Credit Corp Group (CCP) H2 2025 earnings summary

Executive summary

• FY2025 delivered a solid recovery with NPAT up 16% year-over-year to $94.1 million, driven by consumer lending and improved US operations, overcoming contraction in Australia and New Zealand debt buying.

• Lending and US operations were key growth drivers, with operational improvements and technology investments enhancing productivity and efficiency.

• US ledger collections rose 12%, and US segment productivity increased 28%, supporting a record FY26 US investment pipeline of $164 million.

• Consumer lending segment NPAT grew 31% to $54.3 million, with the loan book reaching a record $466 million.

Financial highlights

• Underlying NPAT grew 16% year-over-year to $94.1 million, with total revenue up 5% to $545.6 million.

• US debt buying revenue increased 14% and profit (pre-impairment) rose 21% year-over-year.

• Consumer lending NPAT reached $54.3 million, over 30% higher than FY2024, and the loan book grew 5% to $466 million.

• Basic EPS increased 86% to 138.2c; dividend rose 79% to 68.0c per share; final dividend of 36c per share, full year payout ratio of 49%.

• Net operating cash flow turned positive at $51.1 million, reversing prior year outflows.

Outlook and guidance

• FY2026 NPAT guidance is $100–$110 million, implying 12% growth at midpoint.

• Purchased debt ledger (PDL) acquisitions expected at $280–$330 million, up 27% year-over-year, with a record US investment pipeline of $164 million already contracted.

• Gross lending volumes forecast at $350–$390 million; EPS guidance for FY2026 is 147–162 cents.

• All business segments are positioned positively for the coming year, with operational improvements and product expansion.