NobleOak Life (NOL) H2 2025 earnings summary

Executive summary

• Achieved strong FY2025 results with 20% in-force premium growth, exceeding guidance, and expanding market share in both direct and advised channels.

• Recognized as Life Insurance Company of the Year 2025 and Australia's most awarded direct life insurer for the sixth consecutive year.

• Maintained a robust capital base and cash flows, supporting ongoing investment in technology, AI, and new product development.

• Embedded Value (EV) reached AUD 197.6 million, up 90% since IPO, reflecting significant upside to current equity valuation.

• Acquisition of FiftyUp Club and RevTech, new product launches (Travel, Pet Insurance), and new partnerships expanded reach and offerings.

Financial highlights

• In-force premiums grew to AUD 464.2 million, up 20% from FY24 and ahead of guidance.

• Underlying profit (NPAT) increased 22% to AUD 18.3 million, with underlying diluted EPS at 19.95cps and reported diluted EPS at 7.75cps.

• New business sales grew 17% to over AUD 63.7 million, with a 12.8% new sales market share.

• Lapse rate improved to 12.2%, 5.3 percentage points below industry average, supporting stable margins.

• Regulatory capital adequacy ratio at 186%, at the top end of the target range.

Outlook and guidance

• Targeting in-force premium growth above 15% and underlying NPAT growth above 10% for FY2026.

• Strategic focus on launching new products, expanding partnerships, scaling in wealth adjacencies, and embedding AI and automation.

• Transition to Life Company structure expected to deliver long-term capital efficiency and flexibility, with completion in 2-3 years and AUD 3-4 million investment.

• No dividend declared for FY2025 as capital is prioritized for growth investment and transition.