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Pepper Money Limited (ASX:PPM)

ALERT: Price-sensitive ASX Announcement for PPM
Current share price for PPM : $1.905 0.135 (7.63%)+
Announcement
Release
20 Aug 2026 8:02AM
Price at Release
$1.770
Full Release
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Summary
In the first half of 2026, Pepper Money Limited demonstrated strong financial performance with a 40% increase in loan originations, amounting to $6.3 billion. The company saw its Assets Under Management rise to $24.0 billion, a 20% increase from the previous year. Net interest margin improved to 2.10%, and the pro-forma profit before tax and loan loss expenses increased by 17% to $127.8 million. The net profit after tax was reported at $53.9 million, reflecting a 15% rise. Despite economic uncertainties, including inflation and interest rate risks, Pepper Money maintained a steady coverage ratio and declared a 12% higher interim dividend of 7.2 cents per share. The balance sheet remained robust with total assets at $19,927.2 million and liabilities at $19,040.3 million.
Key Points
  • Pepper Money reported a 40% increase in loan originations for the first half of 2026, reaching $6.3 billion.
  • Assets Under Management (AUM) grew to $24.0 billion, marking a 20% rise compared to the previous comparative period.
  • The company's net interest margin increased to 2.10%, which is an improvement of 12 basis points.
  • Pepper Money's pro-forma profit before tax and loan loss expense was $127.8 million, a 17% increase from the prior year.
  • The coverage ratio remained stable at 0.79%, indicating consistent credit performance.
  • Total net profit after tax stood at $53.9 million, reflecting a 15% increase year-over-year.
  • The interim dividend declared was 7.2 cents per share, a 12% increase from 2025.
  • The company maintained strong liquidity with total closing cash of $79.4 million as of June 30, 2026.
  • The balance sheet showed total assets of $19,927.2 million and total liabilities of $19,040.3 million.
  • The economic outlook remains uncertain with inflation and interest rates as key risks.
IMPORTANT NOTE: This information is autogenerated and has not been reviewed for accuracy or completeness. You should refer to the full announcement here for further information.