Wisr raises FY27 profit target as lending momentum accelerates

Record originations drive FY27 profit upgrade

Wisr Limited (ASX:WZR) has lifted its FY27 Cash NPAT guidance to at least $7.0 million, a 40% increase on its previous $5.0 million target, after quarterly loan originations surged to a record $253.8 million. The Australian fintech lender said the upgrade reflected continued loan and book growth, operating leverage, cost discipline and productivity gains from automation and technology.

The result extends a rapid shift in Wisr’s earnings profile. Having reported its first full-year Cash NPAT profit of $1.0 million in FY26, the company has now moved from a $5.3 million Cash NPAT loss in FY25 to a materially higher near-term target. Its initial FY27 guidance had called for Cash NPAT of at least $5.0 million.

Loan book passes $1.2 billion as vehicle lending accelerates

Wisr’s loan book reached $1.211 billion at 30 September, up 40% from a year earlier and 12% from June. Originations rose 73% year on year and 28% from the previous quarter, with personal lending increasing 35% to $124.9 million and secured vehicle lending jumping 138% to $128.9 million.

That mix matters. Secured vehicle loans carry lower yields, funding costs and credit losses than personal loans, according to the company. The portfolio yield therefore remained broadly stable at 11.03%, but net interest margin fell to 4.90% from 5.11% in the previous quarter and 5.26% a year earlier. Risk-adjusted margin held at 3.71%, as lower net losses offset much of the margin compression.

Credit performance improves during rapid expansion

The more encouraging feature of the quarter was that growth did not come with deterioration in the headline credit measures. 90+ day arrears fell to 0.86%, down from 1.01% in June and 1.14% a year earlier, while net losses improved to 1.19% from 1.30% and 1.63% respectively. The loan book’s weighted average Equifax credit score was 802, compared with 807 at both prior comparison points.

Revenue rose 32% year on year to $33.1 million and 10% from the June quarter. Wisr said simplified assessment for eligible personal loans, automated vehicle inspections and customer identification checks, and greater use of AI service-agent tasks were helping streamline the lending and servicing process.

Funding capacity sets the pace for further growth

Wisr had $13.0 million in unrestricted cash at quarter-end, alongside $20.0 million of undrawn capacity on a $50.0 million corporate facility. Its three warehouse facilities carried total commitments of $887 million, with $165 million undrawn, leaving total stated liquidity of $33.0 million.

The company presented an illustrative scenario in which deploying $25 million of available liquidity into warehouse and asset-backed securities seller notes could support an additional $800 million of lending, taking the book to about $2.0 billion. Wisr described the figures as indicative economics rather than a forecast, and said the outcome would depend on interest rates, economic conditions and market volatility. It also expects Cash NPAT to grow substantially in FY28 and holds $97.9 million of carried-forward tax losses that could reduce its effective tax rate as taxable profits are generated.