Plenti Surges with Record Loan Growth and 10x Profit Jump in FY26 H1
Plenti Group Limited has reported a remarkable half-year performance for FY26, with revenues up 20% and profit soaring over tenfold to $10.5 million. The fintech lender’s loan portfolio expanded 24%, driven by strong demand across automotive, renewable energy, and personal loans.
- Revenue increased 20.3% to $149.5 million
- Profit after tax surged 1,026% to $10.5 million
- Loan originations hit a record $912.4 million, up 46%
- Loan portfolio grew 24% to $2.8 billion
- Net interest margin improved to 5.41%, credit losses declined
Robust Financial Growth Amidst Fintech Lending Expansion
Plenti Group Limited (ASX, PLT) has delivered a standout half-year financial result for the period ending September 2025, showcasing its accelerating growth trajectory in the competitive fintech lending space. The company reported revenues of $149.5 million, a 20% increase from the prior corresponding period, while net profit after tax rocketed by over tenfold to $10.5 million. This surge reflects both operational scale and improved profitability metrics.
Driving this performance was a record $912.4 million in loan originations, up 46% year-on-year, underpinning a 24% expansion in the loan portfolio to $2.8 billion. Plenti’s diversified lending products, spanning automotive, renewable energy, and personal loans, continued to gain traction, supported by innovative technology platforms and strategic partnerships, including the NAB Powered By Plenti car loan program.
Margin Expansion and Credit Quality Remain Strong
Despite the rapid growth, Plenti managed to slightly improve its net interest margin to 5.41%, benefiting from a balanced mix of loan products and stable funding costs. The company’s credit performance was notably resilient, with annualised net credit losses falling to 0.94% of the average loan portfolio, down from 1.11% previously. This improvement was attributed to a high-quality borrower base, effective collections strategies, and favourable macroeconomic conditions such as declining interest rates and robust employment.
Operating expenses rose moderately by 16%, reflecting investments in staff and technology to support scaling operations. However, these were more than offset by revenue growth, resulting in improved cost efficiency ratios, including a reduction in the cost-to-income ratio to 23.5% and cost-to-originations ratio to 3.8%.
Funding and Capital Structure Strengthened
Plenti continued to bolster its funding base through diversified sources. The company completed a $400 million asset-backed securities (ABS) issuance during the half, bringing total ABS issuance to over $3.8 billion. Post-period, Plenti secured extensions and increases in warehouse and funding trust limits, including a new $350 million warehouse facility capable of funding all core loan products. These moves enhance liquidity and support ongoing loan portfolio growth.
Cash and cash equivalents stood at $180.5 million, with a portion held in trust and provision funds to safeguard investor interests. The company maintained compliance with all corporate borrowing covenants, underscoring financial discipline amid expansion.
Outlook and Market Positioning
Plenti’s half-year results highlight its successful execution of a growth strategy focused on leveraging technology to deliver faster, fairer loans to creditworthy borrowers. The company’s strong credit metrics and operational leverage position it well to capitalize on increasing demand for consumer and renewable energy financing solutions in Australia. While no dividends were declared, the robust profit growth and strengthened balance sheet provide a solid foundation for future shareholder returns.
As the fintech lending sector evolves, Plenti’s ability to innovate and efficiently scale will be critical to sustaining momentum and navigating competitive and regulatory dynamics.
Bottom Line?
Plenti’s record half-year sets a high bar, but sustaining growth and credit quality will be key to its next chapter.
Questions in the middle?
- How will Plenti balance rapid loan growth with maintaining low credit losses amid changing economic conditions?
- What impact will rising funding costs or interest rate volatility have on Plenti’s net interest margins?
- Can Plenti leverage its technology platform to expand into new loan products or markets beyond Australia?