Full Year 2025 Judo Capital Holdings Ltd Earnings Call Transcript
Key Points
- Judo Capital Holdings Ltd (ASX:JDO) reported a strong financial performance with a 14% increase in profit before tax, reaching GBP125.6 million.
- The company achieved a significant improvement in its cost-to-income (CTI) ratio, reducing it to 52.4% for the full year and below 50% in the second half.
- Net interest margin (NIM) exceeded guidance, reaching 3.04% in the second half, supported by favorable lending margins and proactive portfolio management.
- Judo Capital Holdings Ltd (ASX:JDO) experienced robust loan growth, with gross originations exceeding $4.7 billion, and a lending pipeline of $1.9 billion.
- The company's deposit book grew to over $10 billion, with a strong Net Promoter Score of +67%, indicating high customer satisfaction and brand strength.
- The cost of risk increased in dollar terms, although it decreased as a percentage of gross loans and advances (GLA) to 66 basis points.
- Judo Capital Holdings Ltd (ASX:JDO) faced elevated runoff rates, which could impact future loan book growth and profitability.
- The company noted a lack of discipline in pricing for risk in the competitive lending market, which could pressure margins.
- There was a decline in margins on new lending in the fourth quarter, attributed to mix and competition, although it has since improved.
- The process of onboarding customers for warehouse lending has been slower than expected, impacting the pace of loan book growth.
Good morning. Welcome to the Judo Bank FY25 results briefing. My name is Andrew Dempster. I'm the General Manager of Strategy and Investor Relations at Judo.
I'd like to begin today by welcoming -- sorry, by acknowledging the traditional owners of the land from which we are all joining today.
Today, we're going to follow our usual format. Firstly, our CEO, Chris Bayliss will provide an overview of our performance. Our CFO, Andrew Lesley, will then run through the detailed financials, and Chris will then return to discuss the outlook. We then have time for Q&A. And also, as usual, our documents have been lodged with the ASX this morning, and our webcast is being recorded and will be made available on our website later today.
On that note, I'll hand to Chris.
Thanks, Andrew, and good morning, everyone, and thank you for joining us. It's a pleasure to present Juno's full year results
| 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
