- 01FY27 cash NPAT guidance up 40% to at least $7m.
- 02Record originations rose 73% y/y to $253.8m.
- 03Loan book hit $1.211b; arrears and net losses eased.
Wisr Limited (ASX: WZR) has raised its full-year 2027 cash net profit after tax guidance by 40% to at least $7.0 million following a record quarter of lending activity.
The Australian digital lender originated $253.8m of loans in the three months to 30 September, up 73% on the corresponding period a year earlier and 28% on the preceding quarter.
Its closing loan book expanded 40% year-on-year to $1.211 billion, while quarterly revenue climbed 32% to $33.1m.
The upgraded earnings target, previously at least $5.0m, reflects expectations of continued loan growth, tighter cost management, and productivity gains from technology investment.
Vehicle Lending Contribution
Secured vehicle lending was the largest contributor to new originations, rising 138% year-on-year to $128.9m from $54.1m.
The total loan portfolio grew 12% from $1.084 billion at the end of June, extending a succession of quarterly increases, with personal loan originations increasing 35% to $124.9m.
Growth occurred alongside improving credit metrics, with loans more than 90 days in arrears falling 28 basis points to 0.86% from a year earlier.
Net losses eased 44 basis points to 1.19%, while the loan book’s average Equifax credit score stood at 802, compared with 807 a year earlier.
Changing Loan Mix
Quarterly portfolio yield held broadly steady at 11.03%, against 11.00% in the previous quarter, as higher pricing on new loans offset a greater share of secured vehicle lending.
Because secured vehicle loans carry lower yields as well as lower funding costs and credit losses, the shift affected headline lending margins, with net interest margin (NIM) slipping 21 basis points quarter-on-quarter to 4.90% compared with 5.26% a year earlier.
However, risk-adjusted margin remained relatively stable at 3.71%, against 3.81% in the preceding quarter, as lower credit losses largely countered NIM compression.
Revenue grew 10% from the June quarter’s $30.0m, reflecting the larger outstanding loan portfolio.
Funding Capacity
Wisr ended September with $13.0m in unrestricted cash and $20.0m available under its corporate funding facility, providing total liquidity of $33.0m, while its three warehouse funding facilities carried $887m in total commitments including $165m in undrawn capacity.
The lender had drawn $30.0m of its $50.0m corporate facility, leaving $7.5m in committed and $12.5m in uncommitted capacity.
Looking further ahead, Wisr expects cash NPAT to grow substantially in the 2028 financial year as its loan book expands and operating leverage improves.
It also holds $97.9m in carried-forward tax losses, which could support cash generation as taxable profits emerge.
Improved Customer Service
Alongside lending growth, Wisr has simplified assessments for eligible personal loans and introduced automated identity checks and vehicle inspection integrations.
Its AI service agent has taken on additional customer-service tasks as the business seeks to reduce servicing costs, helping customer and broker Net Promoter Scores—measures of customer willingness to recommend a service—reach positive 80 and positive 81 respectively.
The business also received WeMoney’s Innovation of the Year – Debt Reduction award for DebtBustr, a tool comparing existing repayments with potential debt consolidation loan costs.
“Sstrong demand across our personal and secured vehicle loan products demonstrates the strength of our core platform and customer proposition,” chief executive officer Andrew Goodwin said.
“Importantly, this growth was achieved alongside continued improvement in credit performance, […] underscoring our ability to scale our loan book whilst maintaining disciplined credit settings.”
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