Plenti Continues Strong Growth with $536m Quarterly Loan Originations

Fintech Plenti Group (ASX: PLT) has reported loan originations of $536 million for the three months to end June, representing a 22% increase on the previous corresponding period and up 13% on the prior quarter, with records achieved in automotive, renewable energy, and personal verticals.

Originations in April were softened by the concentration of public holidays, however demand—particularly in automotive lending—strengthened throughout the rest of the quarter supported by a predicted lift in activity ahead of financial year end.

Monthly loan originations for June also hit a record high at $221m (up 39% on the pcp / 28% on the March quarter), demonstrating strong growth and comfortable scalability of operations.

The company’s total loan portfolio for the year ending 30 June increased to $3.3 billion (up 23% / up 6%) and was well diversified across all lending verticals.

Seasonal Strengthening

Record automotive loan originations of $281 million (up 23% / up 12%) demonstrated quarter-on-quarter growth in consumer and commercial lending, supported by a seasonal strengthening of demand in June.

The “NAB powered by Plenti” (NPBP) loan product complemented the result with 6% growth in daily originations on the March quarter and the portfolio growing to $153m.

Renewable energy loan originations totalled $86m for the quarter (up 77% / up 27%), supported by state and federal government incentive programs including the WA Residential Battery Scheme which made a meaningful contribution with over 9,900 rebates processed during the period.

Personal loan originations of $168m (up 5% / up 7%) were underpinned by strong demand in broker and direct distribution channels, while ongoing technology improvements supported steady growth from repeat and cross-sell customers.

Loan Portfolio Performance

Annualised net credit losses (excluding the impact of a $2.2m debt sale) were 98 basis points (bps), broadly in line with the 94bps of the previous corresponding quarter and 96bps in the March quarter.

Arrears of more than 90 days were 46bps at the end of the quarter, down from 49bps at the end of previous corresponding period but up from 42bps at end March.

The loan portfolio’s weighted average Equifax credit score remained stable at 851, reflecting Plenti’s disciplined approach to credit and continued focus on lending to prime credit customers.

While the company remains alert to the geopolitical and macroeconomic environment, the granularity and diversification of its prime loan portfolio – with no single exposure greater than $300,000 across verticals – reflects prudent risk management and supports resilience through the cycle.

Net Interest Margins

Throughout the quarter, Plenti proactively managed the trade-off between originations and margins across its diverse product mix alongside competitive dynamics in key markets.

Net interest margins on new loan originations were slightly lower than the prior quarter at 5.3%, largely driven by a shift in product mix given the strong originations growth in the automotive and renewable energy verticals, as well as market financial year-end promotions.

Plenti achieved a cash profit before tax (PBT) of $10.7m for the June quarter and statutory PBT of $6.6m after the material receipt of $2.2m in net proceeds from the aforementioned debt sale.

The company recorded a revenue of $84.6m, up 16% on the previous corresponding period.

‘Investment in Growth’

Chief executive officer Adam Bennett said the quarterly performance indicated a strong start to the 2027 financial year.

“Delivering record originations across all three of our lending verticals is a fantastic way to open FY27 and our Horizon 2 strategy,” he said.

“These results reflect our investment in growth during the second half of 2026 which is now delivering value, with extra capacity enabling record volumes while maintaining our high operating and customer service standards.”

“We are excited about what we can achieve operationally and strategically in 2027 and remain focused on increasing efficiency and profitability as the loan book scales, while maintaining the prime credit quality that has always defined Plenti.”