• Operating income up 20% to $30.5m
• Profit before tax up 26% to $6.4m
• Net cash inflow from operating activities up 85% to $8.3m

FSA Group Ltd has reported strong financial results for the half-year ended 31 December 2024, with a 20% increase in operating income to $30.5m and a 26% rise in profit before tax to $6.4m. The company's lending business generated a profit before tax of $6.5m, while the services business reported a loss of $0.1m. New origination increased by 12% to $212m, and the company's loan pools grew by 21% to $878m, with fixed-rate loans now accounting for 55% of the portfolio. The company's net margin declined from 62% in the first half of 2023 to 47% in the first half of 2025 due to the impact of rising interest rates on its fixed-rate loans. FSA Group has outlined a strategy to improve its net margin, grow new origination and loan pools through automation, and benefit from operating leverage as its loan pools reach $1.3b. The company expects profit before tax for the 2025 financial year to be in the range of $14m to $18m, with potential upside if interest rates decrease as forecast by some economists.

For the 2025 financial year, FSA Group expects profit before tax to be in the range of $14m to $18m.

FSA Group's strategy is to improve its net margin, grow new origination and loan pools through automation, and benefit from operating leverage as its loan pools reach $1.3b. The company expects this to drive a profit before tax of around $36m per annum and a return on equity in excess of 25%.