Liberty Group Half Year Financial Performance

Liberty Financial Group (ASX: $LFG) has reported its financial performance for the half-year ended 31 December 2023. The company reported a 7% increase in its financial assets portfolio to $14 billion and a 34% decrease in underlying NPATA to $69.6 million for the six months ended 31 December 2023.

Executive Commentary on Financial Performance

James Boyle, Chief Executive Officer, stated, 'The reduction in profit reflects the impact of trading through a period of multiple and sustained interest rate increases. Importantly during this time we have managed to help more customers, increase our financial assets and our loan losses remain low.' Peter Riedel, Chief Financial Officer, added, 'LFG's capital and liquidity position remains in a strong position to support our customer growth ambition. LFG raised $3 billion in funding since 30 June 2023 and Standard and Poor's affirmed Liberty's investment grade corporate rating as BBB- (positive outlook).' Mr Riedel also highlighted, 'Our market leading net interest margin of 2.54% and return on equity results are a further demonstration of LFG's focus on building durable business value.' Mr Boyle further commented, 'Having achieved record new loan originations across existing and new businesses, along with an anticipated stabilising net interest margin, we feel optimistic about the opportunities the coming periods will present and will continue to invest in the business to generate future value.'

Summary of Financial Performance and Outlook

Liberty Financial Group (ASX: $LFG) reported a 7% increase in its financial assets portfolio to $14 billion and a 34% decrease in underlying NPATA to $69.6 million for the six months ended 31 December 2023. Despite the reduction in profit, the company remains optimistic about the future opportunities and continues to invest in the business to generate future value. LFG's capital and liquidity position is strong, having raised $3 billion in funding since 30 June 2023, and Standard and Poor's affirmed Liberty's investment grade corporate rating as BBB- with a positive outlook. The company's market leading net interest margin of 2.54% and return on equity results demonstrate its focus on building durable business value. The company's ambitions and goals include supporting customer growth and maintaining low leverage ratio while achieving record new loan originations across existing and new businesses.