SYDNEY — Zip Co Ltd shares climbed 7.73 percent to close at A$2.51 on Monday, extending gains for the Australian buy-now-pay-later provider after last week’s strong third-quarter results and an upgraded full-year profit forecast that highlighted accelerating growth in its key U.S. market.

The stock added 18 cents in trading on the Australian Securities Exchange, reflecting continued investor enthusiasm following Zip’s April 17 announcement of record cash earnings before tax, depreciation and amortisation. Volume remained elevated as traders digested the company’s improving profitability and strategic momentum amid a recovering fintech sector.

Zip reported a record cash EBTDA of A$65.1 million for the three months ended March 31, 2026, a 41.5 percent increase from the prior corresponding period. Operating margin expanded sharply to 19.4 percent from 16.5 percent a year earlier, demonstrating strong unit economics and operating leverage as the company scales.

Total transaction volume reached A$4.0 billion, up 22.4 percent year on year, while total income rose 20.2 percent to A$335.2 million. Transactions increased 20.3 percent to 27.4 million, and the group ended the quarter with 6.5 million active customers, up 3.5 percent.

The standout performer was the U.S. business, where transaction volume surged 43.1 percent in U.S. dollar terms to US$2.12 billion. Active customers grew 9 percent, adding 375,000 accounts, while merchants on the platform rose 17.9 percent. Zip expanded its Pay-in-Z offering with the launch of Pay-in-2, giving customers greater flexibility for everyday purchases.

In Australia and New Zealand, the business delivered steady profitable growth. Revenue and Australian receivables increased 5 percent and 8.7 percent respectively. Zip also announced the upcoming launch of ZMobile in April 2026, a new capital-light mobile offering in partnership with TPG Telecom that is expected to diversify revenue streams.

Net bad debts stood at 1.9 percent of total transaction volume, in line with management targets. In the U.S., credit losses remained steady at 1.86 percent of TTV, with expectations for further improvement below 1.75 percent in the fourth quarter.

On the back of the robust third-quarter performance, Zip upgraded its full-year 2026 group cash EBTDA guidance to no less than A$260 million, up from previous expectations that second-half performance would be broadly in line with the first half’s A$124.3 million. On a constant currency basis, the figure equates to at least A$271 million.

The company reaffirmed its other key FY26 targets, including U.S. TTV growth greater than 40 percent in U.S. dollars, group revenue margin around 8 percent, cash net transaction margin between 3.8 percent and 4.2 percent, operating margin above 18 percent, and cash EBTDA as a percentage of TTV above 1.4 percent.

Group CEO and Managing Director Cynthia Scott highlighted the resilience of Zip’s business model. “Zip’s resilient business model continues to drive increased profitability at scale, delivering record cash earnings of $65.1m, up 41.5% year on year,” Scott said in the results update. “Operating margin expanded 292 bps to 19.4%, reflecting strong unit economics and significant operating leverage. Momentum continued across both markets, underpinned by deepened customer engagement and disciplined execution.”

Scott noted particular strength in the U.S., where the company is balancing rapid growth with credit discipline. She also pointed to innovation in the ANZ market, including the ZMobile launch, as a way to broaden the customer proposition.

The upgrade and solid metrics triggered a sharp rally on April 17, with shares surging as much as 24 percent intraday before closing up around 13-14 percent on exceptionally high volume exceeding 26 million shares. Monday’s further 7.73 percent gain brought the two-day advance to roughly 22 percent, pushing the stock well above recent lows and reflecting renewed confidence in Zip’s turnaround story.

Analysts and market observers viewed the results as evidence that Zip is successfully executing its strategy of profitable scaling, particularly in the competitive U.S. buy-now-pay-later space dominated by players like Affirm and Afterpay’s parent Block. The improvement in operating margins and steady credit performance helped alleviate earlier concerns about profitability and asset quality that had weighed on the stock in prior periods.

Zip has faced volatility in recent years, including a significant share price drop earlier in 2026 after a first-half earnings miss. However, the company has since demonstrated consistent progress through cost discipline, product innovation and focused growth in higher-margin segments.

The U.S. market now accounts for the majority of Zip’s transaction volume, and management continues to see substantial runway for expansion. Recent merchant additions and enhancements to the Pay-in-Z product are designed to capture more everyday spending rather than large-ticket purchases alone.

In Australia, despite a more mature market, Zip is returning to growth in receivables and exploring adjacent opportunities such as ZMobile to drive engagement and new revenue without heavy capital outlay.

Investors have also noted Zip’s ongoing capital management efforts, including an on-market share buyback program that has repurchased millions of shares in recent months, signaling management’s view that the stock remains undervalued.

Broader market sentiment toward fintech and growth stocks has improved modestly in April amid easing geopolitical tensions and hopes for stable interest rates, providing a tailwind for Zip’s recovery. However, the company’s own operational delivery appears to be the primary driver of the recent outperformance.

Looking ahead, all eyes will be on Zip’s full-year results scheduled for August 20, 2026. The upgraded guidance sets a high bar, but analysts suggest the company is well-positioned to meet or exceed it if U.S. momentum persists and credit metrics remain controlled.

Challenges remain, including competition, regulatory scrutiny in the BNPL sector and potential economic slowdowns that could pressure consumer spending. Zip’s ability to maintain low bad debts while growing aggressively in the U.S. will be a key test.

For now, the market is rewarding the progress. At A$2.51, Zip’s market capitalisation sits around A$3.1-3.2 billion, still well below peaks seen in the post-pandemic BNPL boom but reflecting renewed optimism.

Shareholders and potential investors will monitor upcoming trading updates and any further product launches closely. The ZMobile rollout in Australia could provide an early indicator of success in diversifying beyond core lending products.

Zip Co has transformed from a high-growth, loss-making disruptor into a more mature player focused on sustainable profitability. Monday’s trading and last week’s results suggest investors are increasingly buying into that narrative.

As the buy-now-pay-later sector matures globally, Zip’s emphasis on unit economics, geographic diversification and innovation positions it to compete effectively. Whether the current rally sustains will depend on delivery against the upgraded targets in the critical fourth quarter.

For Australian investors, Zip remains one of the more prominent pure-play fintech stories on the ASX. Its recovery path offers a case study in how disciplined execution and market adaptation can rebuild shareholder value after periods of turbulence.

With the stock up significantly in recent sessions, some traders may take profits, but underlying fundamentals appear supportive for those with a longer-term horizon. The coming months will reveal if Zip can convert quarterly momentum into consistent full-year outperformance.

The precision manufacturer told the stock market on Monday its order book had expanded

Gloucestershire engineering firm Renishaw has raised its revenue and profit guidance for the full year after a “substantial” expansion of orders. The FTSE-250 company told investors on Monday (April 20) it had seen “particularly strong demand” from customers in the semiconductor and electronics manufacturing equipment, and aerospace and defence sectors.

This has led to the business increasing revenue expectations from £775m to £805m and adjusted profit before tax from £145m to £165m.

“We are actively managing the challenges and increasing costs imposed by ongoing economic and geopolitical uncertainties and supply chain pressures,” Renishaw said in a statement.

The listed group, which was established by the late Sir David McMurtry and John Deer in 1973, said it would provide an update on its revenue performance for the 12 months to the end of March on May 6.

Last month, Renishaw announced it had refreshed its board with three appointments, including a renowned British academic as its new chair.

The news came just months after the precision manufacturer confirmed it had made ownership changes to the business as part of a succession plan.

Renowned economist and diplomat Dr. Drasko Acimovic has officially unveiled his paradigm of the “Third Gutenberg Moment,” signaling a fundamental transformation in global institutional identity.

According to Acimovic’s latest analysis, the world has moved beyond mere uncertainty and has entered the operational phase of a new economic and social model.

“The world as we knew it is reaching its sunset,” states Dr. Acimovic. “Just as the printing press broke the monopoly on knowledge and financial management in the 15th century, today Artificial Intelligence (AI) and Central Bank Digital Currencies (CBDC) are redefining the core pillars of human power and national sovereignty.”

Acimovic outlines this historical cyclicity through three pivotal stages:

1. The First Gutenberg Moment: The invention of the printing press, which democratised knowledge.
2. The Second Gutenberg Moment: The internet and mobile revolution, which accelerated global flows.
3. The Third Gutenberg Moment (Current): The definitive transition toward an AI-driven and digital-first economy.

According to Acimovic, this third stage signifies the end of the era of traditional intermediaries. He argues that CBDCs and advanced AI systems are not merely technical innovations but the foundations of a new architecture for the global economy and the future of international diplomacy.

Dr. Acimovic emphasises that this transition offers a unique window of opportunity. While the previous global hierarchy was largely static, the “Third Gutenberg Moment” acts as a great equaliser. Nations and organisations that proactively integrate these technologies today are securing a seat at the new global table where the rules of the next century are being drafted. For emerging economies, the adoption of an AI-CBDC framework is no longer optional it is the only way to ensure economic relevance in a decentralised world.

Unlike abstract futuristic theories, Acimovic warns that this transformation is already functional. “We are not waiting for change; we are living it. The institutional framework is transforming in real-time. Those who fail to grasp this tectonic shift will remain tethered to obsolete structures,” the diplomat cautioned.

About Dr. Drasko Acimovic:

Dr. Drasko Acimovic is a distinguished diplomat and economist recognised for his strategic insights into global financial systems. His career includes high-level leadership roles, such as serving as Ambassador in Brussels and as the President of the largest financial services brokerage firm in Eastern Europe, managing operations across 11 nations. Currently, he serves as a Member of the Board of the NGO East West Bridge in Bosnia and Herzegovina, contributing to international strategic cooperation.