Prospa NZ loans pass $100 million mark

The Australia-based lender said it recorded its highest monthly originations volume in New Zealand in December, reaching the new milestone.

Prospa said its New Zealand operations performed "above expectations", with originations of $25.6 million in the first half of the financial year, 2021.

However, Covid-19 impacted performance over the six-month period.

The $25.6 million total was down from $28 million in the same period in 2020.

At group level, numbers took a hit from the pandemic.

Revenue for the half-year was $55.7 million, down 26.4% on the same period the year before, when the firm earned $75.7 million.

"This was a result of Prospa’s deliberately restrained risk appetite at the height of the pandemic," the company said. 

"As a result of lower customer acquisition at the height of the pandemic" customer numbers fell to 11,300 from 13,000 year-on-year.

Prospa chief executive Greg Moshal said he was encouraged by NZ performance and the bounce back so far in 2021.

"In what we believe is a positive indicator, New Zealand originations are not just back on track, but have reached their highest volumes since inception.

"Our first half result clearly demonstrates the resilience of Prospa’s business model. Leveraging the strength of our data, insights, and multi-channel distribution network, we have been able to rapidly scale to meet and capitalise on increasing demand."