Harmoney Corp Limited (ASX:HMY) Reports 1H25 Financial Results
Financial Performance
Harmoney Corp Limited reported a Cash Net Profit After Tax (NPAT) of $2.3 million for the six months ended 31 December 2024, marking a 351% increase from $0.5 million in the previous period. Statutory NPAT also rose to $2.0 million from a loss of $0.6 million in 1H24. The loan portfolio grew by 4% to $782.8 million, while risk-adjusted income increased by 8% to $20.2 million. Operational efficiencies led to a reduction in cash operating expenses by $1.1 million, and the cost to income ratio improved to 18% from 21%.
Loan Originations
Originations increased by $25.4 million (15%) to $191.3 million, driven by a $26.7 million rise in new customer originations in Australia following the rollout of Harmoney’s Stellare® 2.0 platform. Although originations in New Zealand were down compared to the previous period, they showed growth in the second quarter of 2025 after a platform update in October 2024.
Portfolio Growth
The loan portfolio reached $782.8 million, up 4% from $756.3 million in 1H24. The Australian portfolio increased by 11%, now comprising 57% of the total portfolio, while the New Zealand portfolio decreased by 6%. Risk-adjusted income improved to 5.3% from 5.0%, supported by better-performing credit scores in Australia.
Financial Position
Cash and cash equivalents increased to $47.2 million, up 25% from $37.7 million in the previous period. Net assets decreased by $3.0 million to $33.5 million due to a reduction in the mark-to-market value of interest rate swaps and changes in deferred tax provisions. Harmoney maintained its financial covenants and showed strong liquidity to support future growth.
Motley Fool contributor Matt Burgess has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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