MTF reports record USD $1.1bn receivables for FY24
MTF has announced its robust performance for the 2024 fiscal year, amidst challenging economic conditions, as detailed in its latest Annual Report.
The report highlights the company's ability to maintain strong financial results, building on an already successful FY23. Finance receivables grew by 10% to reach a record USD $1.1 billion, indicating ongoing demand for MTF's lending products. Meanwhile, originator earnings saw a 7% increase from the previous year, reaching a new high of USD $91.6 million.
Mark Darrow, Chair of the Board, stated, "If FY23 showcased our potential in favourable conditions, FY24 demonstrated our resilience against headwinds. Despite economic challenges, the company along with our originators performed extremely well. This is a testament to the strength of our model, our strategy, the commitment of our team, and the enduring trust of our customers."
Further fiscal achievements include a 27% rise in gross revenue, which totalled USD $175.1 million. The company also saw its customer base expand by 12%, increasing from 63,500 to 71,000 customers. Additionally, the total combination of underlying profit and originator earnings exceeded USD $100 million for the first time.
Chief Executive Officer Chris Lamers emphasised the company's focus on growth through strategic investments and customer-centric practices. "This year, we continued our business transformation journey, revamped our brand strategy based on in-depth market research, and strengthened our customer-first philosophy. Our local owner-operators provide unmatched personalised service, ensuring customers are seen as individuals, not just numbers," Lamers explained.
MTF is undertaking a three-year business transformation programme to upgrade its core technology platforms to boost efficiency and enable rapid product development. This initiative is supported by investments in national marketing campaigns and an expanded franchise presence to support scalable growth in the future.
The company reported maintaining high credit quality, with 31+ day arrears remaining below 1%, significantly below industry averages. This achievement is attributed to MTF's commitment to a customer-first approach.
Additionally, the firm noted its Net Promoter Score (NPS) exceeding 80, which illustrates customer trust and satisfaction. This score is substantially higher than the industry average of around 8, underscoring MTF's promise of exceptional service.
Looking ahead to FY25, MTF expects gradual improvements in the economic landscape. It remains focused on its business transformation, the launch of an evolved brand, and adapting to upcoming regulatory changes. With a fortified balance sheet, MTF aims to ensure sustainable growth and continue delivering value to its shareholders, originators, and customers over the long term.
