Leading buy now pay later provider Zip Co copped another hammering from investors on Monday following the disclosure of key aspects of the company’s financial performance in the December half.

In a filing to the ASX, Zip revealed that it generated an interim cash loss before tax, depreciation and amortisation (EBTDA) of A$108.1 million  - a result that was materially worse than the $200,000 cash profit using the same measure for the corresponding period last year.

Zip also indicated its cash operating costs in the first half more than doubled to $204.5 million. 

The company last year reported first half cash operating costs of just over $86 million.

Zip appears to have experienced an increase in defaults  in the latest December half, with net bad debts rising to 2.6 per cent of transaction volumes.

In the previous corresponding period, the company reported net bad debts averaged 1.93 per cent of transaction volumes. 

That rate translated into a net write off of $22.4 million.

The company attributed the rise in bad debts in the latest half to “the inclusion of less mature expansion markets and a change in the external environment in the US impacting the industry, with the easing of government stimulus affecting consumer portfolios generally”.

Zip said it has adjusted risk settings in its business to “drive down future losses”.

ASX investors marked down Zip’s share price 20 cents or 8 per cent to $2.37.

This is the lowest closing price for the company’s scrip since the height of the stockmarket meltdown in March 2020.

Zip is due to unveil its half year accounts on Thursday morning.