- Things are looking up for MoneyMe (MME), which recorded strong lending growth over FY21’s first quarter
- The lender saw its loans rise sharply in September, resulting in a 30 per cent increase on the previous month’s originations
- More broadly, the financial stock’s loans grew by 39 per cent compared to FY20’s final quarter
- MME also posted a record $12 million in revenue in FY21’s opening quarter — an 18 per cent increase on the previous corresponding period (PCP)
- The business has also increased its credit limit to $20,000, thanks to a new $167 million warehouse funding facility set up by Westpac (WBC)
- On the back of today’s update, MME shares tacked on just under 3 per cent to trade for $1.39 at market close
Things are looking up for MoneyMe (MME), which recorded strong lending growth over FY21’s first quarter.
The lender saw its loans rise sharply in September, resulting in a 30 per cent increase on the previous month’s originations. More broadly, the financial stock’s loans grew by 39 per cent compared to FY20’s final quarter.
That meant MoneyMe ended the month with $138.1 million in its loan book — a figure the company believes will grow strongly in the coming financial year.
The non-bank lender also posted record revenue in FY21’s opening quarter. The $12 million result marks an 18 per cent increase on the previous corresponding period (PCP).
Interestingly, the average credit scores tied to MoneyMe consumers are also on the rise. Compared to the PCP, the average Equifax score for MME customers jumped almost 2.5 per cent to hit 637.
The business has also increased its credit limit to $20,000, thanks to a transformative $167 million warehouse funding facility set up by Westpac (WBC).
Speaking to the results, MoneyMe Chief Executive Clayton Howes said he was delighted with the business’ “robust, profitable growth.”
“The 30 per cent increase in originations in September compared to August are a clear reflection of momentum building in new business originations. It is exciting to see the new funding warehouse facility delivering significantly lower funding costs and new business origination capacity and our core and more recently launched products resonating so well with Generation Now,” he said.
“The innovation pipeline is continuing at pace as we continue to invest for massive scale and product diversification opportunities in Australia and overseas. A fantastic first quarter that sets the business up well for further high and profitable balance sheet growth,” Clayton concluded.
On the back of today’s update, MME shares tacked on just under 3 per cent to trade for $1.39 at market close.