HomeChoice owner Weaver Fintech is edging closer to the coveted banking market after announcing plans to offer a debit card for its fast-growing fintech customer base as it expands beyond buy now, pay later (BNPL).
The move is part of Weaver Fintech’s plans to increase customer numbers, which it says are growing by about 120,000 a month.
The JSE-listed group, which serves more than 4-million fintech customers, said the card will be introduced in partnership with a bank, though the partner has not yet been disclosed.
Globally, several major BNPL firms now offer cards. Companies such as Klarna, Affirm and Afterpay have launched or tested debit cards that enable customers to pay normally and then convert purchases into instalments through the companies’ apps.
The strategy also enables fintech firms to extend BNPL beyond online checkouts and into everyday spending.
Weaver’s push into cards also comes as retailers locally are increasingly moving into financial services.
Shoprite and Pepkor have recently revealed plans to establish a stronger presence in banking, reflecting growing competition between retailers, fintech firms and traditional banks for a share of consumer financial services.
Speaking to Business Day after the group’s results for the 12 months to end-December on Tuesday, Weaver Fintech CFO Paul Burnett said the debit card is intended to broaden payment options for customers already using Weaver’s platform for services such as BNPL and digital lending.
“We think this is going to be extremely useful for our customers. It adds to their payment options when shopping, whether it’s online or in-store,” he said.
Change in focus
The company changed its name to Weaver Fintech from HomeChoice International in July last year and repositioned itself as a fintech-focused business with its FinChoice and PayJustNow platforms, though HomeChoice contributed 93% of group trading profit.
On Tuesday, Weaver Fintech reported that trading profit for the year to end-December rose 41% to R1.1bn. Revenue increased 23% to R5.5bn, while HEPS rose 40% to 552.7c.
The group declared a total dividend of 272c a share, up 42% from a year ago.
In the latest review period, the fintech businesses recorded revenue growth of 36% to R3.5bn, while fee revenue from fintech products rose 39% to R1.3bn.
The group said its customer base has surpassed 4.3-million, about 70% of whom are women and 64% are millennials or Gen Z.
Weaver Fintech’s payments platform, PayJustNow, reported an 80% increase in gross merchandise value from 2024, with transactions valued at R13.1bn across 9.4-million dealings since its launch. The group said it now works with 3,450 merchants across 12,300 points of presence.
‘Year of the merchant’
The group’s primary goal this year is to expand its merchant network, which it hopes will reach 10,000 by year-end. CEO Sean Wibberley has dubbed 2026 the “year of the merchant”.
The group plans to launch a virtual mobile network operator business this year.
The lending business also expanded, with loan disbursements rising to R7.6bn. Weaver Fintech said most loans were issued to existing customers, with 88% advanced to repeat borrowers. Fintech cash collections rose 45%, exceeding cash deployed of nearly R15bn.
The retail business reported revenue growth of 6% and a 32% increase in trading profit. However, earnings were offset to some extent by a R244m non-cash impairment as the unit focuses on reducing credit exposure and generating cash.
The group ended the year with R1.5bn in cash and undrawn facilities after refinancing its funding lines.
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