MoneyMax Financial Services (5WJ) H1 2024 earnings summary

Executive summary

• Record 1H 2024 results: revenue rose 43.0% YoY to S$185.169m and profit for the period increased 64.4% to S$18.045m.

• Growth was led by gold and luxury retail and trading, alongside higher pawnbroking and secured lending revenue.

Financial highlights

• Profit before tax rose 63.8% to S$22.588m; profit attributable to shareholders increased 70.6% to S$16.576m.

• Material costs increased 51.5% to S$117.9m in line with higher retail and trading revenue; finance costs rose 29.7% to S$14.6m on higher bank borrowings.

• Employee benefits expenses rose 12.2% to S$16.8m, reflecting store openings and salary increments; other expenses increased 20.5% to S$7.3m.

Outlook and guidance

• FY2024 profitability forecast remains unchanged; 1H performance was consistent with expectations of a profitable FY2024, barring unforeseen circumstances.

• Plans include expanding the outlet network across Singapore and Malaysia and investing in capabilities to enhance services and competitiveness.

• No 1H 2024 dividend was declared; cash is being retained prudently, with the Board to assess a dividend based on FY2024 performance.