Solvar reports FY26 profit of $36.1M
- Solvar posted a normalised net profit after tax of $36.1 million for the full year ended June 30, marking a 7.5% increase from the prior corresponding period.
- Following the financial report release, shares in the company moved up by 5.9% to reach $1.70 on the Australian Securities Exchange.
- The company stated that the financial results reflect ongoing efforts to simplify operations, expand commercial lending, and improve capital efficiency.
Solvar (ASX:SVR) reported a normalised net profit after tax of $36.1 million alongside total fully franked dividends of 19.5 cents per share for the financial year ended June 30.
Statutory net profit dropped 6.2% to $29.5 million, while normalised EPS went up to 19 cents per share.
The financial report noted that the loan book in continuing operations increased to $920.3 million, which represents a 10.5% rise compared to the previous year.
Scott Baldwin, CEO and Managing Director of Solvar, said, “We have substantially completed our New Zealand exit, materially improved our funding position, strengthened our regulatory framework and continued to build scale in commercial lending through Bennji.”
Management stated that the commercial lending division grew significantly during the period, reaching $109.8 million in total loans and supporting broader portfolio diversification.
The company declared a final dividend of 6 cents, plus a special fully franked dividend of 2.5 cents per share.
The company stated that its funding capacity expanded to approximately $1.1 billion, providing headroom to support ongoing portfolio growth and future capital management activities.
Solvar operates as a specialist financial services provider focusing on personal loans, vehicle finance, and commercial lending across Australia.
Following the announcement, the Solvar share price was up at $1.70.
