How Plenti’s $2.8bn Loan Book Fuels a 147% Profit Surge in 1H26
Plenti Group Limited reported a robust half-year performance for 1H26, with a 24% increase in its loan portfolio and a 147% surge in Cash Profit Before Tax, underscoring its growing market presence and operational efficiency.
- Loan portfolio expands 24% to $2.8 billion
- Cash Profit Before Tax rises 147% to $14.1 million
- Strong growth across automotive, renewable energy, and personal lending
- Credit quality remains solid with 90+ days arrears at 39bps
- Strategic partnerships and proprietary technology drive growth
Strong Growth Across Lending Verticals
Plenti Group Limited (ASX, PLT) has delivered a standout half-year result for the six months ending 30 September 2025, reinforcing its position as Australia's largest fintech consumer lender. The company’s loan portfolio grew by 24% year-on-year to $2.8 billion, driven by robust demand in automotive, renewable energy, and personal lending segments. Originations surged 46% to $912 million, reflecting Plenti’s expanding footprint and customer appeal.
Automotive lending remains a key growth engine, with the loan book reaching $1.62 billion, supported by diversified channels including brokers, OEM partnerships, and the NAB Powered by Plenti program. Renewable energy loans also saw significant momentum, buoyed by federal and state battery rebate schemes, with the loan book climbing 24% to $838 million. Personal lending originations jumped 44%, underpinned by technology enhancements and expanded broker networks.
Profitability and Operational Efficiency
Plenti’s financial performance reflects disciplined growth and operational leverage. Cash Profit Before Tax (PBT) soared 147% to $14.1 million, matching the entire FY25 result in just half a year. Cash Net Profit After Tax (NPAT) rose 133% to $12.8 million. This profitability leap is notable given ongoing investments in technology and product development, all expensed within the period.
Operational efficiency improved with a cost-to-net margin ratio declining 8% to 57.1%, demonstrating Plenti’s ability to scale while managing expenses. The company’s proprietary technology platform, which enables fast, automated credit decisions and seamless customer journeys, remains a critical competitive advantage. AI adoption and continuous innovation are expected to further enhance efficiency and customer experience.
Credit Quality and Funding Strength
Maintaining credit discipline, Plenti reported a low 90+ days arrears rate of 39 basis points, down 10 basis points year-on-year, and a net loss rate of 0.94%. The focus on prime borrowers with strong credit profiles continues to differentiate the lender in a competitive market. The weighted average borrower credit score stood at a high 849, well above the Australian average.
Funding remains diversified and robust, with over $4.3 billion in lifetime asset-backed securities (ABS) issuance and new warehouse facilities secured with global investment banks. These funding sources support Plenti’s growth ambitions and provide flexibility to scale its loan portfolio sustainably.
Strategic Outlook and Market Position
Plenti is on track to achieve its target $3 billion loan book by March 2026, with recent origination rates suggesting potential to exceed this milestone. The company’s Horizon 1 strategy; focused on disciplined growth in core lending verticals; is progressing well, while Horizon 2 initiatives aim to expand product offerings and deepen partnerships.
Partnerships with NAB, Tesla, and government programs such as the Western Australia Residential Battery Scheme and the Federal Cheaper Home Batteries Program validate Plenti’s technology platform and market relevance. These collaborations not only diversify distribution but also position Plenti at the forefront of emerging lending opportunities in renewable energy and electric vehicle financing.
As Plenti continues to leverage technology, data, and AI, the company is poised to sustain its growth trajectory and enhance shareholder value amid evolving market dynamics.
Bottom Line?
Plenti’s strong 1H26 results set a solid foundation for accelerated growth and profitability as it approaches a $3 billion loan portfolio milestone.
Questions in the middle?
- How will regulatory changes impact Plenti’s renewable energy and BNPL lending segments?
- What are the company’s plans for Horizon 2 and Horizon 3 growth initiatives beyond core verticals?
- How will rising interest rates or economic shifts affect Plenti’s credit quality and margins?