Loan book’s growth drives YBR results
Yellow Brick Road (YBR) has announced its maiden pre-tax profit of $2 million and a 17 per cent increase in its underlying loan book to $44.1 billion for the full-year ending 30 June 2017.
YBR’s executive chairman, Mark Bouris, stressed that the embedded value of the loan had risen significantly over that period.
Also, the company managed to grow both its loan volumes and revenue, despite the volatility of the sector.
Commenting on YBR’s future growth plans, Bouris said there would be more opportunities for non-bank lenders due to current tighter credit conditions and that YBR would consider “ways to increase margins in this environment”.
“The work we’ve done in recent years to expand distribution, increase efficiency, and diversify revenue has paid off and allowed us to deliver our maiden profit, even in the face of tough lending environment,” he said.
“These results demonstrate the true value of the company, which isn’t reflected in the current share price.
“When you consider our loan book, funds under management and our brand and distribution assets, there is a strong value story there,” he said.
The company also announced that it was developing a learning and development platform which was expected to help boost business skills, technical knowledge and professional standards in the sector.
AUTHOR
Oksana Patron
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