• FY26 GLA growth of 18% and deposit growth of 24%
• NIM increased by 20bps to 3.13%
• PBT increased by 34% to $117.7m
• ROE improved to 6.4%
• Impairment expense rose by 56% to $117.7m

Judo Capital Holdings Ltd reported a robust full-year result for FY26, showcasing significant growth in Gross Loan Assets (GLA) and deposits, which increased by 18% and 24% respectively. The Net Interest Margin (NIM) improved by 20 basis points to 3.13%, and Profit Before Tax (PBT) rose by 34% to $117.7 million. Return on Equity (ROE) improved to 6.4%. However, the company faced higher impairment expenses, which increased by 56% to $117.7 million due to specific provisions and overlays for vulnerable sectors. Despite this, Judo remains confident in its business model and strategic positioning, supported by a diversified portfolio and strong partnerships with commercial brokers.

NIM expected to be broadly stable in FY27, with TD margins normalizing to 80-90bps

Judo expects a stable NIM in FY27, with term deposit margins normalizing to a through-the-cycle range of 80-90bps over 1-month BBSW, and modestly lower lending margins due to mix and competition.