• 2% increase in Cash Collections to $71.5m

• 100% increase in EBIT to $22.0m

• Statutory and normalised profit in line with expectations

Pioneer Credit Limited (âPioneerâ or the âCompanyâ) has reported its 1HY25 results, highlighted by a 2% increase in Cash Collections to $71.5m and a >100% increase in EBIT to $22.0m, compared with 2HY24. The Company delivered both statutory and normalised profit in line with expectations, and reconfirms its FY25 guidance of a net profit after taxation of at least $9m. Throughout 1HY25, the Company focused on unlocking operating leverage as it continued modernising its operating platforms and leveraging its enhanced scale and market position. While improving productivity and cost management remain a priority, the Company reported a significant reduction in total expenses during the period, including a 4% decrease in Employee Expenses. The reduction in total expenses was achieved despite an aggressive approach to expensing costs rather than capitalizing them to the Balance Sheet. Cost to Service (âCTSâ) was 33% normalised and 36% on a statutory basis in the half-year and at the mid-point of the Company's long-term guided range of 35%-37%. The competitive landscape continues to shift in the Company's favour, supporting the recent $10m equity raise and increase in the FY25 PDP investment guidance to $90m. The Company has substantially contracted this investment guidance and is seeing significant opportunities to acquire more portfolios that align with its operational capability and risk appetite. The Company has undertaken a comprehensive programme to stabilise its operations, strengthen its Balance Sheet, restore sustainable profitability and position the business to capitalise on exceptional market opportunities. With many of these objectives now realised, the Company has taken steps to align its leadership with its strengthened position and future priorities.

The Company reconfirms its FY25 guidance of a net profit after taxation of at least $9m and a statutory net profit after taxation of at least $18m in FY26.

The Company remains firmly focused on completing its Core System Replacement (âCSRâ) project, which is expected to drive significant efficiencies across the business. The Company also remains operationally disciplined and closely aligned to its vendors partners to optimise future opportunities.