Wisr reports surge in loan originations

This amidst strategic growth efforts

Wisr reports surge in loan originations

News

By Mina Martin

Wisr, an ASX-listed fintech, has announced impressive growth in its Q2FY25 performance, with a significant 77% increase in loan originations, reaching $93.5 million.

This growth marks a robust recovery and expansion of Wisr's loan book, which saw an increase from $753m in September to $757m by the end of December, following a period of strategic adjustments in loan volume settings.

Strategic enhancements in loan portfolio

Enhanced loan portfolio performance

A pivotal element of this growth has been the rise in secured vehicle loans, which now form a larger part of the portfolio.

The inclusion of these higher-quality secured loans has substantially improved the overall credit quality of the loan book.

This strategic shift is evident from the reduced net losses, which have decreased from 2.06% in Q1FY25 to 1.72% in the latest quarter.

Operational and financial metrics

Operations have seen an increase in portfolio yield to 11.2% and net interest margin (NIM) to 5.93%, driven largely by the strategic incorporation of high-quality secured vehicle loans.

These enhancements have contributed to a quarterly revenue increase to $22.8m, up from $22.5m in the previous quarter.

Funding and customer growth

Robust funding structure

Wisr has maintained a strong funding structure, with two warehouse facilities totaling a commitment value of $650m and an undrawn capacity of $153m. Additionally, $15m remains available from a $50m corporate facility to support ongoing growth initiatives.

High customer satisfaction

Customer satisfaction remains high, with a net promoter score of +77, reflecting Wisr's effective customer engagement strategies.

Leadership’s perspective on future growth

Wisr CEO Andrew Goodwin (pictured above) expressed satisfaction with the company’s trajectory, highlighting the strategic focus on enhancing the quality of the loan book and optimising financial performance.

Wisr’s continued focus on growth is evident in our latest market update,” Goodwin said.

“Driven by a significant increase in loan originations to $93.5m and growth of our loan book to $757m, these strong results highlight the business’ dedication towards supporting even more Australians in reaching their financial and personal goals.”

He stressed the commitment to accelerating loan origination growth while prioritising profitability and maintaining a robust balance sheet.

Wisr’s strategic outlook and continued success

As Wisr concludes the first half of FY25, the company remains focused on leveraging its strategic initiatives to further enhance its market position and ensure sustainable growth. The improvements in loan performance and operational efficiencies underline Wisr’s potential for continued success in the competitive fintech lending space.

For more details on Wisr's financial performance and strategic initiatives, visit www.wisr.com.au.

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