Login
ISCOVER
The digital lender has revealed a surge in loan originations during the quarter ending 30 June 2024.
MONEYME has announced an increase in loan originations of 25 per cent to $165 million for 4Q24, up from $133 million on the prior quarter, and 30 per cent up on the same period last year ($127 million).
To continue reading the rest of this article, please log in.
Looking for more benefits? Become a Premium Member.
Create free account to get unlimited news articles and more!
Looking for more benefits? Become a Premium Member.
Additionally, the lender recorded an increase in its gross loan book balance to $1.22 billion, up 6 per cent in the previous quarter’s figure of $1.15 billion, with an increased ratio of secured loan assets.
MONEYME’s managing director and CEO, Clayton Howes, commented on the results: “We are pleased to present our fourth quarter results, which finished the year strongly and marks our return to growth as we head into FY25.”
“We have navigated the high interest rate environment effectively, achieving a profitable outcome that we look forward to reporting in our full-year results.
“We continue to see the benefits of the credit quality of our loan book, with net credit losses reducing to 4.5 per cent, down from 4.8 per cent in the prior quarter and 5.8 per cent in 4Q23.
“The average credit score now sits at 763 and secured assets at 55 per cent of the loan book, while NIM remained strong at 10 per cent.”
During the quarter, MONEYME launched a new mobile app, which included improved functionality and user experiences, such as better management of multiple accounts, easier arrears rectification, and updates to its credit score tool.
Furthermore, the credit decisioning engine and product offering for customers and brokers were enhanced, which were optimised for volume, risk, pricing, and yield, according to the lender.
Howes said: “During the quarter, we launched our new mobile app and several key technology updates, including enhancing our credit decisioning with advanced analytics to optimise pricing and provide further confidence as we resume growth.”
“It was great to see another quarter of high customer satisfaction and a net promoter score (NPS) of 69, as we continued to enhance customer experiences.”
As for the lender’s FY25 outlook, it expects to continue to increase its loan book and maintain profitability while benefiting from scale advantages and technology efficiencies.
According to MONEYME, the focus on high credit quality and secured assets will continue as the lender leverages strong demand for its secured car loan product, Autopay.
Howes further said: “Debt capital investors continue to have conviction in MONEYME’s growth profile and the quality of the underlying assets. Our first ABS transaction for FY25 saw strong investor engagement, and looking ahead, we will continue to leverage domestic and international debt capital markets for price advantages.”
“With strong fundamentals, MONEYME’s business settings are now in place to deliver sustainable and profitable growth in the year ahead.”
[RELATED: MONEYME non-exec director commences role as chair]
JOIN THE DISCUSSION