MoneyMe reports record growth and returns
ASX-listed MoneyMe Limited announces its financial results to 30 June 2021, with record growth and returns.
MoneyMe reported record originations of $384m, up 115% year on year, and record customer receivables of $333m, up 149% year on year. Cash NPAT of $12m was also recorded, up 16% year on year.
Additionally, revenue was reported at a record up 21% year on year at $58m, alongside record future contracted cash interest of $98m, up 240% year on year.
Clayton Howes, MoneyMe’s Managing Director and CEO said, “We had an outstanding year. The growth execution in the business has been extraordinary and the team delivered – a bigger business, a suite of breakthrough products opening new categories, exceptional customer experiences, big new funding structures and market beating results. Our Horizon technology platform was unrivalled and effortlessly kept up with the demands of our rapid growth. We more than doubled our customer receivables and delivered 3x the future contracted cash interest that sets FY22 up for another successful year.”
MoneyMe’s bank warehouse helped lower funding costs by 55% year on year, with the digital platform’s driven scale also lowering core operating cost to 10%. Stronger credit performance was also delivered at 5% charge-offs, which is 25% lower year on year. Overall, MoneyMe’s recorded an improved loan book credit quality with 7.9% provisions, 18% lower year on year.
In the past financial year, MoneyMe launched two big sector products – MoneyMe+ and Autopay. MoneyMe+ launched to retailers who offer their customers payment terms at point of sale. It’s innovation in a market that is mostly still left to the traditional non-banks to service. Autopay launched drive away finance in under 60 minutes to dealerships and brokers in Q4. It has already become MoneyMe’s fastest growth product and its 1st asset secured finance.
Further diversification of the receivables base through the expansion of B2B2C channels now represent almost 10% of originations volume.
MoneyMe continues to emphasise the importance of customer service, with more than 80% of customer calls answered within 10 seconds. Customers rated MoneyMe with a Net Promoter Score of 78 and the average Google reviews are 4.8 out of 5 stars.
MoneyMe also increased loan value to higher credit customers, increasing the average customer Equifax profile to 650.
In the past year, MoneyMe has significantly increased the lifetime value on the portfolio by increasing both the average receivable value and remaining receivable term on the book by 65% and 72% respectively. Cost efficiencies were increased by 33%, lowering operating expenses to receivables ratio to 29%.
Finally, MoneyMe were pleased to report that they strengthened their ESG focus with the appointment of a dedicated ESG officer and also included MoneyMe’s inaugural sustainability statement in the annual report.
