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Vow Financial has enjoyed the first billion-dollar month in its history, while parent Yellow Brick Road has grown its revenue at double-digit rates.
The Yellow Brick Road group, which has included Vow and Resi Mortgage Corporation since August 2014, reported $38.2 million of customer receipts for the three months to 31 December 2014.
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That compares to $6.8 million the year before, when Vow and Resi were not part of the group.
Excluding the two new additions, Yellow Brick Road as a standalone business grew its customer receipts to $7.5 million – an increase of 10.9 per cent.
The overall group posted a net operating surplus of $330,000, compared to a $940,000 deficit the year before.
The underlying result – which excludes integration, acquisition and underwriter payments – improved from a $1.3 million deficit to a $1.4 million surplus.
Record settlement volumes were achieved in the second quarter of 2014/2015, according to the group.
“A highlight was Vow’s continued growth under Yellow Brick Road ownership, with monthly volumes breaking the $1 billion mark for the first time in December. This is a 60 per cent improvement on the same period last year,” it said.
“The Vow home loan range was launched in the quarter and has seen strong settlements, with volumes doubling month-on-month throughout the quarter.”
Yellow Brick Road as a standalone business had “record lead numbers” for the first half due to a four-week national advertising campaign which started in late October 2014.
“The business also executed a Christmas campaign to help everyday Australians budget during the holiday season,” it said.
“This campaign resulted in a healthy lead flow in the month of December, which is traditionally a quieter period for financial services.”
On a quarterly basis, the cumulative number of Yellow Brick Road branches, Vow brokers and Resi franchisees increased by 6.3 per cent, from 995 to 1,058.
The loan book experienced 9.4 per cent quarter-on-quarter growth to $27.8 billion.
[Related: YBR aiming to become $1bn-a-month business]
