Half Year 2024 Australian Finance Group Ltd Earnings Call Transcript
Key Points
- Lodgement activity for the white label business has increased year-on-year, and AFG Securities volumes have doubled compared to the same period last year.
- The AFG Securities book has stabilized, shifting focus from NIM protection to book retention and growth.
- The distribution business segment is experiencing growth across all focused asset classes.
- The broker network has grown, with a 14% increase in settlements and 87 new broker groups recruited.
- Investments in technology, compliance, product diversification, and people are creating a stronger business foundation.
- NPAT for the half was $14.5 million, down 34% or $7.4 million from the previous period.
- The manufacturing segment's earnings were significantly down, contributing to a $12 million decline for the half.
- The white label business had a soft start to the year, with first-quarter volumes down 30%.
- Operating expenditure for the half recorded a reduction of only $1.2 million, indicating ongoing cost pressures.
- The NIM rate was 116 basis points, reflecting higher funding costs and competitive pressures.
Good day, and welcome to the investor briefing for AFG 2024 half year results announcement. (Operator Instructions) And finally, I would like to advise all participants that this call is being recorded.
Thank you. I would now like to welcome David Bailey, CEO, to begin the conference. David, over to you.
Thanks very much and thanks everyone, I appreciate you joining Luca and myself as we walk through the half-year results. As some opening comments, I would like to say that after 3 reporting periods of results impacted by knock-ons of the pandemic, be they TFF, cashbacks and deposit arbitrage for our lending business, as we round the half and enter the 2024 calendar year, we're seeing signs of optimism.
Lodgement activity for our white label business have increased year-on-year and importantly, our AFG Securities volumes are running at double -- what that was experienced in the same time last year.
Our AFG Securities book has stabilized and we have moved our focus from NIM
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
