Wisr delivers first full quarter of growth with improved loan metrics in Q1 FY25

Australian non-bank lender Wisr (ASX: WZR) has delivered 54% growth in loan originations to $77.3 million for the first quarter of its 2025 financial year.

The achievement compares with $50.1m recorded for the previous corresponding period and was accompanied by a reduction in 90-day arrears to 1.4% and net losses to 2.06%, reflecting the continued credit strength of the company’s loan portfolio and the impact of its improved collections processes.

Secured vehicle loan originations increased by 67% while personal loan originations increased by 49%, underscoring a significant market opportunity for continued scaling.

Reduced loan book

Wisr’s total loan book of $753m reflected a 15% decrease from $887m in the previous corresponding period and was attributed to a deliberate and moderated growth strategy implemented during 2024.

The company’s quarterly revenue decreased to $22.5m from $24.3m due to the reduction.

The loan book’s average credit score remained strong at 782 compared with 780 in the previous period, while continued portfolio net interest margin expansion of 29 basis points to 5.64% was achieved from ongoing front-book repricing initiatives and improvements to funding margins.

Cash flow increase

Wisr reported unrestricted cash of $23.7m at the end of the quarter, representing a 17% increase from $20.3m recorded at the same time last year.

Two warehouse facilities – each of which was renewed with improved pricing during the quarter – are in place to support originations, with a total commitment value of $650m and an undrawn capacity of $194m.

The $50m corporate facility from global financial services company Nomura announced in May still has $15m available to fund Wisr’s growth plans.

Full quarter of growth

Wisr chief executive officer Andrew Goodwin said the company had done well to deliver its first full quarter of growth since pivoting from moderated growth settings in the 2024 financial year.

“Maintaining the quality of our loan book was a focus during this period and we are pleased to see improvements in yield while maintaining a strong average credit score of 782,” he said.

“Looking ahead, we are encouraged by significant improvements in our unit economics and we are positioned to continue growth while scaling the business towards profitability and a self-sustaining capital position.”