ 0 | $ 0 | |
Outstanding, Weighted average grant date fair value, Beginning Balance | $ 2.01 | $ 2.62 | $ 2.62 | |
Granted, Weighted average grant date fair value | 1.11 | |||
Forfeitures, Weighted average grant date fair value | 2.71 | |||
Outstanding, Weighted average grant date fair value, Ending Balance | $ 1.76 | $ 2.62 | $ 2.01 | $ 2.62 |
Stock-Based Compensation (Range
Stock-Based Compensation (Range Of Assumptions Used To Value Options Granted) (Details) - Stock Options [Member] | 3 Months Ended |
Sep. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected volatility | 62.00% |
Expected dividends | 0.00% |
Expected life (in years) | 2 years |
Risk-free rate | 0.11% |
Stock-Based Compensation (Restr
Stock-Based Compensation (Restricted Stock Activity) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, Number of Shares of Restricted Stock | 150,000 | |
Forfeitures, Number of Shares of Restricted Stock | (250,034) | |
Non-vested, Number of Shares of Restricted Stock, Ending Balance | 324,000 | 583,908 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Non-vested, Number of Shares of Restricted Stock, Beginning Balance | 1,115,500 | 583,908 |
Vested, Number of Shares of Restricted Stock | (311,300) | |
Forfeitures, Number of Shares of Restricted Stock | (480,200) | (244,500) |
Non-vested, Number of Shares of Restricted Stock, Ending Balance | 324,000 | 583,908 |
Non-vested, Weighted Average Grant Date Fair Value, Beginning Balance | $ 5,354 | $ 3,410 |
Vested, Weighted Average Grant Date Fair Value | (1,037) | |
Forfeitures, Weighted Average Grant Date Fair Value | (1,618) | |
Non-vested, Weighted Average Grant Date Fair Value, Ending Balance | $ 1,102 | $ 3,410 |
Restricted Stock [Member] | August 2020 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vested, Number of Shares of Restricted Stock | (244,500) | |
Vested, Weighted Average Grant Date Fair Value | $ (812) | |
Restricted Stock [Member] | September 2020 [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vested-Accelerated vesting, Number of Shares of Restricted Stock | (66,800) | |
Vested-Accelerated vesting, Weighted Average Grant Date Fair Value | $ (225) |
Stock-Based Compensation (Recor
Stock-Based Compensation (Recorded Net Stock Compensation Charge) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation charge | $ 682 | $ 387 |
Reversal of stock compensation charge related to stock options and restricted stock forfeited | (283) | |
Total | 399 | 387 |
Allocated To Selling, General And Administration [Member] | ||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | ||
Stock-based compensation charge | 682 | 387 |
Reversal of stock compensation charge related to stock options and restricted stock forfeited | (283) | |
Total | $ 399 | $ 387 |
(Loss) Earnings Per Share (Narr
(Loss) Earnings Per Share (Narrative) (Details) - Stock Options [Member] | 3 Months Ended |
Sep. 30, 2020$ / sharesshares | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |
Options outstanding not included in computation of diluted earnings per share | shares | 1,231,617 |
Options exercise price range, lower limit | $ 3.07 |
Options exercise price range, upper limit | $ 11.23 |
(Loss) Earnings Per Share (Inco
(Loss) Earnings Per Share (Income From Continuing Operations And Share Data Used In Basic And Diluted Earnings Per Share Computations) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Net loss attributable to Net1 | $ (28,958) | $ (4,392) | [1] |
Undistributed (loss) earnings | $ (28,958) | $ (4,392) | |
Percent allocated to common shareholders (Calculation 1) | 98.00% | 99.00% | |
Numerator for (loss) earnings per share: basic and diluted | $ (28,443) | $ (4,346) | |
Continuing | (28,443) | (7,251) | |
Discontinued | $ 0 | $ 2,905 | |
Denominator for basic (loss) earnings per share: weighted-average common shares outstanding | 56,104 | 55,985 | |
Denominator for diluted (loss) earnings per share: adjusted weighted average common shares outstanding and assuming conversion | 56,104 | 55,985 | |
(Loss) Earnings per share: Basic | $ (0.51) | $ (0.08) | [1] |
Continuing | (0.51) | (0.13) | [1] |
Discontinued | 0 | 0.05 | [1] |
(Loss) Earnings per share: Diluted | (0.51) | (0.08) | [1] |
Continuing | (0.51) | (0.13) | [1] |
Discontinued | $ 0 | $ 0.05 | [1] |
Basic weighted-average common shares outstanding (A) | 56,104 | 55,985 | |
Basic weighted-average common shares outstanding and unvested restricted shares expected to vest (B) | 57,119 | 56,568 | |
Continuing [Member] | |||
Undistributed (loss) earnings | $ (28,958) | $ (7,327) | |
Discontinued [Member] | |||
Undistributed (loss) earnings | $ 0 | $ 2,935 | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Schedule Of Supplemental Cash Flow Disclosures) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | ||
Cash received from interest | $ 495 | $ 737 |
Cash paid for interest | 908 | 813 |
Cash paid for income taxes | $ 15,406 | $ 1,883 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information (Supplemental Cash Flow Disclosure Related To Leases) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | ||
Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases | $ 872 | $ 920 |
Right-of-use assets obtained in exchange for lease obligations: Operating leases | $ 90 | $ 230 |
Revenue Recognition (Revenue Di
Revenue Recognition (Revenue Disaggregated By Major Revenue Streams) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 37,113 | $ 47,938 |
Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 23,495 | 27,815 |
Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 7,520 | 13,215 |
Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,098 | 6,908 |
Processing Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 18,906 | 17,165 |
Processing Fees [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 18,307 | 15,916 |
Processing Fees [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 599 | 1,249 |
Processing Fees [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Telecom Products And Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,422 | 9,294 |
Telecom Products And Services [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,422 | 9,294 |
Telecom Products And Services [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | |
Telecom Products And Services [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Account Holder Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,183 | 5,260 |
Account Holder Fees [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Account Holder Fees [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,183 | 5,260 |
Account Holder Fees [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Lending Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,200 | 5,154 |
Lending Revenue [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Lending Revenue [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 4,200 | 5,154 |
Lending Revenue [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Technology Products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,534 | 7,134 |
Technology Products [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 460 | 240 |
Technology Products [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | |
Technology Products [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,074 | 6,894 |
Insurance Revenue [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,457 | 1,386 |
Insurance Revenue [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Insurance Revenue [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,457 | 1,386 |
Insurance Revenue [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 411 | 2,545 |
Other [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 306 | 2,365 |
Other [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 81 | 166 |
Other [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 24 | 14 |
South Africa [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 35,557 | 46,739 |
South Africa [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 21,939 | 26,616 |
South Africa [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 7,520 | 13,215 |
South Africa [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 6,098 | 6,908 |
South Africa [Member] | Processing Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 17,350 | 15,966 |
South Africa [Member] | Processing Fees [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 16,751 | 14,717 |
South Africa [Member] | Processing Fees [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 599 | 1,249 |
South Africa [Member] | Processing Fees [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Rest Of World [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,556 | 1,199 |
Rest Of World [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,556 | 1,199 |
Rest Of World [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Rest Of World [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Rest Of World [Member] | Processing Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,556 | 1,199 |
Rest Of World [Member] | Processing Fees [Member] | Processing [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,556 | 1,199 |
Rest Of World [Member] | Processing Fees [Member] | Financial Services [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Rest Of World [Member] | Processing Fees [Member] | Technology [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 0 | $ 0 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Operating lease expense | $ 0.9 | |
Minimum [Member] | ||
Operating leases have a remaining lease term | 1 year | |
Maximum [Member] | ||
Operating leases have a remaining lease term | 5 years | |
Financial Services [Member] | ||
Operating lease expense | $ 1.1 | $ 1.5 |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Disclosure Related To Right-of-use Assets And Operating Leases Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | |
Leases [Abstract] | |||
Operating lease right-of-use asset | $ 4,848 | $ 5,395 | [1] |
Weighted average discount rate | 9.00% | 9.00% | |
[1] | Derived from audited financial statements. |
Leases (Maturities Of Operating
Leases (Maturities Of Operating Lease Liability) (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2021 (for September 30, 2020 excluding three months to September 30, 2020) | $ 1,825 |
2022 | 1,617 |
2023 | 995 |
2024 | 660 |
2025 | 331 |
Thereafter | 336 |
Total undiscounted operating lease liabilities | 5,764 |
Less imputed interest | 738 |
Total operating lease liabilities, included in | 5,026 |
Operating lease liability - current | 1,921 |
Operating lease liability - long-term | $ 3,105 |
Leases (Maturities Of Operati_2
Leases (Maturities Of Operating Lease Liability) (Alternate) (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Leases [Abstract] | |
Lessee, Operating Lease, Liability, Payments, Due | $ 5,764 |
Total operating lease liabilities, included in | 5,026 |
Less imputed interest | $ 738 |
Operating Segments (Reconciliat
Operating Segments (Reconciliation Of Reportable Segments Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | $ 37,113 | $ 47,938 |
Processing [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 23,495 | 27,815 |
Financial Services [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 7,520 | 13,215 |
Technology [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 6,098 | 6,908 |
Reportable Segment [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 38,959 | 51,394 |
Reportable Segment [Member] | Processing [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 24,483 | 30,017 |
Reportable Segment [Member] | Financial Services [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 8,265 | 14,168 |
Reportable Segment [Member] | Technology [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | 6,211 | 7,209 |
Inter-Segment [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | (1,846) | (3,456) |
Inter-Segment [Member] | Processing [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | (988) | (2,202) |
Inter-Segment [Member] | Financial Services [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | (745) | (953) |
Inter-Segment [Member] | Technology [Member] | ||
Segment Reporting, Revenue Reconciling Item [Line Items] | ||
Revenues | $ (113) | $ (301) |
Operating Segments (Reconcili_2
Operating Segments (Reconciliation Of Reportable Segments Measure Of Profit Or Loss To Loss Before Income Tax (Benefit) Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating income | $ (10,775) | $ (6,436) | [1] |
Interest income | 611 | 363 | [1] |
Interest expense | (747) | (1,347) | [1] |
Loss before income tax (benefit) expense | (10,911) | (7,420) | [1] |
Reportable Segment [Member] | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating income | (7,898) | (4,015) | |
Interest income | 611 | 363 | |
Interest expense | (747) | (1,347) | |
Loss before income tax (benefit) expense | (10,911) | (7,420) | |
Corporate/Eliminations [Member] | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Operating income | $ (2,877) | $ (2,421) | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Operating Segments (Summary Of
Operating Segments (Summary Of Segment Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Segment Reporting Information [Line Items] | |||
Revenues | $ 37,113 | $ 47,938 | |
Operating (loss) income | (10,775) | (6,436) | [1] |
Depreciation and amortization | 923 | 1,324 | [1] |
Expenditures for long-lived assets | 275 | 2,149 | |
Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 38,959 | 51,394 | |
Operating (loss) income | (7,898) | (4,015) | |
Depreciation and amortization | 842 | 1,207 | |
Expenditures for long-lived assets | 275 | 2,149 | |
Corporate/Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating (loss) income | (2,877) | (2,421) | |
Depreciation and amortization | (81) | (117) | |
Expenditures for long-lived assets | 0 | 0 | |
Processing [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 23,495 | 27,815 | |
Processing [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 24,483 | 30,017 | |
Operating (loss) income | (7,301) | (5,505) | |
Depreciation and amortization | 704 | 823 | |
Expenditures for long-lived assets | 246 | 2,068 | |
Processing [Member] | Reportable Segment [Member] | IPG [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 1,209 | 793 | |
Operating (loss) income | (2,772) | (1,973) | |
Processing [Member] | Reportable Segment [Member] | All Others | |||
Segment Reporting Information [Line Items] | |||
Revenues | 23,274 | 29,224 | |
Operating (loss) income | (4,529) | (3,532) | |
Financial Services [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 7,520 | 13,215 | |
Financial Services [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 8,265 | 14,168 | |
Operating (loss) income | (2,372) | 345 | |
Depreciation and amortization | 136 | 218 | |
Expenditures for long-lived assets | 28 | 79 | |
Technology [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 6,098 | 6,908 | |
Technology [Member] | Reportable Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 6,211 | 7,209 | |
Operating (loss) income | 1,775 | 1,145 | |
Depreciation and amortization | 2 | 166 | |
Expenditures for long-lived assets | $ 1 | $ 2 | |
[1] | Refer to Note 20 for discontinued operations disclosures |
Income Tax (Narrative) (Details
Income Tax (Narrative) (Details) | Sep. 30, 2020USD ($) |
Valuation Allowance [Line Items] | |
Accrued interest related to uncertain tax positions | $ 0 |
Unrecognized tax benefit | $ 0 |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) R in Millions, $ in Millions | Sep. 30, 2020USD ($) | Sep. 30, 2020ZAR (R) |
Payment Guarantee [Member] | Minimum [Member] | ||
Guarantor Obligations [Line Items] | ||
Commission charge rate | 0.40% | 0.40% |
Payment Guarantee [Member] | Maximum [Member] | ||
Guarantor Obligations [Line Items] | ||
Commission charge rate | 1.94% | 1.94% |
Nedbank [Member] | Guarantee [Member] | ||
Guarantor Obligations [Line Items] | ||
Guarantee amount | $ 5.6 | R 93.6 |
Maximum payment amount under guarantee | $ 5.6 | R 93.6 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) $ in Millions | 3 Months Ended |
Sep. 30, 2019USD ($) | |
DNI [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Cash dividend received from equity method investment | $ 0.7 |
Discontinued Operations (Schedu
Discontinued Operations (Schedule Of Major Captions That Have Not Been Separately Presented On Related To Discontinued Operation) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | ||
Net income from discontinued operations | $ 0 | $ 2,935 | [1] |
Net1 Korea [Member] | Discontinued [Member] | |||
Revenue | 32,818 | ||
Cost of goods sold, IT processing, servicing and support | 14,366 | ||
Selling, general and administration | 11,309 | ||
Depreciation and amortization | 3,441 | ||
Operating income | 3,702 | ||
Interest income | 288 | ||
Interest expense | 8 | ||
Net income before tax | 3,982 | ||
Income tax expense | 1,047 | ||
Net income from discontinued operations | 2,935 | ||
Total net cash provided by operating activities | 10,194 | ||
Total net cash provided by investing activities | $ 3,088 | ||
[1] | Refer to Note 20 for discontinued operations disclosures |
Discontinued Operations (Sche_2
Discontinued Operations (Schedule Of Revenues And Expenses After DNI Disposal Transaction) (Details) - DNI [Member] | 3 Months Ended |
Sep. 30, 2020USD ($) | |
Revenue generated from transactions with DNI | $ 0 |
Expenses incurred related to transactions with DNI | $ 2,274,000 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||||
Oct. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | [1] | |
Related Party Transaction [Line Items] | ||||||
Disgorgement proceeds recorded as an increase to additional paid-in capital | $ 98 | |||||
Taxes payable | $ 1,298 | 1,298 | $ 16,157 | |||
Value Capital Partners (Pty) Ltd [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Disgorgement proceeds recorded as an increase to additional paid-in capital | 100 | |||||
Tax on capital contribution from shareholders | 20 | |||||
Disgorgement proceeds received from related party | $ 100 | $ 120 | ||||
Value Capital Partners (Pty) Ltd [Member] | Forecast [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Taxes payable | $ 20 | |||||
Value Capital Partners (Pty) Ltd [Member] | Subsequent Event [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Disgorgement proceeds received from related party | $ 20 | |||||
[1] | Derived from audited financial statements. |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) $ in Thousands, R in Millions | Nov. 01, 2020USD ($) | Oct. 15, 2020USD ($) | Oct. 15, 2020ZAR (R) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | [1] |
Subsequent Event [Line Items] | ||||||
Purchase of vehicles largely comprise the fleet of customized mobile ATMs used to deliver a service to rural communities | $ 275 | $ 2,624 | ||||
Subsequent Event [Member] | MobiKwik [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Percentage of ownership interest to be issued to raise additional capital | 1.60% | |||||
Consideration amount from issuance of additional shares | $ 5,600 | |||||
Valuation amount as of closing date | $ 375,000 | |||||
Subsequent Event [Member] | CPS [Member] | Bespoke Vehicles [Member] | ||||||
Subsequent Event [Line Items] | ||||||
Purchase of vehicles largely comprise the fleet of customized mobile ATMs used to deliver a service to rural communities | $ 3,000 | R 50 | ||||
[1] | Refer to Note 20 for discontinued operations disclosures |