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Non-bank lender Plenti Group (ASX: PLT) has more than doubled its cash profit to $13.8 million in FY25 driven by record loan originations that have boosted its loan portfolio by 19 per cent to $2.5 billion.
Plenti, which specialises in car, renewable energy and personal loans, was buoyed by a 23 per cent increase in revenue to $259 million over the 12 months to the end of March, with revenue growth aided by new loans and higher borrower interest rates.
The cash net profit after tax of $13.8 million is up 126 per cent on the previous corresponding period, with the latest full-year result the first reported by new CEO Adam Bennett who replaced co-founder Daniel Foggo following his retirement in July last year. Foggo remains a non-executive director of Plenti.
“FY25 was yet another exciting year in Plenti’s evolution as we continued to scale into a significant non-bank lender,” says Bennett.
“We successfully changed CEOs whilst our talented team continued to focus on providing great service to our customers, growing the loan book, and driving strong credit and operational outcomes with discipline and enthusiasm.
“After my first 10 months in role, I’m extremely proud of the team and our accelerating loan book momentum, and it’s very pleasing to see our Cash NPAT and statutory NPAT growing significantly as we continue to leverage our scale, proprietary technology, and prime credit posture.”
Among the highlights of the year, the company launched the "NAB powered by Plenti" car loan in the second quarter of FY25, a product which was made available to National Australia Bank (ASX: NAB) customers via the banking major’s website, banking app and internet banking in the fourth quarter.
The strategic partnership allows NAB to offer co-branded car and electric vehicle loans, as well as access to Plenti's renewable energy finance solutions, to its customers.
The company also secured up to $60 million in discounted renewable energy funding from the Clean Energy Finance Corporation under its $1 billion Household Energy Upgrades Fund.
Plenti launched a loan subvention program with Tesla during the year, which helped the group boost automotive loan originations to $709 million, up 14 per cent from a year earlier.
Automotive loans account for the lion’s share of Plenti’s loan portfolio, although renewable energy loan originations totalling $189 million grew at a faster rate, up 18 per cent, while personal loan originations were $519 million, up 24 per cent.
This delivered record loan originations of $1.4 billion for the group, up 18 per cent from a year earlier.
Growth in personal loans was supported by advancements in automated credit approvals as well as increased repeat and cross-sell origination volumes from existing borrowers.
“The automotive, renewables and personal lending markets in which we operate remain attractive and competitive,” says Plenti’s chair Mary Ploughman.
“Plenti’s performance over the last year has been especially strong in the context of this broader competition, as evidenced by significant growth in our loan book and our Cash NPAT.
“This performance is testament to the resilience and adaptability of our business model, the pricing benefits we realise through our differentiated customer experiences, the benefits of our diversification across numerous lending channels, the strength of our funding platform, favourable funding markets and sound capital management.”
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