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The non-bank lender pointed to its 5,500 brokers as a key contributor to the result.
Latitude, which specialises in cards, retail finance, and personal loans, posted total new volumes of $9.1 billion (+10 per cent), gross receivables of $7.2 billion (+7 per cent), and operating income of $839 million (+15 per cent).
Strong results across lending and group performance
The result comes amid a broader lift in Latitude’s financial performance, with the group delivering what it described as a year of “solid financial performance, disciplined execution and continued progress” across its Pay and Money divisions.
Total new volumes rose 10 per cent year on year to $9.1 billion, while gross receivables increased 7 per cent to $7.2 billion, supported by strong demand for lending products and retail activity.
New money volumes in Australia rose 8 per cent to $1.32 billion, while New Zealand volumes jumped 25 per cent to $313 million.
New personal and auto loan originations reached a record $1.6 billion, up 11 per cent on the financial year 2024, with the second half delivering a fresh high of $850 million, 13.8 per cent higher year on year.
Latitude said around 54 per cent of 2H25 originations were variable‑rate loans and 46 per cent fixed.
Operating income climbed 15 per cent to $839.5 million, driven by an 18 per cent increase in net interest income and a 104 basis point expansion in net interest margin to 11.75 per cent, reflecting lower funding costs and disciplined pricing.
Profitability strengthened significantly, with cash net profit after tax rising 59 per cent to $105.1 million, while statutory net profit after tax reached $94.4 million.
Interest-bearing receivables grew 8 per cent over the period, while margin expansion and volume growth supported improved earnings and balance sheet strength.
“Supported by increased consumer lending demand, new product features, and expanded partner networks, Latitude enters FY26 with strengthened momentum, improved profitability and a capital position in line with its target range,” the directors’ report added.
‘Bridge to the future’
Commenting on the result, managing director and CEO Bob Belan said the growth in lending reflected a combination of product innovation, marketing investment, and distribution expansion.
“This performance reflected the benefits of new loan features, incremental investment in growth-focused marketing and expanded distribution through our broker network,” Belan said.
Latitude said the broker channel continues to play a key role in connecting customers to its personal and auto loan products, forming part of its broader distribution strategy alongside retail and partner networks.
Looking ahead, Belan said that Latitude is building on its “Path to Full Potential” strategy with the next phase, “Bridge to the Future”, focused on sustaining asset growth, modernising technology, and improving customer experience, including through greater use of AI.
“Latitude made significant progress against its priorities in FY25 under its ‘Path to Full Potential’ strategy. The Group remained focused on disciplined execution, strengthening its core foundations and positioning the business to deliver strong, sustainable results,” Belan said.
“These results validate the foundational work undertaken under the ‘Path to Full Potential’ strategy to simplify the business, sharpen focus on core markets and products, and embed the capabilities required to consistently outperform. Building on this progress, late in the year, we launched ‘Bridge to the Future’, the next phase of Latitude’s strategy.”
Belan said the new strategy would focus on five key priorities: extending and embedding core fundamentals, delivering sustained asset growth, eliminating legacy technology, enhancing productivity and customer experience through AI, and driving operational and risk management excellence.
Belan added: “Execution against these priorities is already underway, including more sophisticated use of data across the credit life cycle, commencement of credit card platform modernisation, and the deployment of AI to improve efficiency and service outcomes.”
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